(MENAFN) Former Armenian President Serzh Sargsyan has condemned Yerevan’s move to nationalize a company owned by imprisoned Russian-Armenian tycoon Samvel Karapetyan. Karapetyan was arrested in June after allegedly calling for the government’s overthrow following his support for the Armenian Apostolic Church in a dispute with Prime Minister Nikol Pashinyan. In response, Pashinyan’s government pushed for the nationalization of Karapetyan's company, Electric Grids of Armenia, the country’s primary electricity supplier, with parliament passing laws enabling the state to seize the firm.

Speaking to the press on Tuesday, Sargsyan, who served as president from 2008 to 2018, defended Karapetyan, noting that he had personally asked the tycoon to acquire the utility from another operator due to the poor condition of the electricity grids. Sargsyan praised Karapetyan’s long-term investments in the company, which he believes have continued even after Sargsyan left office in 2018.

Sargsyan criticized the government's rushed decision to adopt legislation that would allow the confiscation of private property, arguing that it could be politically motivated, especially with the 2026 parliamentary elections in mind. The move, he claimed, could benefit the government by providing control over the company’s workforce and resources.

Karapetyan’s family has filed a $500 million claim against the Armenian government, also seeking resolution through the Stockholm Chamber of Commerce, under a 1995 Armenia-Cyprus investment treaty. The tribunal has ordered Yerevan to halt efforts to seize the utility, but Karapetyan remains in custody as investigations continue.

The tycoon is among several prominent figures targeted in a crackdown on opposition, including senior church leaders. These arrests followed mass protests accusing Pashinyan of betraying Armenia's national interests by ceding border villages to Azerbaijan, a decision he defends as necessary to improve relations with Azerbaijan.

Moscow is closely following the situation, particularly Karapetyan’s case. The Kremlin has emphasized that while it considers the unrest an internal matter, it wishes for Armenia to remain a stable and prosperous country with strong ties to Russia.

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