Department of Justice seeks forfeiture of Holmby Hills mega-mansion
On Thursday, the United States government sought forfeiture of a Holmby Hills mega-mansion, alleging the residence was bought with bribes paid by an Armenian businessman to the family of a onetime high ranking public official in the former Soviet republic.
The Department of Justice contends it was the family of Gagik Khachatryan that received the bribes.
Khachatryan, known as the "Super Minister," served as chairman of the State Revenue Committee of the Republic of Armenia from 2008 to 2014 and then as minister of finance from 2014 to 2016.
Filed in federal court in Los Angeles on Monday, the DOJ's complaint alleges that businessman Sedrak Arustamyan paid 66-year-old Khachatryan and his family more than $20 million in bribes in exchange for favorable tax treatment of his businesses. The bribe money was allegedly used to buy the Holmby Hills estate on South Mapleton Drive. The property had recently been listed for sale for more than $63 million.
In Armenia, Khachatryan and his sons have been charged with receiving bribes in violation of the nation's criminal code. According to the DOJ, criminal charges are also pending against Arustamyan in Armenia for paying bribes.
Forfeiture of the mega-mansion is being sought under the Kleptocracy Asset Recovery Initiative, a program aimed at seizing proceeds of foreign official corruption and, where appropriate, using the recovered assets to benefit those harmed by the violators.
