Identifier
Created
Classification
Origin
06ASUNCION832
2006-08-11 16:19:00
UNCLASSIFIED
Embassy Asuncion
Cable title:
PARAGUAY POLITICAL AND ECONOMIC UPDATE, AUGUST 5 -
how-toVZCZCXYZ0005 RR RUEHWEB DE RUEHAC #0832/01 2231619 ZNR UUUUU ZZH R 111619Z AUG 06 FM AMEMBASSY ASUNCION TO RUEHC/SECSTATE WASHDC 4656 INFO RUCNMER/MERCOSUR COLLECTIVE RHEHNSC/WHITE HOUSE NSC WASHDC RUMIAAA/USCINCSO MIAMI FL//SCJ5// RUEATRS/DEPT OF TREASURY WASHDC RUCPDOC/DEPT OF COMMERCE WASHDC RUEAIIA/CIA WASHDC
UNCLAS ASUNCION 000832
SIPDIS
SIPDIS
STATE FOR EB/IFD/OIA AND INL
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
E.O. 12958: N/A
TAGS: PGOV PHUM PREL ECON PA
SUBJECT: PARAGUAY POLITICAL AND ECONOMIC UPDATE, AUGUST 5 -
11 2006
UNCLAS ASUNCION 000832
SIPDIS
SIPDIS
STATE FOR EB/IFD/OIA AND INL
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
E.O. 12958: N/A
TAGS: PGOV PHUM PREL ECON PA
SUBJECT: PARAGUAY POLITICAL AND ECONOMIC UPDATE, AUGUST 5 -
11 2006
1. (U) SUMMARY:
-- Finance Ministry Avoids Labor Strike
-- Take 3 Steps and Dig Here
-- Another Narco-Trafficker Captured
-- Bomb Threat at Local Country Club
--------------
Finance Ministry Avoids Labor Strike
--------------
2. (U) On 8/9, Eileen Browne, the U.S. Treasury Technical
Advisor working with the GOP Finance Ministry, reported that
Finance Minister Ernst Bergen and the executive staff had
apparently agreed to a series of negotiations in lieu of a
union strike at the ministry. The union representatives and
members seek a pay for time-in-grade scheme and funded
private health insurance. However, the Finance Ministry
simply does not have money to finance these demands. The
union claims that the International Monetary Fund and the
World Bank are responsible for imposing spending ceilings
that prevent the Ministry from meeting union demands. Over
the past few days union representatives have taken on a more
anti-American tone, which we interpret as deriving from the
perception these institutions work at the bidding of the U.S.
--------------
Take 3 Steps and Dig Here
--------------
3. (U) On 8/8, under the cover of night, a large Asuncion
city-owned tractor excavated a portion of Caballero Park,
which is the home site of former General Bernardino Caballero
(hero of the Triple Alliance War of 1864 - 1870),in search
of treasure. The alleged treasure was to include precious
metals and historical objects that were thought to be buried
on the property according to a map an orthodontist discovered
inside a tree trunk (Note: Rumor has it many Paraguayans
sought to hide their valuables from Brazilians after Pafaguay
lost the Triple Alliance War. End Note). Supreme Court
Justice Victor Nunez, Military Court official Porfirio
Ramirez and three unknown persons acquired permission from
Asuncion Mayor Enrique Riera to excavate the property. The
agreement amongst them indicated that the petitioners (Nunez
and Ramirez) and the city would get a 50 to 50 percentage
split on the value of any treasure found. The tractor dug
more than 7 meters (almost 23 feet) deep but found nothing.
Those involved have since come under withering criticism for
their actions.
--------------
Another Narco-Trafficker Captured
--------------
4. (U) On 8/8, AntiNarcotics Secretariat (SENAD) Agents, with
the assistance of prosecutor Adelaida Vazquez, arrested
Ubiratan Brescovich, a Brazilian narco-trafficker and two
others in Ciudad del Este. Brescovich had a Brazilian
warrant out for his arrest for narcatics trafficking and is a
close associate of Marcelinho Niteroi who was arrested on
7/26 in Pedro Juan Caballero. Brazilian authorities had
requested that Paraguayan authorities exercise this warrant.
Both men are also connected to Brazil's notorious
Fernandinho Beira-Mar narco-trafficking oorganization. SENAD
seized evidence including documents, a small amount of
cocaine and a Global Positioning System (GPS).
