{"id":170610,"date":"2015-10-23T22:06:56","date_gmt":"2015-10-23T22:06:56","guid":{"rendered":"https:\/\/www.meydan.tv\/article\/aliyevs-businesses-in-georgia\/"},"modified":"2024-12-20T05:57:24","modified_gmt":"2024-12-20T01:57:24","slug":"aliyevs-businesses-in-georgia","status":"publish","type":"post","link":"https:\/\/www.meydan.tv\/en\/article\/aliyevs-businesses-in-georgia\/","title":{"rendered":"Aliyevs’ businesses in Georgia"},"content":{"rendered":"
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Author: Afgan Mukhtarli<\/em><\/p>\n


\nGeorgia, known as Sakartvelo in the Georgian language, has turned into \u201cSOCARvelo,\u201d locals sarcastically say. Azerbaijan\u2019s first family reportedly relied on a sophisticated network of \u201cproxies,\u201d from Israeli to Moroccan businessmen, to obscure ownership of their companies.
\n<\/i><\/p>\n

A taxi driver guiding us through the city of Tbilisi told us that Georgians call their own country<\/p>\n

Sakartvelo in Georgia. When he learned we were from Azerbaijan, he pointed to a gas station owned by the State Oil Company of Azerbaijan Republic (SOCAR) and jokingly added that now they call it SOCARvelo.<\/p>\n

Georgia, an impoverished South Caucasian country, has become an attractive destination for the oil-rich Azerbaijan. Not only did SOCAR gas stations pop up all over Georgia but SOCAR has also been providing Georgia\u2019s natural gas supply. Additionally, Azerbaijan granted Georgia a low-interest loan of $750 million for the construction of the Baku-Akhalkalaki-Kars railway, a regional rail link project that will connect the South Caucasus with Europe.<\/p>\n

Meanwhile, it is Azerbaijani companies that carry out the construction work.<\/p>\n

In need of foreign investment, Georgia has drawn the attention of the Azerbaijani first family. The Aliyevs and their affiliated oligarchs have planted extensive business networks in Georgia. They also reportedly invested heavily in the banking and financial, transport, tourism and food sectors in Georgia.<\/p>\n

Research shows that the family relied on a sophisticated network “proxies,” including Israeli and Moroccan businessmen, in order to obscure ownership of their business dealings in Georgia.<\/p>\n

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\nHow did SW-INN become Gloria?
\n<\/b><\/p>\n

Tbilisi Palace is an opulent hotel located in the predominantly Azeri area of Maydan in Tbilisi. The area is home to a monument to the late Azerbaijani President Heydar Aliyev. Local residents claim that Tbilisi Palace belongs to Azerbaijani First Lady Mehriban Aliyeva. This claim forms the basis of this investigation.<\/p>\n

According to the National Agency of Public Registry databases operated by the
\n
\nMinistry of Justice
\n<\/a>
\n, the hotel belongs to a company named Gloria. These records indicate that the hotel previously belonged to a limited liability company named Dzvelli Tbilisi (Old Tbilisi) and located at Gorgasali Street 3, Tbilisi. According to the purchase agreement signed at the Maya Beregvadze notary office in Tbilisi on December 24, 2009, Israeli citizen Akakiy Gorialashvili sold Dzvelli Tbilisi LLC to Azerbaijani national Ilham Asadov, the president of travel agency Silk Way Georgia.<\/p>\n

A separate purchase agreement signed on the same and at the same location indicated that Asadov purchased a 373 square meter land and a building of 216 square meters on Akhundov Street 4 (near Tbilisi Dzvelli Hotel).<\/p>\n

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On February 10th, 2010, Asadov terminated Dzvelli Tbilisi LLC and established a company named SW-INN LLC instead. While perusing the National Agency of Public Registry records managed by the Ministry of Justice, we discovered that the Aliyev family\u2019s business partners hold shares in this company and serve as executive managers.<\/p>\n

On February 20, 2010, Asadov transferred SW-INN\u2019s shares to Malahat Jahangir Askerova<\/p>\n

(35%), Jamila Jahangir Askerova (35%), and Sanan Zaur Akhundov (30%). Malahat and Jamila are daughters of Azerbaijani Airlines (AZAL) President Jahangir Askerov. They also hold shares in Silk Way Holding, along with Ilham Aliyev\u2019s
\n
\ndaughter
\n<\/a>
\n, Arzu Aliyeva. Meanwhile, Akhundov is also the president of Silk Way Holding and a board member of the State Civil Aviation Administration of the Republic of Azerbaijan.<\/p>\n

