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News details emerge over Global Gold Mining affair
http://www.tert.am/en/news/2012/09/19/global-gold-mining/
21:51 - 19.09.12
Global Gold Mining has issued a statement commenting on a US federal
court ruling that orders a senior Armenian lawmaker to pay $37.5
million in damages to the US company.
It says particularly that the arguments presented by Vardan Ayvazyan
(Republican Party of Armenia), the head of the National Assembly's
Standing Committee on Economic Affairs, are absolutely untrue.
Ayvazyan, who formerly headed Armenia's Ministry of Nature Protection,
claimed that the ruling passed by the US Southern District Court of
New York concerned his activities as a minister. Ayvazyan had
suspended the company's rights to the copper-molybdenum mine of
Hankavan (Kotayk region) on the grounds that the former failed to
fulfill its obligations. Ayvazyan claimed that the court had issued
the ruling in 2008, adding that he had received an executive act only
this September. The delay was allegedly linked to electoral processes
and Ayvazyan's activities as a legislator. The ex minister claims that
there is a political context behind the decision.
According to the company's statement, Ayvazyan said he wasn't notified
of the proceeding and learned about the verdict from the Internat.
`Ayvazyan's statements do not correspond to reality and are absolutely
groundless; hence Global Gold Mining has to disclose the following:
1. The court issued the ruling against Ayvazyan in 2003. in accordance
with the provisions of the SHA Ltd.'s (SHA) Share Purchase Agreement
(Agreement). SHA was the licensee of the Hankavan Mine.
It was agreed that the Agreement is subject to the jurisdiction of the
Southerm District Court of New York (Agreement Jurisdiction).
2. The court passed the ruling against Ayvazyan considering his
personal (vs. ministerial) capacity, declaring him as a hidden
shareholder giving instructions to, and ruling the decisions of the
SHA shareholders (principal).
The ruling was issued on July 10, 2012, and went into effect in August
2012. The executive act, based on the ruling, was issued on September
6, 2012.
3. The Company regularly and appropriately notified Ayvazyan of all
the court files, including the claim, evidence relating to the case,
the requirements for showing up to court, as well as the Ruling. The
Company sent Ayvazyan notifications, through registered mail delivery,
on January 25, February 29, March 14, April 27, June 7 and August 15,
2012 to the addresses 10, Str. Alec Manookian, apt. 16, Yerevan, and
22 Charentsavan 6th district, apt 13. It got documents confirming the
receipt in both addresses. Ayvazyan received as many as six
notifications over this case.
4. SHA's share, at the time of being bought by the Company, totaled
500,000 Armenian Drams (approx. $ 1,250). After being acquired, the
sums for the activities were raised to USD 50,000 by the Company.
Given these obligations, the price for the total cost for studies in
the Hankavan mime made up USD 2,847,755.50, which is 50 times more
than required under the obligations.
5. The reports on the studies of the outcomes (numerous volumes with a
text and maps) were sent to the Ministry of Nature Protection in the
period when Ayvazyan was a minister, and hundreds of samples, with
their copies, are kept in the Company's archives to date. In such
circumstances, the SHA suspended the license, then transferred it to a
company under Ayvazyan's control and was later sold to a third
company. All the materials relating to the judicial proceeding are
available to the public at the Southern District Court of New York and
the ruling is public,' reads the statement.
Below are documents pertaining to the case:
From: Baghdasarian
http://www.tert.am/en/news/2012/09/19/global-gold-mining/
21:51 - 19.09.12
Global Gold Mining has issued a statement commenting on a US federal
court ruling that orders a senior Armenian lawmaker to pay $37.5
million in damages to the US company.
It says particularly that the arguments presented by Vardan Ayvazyan
(Republican Party of Armenia), the head of the National Assembly's
Standing Committee on Economic Affairs, are absolutely untrue.
Ayvazyan, who formerly headed Armenia's Ministry of Nature Protection,
claimed that the ruling passed by the US Southern District Court of
New York concerned his activities as a minister. Ayvazyan had
suspended the company's rights to the copper-molybdenum mine of
Hankavan (Kotayk region) on the grounds that the former failed to
fulfill its obligations. Ayvazyan claimed that the court had issued
the ruling in 2008, adding that he had received an executive act only
this September. The delay was allegedly linked to electoral processes
and Ayvazyan's activities as a legislator. The ex minister claims that
there is a political context behind the decision.
According to the company's statement, Ayvazyan said he wasn't notified
of the proceeding and learned about the verdict from the Internat.
`Ayvazyan's statements do not correspond to reality and are absolutely
groundless; hence Global Gold Mining has to disclose the following:
1. The court issued the ruling against Ayvazyan in 2003. in accordance
with the provisions of the SHA Ltd.'s (SHA) Share Purchase Agreement
(Agreement). SHA was the licensee of the Hankavan Mine.
It was agreed that the Agreement is subject to the jurisdiction of the
Southerm District Court of New York (Agreement Jurisdiction).
2. The court passed the ruling against Ayvazyan considering his
personal (vs. ministerial) capacity, declaring him as a hidden
shareholder giving instructions to, and ruling the decisions of the
SHA shareholders (principal).
The ruling was issued on July 10, 2012, and went into effect in August
2012. The executive act, based on the ruling, was issued on September
6, 2012.
3. The Company regularly and appropriately notified Ayvazyan of all
the court files, including the claim, evidence relating to the case,
the requirements for showing up to court, as well as the Ruling. The
Company sent Ayvazyan notifications, through registered mail delivery,
on January 25, February 29, March 14, April 27, June 7 and August 15,
2012 to the addresses 10, Str. Alec Manookian, apt. 16, Yerevan, and
22 Charentsavan 6th district, apt 13. It got documents confirming the
receipt in both addresses. Ayvazyan received as many as six
notifications over this case.
4. SHA's share, at the time of being bought by the Company, totaled
500,000 Armenian Drams (approx. $ 1,250). After being acquired, the
sums for the activities were raised to USD 50,000 by the Company.
Given these obligations, the price for the total cost for studies in
the Hankavan mime made up USD 2,847,755.50, which is 50 times more
than required under the obligations.
5. The reports on the studies of the outcomes (numerous volumes with a
text and maps) were sent to the Ministry of Nature Protection in the
period when Ayvazyan was a minister, and hundreds of samples, with
their copies, are kept in the Company's archives to date. In such
circumstances, the SHA suspended the license, then transferred it to a
company under Ayvazyan's control and was later sold to a third
company. All the materials relating to the judicial proceeding are
available to the public at the Southern District Court of New York and
the ruling is public,' reads the statement.
Below are documents pertaining to the case:
From: Baghdasarian