COMMENTARY: OLIGARCHY ON THE DEFENSIVE
By Edmond Y. Azadian

http://www.mirrorspectator.com/2012/07/19/commentary-oligarchy-on-the-defensive/
July 19, 2012 2:41 pm

While the Cold War is intensifying over the Syrian crisis, pitting
again the old warriors against each other, an internal crisis is
brewing in Armenia with broad ramifications; this time the oligarchy
is on the defensive, mind you, not yet on the run.

In order to put the crisis in perspective a background flashback is
warranted here.

Since Armenia emerged as an independent country, it claimed to have
adopted the system of market economy, replacing the Soviet-style
command economy. But it turned out that only the worst traits of
capitalism were adopted and practiced giving rise to a sharp divide
between the rich and the poor. A caste of oligarchs evolved, making
its own rules of conduct and placing itself over the law and the
constitution.

Each oligarch has a fleet of luxury cars driven by a band of bodyguards
to follow the movements of their boss, always ready to take the
law into their hands, at the nod of their bosses. Their cars have
special license plates to intimidate and threaten traffic police,
who remain mindful of job security and leave alone the oligarchs and
their mafia-type bodyguards to violate all laws with impunity.

At times these oligarchs have killed or driven away foreign investors
who inadvertently have violated their business turf. Therefore it
is self-evident why Diaspora Armenians or other foreign investors
stay away from meddling into the affairs of these oligarchs who have
instituted a chokehold over Armenia's economy. To buy impunity from
any prosecution, these oligarchs are keen to be elected as parliament
members.

A journalist once asked sarcastically why these oligarchs need so
much protection. They must have hurt somebody that they are scared
for their lives.

Indeed, the bodyguards of these oligarchs have beaten to death many
citizens without any consequences. A much-highlighted case was the
killing of a man named Vartan Vartanian by the then- President Robert
Kocharian's bodyguards at the Aragast Cafe.

The oligarchs practice the "Wild West" model of politics. Last year,
the newly-elected mayor of Yerevan, Gagik Beglarian, beat one of
President Serge Sargisian's protocol staff members who had refused
to bend the protocol rules to accommodate the whims of the mayor's
wife. Beglarian was asked to resign but before a year elapsed he was
awarded with a ministerial office, rendering the government into a
revolving door.

Of course the opposition media uses all these incidents to criticize
the government to no avail. But a recent incident proved to be the
straw that broke the camel's back. On June 17, the body- guards of
powerful oligarch Ruben Hairabetian (nicknamed Nemetz Rubo) decided
"to teach a lesson" to a group of visitors to the Harsnakar hotel
and resort in the suburbs of Yerevan. The resort is owned by Mr.

Hairabetian. (Incidentally, all these oligarchs have nicknames like
Nemetz Rubo, Lfik Samo, Dody Gago, etc. and they don't resent the
nomenclature; they rather carry them as badges of honor.) The
bodyguards, allegedly under orders from their boss, gave a beating
to the visiting group, killing one, army surgeon Vahe Avedian.

The incident touched off intense public outrage which hit the political
scene like an avalanche.

Last May, Mr. Hairabetian was elected a member of the parliament
on the ruling Republican Party ticket. He is also the head of the
Armenian Football Federation.

To calm public outrage, the president met with Hairabetian, who,
upon leaving the presidential palace, issued an apology and resigned
from the parliament. Despite those steps, vigils are continuing at
the site of the crime and the public is demanding more retribution.

Hairabetian is being asked to quit his position at the Football
Federation while some maximalists are even asking the government to
confiscate Mr. Hairabetian's assets and throw him in jail.

This time around, the public has had enough of such unruly con-
duct, which had been continuing over the years with impunity.

Of course, this incident also became a God-sent golden opportunity for
the opposition to use against the ruling Republican Party. The incident
became a cause celebre for the entire spectrum of the opposition
parties. At this point, four political parties have rallied around
the case, asking Hovik Abrahamian, the Speaker of the Parliament,
to hold a special session to discuss the issue and take action.

Forty-four members of the parliament need to sign the petition, in
order for the speaker to call a special session. At this writing the
opposition had not garnered that number yet.

But a very important picture has evolved in the process: the opposition
parties thus far had acted in disparate courses, but this time around,
they have found a case which warrants their cooperation.

Until recently, the Armenian National Congress and the Armenian
Revolutionary Federation (ARF) were mortal enemies. Gagik Zaroukian's
Prosperous Armenian Party was a coalition partner with the president's
Republican Party until the parlia- mentary elections of last May. At
this time, they seem to have part- ed ways. All the above opposition
parties plus the Heritage Party have signed the petition requesting
the special session.

The news media is continuing to give extensive coverage to the issue
indicating that public anger will not quiet down any time soon.

Meanwhile, some voices from the Republican quarters have been asking
not to politicize the issue since the law enforcement authorities and
the courts have taken up the issue. One such voice was the Republican
member of the parliament Artashes Geghamian. But voices of defense
are far and few since no one wishes to take the risk of countering
public anger, which has become a cumulative force reflecting anger
not just at this incident but the group's modus operandi.

This time around it seems that public outrage has struck a balance in
the legal system to tame a self-appointed caste and make it accountable
to the court.

For the first time, the oligarchs are on the defensive but not yet
on the run.




From: A. Papazian