DOMINICAN REPUBLIC FAILS TO PRODUCE REPORT ON

UNCLAS SECTION 01 OF 02 SANTO DOMINGO 006415

SIPDIS

USDOC PASS USPTO; DEPARTMENT PASS LIBRARY OF COMMERCE FOR
COPYRIGHT OFFICE; STATE FOR EB - WILSON; WHITE HOUSE PASS
USTR FOR MALITO, PECK, SOUDER, VARGO

E.O. 12958: N/A
TAGS: ETRD KIPR EINV DR
SUBJECT: DOMINICAN REPUBLIC FAILS TO PRODUCE REPORT ON
BROADCAST PIRACY


- - CORRECTED COPY ADDING USDOC, USPTO, LOC/COPYRIGHT - -


1. Note proposed Embassy action, para 9.


2. The Dominican Republic missed an October 5 deadline
established in a side letter to CAFTA obligating the
government to report on actions it is taking to stop
television broadcast piracy. When the National Office for
Copyright Protection (ONDA) provided a preliminary copy of
the late report to the Embassy in November, it failed to
address the broadcast issue in any detail.

Background
- - - - - -


3. Dominican trade negotiations with the United States on
inclusion in the Central American Free Trade Agreement
(CAFTA) included a side letter on intellectual property
rights enforcement that focused specifically on television
broadcast piracy. The side letter contains a requirement
that the Dominican Republic "take all necessary steps to halt
television broadcasting piracy by licensed broadcasting
stations and to provide a deterrent to future infringements."
The Dominicans promised to provide the United States with a
written report describing progress in stopping television
broadcasting piracy, including criminal, administrative and
civil investigations and actions. The deadline for the
first report was October 5, sixty days after CAFTA was
signed. Despite the side letter commitments, we see no
indications that the Dominicans are taking new actions to
reduce television broadcast piracy.


4. Embassy contacted various Dominican Government agencies
prior to the October 5 reporting deadline to urge the
government would meet its obligation. EcoPol Counselor and
Economic Officer met with the Assistant Attorney General
responsible for IPR issues Pedro Fliz Montes de Oca,
Undersecretary for Industry and Commerce Marcello Puello,
Ministry of Foreign Affairs Undersecretary for Economic
Affairs Juan Giuliani Cury, and the new Director of the
National Organization for Copyright Protection (ONDA) Marino
Feliz Tererro. At the beginning of October, Feliz told Econ
Officer that ONDA accepted responsibility for preparing the
report but since the staff was entirely new since the August
16 inauguration of the Fernandez administration, he expected
not to meet the October 5 deadline. ONDA gave the Embassy an
advance copy of the preliminary report on November 5, which
touches only peripherally on broadcast issues. The report
instead describes ONDA,s organizational structure and
documents raids and confiscations of pirated music compact
discs and cassette tapes. As of November 5, ONDA Director
Feliz had not met with any television broadcasting stations
to address broadcast piracy.


5. On November 23, EcoPol Counselor and Economic Officer
discussed illegal television piracy of programs with Jose
Rafel Vargas, president of INDOTEL, the Dominican Institute
of Telecommunications. EcoPol counselor later met separately
with his deputy, Jose Rizek. Vargas expressed concern over
the continuing problem of television broadcast piracy but
said that ONDA, not INDOTEL, is the agency with the authority
and the responsibility to go after illegal broadcasters.
Vargas said that INDOTEL had provided resources on at least
one occasion when ONDA was investigating a case of piracy.


6. Broadcast piracy is nothing new in the Dominican Republic
but the tough new Dominican copyright legislation, Law 65-00,
introduced in 2000, was designed to help stop the problem.
Legal actions taken against violators under the new law have
been disappointing. There are two cases that were brought
before the Dominican courts in 2002 involving television
channels accused of making illegal broadcasts: Telemicro and
Canal del Sol. The stations continue to broadcast. In
November of this year, Telemicro (channel 5) aired on late
night television Lord of the Rings: The Return of the King.
To our knowledge, this latest Lord of the Rings movie has not
yet been released in the United States on cable television
(HBO has first release rights) and Telemicro,s broadcast is
illegal.

7. The public here sees powerful local television stations as
untouchable by the authorities, an assumption reinforced by
the fact that illegal broadcasts continue to be a problem. A
local attorney and businessmen told economic officer of
several second-hand accounts of threats and other rough
treatment of government officials and private individuals
working to stop illegal broadcasts. Telemicro, a Dominican
station previously owned (and possibly still controlled) by
Hatuey de Camps, former head of the Partido Revolucionario
Dominicano (PRD),has reportedly used its political influence
and threats to keep illegal programming on the air. Local
press reported that the station was a major supporter of
President Fernandez in the last campaign, providing free
airtime for campaign advertising (a credible allegation,
since renegade Hatuey de Camps openly supported Leonel
Fernandez against PRD candidate Hipolito Mejia).


8. In addition to Telemicro and Canal del Sol, numerous
smaller, less well-known stations probably are in violation
of copyright laws. VIRUS, a new station carried by the
second largest cable television provider in Santo Domingo,
Aster Cable, shows many recent, poorly-dubbed Hollywood
releases. The newness of the films, making them high cost,
does not coincide with the fact that the station almost
exclusively plays local, low-revenue advertising. Economic
Officer asked ONDA to determine whether the station is
illegally broadcasting movies.


9. Proposed Action: Unless otherwise instructed, Embassy
will prepare a diplomatic note referring to the August 5
agreement by exchange of notes in which Dominican authorities
undertook to provide the enforcement reports, noting the
delay and requesting prompt submission.

Comment
- - - -


10. Even where resources are readily available that would
help determine whether stations are making illegal
broadcasts, neither ONDA nor other interested government
agencies are using them. At least two services in Santo
Domingo make complete, round-the-clock recordings of all
broadcasts made by local stations. While the legal status of
these services is unclear, the listings of broadcasts are for
sale and would offer agencies such as ONDA ready information
to help determine if a station is breaking the law. More
than identification of violators is necessary. Without an
aggressive plaintiff with a vested interest there appears to
be little likelihood in the short term that cases against
broadcast pirates will be referred for prosecution or pursued
with the vigor necessary to convict offenders.
HERTELL