Armenian officials face charges in Defence Ministry embezzlement, bribery scheme

The Armenian Anti-Corruption Committee has concluded an investigation into a corruption scheme involving embezzlement, bribery, and abuse of power within the Ministry of Defence, implicating senior officials and private sector partners.

Seven individuals have been formally charged, including high-ranking Defence Ministry officials and directors of private contracting companies. The charges stem from a series of fraudulent construction contracts and illicit financial dealings that have resulted in substantial losses to the state, Caliber.Az reports citing Armenian media.

Investigative findings reveal that in June 2023, the Ministry of Defence signed a contract with a private contractor for construction works at a military facility. However, the project was only partially completed and utilized substandard materials costing one-third of the budgeted amount. Despite clear deficiencies, the project was fraudulently certified as completed with the complicity of a technical supervisor, who concealed violations and signed inflated work statements.

The financial damage inflicted on the Defence Ministry through these deceptive practices has been assessed at over 81 million drams, equivalent to approximately $212,000 as of May 21, 2025. In return for approving and accepting the incomplete work, a ministry official allegedly demanded and partially received a bribe of 10 million drams (around $26,000).

A similar fraudulent arrangement was executed in July 2024 under a new contract with the same company. This time, two ministry officials allegedly accepted 2.1 million drams (roughly $5,500) in bribes in exchange for ignoring construction violations. In addition, to ensure the company’s success in the competitive bidding process, its representatives are reported to have paid illicit compensation to a former Defence Ministry employee, thereby undermining the integrity of the tendering process and disadvantaging other participants.

The investigation further uncovered that in June 2025, bribes were again paid to a Defence Ministry official in exchange for issuing a fabricated certificate that falsely attested to the quality and completion of the project.

As a result of the probe, all seven individuals face charges under multiple provisions of Armenia’s Criminal Code, including large-scale embezzlement, bribery, and abuse of official authority. Six of the accused have been placed under house arrest, while one remains in custody. The case has been referred to the Anti-Corruption Court of Armenia for prosecution.

By Vafa Guliyeva