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The Cafesjian Family Foundation, Inc.
15 South Fifth Street, Suite 900
Minneapolis, MN 55402
Tel. (612) 359-8991
Fax. (612) 359-8994
PRESS RELEASE
September 28, 2007
Contact: John Waters
Tel: (612) 359-8991
Email: [email protected]
Hirair Hovnanian and others are sued over Genocide Museum
Trustees Endeavor to Exclude Chief Donor
Minneapolis, MN, Sept. 28/--The Cafesjian Family Foundation (CFF),
individually and on behalf of the Armenian Genocide Museum and
Memorial, Inc. (AGMM), filed suit today in the United Sates District
Court for the District of Columbia, against the Armenian Assembly of
America, Inc., and AGMM Trustees Hirair Hovnanian, Van Krikorian and
Anoush Mathevosian. The legal action seeks to enjoin these Trustees
from attempting to exclude CFF from decisions impacting the
development of AGMM, and seeks monetary damages for any actions taken
without the required approval of CFF.
CFF Vice-president and the CFF designee to the AGMM Board of
Trustees, John J. Waters said, `Several weeks ago, a few members of
the AGMM Board of Trustees issued a press release. The announcement
came as a complete surprise. CFF controls three of the six authorized
AGMM Board votes. Contrary to AGMM governance procedures, CFF was
neither given notice nor consulted regarding the proposed actions
announced in the release. This failure is inexplicable.'
Pursuant to a grant agreement, Mr. Gerard L. Cafesjian and CFF
have made grants to AGMM valued in excess of $17.5 million. Cafesjian
is the major and by far the largest contributor to the AGMM project.
`CFF can not be excluded from board deliberations,' said
Mr. Waters.`The AGMM by-laws, as well as the Cafesjian grant
agreement, mandate that the CFF designated Trustee be included in all
board discussions and decisions.'
The recent announcement is the latest in a series of maneuvers
apparently intended to deprive Mr. Cafesjian and CFF of their rights.
`I am at a loss to explain these tactics,' said Mr. Waters.`The
animosity towards Mr. Cafesjian is unwarranted, given Mr. Cafesjian's
significant support for the AGMM project, the Armenian Assembly of
America, Inc. (Assembly), and all that he has done for the Armenian
cause in the Republics of Armenia and Karabakh.'
In 2000 Mr. Cafesjian and CFF contributed $3.5 million dollars to
help fund the purchase of the National Bank of Washington, and pledged
an additional $1.5 million dollars for the installation of a
memorial. In addition, CFF loaned the Assembly $500,000, interest
free, to help complete the purchase.
`For an Armenian Genocide museum and memorial to have political
and social impact in Washington, a city of museums and monuments, it
has to stand out,' said Mr. Waters. `From the outset, Mr. Cafesjian
has been committed to a project that offers the entire Armenian
community the opportunity to benefit from: a project that has a strong
vision, secure managerial and financial support, and a program that
treats the Armenian Genocide and the memory of its victims with the
utmost of dignity and respect; a project that can be a cultural center
and gathering place for all Armenians; and a project that creates a
permanent voice in our nation's capital, to ensure that
Armenian-American issues and concerns, past and present, are never
ignored again.'
From inception in 2000, until the project was subsequently
transferred to AGMM in November of 2003, the Assembly controlled the
undertaking. During that period, little was done to move the project
forward. Nevertheless, two things did become clear: (1) the National
Bank of Washington property alone was not sufficient to house a
project that would meet the objectives set forth above; and (2), the
project would need the support of the entire community to be a
success.
Toward those ends, in 2003, Mr. Cafesjian supported the creation
of a new independent entity, the Armenian Genocide Museum and Memorial,
Inc. He helped launch the new entity with a donation of four additional
real estate parcels valued at over $12.5 million.
