Financial Crime World

Money Laundering in Real Estate: Armenian Oligarchs and Officials Linked to Undeclared Properties in Dubai

The United Arab Emirates (UAE) city state of Dubai has emerged as a hub for money laundering and corruption, allowing the world’s wealthy to avoid taxes, dodge sanctions, launder money, or hide their assets. A recent investigation by Hetq reporters has uncovered a web of money laundering and corruption involving four high-ranking Armenian officials and oligarchs who have been linked to undeclared properties worth millions of dollars in Dubai.

The Investigation

According to data from the Organized Crime and Corruption Reporting Project (OCCRP), the four Armenian individuals, including former government officials and businessmen, have been hiding undeclared properties in Dubai. The investigation found that:

  • Gagik Beglaryan, a former Minister of Transportation and Communications between 2012 and 2016, never declared his three-bedroom apartment at the Balqis Residence in Palm Jumeirah, valued at over US$1.2 million.
  • Hakob Beglaryan, Gagik’s younger brother, bought an undeclared apartment in Dubai sometime between 2007 and 2017, which he still owns but does not rent out.
  • Hrant Davtyan, a former member of Armenia’s National Assembly, owns two apartments in Dubai, including a luxury property at the Al Sahab twin towers worth over US$380,000. He also failed to declare another property, a Trident Grand Residence apartment worth around US$570,000.
  • Samvel Aleksanyan, a businessman and former member of Armenia’s National Assembly, and his wife bought an undeclared three-bedroom apartment at Trident Grand Residence sometime between 2012 and 2014, which they rented out but did not declare until 2019.

The Consequences

The Armenian Prosecutor General’s Office has declined to comment on whether it is investigating the assets held by these individuals, citing confidentiality concerns. However, this investigation highlights a major problem of money laundering in real estate in Armenia, with many officials and oligarchs hiding their wealth abroad.

  • This raises serious questions about the integrity of Armenia’s political system and its ability to combat corruption.
  • The investigation also reveals that Dubai has become a popular destination for money launderers and corrupt individuals looking to hide their ill-gotten gains.
  • The lack of transparency in property ownership in Dubai makes it easy for individuals to conceal their assets and avoid detection.

Conclusion

The investigation into the undeclared properties of Armenian officials and oligarchs in Dubai highlights the need for greater transparency and accountability in real estate transactions. It is crucial that governments and regulatory bodies take steps to combat money laundering and corruption, and ensure that those who engage in these activities are held accountable.