Tigers continue to formalize control in the

C O N F I D E N T I A L SECTION 01 OF 04 COLOMBO 000244

SIPDIS

DEPARTMENT FOR SA, SA/INS, S/CT; NSC FOR E. MILLARD

LONDON FOR POL/RIEDEL

E.O. 12958: DECL: 02/12/13
TAGS: PGOV PTER PHUM CE NO JA LTTE
SUBJECT: Tigers continue to formalize control in the
Wanni region, and flex muscles in Jaffna and the east

Refs: (A) Colombo 229 (F) 02 Colombo 2238

- (B) Colombo 194 (G) 02 Colombo 2204
- (C) Colombo 172 (H) 02 Colombo 2133
- (D) Colombo 120 (I) 02 Colombo 1828
- (E) 02 Colombo 2319 (J) 02 Colombo 1299

(U) Classified by Lewis Amselem, Deputy Chief of
Mission. Reasons 1.5 (b,d).


1. (C) SUMMARY: The LTTE continues to formalize its
control of the Wanni region in northern Sri Lanka by
setting up quasi-government agencies focused on such
areas as law enforcement, communications, and education.
In the meantime, Tiger cadre in government-controlled
areas of Jaffna and the east are employing strong-arm,
mafia-type tactics as they extort money, attack other
Tamil groups, and recruit personnel. Although the
Tigers are far from creating any sort of embryonic state
structure (despite simplistic press reporting to the
contrary),they are steadily expanding their influence
in the north and east even as the peace process moves
forward. END SUMMARY.

================================
Formalizing Control in the Wanni
================================


2. (C) In the past several months, the Liberation
Tigers of Tamil Eelam (LTTE) have continued to formalize
their control of the Wanni region, and flex their
muscles in Jaffna and the east. In the Wanni, the Tiger
focus has been on putting in place quasi-government
agencies, as it tries to "civilianize" its control of
the region. (Note: Per Ref J, the Tigers have long had
military control of most of the Wanni region, a lightly
populated area located in northern Sri Lanka. It was
only with the advent of the peace process -- and the
ceasefire -- that the group was able to take firm steps
in the administrative sphere.) Recent Tiger efforts to
create a civilian administrative structure have
included:

-- Law Enforcement: According to many reports, the
Tigers have put in place "Tamil Eelam police" offices
throughout the Wanni (also see Ref J). A judicial
system is also in place complete with "judges" and
"courts." There are also reports that there is a law
school.

-- Communications: After years of underground activity,
the "Voice of the Tigers" radio station has recently
been legalized, per Sri Lankan government regulations.
The radio station has also been upgraded in its
capabilities, and now can be heard clearly throughout
the Wanni and nearby regions. (Note: At the request of
the GSL, the equipment for the upgrade was imported into
Sri Lanka by the Norwegian Embassy. Anti-peace process
groups have harshly criticized the Norwegians for their
involvement.)

-- Education: The LTTE is also working hard to expand
its educational system. It has, for example, opened a
network of schools in the Wanni in past months.
Although the GSL provides textbooks for all students in
the country, the LTTE denies students in the areas it
controls access to certain school texts because the
content varies from the LTTE's views. In place of the
GSL's texts, the LTTE has provided its own curriculum.
General Secretary of the "All-Island Tamil Teachers
Union" T. Mahasivam has told us that children in the
Wanni do not have access to proper educational material
due in large part to the LTTE's strict limitations.
(Note: On the subject of education, the Tamil press has
recently reported that the Tigers have even begun an "e-
learning center" in the Wanni.)

-- Banking/Customs: As detailed in Ref C, in an attempt
to increase its revenues, the LTTE is expanding its
financial institutions in the Wanni by opening "Tamil
Eelam Bank" branches and creating an "Eelam Customs"
agency. Although some media accounts claim the bank has
existed in some form for approximately 10 years, it now
has five branch offices and is reportedly catering to
returning Internally Displaced Persons (IDP's). The
bank reportedly offers almost all of the standard
financial services. The LTTE also collects a
predetermined "customs fee" on all items transported
through the Wanni. The LTTE has published the rate of
its customs fees in Tamil-language newspapers.

(Note: While the LTTE's activities are most noticeable
in the Wanni region, the group is also reportedly taking
similar actions in those sections of the east under its
control. It is not clear, but perhaps something around
a third or more of the land area of the Eastern Province
is under LTTE control. Overall, including the Wanni and
the east, approximately 15 percent of the land area of
Sri Lanka is believed to be under direct Tiger control,
an area containing a population of about 500,000
people.)

