An Armenian court has ordered that AraratCement, one of the country’s largest cement manufacturers, be placed under temporary state management while authorities pursue an illicit assets case against businessman and opposition leader Gagik Tsarukyan, CivilNet reports.
The Prosecutor General’s Office said the Anti-Corruption Court approved prosecutors’ request to transfer the company’s management and shares into state custody until proceedings over Tsarukyan’s assets are completed.
The forfeiture case was launched in October 2023, well before Tsarukyan’s recent arrest. Prosecutors are seeking to confiscate a wide range of assets they claim were obtained illegally, including AraratCement, dozens of real estate properties, vehicles, shares in multiple companies, and assets worth approximately 105.9 billion drams (around $286 million).
The latest ruling follows Tsarukyan’s arrest earlier this month on charges of large-scale fraud and money laundering. Armenia’s Investigative Committee alleges he organized financial crimes, while his legal team insists the prosecution is politically motivated.
Before his arrest, investigators searched businesses linked to Tsarukyan and members of his family. AraratCement suspended production shortly afterward.
Tsarukyan returned to active politics ahead of Armenia’s June 7 parliamentary elections as leader of the Prosperous Armenia party. The party narrowly failed to secure seats in parliament after election authorities invalidated the results from three polling stations, leaving it with 3.95% of the vote—just below the 4% threshold. Party representatives have challenged the outcome, alleging election violations.
The decision to place AraratCement under state management is the second high-profile case in which the Armenian government has assumed control of a major private asset during legal proceedings involving a leading opposition figure, CivilNet writes.
Last year, the government took temporary control of Electric Networks of Armenia after parliament adopted legislation allowing such intervention. The move came shortly after the company’s owner, businessman Samvel Karapetyan, publicly criticized Prime Minister Nikol Pashinyan’s government over its dispute with the Armenian Apostolic Church. Karapetyan was later arrested on charges of calling for the overthrow of the constitutional order, accusations he denies.
