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Armenian Power Utility Demands Nairit Be Declared Bankrupt; Court Session Postponed Until Year’s End

Electric Networks of Armenia (ENA), the country's Russian-owned national power distribution company to which Nairit chemical plant owes more than AMD 1 billion, went to court earlier this year demanding that the plant be declared insolvent. 

The second hearing on the case was held Thursday, September 3 at the Shengavit Court of First Instance. Nairit attorney Arman Abovyan, however, did not want the session to be filmed by reporters, he was also not pleased that the former Nairit employees had gone to the session to “show their support to the company.” The former employees told reporters they were ready to do anything for Nairit not to be declared bankrupt since “in that case there will still be hope for the plant's re-operation.”

“There are 1700 former workers; tell them all to come to the courtroom,” the annoyed attorney responded. He then approached the journalists and told them not to enter the courtroom and “disturb the [session].”

Despite Abovyan's urging, reporters participated at the hearing; however they were not allowed to film it since presiding judge Armen Chichoyan granted the attorney's motion to prohibit journalists from filming and photographing the court session.

Abovyan also motioned to the judge to postpone the session until the end of the year, since, as stated by the attorney, negotiations between Nairit and ENA were still underway and “there is a chance of reaching reconciliation.”

Abovyan responded positively to the judge's question whether it was possible for the plant to pay off the debt to ENA. Nairit, the attorney claimed, is worth more than 75 billion drams, while “the debt is only 1 billion.”

The court granted Abovyan's motion and postponed the session until November 18.

Later, when asked by reporters why he opposed to the filming of the session, the attorney said: “It is my right.”