Yerevan law enforcement officers today arrested former Yerevan Deputy Mayor Vahe Nikoyan on charges that he paid three billion AMD (US$7.6 million) to garbage hauler Sanitek JSC even though the company failed to provide services included in its contract with the Yerevan Municipality.

Armenia’s Anti-Corruption Committee Committee (ACC) alleges that Nikoyan, while serving as deputy mayor from 2012-2018, monitored the issuance of sanitation contracts for Yerevan and awarded work deals with the companies despite their failure to meet qualification criterion.

The ACC adds that after the contracts were signed, Sanitek signed a lease to rent three Yerevan properties from Nikoyan’s father at the equivalent of $1,000-$6,000   per month.

The ACC doesn’t say if it believes Nikoyan paid Sanitek the money as a bribe to induce it to lease the properties from his father.

Sanitek, a Beirut-based company, and the Yerevan Municipality fought a long legal battle over alleged contract violations.

In October 2019, the municipality terminated Santek’s contract to clean Yerevan’s streets of trash and snow.