Samvel Karapetyan`s family starts investment dispute with Armenia 

ArmInfo. The family of the president of the Tashir Group of Companies Samvel Karapetyan is starting an investment dispute with the Republic of Armenia over the issue of Electric Networks of Armenia CJSC. This was reported in a statement by the press service of the group of companies.

The source notes that official notification of the start of the  process has already been sent to the state bodies of Armenia. The basis for the proceedings is the agreement between the governments of Armenia and Cyprus on the promotion and protection of investments, signed on January 18, 1995. This document allows investors to apply to international arbitration in the event of a violation of their rights by the state. The statement emphasizes that such proceedings have a negative impact on the investment attractiveness of states.

The statement also emphasizes that the family is making claims due to the campaign launched by the Prime Minister of the Republic of Armenia against Samvel Karapetyan and his business in Armenia after the businessman publicly supported the Armenian Apostolic Church, which is under attack by the country's authorities. The Prime Minister, in particular, announced the start of the nationalization process of Electric Networks of Armenia (ENA) CJSC, owned by the Karapetyan family, including through the Cyprus- registered Liormand  Holdings Limited.

However, the statement emphasizes that the notification of the  investment dispute is of a warning nature. It states that the actions of Armenian officials are arbitrary, discriminatory, politically motivated and aimed at depriving the Karapetyan family of property. These actions violate a number of obligations assumed by the Republic of Armenia under the Agreement with Cyprus of January 18, 1995, which the state must comply with: firstly, Armenian officials failed to ensure fair and equal treatment, as well as due protection and security of the Karapetyan family's investments in Armenia. Secondly,  contrary to the investment agreement, representatives of the Republic of Armenia are taking steps to alienate ENA, which is actually expropriation. If the responsible officials continue to violate their obligations under the agreement and international law, the Republic of Armenia faces international arbitration proceedings and obligations to pay full compensation. "Currently, Armenia is already facing several claims in international arbitration from investors from Cyprus, the United States, Canada and Lebanon. These claims are  the result of the illegal actions of the Armenian authorities to oust foreign investors and prevent them from exercising their legal rights," the press service of Tashir Group emphasized.

In 2015, the Russian company Inter RAO UES decided to sell its electric power assets in Armenia, including ESA. The buyer was Liormand Holdings Limited, which acquired 30% of the shares of Electric Networks of Armenia, and the remaining 70% of the shares were bought out by Tashir Capital.

The issue of nationalizing the company will be discussed during an extraordinary session of the National Assembly of the Republic of Armenia, which starts on July 1.