PANAMA MOVES CLOSER TO NAMING NEW SUPREME COURT

C O N F I D E N T I A L PANAMA 002463 SIPDIS SIPDIS DEPARTMENT FOR WHA/CEN SOUTHCOM ALSO FOR POLAD E.O. 12958: DECL: 12/20/2015 TAGS: PREL PGOV PINR PM SUBJECT: PANAMA MOVES CLOSER TO NAMING NEW SUPREME COURT NOMINEES, MORE ON SPADAFORA REF: A. PANAMA 2294 ¶B. PANAMA 2351 Classified By: DCM LUIS ARREAGA FOR REASONS 1.4 (B) AND (D). SUMMARY ‐‐‐‐‐‐‐ ¶1. (C) As a civil society evaluative commission released its December 19 report on 72 self‐nominated candidates for two high‐court vacancies, Supreme Court Magistrate Adan Arjona predicted that President Torrijos probably would choose "serious" people for the job. (See para 4.) Torrijos is expected to announce his choices as early as December 22. Arjona told POL Counselor December 9 that three close presidential advisors ‐‐ Jorge Ritter, Ubaldino Real, and Hugo Torrijos ‐‐ are vetting nominees for two high court openings that Martin Torrijos must fill by December 31. Arjona added that Torrijos "probably will fail" to remove any magistrates from the high court. Nonetheless, saying that fellow magistrate Winston Spadafora is much affected and depressed by the late‐November revocation of his U.S. visa under INA section 212(f) and might decide to step down, especially if further damaging allegations about his conduct appear in the press. Separately, former presidential secretary Ebrahim Asvat contended that Torrijos favors the "status quo" with respect to the Court and would not be likely to request USG evidence on Spadafora's wrongdoings. End Summary. Court Nominations Expected Soon ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ ¶2. (SBU) In the coming days, President Torrijos is expected to nominate replacements for two Supreme Court magistrates whose terms expire on December 31, 2005, perhaps following a December 21 cabinet meeting. (Note: The retiring Justices are Arturo Hoyos and Federico Lee.) Although Torrijos is not bound to heed a report submitted by his own evaluative committee of legal experts, he has signaled his intention to choose from among the 72 names of self‐selected individuals that the committee has evaluated. ¶3. (C) (Note: The culmination of the selection process comes amid heightened public expectations and media attention following the late‐November revocation of Magistrate Winston Spadafora's U.S. visa, under the anti‐corruption provisions of section 212(f),and a National Assembly decision, announced the same day as the visa revocation, to take no action on separate civil society criminal complaints against eight magistrates on the nine‐magistrate Court. Those complaints, in turn, were sparked by a public fracas in March 2005 of accusations and counter‐accusations involving long‐time Embassy contact Magistrate Adan Arjona and three of his Court colleagues, who included Winston Spadafora. See Reftels A and B. End note.) Torrijos To Name "Serious" Candidates ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ ¶4. (C) In a December 9 meeting with POL Counselor, Arjona predicted that the three‐man committee of Jorge Ritter, Minister of the presidency Ubaldino Real, and Hugo Torrijos would recommend former Partido Popular activist and former Solicitor General Aura Feraud and former legislator, now National Assembly director for legal affairs Harley James Mitchell for the Court short list, along with Gustavo Paredes, director of consumer advocacy group CLICAC. Feraud and Mitchell are "serious" people and would make capable justices, Arjona said. Arjona claimed that Real is backing Paredes, who has no prior judicial experience. According to Arjona, H. Torrijos has an interest who will replace Hoyos, whose office controls the PECC case. Arjona said the departure of Hoyos, who he said acts as "advisor" to a deeply corrupt Court, is a good thing for Panama. ¶5. (C) (Note: Ritter was foreign minister under Ernesto Perez Balladares and is widely seen within the ruling PRD as a discreet defender of the former president's interests, although he denies it. Hugo Torrijos is former Maritime Administration director and has been accused, along with Perez Balladares, of involvement in the PECC scandal, which surfaced amid embarrassing accusations of wrongdoing in 2003, although the Court finally quashed the Comptroller's investigation. End note.) Spadafora "Depressed" ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ ¶6. (C) Speaking of Spadafora's visa revocation, Arjona said