--------------
Bomb Threat at Local Country Club
--------------
5. (U) On 8/9, an anonymous caller with an Argentine accent
called to say he had placed two explosive devices in the
Casino at the American-owned Yacht and Golf Country Club of
Paraguay. The man threatened to set off the explosives
remotely by cell phone if he did not receive USD 90,000. The
special tactical police unit (FOPE) and the military
personnel located two suspicious packages in the men's
lavatory of the Casino, which is adjacent to the hotel.
Neither contained an explosive device. No one has been
apprehended in connection with this incident. (NOTE: Several
FSOs are members of this Club. However, none were present at
the hotel on the evening of this incident. End Note.)
CASON
SIPDIS
SIPDIS
STATE FOR EB/IFD/OIA AND INL
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
E.O. 12958: N/A
TAGS: PGOV PHUM PREL ECON PA
SUBJECT: PARAGUAY POLITICAL AND ECONOMIC UPDATE, AUGUST 5 -
11 2006
1. (U) SUMMARY:
-- Finance Ministry Avoids Labor Strike
-- Take 3 Steps and Dig Here
-- Another Narco-Trafficker Captured
-- Bomb Threat at Local Country Club
--------------
Finance Ministry Avoids Labor Strike
--------------
2. (U) On 8/9, Eileen Browne, the U.S. Treasury Technical
Advisor working with the GOP Finance Ministry, reported that
Finance Minister Ernst Bergen and the executive staff had
apparently agreed to a series of negotiations in lieu of a
union strike at the ministry. The union representatives and
members seek a pay for time-in-grade scheme and funded
private health insurance. However, the Finance Ministry
simply does not have money to finance these demands. The
union claims that the International Monetary Fund and the
World Bank are responsible for imposing spending ceilings
that prevent the Ministry from meeting union demands. Over
the past few days union representatives have taken on a more
anti-American tone, which we interpret as deriving from the
perception these institutions work at the bidding of the U.S.
--------------
Take 3 Steps and Dig Here
--------------
3. (U) On 8/8, under the cover of night, a large Asuncion
city-owned tractor excavated a portion of Caballero Park,
which is the home site of former General Bernardino Caballero
(hero of the Triple Alliance War of 1864 - 1870),in search
of treasure. The alleged treasure was to include precious
metals and historical objects that were thought to be buried
on the property according to a map an orthodontist discovered
inside a tree trunk (Note: Rumor has it many Paraguayans
sought to hide their valuables from Brazilians after Pafaguay
lost the Triple Alliance War. End Note). Supreme Court
Justice Victor Nunez, Military Court official Porfirio
Ramirez and three unknown persons acquired permission from
Asuncion Mayor Enrique Riera to excavate the property. The
agreement amongst them indicated that the petitioners (Nunez
and Ramirez) and the city would get a 50 to 50 percentage
split on the value of any treasure found. The tractor dug
more than 7 meters (almost 23 feet) deep but found nothing.
Those involved have since come under withering criticism for
their actions.
--------------
Another Narco-Trafficker Captured
--------------
4. (U) On 8/8, AntiNarcotics Secretariat (SENAD) Agents, with
the assistance of prosecutor Adelaida Vazquez, arrested
Ubiratan Brescovich, a Brazilian narco-trafficker and two
others in Ciudad del Este. Brescovich had a Brazilian
warrant out for his arrest for narcatics trafficking and is a
close associate of Marcelinho Niteroi who was arrested on
7/26 in Pedro Juan Caballero. Brazilian authorities had
requested that Paraguayan authorities exercise this warrant.
Both men are also connected to Brazil's notorious
Fernandinho Beira-Mar narco-trafficking oorganization. SENAD
seized evidence including documents, a small amount of
cocaine and a Global Positioning System (GPS).
--------------
Bomb Threat at Local Country Club
--------------
5. (U) On 8/9, an anonymous caller with an Argentine accent
called to say he had placed two explosive devices in the
Casino at the American-owned Yacht and Golf Country Club of
Paraguay. The man threatened to set off the explosives
remotely by cell phone if he did not receive USD 90,000. The
special tactical police unit (FOPE) and the military
personnel located two suspicious packages in the men's
lavatory of the Casino, which is adjacent to the hotel.
Neither contained an explosive device. No one has been
apprehended in connection with this incident. (NOTE: Several
FSOs are members of this Club. However, none were present at
the hotel on the evening of this incident. End Note.)
CASON