PARAGUAY POLITICAL AND ECONOMIC UPDATE, NOV. 13 -

UNCLAS SECTION 01 OF 02 ASUNCION 001431 SIPDIS STATE FOR EB/IFD/OIA STATE PASS TO USAID FOR LAC/AA STATE PASS TO USTR FOR LYANG NSC FOR SUE CRONIN TREASURY FOR OSIA MAUREEN WAFER TREASURY FOR OTA WARFIELD, VAN KOCH, MILLAR COMMERCE FOR ITA SARAH COOK SOUTHCOM FOR POLAD BARBARA MOORE NAIROBI FOR MICHAEL FITZPATRICK E.O. 12958: N/A TAGS: PGOV PHUM PREL ECON PA VE SUBJECT: PARAGUAY POLITICAL AND ECONOMIC UPDATE, NOV. 13 - 19 ¶1. (U) SUMMARY -- Castiglioni Vows To Continue Anti-Crime Fight -- Bishops Say Government Is Corrupt -- Vote on Ambassador to Cuba Postponed, Again -- Venezuelan Official Comes Unhinged -------------- Castiglioni Vows To Continue Anti-Crime Fight -------------- ¶2. (U) Late last week, Vice President Luis Castiglioni, in response to recent death threats, told the press he will continue in the fight against organized crime. Castiglioni added that if criminals believe that by making such threats, they can stop the GOP plan to train its security forces to fight international organized crime, they are wrong. He further emphasized that the GOP will deepen its agreements, not only with Colombia and the United States, but also with other countries to help Paraguay recover its dignity as a nation free of transnational and international criminals. NOTE: This announcement by Castiglioni came during the Colombian counter-drug delegation visit last week. A septel will follow addressing the Colombian visit. End Note. -------------- Bishops Say Government Is Corrupt -------------- ¶3. (U) At the closing of an Ecumenical Conference, on 11/11, Paraguayan Bishops released a statement criticizing the Administration for failure to address the concerns of hunger and poverty in Paraguay and charged that corruption is rampant in the public and private sectors. The bishops also complained of a lack of transparency in government and described the Judicial Branch and the Attorney General's Office performances as inadequate. In response to these charges by the Bishops, President Duarte, on 11/12 said the Bishops lacked empirical evidence and some of their conclusions were based on "misinformation." He also indicated that his Administration has only been in office for two years and changing conditions in Paraguay require more time. But, on 11/13, Duarte lashed out at the Bishops saying many of those taking a stance against his Administration now were participants in the celebrations of previous leaders of the country and suggested that they confess their failings "without shame." On 11/18, VP Castiglioni met with Church leaders to stem the rising controversy over critical remarks in the press. -------------- Vote on Ambassador to Cuba Postponed, Again -------------- ¶4. (U) For the second time in three weeks, Senate President Carlos Filizzola (Country in Solidarity Party) joined governing Colorado Party Senators and a dissident opposition Liberal Party Senator Domingo Laino in walking out of the Senate to deny a quorom for a vote on the nomination of as Paraguay's Ambassador to Cuba. The Colorados had thought they had the numbers this time to confirm Luis Domingo Laino (Sen. Laino's son) until Colorado dissident Senator Julio Osvaldo Dominguez (son of Osvaldo Dominguez Dibb who is running against President Duarte for Colorado Party President) declared he planned to vote against Laino. At least one Liberal Party Senator from the opposition indicated that the Liberals had planned to walk out to deny the Colorados a quorom if they had determined Laino had the votes to be confirmed. Laino's confirmation has become a lightning rod for controversy as it is viewed as part of a deal the Colorados forged this past June with PPS and several dissident Liberal Senators. -------------- Antics of Venezuelan Official at WIPO Course -------------- ¶5. (C) On 11/16, Astrid Weiler, Director of Intellectual Property, discussed with EconCouns the behavior of the Venezuelan delegate to the World Intellectual Property Organization (WIPO)-sponsored, week-long IPR course that took place the week of 11/6 in Paraguay. Weiler said the delegate railed against the USG during her interventions, leading the WIPO organizers to remind her on more than one occasion that not only was the USG not represented to defend itself, but that her behavior was inappropriate for the proceedings. At one point, according to Weiler, she actually held up a sign that said "NO TO FTAA." JOHNSON