PARAGUAY: DRUG LAWYER/COLORADO LEADER KILLED

C O N F I D E N T I A L ASUNCION 001087

SIPDIS

SIPDIS

NSC FOR SUE CRONIN

E.O. 12958: DECL: 10/03/2026
TAGS: KCRM PA PGOV PINR SNAR
SUBJECT: PARAGUAY: DRUG LAWYER/COLORADO LEADER KILLED


Classified By: PolCouns James P. Merz; Reasons 1.4(b),(d)


1. (C) Faustino Villalta, President of the Colorado Party's
precinct in Pedro Juan Caballero, was shot and killed October
22 immediately outside his house. Villalta was the defense
lawyer of several renowned drug traffickers in the region,
bordering Brazil, including Brazilian trafficker Luis Carlos
da Rocha, the subject of the Anti-Drug Secretariat's (SENAD)
Most Wanted Campaign. Villata was a candidate for Governor
of Amambay in 2003 and was said be considering another run at
the governor's race in 2008. He was also reportedly close to
President Duarte.


2. (C) Villalta's son, Christian Adilson, was arrested in
the course of a SENAD operation in June 2006 for his
involvement as a pilot in the international transport of 195
kilos of cocaine and remains in jail pending his trial. In
the course of its investigation, SENAD uncovered evidence
that the father was involved in laundering money for da Rocha
and consequently embargoed assets in his name including a
farm and funds tied to a business account.


3. (C) Both Christian and Villalta's second son, Walter,
had reportedly incurred significant debts with mafia figures.
Last month, the father had pursued a meeting with SENAD
Director Hugo Ibarra, ostensibly for the purpose of lobbying
for the release of his son. Ibarra refused to see him and
instead had a SENAD lawyer meet. Ibarra told PolCouns he now
believes Villalta may also have wanted to appeal for the
release of his assets to pay off his son's debts. The
conventional wisdom in police circles is that the mafia
killed Villalta when he proved unable or unwilling to pay off
his sons' debts. There is also the widespread, if quiet,
belief that Villalta was a major PJC conduit for narco-monies
ending up in Colorado Party coffers.


4. (C) Comment: Murders of his kind are relatively
uncommon in Paraguay. Certainly, there is no reason to mourn
the death of someone with links to major drug traffickers who
traded on his ties to major political figures. Many in PJC
see storm clouds brewing and expect a further upsurge in
narco-on-narco violence. One major trafficker has already
publicly "declared war" on SENAD and prosecutors.
Furthermore, as SENAD continues to go after Paraguay's major
traffickers, many with links to powerful political figures,
it is not difficult to imagine traffickers may soon take out
their resentment with SENAD.
CASON