 |
The Chairman of the Chamber of Advocates, Ruben Sahakyan, the Chairman of the Board of the Ararat Bank, and Executive Director Ashot Osipyan, sign the agreement. |
CARPA is a guarantee to clients that the funds entrusted to its counsel are secure.
“CARPA will contribute to the increase of the advocacy services quality in Armenia and the reputation of the Chamber of Advocates. It is mutually beneficial for attorneys and clients”, states the President of the Chamber of Advocates, Ruben Sahakyan.
The most inspiring example for the Armenian delegation, and the starting point for the Chamber to incorporate into its practices a key example of French experience, was the CARPA, a fund for financial proceedings, managed by a French institution, to simplify and regulate procedural and financial operations between attorneys and clients. Its aim is to defend the interests of the lawyer’s clients, both in court and in protecting their assets and furthering their economic interests, while respecting lawful professional secrecy. CARPA was established in France in 1956. It functions under the political and deontological control of the Bar Associations.
During the study tour, an agreement was established between the Chambers of Advocates of France and Armenia for further collaboration in introduction and incorporation of CARPA in Armenia. Representatives from the Conseil National de Barreax of France visited Armenia and presented the system and its advantages and challenges to a wide audience of attorneys and other interested parties. Following the visit, a decision was made by the Chamber of Advocates of Armenia to establish the system in Armenia.
In July 2009, the Chamber held an official ceremony to sign an agreement to establish CARPA in Armenia. The goal of CARPA in Armenia will be regulation of financial issues among the Chamber, attorneys, and clients. The system will be used particularly in cases of using a letter of credit in financial transactions, which is a binding document that a buyer requests from his bank in order to guarantee that the payment for goods will be transferred to the seller. The letter of credit gives the seller assurance that he will receive the payment for the goods. The institution of a CARPA will ensure that financial transactions may be traced and it will offer security for the clients. The agreement was signed by the representative of the Chamber of Advocates, Ruben Shaken, and the representative of the Ararat Bank, Ashot Osipyan.
The incorporation of the system in Armenia has involved three stages, beginning with the exploration of international examples of this system, followed by legislation and functioning of financial operations, and finally, security and maintenance of the system for obtaining quality services for the clients. The last two stages are currently in progress and the Chamber will develop a list of activities needed to have a fully functioning system.
As Nicola Baghdasaryan, a CA member, and a participant of the study tour, states, the system is an ideal instrument for combating and preventing money laundering and will contribute to economic growth. Clients’ money that they remit to their attorneys is protected, and attorneys and their representative bodies are assured that confidentiality is protected. This will contribute to economic growth as businesses and investors will have the protection of the financial and legal procedures, and they will be protected from any fraudulent actions.
According to Ruben Sahakyan, Chairmen of the Chamber of Advocates, introduction of CARPA in Armenia will contribute to the increase in quality of advocacy services. It will also enhance citizen and businessmen trust of advocates. Mr. Sahakyan, and 75 well-known advocates, are already included in CARPA. Mr. Sahakyan predicts within the next two years all the advocates will offer their services through CARPA. Per Mr. Sahakyan, in the first years of CARPA, the Chamber will have insignificant percentages from the operations, and they will be used for addressing advocacy issues, such as capacity development of advocates.
Publication Date: 2009-09-16
Link to Program
|