As of September 2006, the contributions funded by current and
former Board of Trustee members for the benefit of the AGMM were as
follows:
Gerard Cafesjian and CFF $14,400,000
Anoush Mathevosian $ 3,500,000
Hirair Hovnanian $ 1,500,000
John Waters $ 25,000
Robert Kaloosdian $ 100
Van Krikorian $ 0
Total Board of Trustee Contributions$19,425,100
For four years, the minority who now want to take credit for promoting
the project blocked all proposals to proceed with development of a
museum and memorial that made use of the entire site, rejected the
consensus professional advice that the bank building alone was
inadequate to achieve project goals, refused to transfer funds held by
the Assembly for the benefit of AGMM to the AGMM, and inhibited
efforts to broaden the base of community involvement.
The Assembly's attorney inadvertently revealed the real agenda last
June: sell the four additional properties donated by Cafesjian and use
the proceeds to convert the bank building into a paltry exhibit. In a
June 22, 2007 Minneapolis Star Tribune article about the museum
project, the attorney representing the Assembly said, `I think that
what may happen is the whole project may be downsized...to just the
old National Bank Building.'
`This revelation is the crux of the AGMM board dispute', said
Mr. Waters.`They are attempting to take advantage of Mr. Cafesjian's
generosity, misuse his contributions to fund an inferior project, and
to take credit for doing so.' `The recent announcement perplexed CFF
by suddenly trumpeting some vaguely described initiative. Even though
the undertaking is undefined and the contributions and input of the
AGMM's largest donor are discounted, this development purports to move
the project forward?' questioned Mr. Waters.
`To date, CFF's $500,000 loan has not been repaid and the Assembly is
disavowing any obligation to repay the debt. In an apparent effort to
further some secret agenda, the Assembly suspended Mr. Cafesjian and
me from the Assembly board, and now it appears that our role on the
AGMM board is being undermined.'
`We have attempted to resolve these issues amicably, but the other
board members seem to have no interest in achieving a fair
resolution.'
`Unfortunately, this dispute has landed us in court,' said Waters.`It
is a huge waste of both time and money, but we have to fight to
protect the vision of AGMM and the interests of other donors who have
so generously supported the project.'
`In spite of all that has happened, Mr. Cafesjian remains committed to
supporting a project that properly honors the memory of the victims of
the Genocide.'
15 South Fifth Street, Suite 900
Minneapolis, MN 55402
Tel. (612) 359-8991
Fax. (612) 359-8994
PRESS RELEASE
September 28, 2007
Contact: John Waters
Tel: (612) 359-8991
Email: [email protected]
Hirair Hovnanian and others are sued over Genocide Museum
Trustees Endeavor to Exclude Chief Donor
Minneapolis, MN, Sept. 28/--The Cafesjian Family Foundation (CFF),
individually and on behalf of the Armenian Genocide Museum and
Memorial, Inc. (AGMM), filed suit today in the United Sates District
Court for the District of Columbia, against the Armenian Assembly of
America, Inc., and AGMM Trustees Hirair Hovnanian, Van Krikorian and
Anoush Mathevosian. The legal action seeks to enjoin these Trustees
from attempting to exclude CFF from decisions impacting the
development of AGMM, and seeks monetary damages for any actions taken
without the required approval of CFF.
CFF Vice-president and the CFF designee to the AGMM Board of
Trustees, John J. Waters said, `Several weeks ago, a few members of
the AGMM Board of Trustees issued a press release. The announcement
came as a complete surprise. CFF controls three of the six authorized
AGMM Board votes. Contrary to AGMM governance procedures, CFF was
neither given notice nor consulted regarding the proposed actions
announced in the release. This failure is inexplicable.'
Pursuant to a grant agreement, Mr. Gerard L. Cafesjian and CFF
have made grants to AGMM valued in excess of $17.5 million. Cafesjian
is the major and by far the largest contributor to the AGMM project.
`CFF can not be excluded from board deliberations,' said
Mr. Waters.`The AGMM by-laws, as well as the Cafesjian grant
agreement, mandate that the CFF designated Trustee be included in all
board discussions and decisions.'
The recent announcement is the latest in a series of maneuvers
apparently intended to deprive Mr. Cafesjian and CFF of their rights.