that despite his cool, "calculated" public front, the Panamanian magistrate is much affected and depressed by the action. That the USG has announced that it has information about Spadafora's corruption is a signal to the Panamanian people that Spadafora should leave the Court. Arjona predicted that Spadafora might resign, especially if the media publishes any more damaging revelations about him, as he predicted might well appear concerning the case of Sea Heritage, a U.S. company whose underwater exploration contract was cancelled by Spadafora's deputy ("suplente"), Jacinto Cardenas. (Comment: Spadafora has told whoever will listen that he believes that his visa was revoked because of his action against Sea Heritage. End Comment.) Arjona also predicted that Torrijos and Lewis would fail to convince any Supreme Court magistrates to resign, as they have often suggested to EmbOffs. Spadafora "Deeply Hurt" ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ ¶7. (C) Separately, a well connected PRD member who is close to Winston Spadafora, corroborated Arjona's view, telling EmbOff that Spadafora is &deeply hurt8 by the revocation, especially because he sees himself as being &pro‐U.S.8 As Minister of Government and Justice (1999‐2000),Spadafora confided, he had worked closely with the U.S. Embassy on security/anti‐terrorism issues, especially because the Salas‐Becker maritime agreement. Spadafora does not want to lose his job as Justice but apparently is terrified that the USG will push the GOP to get rid of him and he now feels persecuted by the USG. A Hot Potato ‐‐‐‐‐‐‐‐‐‐‐‐ ¶8. (C) Former Presidential Goals and Planning Secretary Ebrahim Asvat told POL Counselor December 5 that Vice President Samuel Lewis had asked him for advice on what to do about Spadafora's demands that Lewis request the USG "evidence" that led to the revocation. Lewis did not want the onus for deciding what to do about the Spadafora case on him, Asvat explained. Asvat and Lewis agreed that if the National Assembly does not request Lewis to obtain evidence, in its capacity as the prosecuting arm of Supreme Court justices, then Lewis has no constitutionally mandated reason to do so. (Note: Lewis last week sent a letter from Spadafora requesting the evidence against him to the Embassy under cover of a diplomatic note. Embassy has responded to that note. Asvat quit his unpaid position in early December, saying that Torrijos gave him little support or guidance. End note.) Big Brother Calling ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ ¶9. (C) But Asvat said he went further and advised Lewis that the U.S. was acting as a "benevolent advisor" (or big brother) for Panama, as it had done in the past. Spadafora's visa revocation was meant to send Panama a signal, he told Lewis. The issue was greater than a single corrupt justice ‐‐ it involves the entire criminal justice system, Asvat said, and the continued viability of Panama's democratic political system in the face of loss of its legitimacy due to corruption and impunity at the top. ¶10. (C) For Asvat, a larger question is the role of President Torrijos. Lewis told him that Torrijos does not want to "interfere" with other branches of government. Lewis pointed out that even if evidence against Spadafora is sought and obtained, the PRD and President Torrijos control fewer than two‐thirds of the votes in the Assembly, so that an impeachment attempt might fail. Lewis said that he was concerned that a failed attempt to impeach Spadafora would serve to vindicate him and all the other corrupt judges on the Court. Comment ‐‐‐‐‐‐‐ ¶11. (C) Torrijos's preference for the judicial "status quo" is self‐evident. He did nothing and said nothing to encourage the Assembly to take a hard look at the complaints that a highly qualified and serious civil society group lodged at the National Assembly against eight justices in late November. The National Assembly, sensing the president's lack of interest, decided to take no action on the complaints, in itself hardly a surprise. Panama's judicial system has shown itself all but incapable of investigating and trying cases of serious, high‐level official wrongdoing. One question is the extent of political fallout for Torrijos and the PRD‐controlled Assembly, who were elected on a "zero corruption" platform, for simply continuing to support an inherently flawed judicial system in a country that is losing patience with that system. ARREAGA