BERGER ON CAFTA ISSUES CUBA OAS SECGEN ELECTION

C O N F I D E N T I A L SECTION 01 OF 02 GUATEMALA 000806

SIPDIS

E.O. 12958: DECL: 03/30/2015
TAGS: PHUM PGOV PREL SNAR CU GT OAS
SUBJECT: BERGER ON CAFTA ISSUES CUBA OAS SECGEN ELECTION
AND DRUGS


Classified By: AMB JOHN R. HAMILTON, EMBASSY GUATEMALA.
REASON: 1.4 (A) AND (B)


1. (C) Summary: At lunch March 30, Berger took on board the
Ambassador,s arguments that he needs to do something about
the lack of effective labor inspection (in the context of the
U.S. CAFTA debate) and that he needs to answer the mail from
U.S. organizations protesting alleged repression of peaceful
anti-CAFTA demonstrators. He continues to be interesting in
ginning up a CAFTA-lobbying visit to Washington of his CenAm
colleagues ) at least Saca and Maduro. We need to work him
further on the Cuba resolution, as he is concerned that a yes
vote will inflame a domestic left already in the streets over
CAFTA and related issues. He appeared persuaded by arguments
that Guatemala needs to have court-ordered wiretaps and a
RICO-like statute to have any hope of success against
Guatemalan drug organizations. He says Guatemala will stick
with Flores as long as long as he is in the race, but will
opt for Derbez if Flores doesn,t make it to the second
round; Briz reports the Salvadoran FM as claiming Flores has
picked up four Caribbean votes. End Summary.


2. (C) This lunch was Berger,s initiative and took place
immediately following a brief press conference at which
Berger and the Ambassador made release of the $3.2m in old
MAP funds official. Vice President Eduardo Stein, Foreign
Minister Jorge Briz and personal assistant to Berger Alfredo
Vila attended, as did DCM Bruce Wharton.


3. (C) CAFTA Debate in U.S.
--------------

After much jocularity over the March 30 soccer match in
Birmingham between the U.S. and Guatemala, discussion turned
toward the CAFTA debate in the U.S. How can we be as helpful
to you, Berger asked, as you were to us here? The Ambassador
replied that they needed to be active in two areas:
defensive measures and pro-active lobbying. In the former
category, they had in effect played into the hands of an
anti-CAFTA argument as a result of a Constitutional Court
decision (brought on by a suit the Guatemalan private sector
sponsored) that had effectively ended administratively
imposed fines for violations of labor laws. Although
Guatemalan courts can in theory still impose fines, none had
for at least five months. If this is not fixed soon, the
Ambassador said, it strengthens the anti-CAFTA argument that
the Central Americans are incapable of enforcing their labor
laws. There was no clear result from this discussion (Briz
noted his ministry was engaged on the issue with the Ministry
of Labor but that the Constitutional Court decision had left
little room for executive branch action),but Berger was made
aware that his government has yet another CAFTA-related
problem.


4. (C) The Ambassador also encouraged Berger to reply to
every single letter he gets from U.S. organizations alleging
that Guatemalan police and military used excessive force
against peaceful, anti-CAFTA demonstrators. Silence will be
taken for acquiescence to a distorted version of events; the
Ambassador noted that we are replying to every email and
letter we get, even those on which we are copied and that are
directed to Guatemalan authorities. Finally, the Ambassador
spoke briefly of the PriceSmart case, explaining that, as it
involves U.S. citizens, we are neutral. But as it is being
fought out in the Guatemalan court system (though there are
indications that the parties may renew efforts to find an
out-of-court settlement),the system itself will be on trial.
The legal system thus needs to be seen to be fair, impartial
and efficient.


5. (C) The Ambassador also encouraged Berger and his
government to engage with supporters of CAFTA in the U.S.,
not to leave the field to CAFTA opponents (the Guatemala
press is full, March 30, of articles detailing how Guatemalan
&civil society8 is lobbying the U.S. Congress to vote CAFTA
down). Berger says he still wants to organize a trip of
Central American presidents to Washington but, with Nicaragua
and Costa Rica yet to take CAFTA up, was not sure how that
would play. He is going to discuss it further with Saca and
Maduro April 1, in Tegucigalpa.


6. (C) The Threat of Drug Organizations
--------------

Continuing a theme he developed with Defense Secretary
Rumsfeld March 24, Berger spoke in anguished tones of how
helpless Guatemala feels in its battle against the big
drug-trafficking families. He continues to think in terms of
somehow just turning them over to the U.S. (&everybody knows
who they are, just come get them8). The Ambassador walked
him up through the reasons why that doesn,t work: we are a
nation of laws, we have to develop cases that will hold up in
court and neither you nor we working with you have the legal
tools to do that, as you lack wiretap authority and a
RICO-like statute. This led to our best discussion yet with
senior Guatemalan officials that they have to acquire such
authorities as soon as possible (we have been working this
issue, with some progress, with the Attorney General).
Berger seemed energized at its conclusion to make sure that
legal reforms that his government was already planning
includes such authorities.


7. (U) Criminal Deportees
--------------
Berger has been under the misimpression that we deport aliens
convicted of crimes in the U.S. before they complete their
prison sentences. He accepted the Ambassador's explanation
that this is not the case.


8. (C) Cuba Human Rights Resolution
--------------

Berger heard the Ambassador out on the intrinsic importance
of a successful vote and of its political importance to us,
reminding him that Guatemala voted yes last year. The
Ambassador noted that Costa Rica and Honduras have pledged to
vote yes and noted that our resolution was deliberately
minimalist. Berger said he of course had no illusions about
conditions in Cuba and that maintaining Central American
unity would be important. But he fretted that his government
is getting tagged with being overly solicitous of U.S. views
(this was an allusion to the long, debilitating saga over
data protection and CAFTA) and that if Guatemala voted yes,
it would give the now-energized left yet another argument.
He also said Guatemala is genuinely grateful for the Cuban
doctors here and does not want to risk losing them. He
inquired as to how Mexico is voting, gave instructions to
Briz and Stein to do additional homework and to the
Ambassador said &let,s talk again next week .8 Comment:
Classified email to WHA provides somewhat greater detail and
asks for heavy artillery to be brought into this discussion.


9. (C) OAS Secretary General Race
--------------

Berger said that Guatemala will vote for Flores as long as he
is in the race, but confirmed that, if it narrows to Insulza
and Derbez, Guatemala will support Mexico (&our neighbor8).
He asked what we would do in that circumstance. The
Ambassador said we are not considering that eventuality
because we are not planning to see Flores lose. Berger
characterized that good-naturedly as bravado but Briz
helpfully chimed in that his Salvadoran colleague reported
this morning that Flores has picked up four votes in the
Caribbean (not identified to Briz, however). So Briz thought
that Flores, possibilities looked at least marginally
better. The Ambassador encouraged the Guatemalans to do
whatever they could to help Flores get into the second round.


10. (C) Comment: Berger was once again (as he was with
SecDef Rumsfeld) effusively appreciative of our release of
MAP funds and he values his relationship with us. We need
the support of a seventh floor principal, however, to bring
him around on Cuba.


HAMILTON