Blog Archives

VIDEO: A Master Plan? Russo-Azeri Strategy for Armenian Pacification

FAIRLAWN, NEW JERSEY – On Wednesday, June 30, National Association for Armenian Studies and Research (NAASR) hosted a webinar with expert analysts Lilit Gevorgyan and Armen Kharazian, entitled “A Master Plan? Russo-Azeri Strategy for Armenian Pacification.”

The analysts discusses the shifting sands of Armenia’s defense architecture, the logic and driving factors of Russia’s realignment with Azerbaijani state-building and economic regional initiatives, the foundation and impact of a shared Russo-Azeri vision that is unfolding in real time to achieve far-reaching objectives, continued Russian and Azeri challenges to post-war sovereignty in Artsakh and the Republic of Armenia, and much more.

This event was co-sponsored by the following organizations: Ararat-Eskijian Museum Armenian Bar Association; Armenian Democratic Liberal Party/Ramgavars; Armenian Network of America-Greater NY; Daughters of Vartan-Sahaganoush Otyag; Justice Armenia; Knights of Vartan-Bakradouny Lodge; National Association for Armenian Studies and Research NAASR / Calouste Gulbenkian Foundation Lecture Series on Contemporary Armenian Issues; and St. Leon Armenian Church.

City of Miami, Boynton Beach Recognize Artsakh

MIAMI, FL – Earlier this month, Miami Mayor Francis Suarez and Boynton Beach Mayor Steven Grant joined Los Angeles Mayor Eric Garcetti and other mayors from across the United States in signing a bi-partisan letter to U.S. Secretary of State Mike Pompeo calling on the U.S. to recognize the free and democratic Republic of Artsakh (formerly Nagorno-Karabakh Republic), and to condemn Azerbaijan military attacks on Artsakh and Armenia.

“As proud representatives of Armenian American communities across our country, we share their deep concerns about the violence being inflicted upon Artsakh, the growing number of civilian casualties, and the involvement of regional actors like Turkey and Iran,” the October 9, 2020 letter states. The mayors raised the “credible reports of Turkey paying Syrian mercenaries to fight in Artsakh as well as American-made F-16s sold to Turkey flying in Armenian airspace,” with the Secretary.

The letter also calls on the Secretary of State to “publicly support H.Res.1165, a bipartisan resolution introduced by Reps. Jackie Speier, Adam Schiff, and the Congressional Armenian Caucus that condemns Azerbaijan’s attack on Artsakh (Nagorno Karabakh) and denounces Turkey’s participation and escalation of this offensive.”

The letter is significant for three reasons. 1) The letter clearly refers to Nagorno-Karabakh by its proper Armenian name, Artsakh, on two occasions, hence the signatories recognize the Armenian state’s existence which Azerbaijan denies. 2) The signatories to the letter condemn Azerbaijan for launching another war in the South Caucasus and denounce Turkey’s role in the latest provocation, an important step as some try to draw a false equivalency between Azerbaijan (the attacker) and Armenia. 3) The mayors also acknowledge the historical fact of the Armenian Genocide, the first time that a Miami mayor has ever done so. Boynton Beach first acknowledged the Armenian Genocide back in 2017.

“It was wonderful to work with Armenian American community leaders in South Florida and across the country over the last few weeks to help bring local governments forward to stand with the people of Artsakh and Armenia as they defend their ancestral homeland from Azerbaijani and Turkish terrorism,” stated FLArmenians.com Editor Taniel Koushakjian. “Thank you Mayor Suarez and Mayor Grant for your local leadership here in South Florida,” Koushakjian said.

A copy of the letter is below.

U.S. Indicts Turkey’s Halkbank for Illegal Transfer of Billions of Dollars to Iran

By Harut Sassounian

Halkbank, whose majority shareholder is the Turkish government, pleaded not guilty in New York on March 31, 2020, to criminal charges that it helped Iran illicitly transfer tens of billions in dollars and gold, wrote Aykan Erdemir and Philip Kowalski in an essay published on April 3 by the Foundation for Defense of Democracies, a policy institute based in Washington, D.C.

On October 15, 2019, the Federal Southern District Court of New York accused Halkbank of “fraud, money-laundering and sanctions offenses,” alleging that Halkbank and its executives aided Iranian-Turkish gold trader Reza Zarrab in a “multi-billion dollar scheme to circumvent U.S. sanctions on Iran.”

