DRAFT LAW ON PROPERTY ALIENATION FOR PUBLIC AND STATE NEEDS
PRESENTED IN SECOND READING
26-09-2006 19:35:00 | Armenia | Economy
YEREVAN, SEPTEMBER 26, NOYAN TAPAN. The second reading of
the draft law on property alienation for public and state needs
started at the special session of the RA National Assembly
convened on September 26 on the initiative of the Armenian
government. Its adoption is conditioned by the RA Constitutional
Court's decision of April 18, 2006, according to which the
National Assembly and the government have to bring the legal
acts on alienation of territories into line with the RA
Constitution no later than October 1, and to legislatively
regulate the legal regime of property alienation for state and
public needs in superior public interests.
While the issue was being discussed, the owners of property
already alienated and in the process of alienation staged a
protest outside the building of the parliament. Members of the
Orinats Yerkir factions and some other deputies suggested
broadcasting the discussion on Public Television, but the
proposal received only 48 votes in favor instead of the required
66. Several deputies reminded that in accordance with a
preliminary agreement, extended parliamentary hearings on the
given draft with the participation of protesting owners were
scheduled for September 29. The Chairman of the NA Standing
Committee of State and Legal Issues Rafik Petrosian confirmed
the intention to hold such hearings but noted that "Tuesday came
earlier than Friday".
The main speaker, RA Minister of Justice Davit Harutyunian
said that the draft has been revised based on the proposals made
after its adoption in first reading. He indicated the increase
in the amount of compensation payments to property owners
against property alienated as one of the essential amendments.
The draft passed in first reading considered an amount exceeding
5% of the market value of property alienated as equivalent
compensation, whereas 5% has been replaced with 10% in the draft
discussed in second reading.
According to the minister, in amending the draft, an
attempt has been made to create some incentives so that the
property owner and the property purchaser will be interested in
settling their relations based on an agreement rather than by
going to court. For this purpose the government has made an
attempt to work out some mechanisms of counterbalances and
restraints for both sides.
It is noteworthy that the government's right to make
decisions about property alienation for public and state needs,
as well as its right to decide what represents a superior public
interest (only existence of such an interest may be a ground for
property alienation) has been retained in the draft.