Armenia, Russia argue over arms supplies

By Azernews

By Abdul Kerimkhanov

Russia and Armenia are on verge of a new diplomatic scandal following the suspension of the private Russian company Promtechnology, producing weapons under the brand ORSIS, from participating in the tender in Armenia. The matter in fact costs millions of dollars. The Ministry of Industry and Trade and the Ministry of Foreign Affairs of Russia are dealing with the problem.

Russian Ministry of Industry and Trade has addressed letter to the Armenia Defense Minister David Tonoyan with a request to understand the reasons for the removal of the Russian manufacturer. The letter has been sent to the Russian MFA for transmission through diplomatic channels. The letter said that the application for ORSIS in the tender was rejected "without probable cause."

In particular, the Armenian Defense Ministry "illegally appealed to the bank demanding payment of a bank guarantee for participation in the tender." In accordance with the law, the supplier was to pay compensation in cases he wins the tender, but refuses to enter into a contract. Moreover, the company itself was "unmotivated included in the list of unscrupulous vendors" of the Armenian armed forces.

So, it is not only a breakdown of a one-time contract -- in fact the Armenian market is closed for Russia’s Promtechnology. There is an idea it is time to sound an alarm because other Russian manufacturers can face similar fate.

Russian authorities attach serious attitude to this story since the MFA is preparing a diplomatic note on this fact, which can be transmitted to Armenian diplomats in the near future. Perhaps the leak on the note was deliberate and Russian MFA hopes Yerevan will hardly take this step.

The Russian company was suspended from the tender in July 2019. Afterwards, Promtechnology filed a lawsuit against the Armenian Defense Ministry. However, the Russian manufacturer later denied this in a special statement.

The situation is further complicated by the fact that it is dealt with a subsidiary of the Russian manufacturer ORSIS ARM. Moreover, both of its original founders (Gevorg Manukyan and Arthur Galstyan) are military personnel of Armenia.

Meanwhile, Tonoyan itself protected the defendants in the scandalous case. Answering a question why the person involved in the criminal case regarding the failure of the tender still serves in the military, he said that "his guilt has yet to be proved."

Perhaps this is evidence of Yerevan changing its position on the issue of arms purchases. In September, Tonoyan said Armenia does not exclude arms purchases not only in Russia but also in other countries.

This may be due to the coming to power of Armenian Prime Minister Nikol Pashinyan, who for a long time was perceived as a pro-Western politician. If over time, Pashinyan, under the pressure of circumstances, adjusted his ambiguous rhetoric, then, apparently, it is impossible to completely avoid the fronts against Moscow.

At the same time, the Armenian officials’ actions may have serious consequences. Previously, ORSIS said that the refusal of the tender threatens to disrupt the project for the construction of a cartridge plant in Armenia. It was expected that new production will be created on Russian investments of several million dollars.

The editor-in-chief of the portal MiliteryRussia.ru Dmitry Kornev believes that attempts to diversify the procurement of armaments in Yerevan are connected with the anti-Russian sentiments that are observed in Armenia.

Thus, the intervention of the Russian MFA to the incident can be considered an attempt to remind the Armenian side that the allied status imposes certain obligations.