The company that won a municipality tender for AMD 107 million has only 3 employees.

In 2018, the Yerevan Municipality and Ara-Arax Group have signed 7 contracts totaling AMD 107,153,200. Contracts envisage construction works in different parts of the capital: kindergarten renovation, repair of roofs of multi-storey buildings, repair of curbs in the streets, etc.

It is worth mentioning that since February 2018 only 3 people have been working in this company. It is noteworthy that according to the taxes paid, since 2018 only three people have been working in this company since February 2018. That is, it turns out that besides the director and the accountant this huge construction is carried out by one person.

There is of course a simple explanation to this. Most probably, the company operates in the shadow economy, and no agreement has been signed with its employees. It should be noted that Ara-Arax Group LLC is in the list of companies in the risk zone identified by the State Revenue Committee of Armenia. In 2017-2018, inspections have been carried out in this company.

As a result of the investigations, the committee has detected violations and made an act according to which the company was obliged to pay additional AMD 2,080,000. However, the company has appealed the act to the Commission of Appeals of tax and customs authorities, which satisfied the appeal, releasing the company from all penalties.

In addition, the State Revenue Committee has recently issued a statement according to which inspections were carried out in three public catering businesses. The inspections revealed 76 unregistered employees. The companies were fined for a total of 45,750,000 AMD.

The contracts are available here.

Rafayel Afrikyan