Companies belonging to the family of Vanadzor Mayor Samvel Darbinyan are heavily engaged in road construction projects financed by the state and community budgets.
In response to a Hetq inquiry, Darbinyan reported that the Vanadzor Municipality spent 79.9 million drams ($165,000) on road repair in 2014 and 96 million drams ($199,000) in the first nine months of 2015.
All the work, some 21.2 kilometers of road renovation, was carried out by Lori Road Construction. Mayor Darbinyan is a shareholder in the company.
In fact, it was Darbinyan himself who signed off on the contract with the company on behalf of Vanadzor.
Arayik Vardanyan serves as director of Lori Road Construction.
Prior to July 2011, Vardanyan was a shareholder in another Darbinyan family business – Argishti-1 Ltd. (The company is now fully owned by Samvel Darbinyan and his brother Seyran)
Of note is the fact that in 2014 the government of Armenia allocated 747 million AMD ($1.5 million) to solve the most pressing problems faced by Lori Province. 443.4 million drams of the allocated amount was earmarked for community road renovation projects.
Six of the ten road repair projects funded were carried out by Mayor Samvel Darbinyan’s Argishti-1 and Lori Road Construction companies.
These two companies also carried out state funded road renovation projects in 2015.
On October 19, Lori Road Construction won a 52.7 million dram contract to repair a stretch of roadway linking the Vanadzor Khndzorot-Bazoum neighborhood with the local cemetery.
On November 13, the Lori Provincial Government signed a 143.8 million dram ($298,000) contract with Argishti-1 to black-top a four kilometer stretch of Katnadjour-Shiralamout roadway.