Tweet
ARMENIAN STATE CANNOT PAY ARMAVIA'S DEBTS - OFFICIAL
December 26, 2013 | 11:48
YEREVAN. - It is impossible for the Armenian state to pay the debts
of Armavia Airline Company; there is no such law.
Levon Janibekyan, Head of Legal Department of the Armenian
Government-Affiliated General Department of Civil Aviation (GDCA),
told the aforesaid toArmenian News-NEWS.am.
Janibekyan noted that these are regulated relations between two
business entities, and there are different ways of solving their
disputes.
"These are civil and legal relations. The two subjects have to decide
on how it [i.e., the debt] will be paid. If the matter is not resolved
on verbal agreement, the law provides the option of going to court
and charging the amount. [But] here the state has no obligation,"
Levon Janibekyan said
As Armenian News-NEWS.am informed earlier, apparently, the debt
of Armavia Airline Company, which belongs to businessman Mikhail
Baghdasarov, will be paid from the state budget of Armenia; that is,
from the pockets of the Armenian citizens, 168 Zham reported. "We have
learned that Armavia owes approximately $120 million to the airports,
the aeronautical services of a variety of countries. And why should a
private company's debt be paid from the state budget? The problem is
that the Armenian Government-Affiliated General Department of Civil
Aviation had granted permission to Armavia to conduct flights; the
sector was a monopoly, and the GDCA shares the responsibility. In
such cases, the creditors apply to the relevant authority (the one
that permits the flights), and if the problem is not resolved, the
liabilities are passed to the state. When the state issues a license
to any [airline] company, it must be informed whether or not it can
conduct flights," 168 Zham wrote.
Armavia Airline Company, which was Armenia's national air carrier,
suspended its flights as of April 1 and declared about starting a
process of bankruptcy. The company had financial difficulties in
recent times, due to which many of its flights were being canceled.
News from Armenia - NEWS.am
December 26, 2013 | 11:48
YEREVAN. - It is impossible for the Armenian state to pay the debts
of Armavia Airline Company; there is no such law.
Levon Janibekyan, Head of Legal Department of the Armenian
Government-Affiliated General Department of Civil Aviation (GDCA),
told the aforesaid toArmenian News-NEWS.am.
Janibekyan noted that these are regulated relations between two
business entities, and there are different ways of solving their
disputes.
"These are civil and legal relations. The two subjects have to decide
on how it [i.e., the debt] will be paid. If the matter is not resolved
on verbal agreement, the law provides the option of going to court
and charging the amount. [But] here the state has no obligation,"
Levon Janibekyan said
As Armenian News-NEWS.am informed earlier, apparently, the debt
of Armavia Airline Company, which belongs to businessman Mikhail
Baghdasarov, will be paid from the state budget of Armenia; that is,
from the pockets of the Armenian citizens, 168 Zham reported. "We have
learned that Armavia owes approximately $120 million to the airports,
the aeronautical services of a variety of countries. And why should a
private company's debt be paid from the state budget? The problem is
that the Armenian Government-Affiliated General Department of Civil
Aviation had granted permission to Armavia to conduct flights; the
sector was a monopoly, and the GDCA shares the responsibility. In
such cases, the creditors apply to the relevant authority (the one
that permits the flights), and if the problem is not resolved, the
liabilities are passed to the state. When the state issues a license
to any [airline] company, it must be informed whether or not it can
conduct flights," 168 Zham wrote.
Armavia Airline Company, which was Armenia's national air carrier,
suspended its flights as of April 1 and declared about starting a
process of bankruptcy. The company had financial difficulties in
recent times, due to which many of its flights were being canceled.
News from Armenia - NEWS.am