According to SW-INN\u2019s board meeting records dated May 11, 2011, Akhundov sold his 30% shares to Zarifa Kamil Hamzayeva, who is also a shareholder of Silk Way Holding and Jahangir Askerov\u2019s wife.<\/p>\n

On March 1, 2012, Moroccan citizen Jawad Dbila, the director of International Holding Limited Company, was appointed as the new director of SW-INN at SW-INN\u2019s extraordinary meeting.<\/p>\n

Dbila is one of the founders of Silk Way Holding, owned by Arzu Aliyeva. He served as SW-INN\u2019s director until December 27, 2013. But his favors from Aliyev did not stop there. On May 31, 2014, Aliyev awarded Dbila the Progress Medal for \u201cservices in the field of civil aviation.\u201d<\/p>\n

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\n999 square meters for one lari
\n<\/b><\/p>\n

SW-INN\u2019s assets extend well beyond Tbilisi into the Batumi region. On June 17, 2011, Hamzayeva bought 999 square meters of nonagricultural land on the Khimshiashvili Street in Batumi for a mere one lari (40 cents).<\/p>\n

According to the contract signed by Hamzayeva with the Ministry of Finance and Economy of Ajara Autonomous Republic (number 110616368), the land was meant for the construction of a hotel and aimed to provide Georgians with job opportunities. On October 12, 2012, however, the land turned into SW-INN\u2019s property, according to an agreement between Hamzayeva and Dbila signed at Baku\u2019s public notary office no. 7.<\/p>\n

SW-INN\u2019s board members held an extraordinary meeting in Baku on June 19, 2013, where they decided to rename the company to Gloria LLC.<\/p>\n

They also increased the company\u2019s share capital to 3.3 million laris ($1.4 million). Per this decision, Hamzayeva\u2019s property at K. Gamsakhurdia Street, 810, along with parking lots 5 and 6 were transferred to Gloria LLC\u2019s ownership. The following individuals were named as Gloria\u2019s shareholders:<\/p>\n

–\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Jamila Jahangir Askerova\u2013 24.62%<\/p>\n

–\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Malahat Jahang\u0131r Askerova \u2013 24.62%<\/p>\n

–\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Zarifa Kamil Hamzayeva \u2013 57.76%<\/p>\n

Gloria LLC is currently occupying Gazelli Hotel building on Khishashvili street in Batumi. The construction is nearing completion. The work is being carried out by the Turkish construction company MPA. Meanwhille, Gloria is reportedly building a beauty salon in Batumi, according to the website of Zema Construction company.<\/p>\n


\nThe crisis affected oligarchs too
\n<\/b><\/p>\n

The financial crisis engulfing Azerbaijan is also affecting the Aliyev family\u2019s entourage, including the oligarchs.
\n
\nNetgazeti.ge
\n<\/i>
\nreported that construction of sea resort Gloria Hotel has come to a standstill. The Azerbaijani delegation overseeing the construction work explained that the sudden interruption was due to financial difficulties.<\/p>\n

“We have done everything we had to, the rest now depends on the owners,” a representative of the company told
\n
\nNetgazeti.ge.
\n<\/i>
\nThe article stated that the hotel is now on sale.<\/p>\n


\nMysterious tenders
\n<\/b><\/p>\n

Construction companies involved in building the hotel have mysteriously won tenders in Azerbaijan.<\/p>\n

Tbilisi Palace restoration and Qazelli Hotel construction were both awarded to the MPA Construction and Trade Council, which is part of the Turkish MNG Group of Companies.<\/p>\n

According to the MPA Construction and Trade Council website, restoration of the 46-room Tbilisi Palace hotel cost $5 million, and construction of the four-star 155-room Gazelli Hotel cost $33.5 million<\/p>\n

Additionally, MPA Construction and Trade Inc. carried out construction work for hotels owned by AZAL president\u2019s family members and signed contracts worth millions in Azerbaijan.<\/p>\n

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According to the
\n
\nMPA website
\n<\/a>
\n, the company has built helicopter, plane and cargo equipment worth a total of $219 million. The construction of foreign flight lines for the airport was estimated at $125 million. The official website of the State Procurement Agency, however, does not contain any information about tenders by Azal.<\/p>\n

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