Giorgi Chkonia is a businessman with very close ties with the government. He is also a big donor to the Georgian Dream. Chkonia is a shareholder in 20 companies and manages 3 companies. These companies also own shares in other businesses. Three of Giorgi Chkonia’s companies – “Gza” LTD, “Batumi Central” LTD, and “Chateaux Kvirike” LTD - actively participated in public procurements, earning a total income of 335,638,719 GEL from 2011 to 2023. 

Giorgi Chkonia and his business partners donated a total of 1,394,000 GEL to the ruling party and presidential candidate Salome Zurabishvili.

Businessman Giorgi Chkonia (first from the right) with the chairman of the Supreme Council of Adjara, Davit Gabaidze, and other businessmen on the island of Mallorca. According to the Government of Adjara the visit of representatives of the Supreme Council of Adjara and the Government of Adjara was financed by the businessmen operating in Batumi. 

Income from Public Procurements

“Gza” LTD received 9,589,953 GEL from 30 simplified procurement contracts and 325,765,401 GEL from 95 tenders. 67% of this income was received through the non-competitive process or as a result of the disqualification of competitors. 

“Batumi Central” LTD (formerly “GEORGIA INN” LTD) received 17,430 GEL through 10 simplified procurement contracts. 

“Chateaux Kvirike” LTD (formerly “Agrotechservice Kobuleti” LTD) received 220,286 GEL through 36 simplified procurement contracts and 45,649 GEL from winning 2 tenders, including 1 without competition and the other due to the disqualification of competitors. 

Giorgi Chkonia, along with his business partners and the directors of the companies owned by him, donated 1,394,000 GEL to the ruling party and the endorsed presidential candidate, Salome Zurabishvili.

Property Transfer and Support from “Enterprise Georgia”

On January 17, 2020 “Chateaux Kvirike” LTD (formerly “Agrotechservice Kobuleti” LTD), with 100% ownership held by Giorgi Chkonia, was granted the right of use for 26,870 square meters of land (state forest fund) near the village of Kvirike in Kobuleti Municipality for 49 years. 

On October 6, 2017, “Next Collection” LTD (formerly “Elite Construction Group” LTD, “Tower Group Green Residence” LTD), in which Giorgi Chkonia owns a 50% share, purchased from the state a 20,366 sq.m plot of land with seven dilapidated buildings located in the settlement of Msvane Konstkhi, Batumi. The acquisition was based on a conditional sales agreement signed with the National Agency of State Property.

On March 4, 2020, Cartu Bank received a 34,492 sq.m plot of land located in Mtskheta from the state through a real estate exchange agreement. The bank later sold this land to Giorgi Chkonia on May 7, 2021. On July 11, 2023, Chkonia contributed this land plot to the charter capital of “Tower Group Panorama Lisi” LTD.

It is also worth noting that “Chalet Kvirike” LTD, whose founder and 100% owner is Giorgi Chkonia, received co-funding of 5 million GEL from “Enterprise Georgia”. A few years ago, the “Chateaux Kvirike” complex, also owned by Giorgi Chkonia, was opened with the co-financing of “Enterprise Georgia”. If LEPL “Enterprise Georgia“ had provided the requested public information regarding its projects financed in the Autonomous Republic of Adjara, we might have identified other instances of budgetary financing for companies associated with Giorgi Chkonia.

It is noteworthy that Giorgi Chkonia’s business partner is Ala Kakhniauri, former Head of the Legal Department of Cartu Bank. They jointly founded two companies – “Crypto Home” LTD and “Crypto Home Management” LTD.

Revolving door - Former Vice-Mayor of Batumi in the Company of Giorgi Chkonia

Tengiz Petridze, the former Vice-Mayor of Batumi Municipality, whose authority was terminated due to the embezzlement of a significant amount of state funds and abuse of power, has been the director of “Tower Georgia” LTD since serving his sentence. Batumi Central LTD owns 100% of the shares of “Tower Georgia” LTD. At the same time, Giorgi Chkonia possesses a 45% share of “Batumi Central” LTD and the remaining 55% is owned by “Gza” LTD. As already mentioned, Giorgi Chkonia is a 100% owner of “Gza” LTD. 

Tengiz Petridze served as the Deputy Head of the City Hall Improvement Service and later assumed the position of its Head before being appointed as the Vice-Mayor. During his tenure at Batumi Municipality City Hall, Tengiz Petridze consistently served as a member of the tender commission. In this period “Gza” LTD, owned by Giorgi Chkonia, secured the 15,576,976 GEL tender. Tengiz Petridze, as a member of the tender commission, attests to the winning of this company in each tender. This is a clear example of the so-called “revolving door”. 

Unauthorized Construction on Luka Asatiani Street

Giorgi Chkonia added a new floor to his apartment at Luka Asatiani N21, located 100 meters from Batumi City Hall. Despite the requirements of the law, he did not obtain a permit from the Cultural Heritage Protection Agency. The apartment building falls into the cultural heritage preservation zone and any changes related to the facade require the appropriate approval of the Cultural Heritage Protection Agency of Adjara.

The Batumi Municipal Inspection considered the construction unauthorized, imposed fines on the builder, and mandated the restoration of the structure to its original condition (dismantling). Nevertheless, the businessman proceeded with the construction, fighting both the fine and the instructions of the inspection in court. According to the legislation, the decision of the inspection cannot take full effect until the court makes a final ruling.

Giorgi Chkonia’s companies received over 250 million GEL from public procurements, acquired over 4 hectares of land from the state for use and/or ownership, and secured several million GEL in grant funding. Furthermore, the political donation exceeding 1 million GEL contributed by Giorgi Chkonia and his business partners to the ruling party, as well as their support for the endorsed presidential candidate, along with connections with the former Vice-Mayor of Batumi Municipality, raise concerns about a privileged status and potential corrupt dealings. Hence, Transparency International Georgia calls on the Prosecutor’s Office and the Anti-Corruption Agency of the State Security Service to examine the presented findings and take respective legal action.