===============================
Wanni Steps seen as Rudimentary
===============================


3. (C) Despite the Tigers' best efforts, the general
feeling among most observers is that their attempts to
create a civilian administrative structure have not been
fully successful, thus far. Making this point, Jehan
Perera of the National Peace Council, a well-known local
NGO, told us that he thought the Tiger effort was
rudimentary and seriously retarded by lack of funds.
Many of the so-called "Tamil Eelam" offices were "paper"
creations, with little substance, other than the Tiger
"wish" that the outside world perceive their moves as
something important. He added that he still did not
consider the Tigers a "civilian political organization,"
but rather a military/insurgent grouping that remained
ready for war, if necessary.

==========================================
Mafia-type Behavior in Jaffna and the East
==========================================


4. (C) In the meantime, Tiger cadre are increasingly
employing strong-arm, mafia-type tactics in government-
controlled areas of Jaffna and the east. The Tigers'
objective in employing such tactics seems to be to
marginalize the GSL's governing apparatus (including the
military),and other Tamil groups, so as to allow the
LTTE to emerge as the preeminent force in Jaffna and the
east, as it is in the Wanni. Mafia-type Tiger
activities in Jaffna and the east include:

-- Extorting Money: There are continuing reports that
the Tigers are engaged in widespread extortion in Jaffna
and the east. The victims of the extortion effort are
primarily Tamil businessmen working in those areas.
Mission has heard reports that if Tamils do not comply
by saying they do not have the money the Tigers find
ways to access bank accounts and threaten them.
(Note: Although they were targets last year, Muslims
living in the east no longer seem to be a major class of
victims.)

-- Seizing Properties: Mission has heard many reports
that the LTTE has seized numerous properties in Jaffna
and the east. During a visit to Batticaloa town in
November, for example, Mission heard that numerous homes
had been taken over by the LTTE as offices for its cadre
(see Ref H). (Note: The LTTE has opened up dozens of
political and other party offices in the north and the
east in recent months, as allowed by the ceasefire
accord.) In comments confirmed by Tamil contacts, Sri
Lankan military officials have also recently told us
that the same practice is increasingly widespread in
Jaffna.

-- Intimidating other Tamil groups: Mission continues
to hear credible reports that the LTTE is intimidating
Tamil groups and individuals that disagree with Tiger
views (Ref E). The Eelam People's Democratic Party
(EPDP) has been a regular target of the LTTE, for
example. According to reliable reports, LTTE cadres
have attacked at least four EPDP offices in the Jaffna
region in recent months. In addition to the EPDP,
another group called the Eelam People's Revolutionary
Liberation Front (EPRLF) also accuses the LTTE of
preventing EPRLF cadre from performing political work in
Jaffna and the east.

-- Recruitment Drives: As reported in Ref D, the LTTE
has actively recruited children in recent months despite
past pledges to stop such efforts. Through dragoon-like
efforts, the LTTE is also actively recruiting young men
and women. The reports tend to indicate that these
recruitment efforts have been successful and that the
number of LTTE cadre continues to spike up, although the
exact number of recruits is not clear. All the recruits
are Tamil, with most recruitment taking place in the
east.

============================================
Despite Efforts, Strong Nexus of GSL Control
============================================


5. (C) Again, despite the LTTE's best efforts, the
government and its security forces still maintain a
strong nexus of control in Jaffna and the east. The
GSL, for example has effectively deflected the LTTE's
demand that it reduce its "high security zones" in
Jaffna, which account for about 18 percent of the land
area there. Operating from these positions of strength,
the Sri Lankan military continues to maintain over
30,000 troops in the Jaffna Peninsula. In addition, the
government's position in the east is still formidable,
with around 20,000 troops and several thousand highly-
trained Special Task Force police deployed throughout
the region. Moreover, although the government's
civilian government apparatus is believed to have been
heavily penetrated by LTTE informers, there is no doubt
that the GSL is still in administrative control of
Jaffna and the east.

=======
COMMENT
=======


6. (C) Recent press reporting in the "New York Times"
and the "Washington Post" painted a dire picture in
which the Tigers had already created a de facto "Tamil
Eelam" in the north and east. If one was only to look
at the "Tamil Eelam" signboards in the Wanni or other
parts of the north and east without digging much deeper,
that may seem to be the case. In actuality, the
situation is much more complicated, with the Tigers far
from creating any sort of embryonic state structure.
First, as noted, their efforts in the Wanni are
tentative and hindered by resources. In addition, the
Wanni is an exposed region, surrounded by government
forces, factors that tend to hinder complete LTTE
freedom of maneuver. Second, while of serious human
rights concern, the LTTE's mafia-like activities in
Jaffna and the east have only served to diminish
governmental control, not marginalize it entirely.
Taking all of these caveats into account, however, it is
safe to say that the LTTE is steadily expanding its
sphere of influence in the north and east even as the
peace process moves forward. END COMMENT.


7. (U) Minimize considered.
WILLS