Initially, Halkbank refused to appear in court “claiming that the criminal charges are beyond the U.S. court’s jurisdiction,” Erdemir and Kowalski wrote. However, when “prosecutors proposed escalating contempt fines which could have totaled $1.8 billion after eight weeks,” the bank agreed to respond to the court charges.

Originally, the Turkish and Iranian officials had concocted a scheme to exchange gas for gold to circumvent the U.S. sanctions, by claiming that the gold was headed not to Iranian government entities but to Iran’s “private sector.” Erdemir and Kowalski stated that “the scheme ultimately yielded the Iranian regime some $13 billion in Turkish gold between 2012 and 2013. Once the U.S. Congress introduced legislation to close the ‘golden loophole’ in 2013, Iran used Turkish front companies to issue invoices for fake transactions of food and medicine that fall under the humanitarian exception to U.S. sanctions. In one infamous case of over-invoicing, a Turkey-based luxury yacht company used Halkbank to sell nearly 5.2 tons of brown sugar to Iran’s Bank Pasargad at the price of approximately $240 per pound.”

This scheme was first exposed in December 2013 by Turkish investigators who implicated then Prime Minister Recep Tayyip Erdogan, several of his ministers and other senior officials, including Halkbank’s managers. Erdogan shut down the probe by firing the police officials, prosecutors and judges!

The scandal resurfaced in March 2016 when Iranian-Turkish ring-leader Reza Zarrab was arrested in Miami after he flew to Florida to visit Disney World with his family.

In March 2017, U.S. authorities arrested Halkbank Deputy CEO Mehmet Hakan Atilla upon his arrival in New York. Zarrab pleaded guilty and agreed to testify in court against Atilla. Zarrab confessed that he had bribed senior Turkish ministers and top Halkbank executives. He even implicated Erdogan in the corruption scheme, stating that Erdogan had personally approved the illegal actions.

“Halkbank’s Atilla received a 32-month prison sentence in May 2018, a significantly shorter one than prosecutors had originally sought,” according to Erdemir and Kowalsky. “After Atilla’s return to Turkey, Erdogan rewarded the convicted sanctions buster by appointing him CEO of the Istanbul stock exchange, following the president’s established pattern of rewarding other senior accomplices of Zarrab with cushy appointments.”

Erdogan personally appealed to Pres. Trump and other senior officials to block the court case of Halkbank, claiming that US courts have no right to try Turkish citizens. The Courthouse News Service reported that “One of Zarrab’s shell companies, Royal Holding A.S., listed its address as a 35th floor unit in Trump Towers Istanbul. Before pleading guilty to money laundering, sanctions evasions and bribery, Zarrab retained Trump’s personal attorney Rudy Giuliani to lead a campaign of shadow diplomacy that echoed the one in Ukraine. Shuttling between Turkey’s capital of Ankara and the White House, Giuliani met with Erdogan, Trump, former Secretary of State Rex Tillerson, and other senior U.S. and Turkish officials in an attempt to negotiate a prisoner swap. The New York Times reported that Tillerson resisted the White House pressure for a deal that would have effectively killed the Zarrab case.”

Erdogan’s and Giuliani’s efforts succeeded in stalling the prosecution for almost two years, but ultimately failed when the U.S. Attorney’s Office for the Southern District of New York went forward with the charges last October.”

Senator Ron Wyden, the Senate Finance Committee’s top Democrat, told Courthouse News Service: “It sure looked like Donald Trump was doing the bidding of Erdogan and Giuliani, and there were real questions about whether this was about getting Halkbank off the hook, even though there were allegations that they were orchestrating the largest sanctions evasion scheme in history.”

During President Trump’s Senate impeachment inquiry earlier in 2020, Senators Wyden, Robert Menendez and Sherrod Brown asked a joint question which was read aloud in the Senate by Chief Justice John Roberts: “Has the president engaged in a pattern of conduct in which he places his personal and political interests on top of the national security interests of the United States?”

Wyden told Courthouse News Service: “Donald Trump has significant financial interest in Turkey,” referring to Trump Towers Istanbul. “We read regularly that his family has forged personal relationships with important Turkish officials. And so, you have to ask — which is what is part of our inquiry — whether the Trump policy toward Turkey is in a significant way colored by his personal and political interests and not the national security of the country.” If Halkbank is found guilty of violating U.S. sanctions, the court could impose a hefty penalty, regardless of Tump’s wishes.