“Impudent, ignorant and incompetent”

03/07/2007 Alina POGHOSYAN

In our last edition about Nairit Factory, we mentioned that the head of the foreign relations of the CIS intergovernmental bank, Tatyana Serbkova, promised to give an interview to 168-Zham newspaper. Let’s mention that starting from 2006, the new owner of Nairit Factory has been Rainovil property Limited, which has complied with its responsibilities in terms of making investments in the factory. We suggest you read the interview below with the head of foreign relations of the CIS intergovernmental bank, Tatyana Serbkova.

– Does Rainovil property Limited have any investment program in Nairit Factory at all?

– In general I don’t know anything about the investment program of Rainovil property Limited. Whatever has been done in the framework of the investment program was done by Interkauchuk Company. The mentioned company has developed the chloroprene and butadiene packages as well as packages of development of polymer workshops. The exploitation of the polymer workshop will enable to increase the variety of quality products produced by the factory. It would also increase the time of production. Besides that, the transition to butadiene technology would enable to reduce the energy expenditures of the factory and the number of toxic wastes, which is very important for the ecology of Yerevan and Armenia in general (all the technical documents are actual and are currently in Interkauchuk company). The experts of Interkauchuk have also conducted certain negotiations with research and scientific institutes, trying to figure out ways to reduce energy waste, which would in turn reduce the price of the product. Interkauchuk has certain agreements with Western investors in terms of providing certain new devices and equipment for Nairit. However the new owner of the factory refused to accept the terms and conditions of Interkauchuk. Confusing the RA government, the owner of the factory announced that it has great financial capital, however later used that in a “pyramid” manner, i.e. when one loan is acquitted at the expense of another loan. The property and the activities of the factory have been mortgaged several times. Moreover, as a credit warranty, other Armenian companies’ properties have been mortgaged – “Kimprom” of Vanadzor, and the property of Vorotan HES. Unfortunately these extra means have been spent on paying loan rates and for the unclear activity of Rainovil property Limited. As an example the salary of the workers, who work at the toxic workshops of the factory, make 100 times less than the staff of the mentioned company. These are the people, whom no one knows what they are doing. They don’t even abide with their obligations in terms of investing in Nairit.

– It’s known that the Rainovil property Limited has received 70 million USD credit from the CIS intergovernmental bank. Armenia knows only of 40 million USD. What has the rest, 30 million, been spent on?

– The Rainovil property Limited not only didn’t have the means to buy the factory, but also no finances to purchase equipment for the factory or new technologies. During the transaction of the factory a paradoxical situation was created. The buyer acquired means by the guarantee of the factory. If I am not mistaken such a “financial scheme” wasn’t even used during the confused times of the 1990s. Perhaps at that time no one was sufficiently impudent, ignorant and incompetent to demand that. And now, speaking of the 30 million USD, which has become a “myth”. The preliminary loan of the Rainovil property Limited from the CIS intergovernmental bank amounted to 70 million USD in August 2006, which is open information and is clearly displayed on the annual balance of the bank. As the founding capital of the intergovernmental bank amounts to 650,000 USD, such means could have been attained only at the expense of the central banks of the CIS. However, two numbers of the realization are always mentioned – 40 million, which was given to the Armenian government, and 1 million to Rainovil property Limited, which was spent on the development of the branch office of Rainovil property Limited (this company was established for the wife of the owner of the factory). The rest of the amount was deposited in the account of Rainovil property Limited at the CIS intergovernmental bank, and was later deposited in the accounts of other Western banks. According to certain information, the owner of the factory has accounts at the HSBC Asian bank, in Switzerland, and even in NORDEO bank of Denmark. I will neither affirm nor deny this information. Let the police find it out.

– Does Rainovil property Limited ever discuss the resale of the Nairit?

– Now, as I understand, the resale issue of the factory has been active since the purchase of the factory. Moreover, it was initiated by the new owner of the factory. His goal was to buy and immediately sell it in order to make quick money. He didn’t care about the urgent issues of the factory, such as equipment, the staff, etc. At present, Rainovil is looking for a quick buyer. But again a question comes up. How will the factory benefit from this? Rainovil will make its money and the factory will start to face new problems, debts, etc.

– What is your opinion about the current conditions and state of Nairit and its perspectives?

– The current state of the factory is one of debts, as well as disputes, concerning issues that intimidate potential buyers of the factory and those who want to purchase the factory’s products. And the activity of Rainovil property Limited in the international market is incompetent, and only degrades the rating of Armenian rubber abroad. One ton of rubber is bought at 2700 USD from the factory and is resold, at minimum, 4000 USD by Rainovil property Limited. The money earned as a result of the sale goes straight to the pocket of the owner of the factory, which he spends on his own good life. He buys property in Moscow and Europe. It’s strange that the Central Banks of CIS countries don’t pay sufficient attention to this created situation. Furthermore, it’s not even so surprising. When the Russian bank started to inquire who the owner of the factory was, the new owner of the factory said that it was the President of Armenia, which embarrassed the Russian Bank. Meanwhile, when the Armenian side asked him the question, he mentioned the name of some top Russian statesman… As of the Western partners of Nairit, the owner of the factory confessed that he solely owns the factory. In this period, the two countries were pretty confused in terms of relations. Do you think the wrongdoings of the statesmen of the two countries conduce to strengthening of the relations of the two countries?

P.S. In our previous editions, we have mentioned that the indirect owner of Nairit Factory is Sergey Kulikov, owner of CIS intergovernmental bank.