Samvel Karapetyan remanded in custody for one month in case over AMD 64.6 billion damage to Electric Networks of Armenia
Samvel Karapetyan, leader of the Strong Armenia party and president of the Tashir Group, has been remanded in custody for one month. The Anti-Corruption Court in Yerevan made the decision after an overnight hearing on November 5. The day before, Armenia’s Investigative Committee had searched 65 addresses and detained him. The basis is a case over damage of AMD 64.6 billion (about $179 million) to Electric Networks of Armenia (ENA): criminal prosecution has been initiated against 36 people, and investigators name Karapetyan as the organiser. The defence calls the decision unlawful and politically motivated and intends to appeal; Strong Armenia and a number of other opposition forces have issued statements; the prime minister said law enforcement has “at least certain weighty grounds”.
A person accused of a crime is presumed innocent until guilt is proven by a court verdict that has entered into force. At this stage the court decided only the question of a preventive measure; guilt has not been established.
What the investigators said
In its statement of November 4, the Investigative Committee (Main Department for the Investigation of Economic Crimes and Smuggling) said the searches were carried out simultaneously at 65 addresses, apartments and company premises, with the participation of the National Security Service, the Ministry of Internal Affairs and the State Revenue Committee. According to the investigation, in 2016–2024 a group of people organised and led by “S.K.” committed four episodes of abuse of powers in the private sector, embezzlement of entrusted property on an especially large scale and money laundering. The decision to prosecute 36 people was taken by the supervising prosecutor; the investigator decided to detain them.
The scheme, as investigators describe it: ENA board members, the CEO, his deputy and other officials raised credit funds in amounts not stemming from the company’s needs and then paid dividends to shareholders and issued unjustified loans and advances to affiliated organisations. In 2024–2025, according to the investigation, AMD 23.2 billion was taken out of the company as dividends to shareholders Liormand Holdings Limited and Tashir Capital. The funds were, it says, legalised through more than ten interrelated organisations.
| Component of the damage (per the Investigative Committee) | AMD bn |
|---|---|
| Loans beyond operational needs, unjustified loans and advances to related organisations | 36.98 |
| 2024–2025 dividends to Liormand Holdings Limited and Tashir Capital | 23.16 |
| Other episodes | 4.45 |
| Total | 64.59 |
The headline of the Investigative Committee’s statement gives AMD 64.5 billion, while its text gives AMD 64.59 billion; this article rounds to AMD 64.6 billion.
The charges fall under Article 46-277 (part 2, points 2 and 3) of the Criminal Code, organising abuse of powers in the private sector (4 episodes); Article 46-256 (part 3, point 3), organising embezzlement of entrusted property on an especially large scale (2 episodes); and Article 296 (part 3, points 2 and 3), money laundering on an especially large scale. The preliminary investigation continues.
The court’s decision and the defence’s position
The case was heard by Judge Levon Petrosyan and the hearing lasted all night; on the morning of November 5 the court granted the investigator’s motion and chose a preventive measure of one month in custody.
Lawyer Armen Feroyan said the investigators’ motion cannot withstand legal scrutiny, that the court’s decision is unlawful and unfounded and contains political motives, and that the defence will certainly appeal it. According to him, Karapetyan’s previous house arrest has not been formally lifted, so two measures are in effect at the same time.
Statement of the Strong Armenia party
In its statement of November 5, the party called the remand decision further proof that state institutions are carrying out the orders of Prime Minister Nikol Pashinyan. It linked the arrest to the campaign around the draft of a new Constitution, which the statement calls “Aliyev’s constitution”: in the party’s words, the authorities are trying to impose it by undemocratic methods, as they tried and failed to break the Church in 2025. The party said Karapetyan will continue the struggle in custody and called for a “no” to the draft and a “yes” to preserving Armenia’s independence. The day before, Narek Karapetyan, head of the Strong Armenia parliamentary faction, had said his uncle’s release cannot be the subject of a deal with the authorities.
Other parties and the authorities
On the evening of November 4, a few hours after the detention, opposition representatives met at Samvel Karapetyan’s home. The joint statement signed afterwards, read out by Narek Karapetyan, calls for national unity around priority issues; the shared goals it names include protecting national identity and the Armenian Apostolic Church, restoring democratic freedoms and rights, and the question of territorial losses. It was signed by the Armenia Alliance, Hayakve, Country for Living, Prosperous Armenia, the Republican Party of Armenia, the Armenian National Congress, Heritage, Together, Democratic Alternative, New Era and United Armenians. According to Narek Karapetyan, from November 8 the opposition intended to hold informational actions on the risks of changing the Constitution.
