Zhuganov’s company later decided to become a 50% shareholder of Lazeri-2, the owners of which also operate neighboring Café Rustaveli restaurant, on what Zhuganov said is the equivalent of Rodeo Drive in Tbilisi, Georgia’s capital.
Mzia Kakabadze, the building owner, leased the store and restaurant spaces to the business owners until 2015 and 2019, respectively, Zhuganov said.
All was going well, until everything changed in November 2006.
“The minister of economic developments of Georgia came in and coerced Kakabadze to sign away her building in exchange for a smaller one in a worse area,” Zhuganov said.
Rohrabacher said in his letter that Kakabadze signed an affidavit stating that ministry officials threatened Kakabadze with harm to her family if she didn’t “gift” the property to the officials.
She has since scheduled a court date, which has been stalled, Zhuganov said.
“You see, Georgia is trying to be pro-Western, but some Soviet corruption is still in there, obviously,” Zhuganov said. “They sent a letter saying we have to vacate the premises. We told them, ‘You can’t just kick us out. We have a long lease.’”
Georgian officials contended the leases were due to expire much sooner. The Georgian government contends it made a fair exchange for the stately building, but Zhuganov objected.
“You could make millions on that thing,” he said. “We’re hearing rumors that they want to sell it to Hilton.”
Zhuganov’s company has gone back and forth with the Georgian government for more than a year over the breach of contract, he said.