`I am at a loss to explain these tactics,' said Mr. Waters.`The
animosity towards Mr. Cafesjian is unwarranted, given Mr. Cafesjian's
significant support for the AGMM project, the Armenian Assembly of
America, Inc. (Assembly), and all that he has done for the Armenian
cause in the Republics of Armenia and Karabakh.'
In 2000 Mr. Cafesjian and CFF contributed $3.5 million dollars to
help fund the purchase of the National Bank of Washington, and pledged
an additional $1.5 million dollars for the installation of a
memorial. In addition, CFF loaned the Assembly $500,000, interest
free, to help complete the purchase.
`For an Armenian Genocide museum and memorial to have political
and social impact in Washington, a city of museums and monuments, it
has to stand out,' said Mr. Waters. `From the outset, Mr. Cafesjian
has been committed to a project that offers the entire Armenian
community the opportunity to benefit from: a project that has a strong
vision, secure managerial and financial support, and a program that
treats the Armenian Genocide and the memory of its victims with the
utmost of dignity and respect; a project that can be a cultural center
and gathering place for all Armenians; and a project that creates a
permanent voice in our nation's capital, to ensure that
Armenian-American issues and concerns, past and present, are never
ignored again.'
From inception in 2000, until the project was subsequently
transferred to AGMM in November of 2003, the Assembly controlled the
undertaking. During that period, little was done to move the project
forward. Nevertheless, two things did become clear: (1) the National
Bank of Washington property alone was not sufficient to house a
project that would meet the objectives set forth above; and (2), the
project would need the support of the entire community to be a
success.
Toward those ends, in 2003, Mr. Cafesjian supported the creation
of a new independent entity, the Armenian Genocide Museum and Memorial,
Inc. He helped launch the new entity with a donation of four additional
real estate parcels valued at over $12.5 million.
As of September 2006, the contributions funded by current and
former Board of Trustee members for the benefit of the AGMM were as
follows:
Gerard Cafesjian and CFF $14,400,000
Anoush Mathevosian $ 3,500,000
Hirair Hovnanian $ 1,500,000
John Waters $ 25,000
Robert Kaloosdian $ 100
Van Krikorian $ 0
Total Board of Trustee Contributions$19,425,100
For four years, the minority who now want to take credit for promoting
the project blocked all proposals to proceed with development of a
museum and memorial that made use of the entire site, rejected the
consensus professional advice that the bank building alone was
inadequate to achieve project goals, refused to transfer funds held by
the Assembly for the benefit of AGMM to the AGMM, and inhibited
efforts to broaden the base of community involvement.
The Assembly's attorney inadvertently revealed the real agenda last
June: sell the four additional properties donated by Cafesjian and use
the proceeds to convert the bank building into a paltry exhibit. In a
June 22, 2007 Minneapolis Star Tribune article about the museum
project, the attorney representing the Assembly said, `I think that
what may happen is the whole project may be downsized...to just the
old National Bank Building.'
`This revelation is the crux of the AGMM board dispute', said
Mr. Waters.`They are attempting to take advantage of Mr. Cafesjian's
generosity, misuse his contributions to fund an inferior project, and
to take credit for doing so.' `The recent announcement perplexed CFF
by suddenly trumpeting some vaguely described initiative. Even though
the undertaking is undefined and the contributions and input of the
AGMM's largest donor are discounted, this development purports to move
the project forward?' questioned Mr. Waters.
`To date, CFF's $500,000 loan has not been repaid and the Assembly is
disavowing any obligation to repay the debt. In an apparent effort to
further some secret agenda, the Assembly suspended Mr. Cafesjian and
me from the Assembly board, and now it appears that our role on the
AGMM board is being undermined.'
`We have attempted to resolve these issues amicably, but the other
board members seem to have no interest in achieving a fair
resolution.'
`Unfortunately, this dispute has landed us in court,' said Waters.`It
is a huge waste of both time and money, but we have to fight to
protect the vision of AGMM and the interests of other donors who have
so generously supported the project.'
`In spite of all that has happened, Mr. Cafesjian remains committed to
supporting a project that properly honors the memory of the victims of
the Genocide.'