On November 5, the same day, a court extended by three more months the detention of Prosperous Armenia leader Gagik Tsarukyan, who has been in custody since July 7.
At a briefing on November 5, Pashinyan said law enforcement has “at least certain weighty grounds” and explained how, in theory, value could be drained from ENA through procurement: if tender winners are companies of Karapetyan family members, they earn excess profits in non-competitive conditions. He said this is a matter for the investigation; asked what Aliyev has to do with an abuse of AMD 64 billion, he called for establishing the origin of the fortunes of so-called benefactors.
Timeline
| Date | Event |
|---|---|
| November 4, morning | Searches at 65 addresses, including the homes of Samvel and Narek Karapetyan; Samvel Karapetyan is taken to the Investigative Committee |
| November 4 | The Investigative Committee announces prosecution of 36 people and damage of AMD 64.6 billion to ENA |
| November 4, evening | Opposition meeting at Karapetyan’s home, joint statement by eleven forces |
| November 5, morning | After an overnight hearing the court remands Karapetyan for one month; Strong Armenia statement; the defence announces an appeal |
| November 5 | Pashinyan’s briefing; the court extends Gagik Tsarukyan’s detention by three months |
| November 8 | Planned start of opposition informational actions against the draft Constitution |
Background: how we have covered the ENA case
The key facts come from our article of November 5: “Pashinyan sees weighty grounds in the case over AMD 64.6 billion damage to ENA” — businessdaily.am.
- On June 18, 2025, Samvel Karapetyan was arrested in a case over public calls to seize power; the preventive measure was later changed to house arrest.
- On July 18, 2025, Mesrop Mesropyan, chairman of the Public Services Regulatory Commission (PSRC), appointed Romanos Petrosyan as ENA’s temporary manager; in March 2026 he reported about 25 criminal proceedings linked to the company.
- The PSRC stripped ENA of its electricity distribution licence, citing the deletion of 2018–2024 meter data, falsified testimony, investment programme violations and risky guarantees on loans of related companies.
- On September 24, 2026, the powers of ENA board chairman Narek Karapetyan as a board member were terminated at his own request. He is Samvel Karapetyan’s nephew and first vice president of the Tashir Group (details).
- On October 15, 2026, the government recognised 100% of ENA’s shares (246,400 shares with a nominal value of AMD 20.7 billion; 70% Tashir Capital, 30% Liormand Holdings) as an overriding public interest. Expropriation is to begin by May 1, 2027 and end by October 1; the procedure was presented by Minister of Territorial Administration and Infrastructure Davit Khudatyan.
- ENA’s net profit in the first half of 2026 was AMD 9.6 billion (−27.3%) and revenue AMD 98.8 billion (+1.1%); no dividends were paid. The 2026 investment budget is AMD 46.7 billion; 2026 tariffs were left unchanged at AMD 44.98 per kWh by day and 34.98 at night for households.
Details on the transfer of ENA shares to the state are in our article “ENA shares recognised as an overriding public interest”: businessdaily.am.
What is happening with ENA bonds on the exchange
According to our Armenia Stock Exchange data, ENA bonds (HELCB1) were the most active issue of the week of November 2–6: AMD 957.6 million in 18 trades against AMD 225.2 million the week before. Their yield did not rise on the days of the searches and arrest but fell: from 9.60–9.75% on November 2 to 9.00–9.44% on November 4, 8.50–9.38% on November 5 and 8.75–8.80% on November 6. More: AMX weekly results — businessdaily.am.
Editor’s note
What: investigators have for the first time publicly named the amount of damage to ENA (AMD 64.6 billion) and specific schemes, and a court has remanded for a month the owner and the leader of the largest opposition faction in parliament, in a case that the defence and the opposition regard as political.
Who needs it: holders of ENA bonds and its creditors, its suppliers and contractors, the state as the future owner, and participants in the political struggle over the draft Constitution.
What it means: the dispute around ENA is moving from the regulatory plane (licence, temporary management, expropriation of shares) to the criminal one, and the amount of damage will become a matter both for the investigation and for the valuation of the shares. The court has decided only the question of a preventive measure. The sides interpret the case differently: investigators and the authorities speak of an economic crime, the defence and the opposition of political pressure.
What to do: follow the defence’s appeal and the timing of the expropriation of ENA’s shares (start by May 1, 2027); bondholders should watch the issuer’s disclosures on AMX; and check the sides’ positions against primary sources rather than retellings.
Photo: Samvel Karapetyan’s Facebook page
