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Armenian Government Does Not Intend to Forgive Armavia Owner’s Debts

Armenian air carrier Armavia owned by businessman Mikhail Baghdasarov (pictured), which ceased operations last year, accumulated enormous debts to both its employees and the state, reports local daily Zhoghovurd.

The newspaper reports that the now-defunct airline's debt arose primarily from not transferring to the state the 10,000 dram ($24 USD) "air tax" it collected per passenger. Note, since 2009, this tax is included in the ticket price. Baghdasaryan owes the Armenian government more than 5 billion AMD ($12,107,100 USD).

Asked why the General Department of Civil Aviation of Armenia is forgiving Baghdasarov, head of the department Artyom Movsesyan said they do not intend to forgive the debt and plan to collect the money.

As for former employees' unpaid wages, according to Movsesyan, the government is trying to find ways to resolve the issue.