Public office, private gains: The controversial record of Yerevan’s mayor
09.12.2024
By Tatev Baghdasaryan
A week ago, it was reported that last month, Yerevan Mayor Tigran Avinyan took off on a week-long official visit to Los Angeles, USA, accompanied by a delegation of nine people. To organize the trip, the Yerevan Municipality signed a direct, non-competitive procurement contract worth around USD 31,800 with Luxury Voyage LLC. The expenses included eight economy-class tickets totaling roughly USD 12,300, while Avinyan’s single business-class ticket cost an eye-watering USD 19,560. The Municipality has a history of engaging with Luxury Voyage LLC; records indicate at least seven transactions with that company during 2023-2024. These repeated dealings have raised serious questions about the potential misuse of public funds and suspicions of favoritism and corruption within the Municipality’s procurement practices.
This finding has emerged amid the Yerevan Municipality’s decision to raise the transport fee in the city. Municipal officials justified this decision by citing the lack of resources and the need for efficiency in the public transportation system. The mayor’s actions starkly contrast the municipality’s rhetoric and reasoning.
This is not the first time that the former Deputy Prime Minister of Armenia and current Mayor of Yerevan, Tigran Avinyan, has faced public scrutiny for his actions. He seems to have drawn more attention for his controversies than his policies. From allegations of corruption and questionable family business dealings to breaches of the code of conduct, his political career has been rife with contention. Numerous investigative journalists have delved into the controversies surrounding Avinyan. Here is a comprehensive overview of everything you need to know about Yerevan’s Mayor.
Business ties and family involvement
One of the most notable controversies stems from Avinyan’s connection to Irrigate LLC, a company he founded in 2010. Specializing in irrigation systems and landscape design, the company benefited significantly from government programs during Avinyan’s political tenure. In 2018, while serving as Deputy Prime Minister, Irrigate LLC received a grant of approximately USD 35,000 from the Agricultural Development Fund to develop dried fruit production. This grant came at a time when Avinyan was both a public official and the company’s director.
Further scrutiny revealed that nine beneficiaries of a state agricultural program subcontracted work to Irrigate LLC. Five beneficiaries received roughly $620,000 in direct payments to establish intensively cultivated orchards. This raised concerns about the potential misuse of state resources for personal or familial gain.
Ethical breaches and investigations
Avinyan’s dual role as Deputy Mayor of Yerevan and board chairman for the Armenian National Interests Fund (ANIF) also raised red flags. The Corruption Prevention Commission (CPC) initiated proceedings, questioning the legality of holding both positions simultaneously. This prompted a criminal investigation into potential violations of public service laws. Under his leadership, ANIF faced allegations of mismanagement and misuse of funds. In April 2023, criminal proceedings were launched to investigate potential abuses of office and large-scale misappropriation within the fund. As of November 2024, these investigations remain ongoing, with no charges filed.
In June 2024, Avinyan faced proceedings from the CPC over aggressive remarks and insults he made during a Yerevan City Council session, which were deemed to violate the code of conduct for public officials.
A sobering reality
Avinyan’s controversies reflect broader challenges for Armenia’s governance under Prime Minister Nikol Pashinyan’s administration. Pashinyan came to power promising to root out corruption and establish transparency, yet allegations against his high-ranking officials like Avinyan threaten to undermine public trust. Actions that suggest misuse of power and influence weaken citizens’ faith in their elected leaders and democratic institutions, posing significant risks to the country’s political stability. As investigations continue and public scrutiny grows, the question remains: how can Armenia protect its democracy from being eroded by those entrusted to uphold it?
Democracy Watch is a joint initiative by CivilNet and the Regional Center for Democracy and Security, a Yerevan-based think tank.
This material has been funded by UK International Development from the UK government; however, the views expressed do not necessarily reflect the UK government’s official policies.