Armenia’s Prosecutor General's Office (PGO) has so far failed to specify how much Armenia will receive of the US$36 million sale price of the Los Angeles private house once owned by the sons of former Armenian Finance Minister Gagik Khachatryan.

The U.S. government, based on allegations it was purchased with bribes paid to their father, had seized the property in July 2024.

The house was finally sold on January 7 of this year for $36 million to Onni 530 S Mapleton LLC, a company registered in the U.S. state of Delaware. 

When the house was seized, Armenia’s PGO announced that: "Negotiations are underway between the Prosecutor General's Office and the US competent authority on the issue of returning the majority of the funds received as a result of the sale of the mansion to the Republic of Armenia."

This was followed by a statement from Vinson & Elkins, the firm representing the Khachatryan brothers in the US, according to which the U.S. Department of Justice discontinued its investigation into the Khachatryans in June 2024.

“Based on the decision to discontinue the investigation and suspend the forfeiture case, the Department of Justice and the Khachatryans have reached an agreement to also resolve the issue of unfulfilled obligations regarding the forfeiture. It has been decided that the Holmby Hills real estate will be sold, and the proceeds will be distributed between the parties. In addition, part of the proceeds from the sale of the Holmby Hills property will be provided to the Khachatryans, and the other part, at the request of the Khachatryans, will be provided to the Republic of Armenia for the benefit of the Armenian people,” the Khachatryans’ lawyers announced.

Given the contradictory statements of Armenia’s PGO and the Khachatryans’ lawyers, Hetq has written to Prosecutor General Anna Vardapetyan for clarification on the matter.

Hetq asked Vardapetyan how the $36 million will be allocated and to whom. How much will Armenia get, and when, and if the Khachatryans will receive anything?

The PGO did not answer these questions, instead referring to their July 2024, adding it will report any new information subject to publication