UNCLAS SECTION 01 OF 02 DILI 000152

SIPDIS

SENSITIVE
SIPDIS

DEPT FOR EAP/MTS

E.O. 12958: N/A
TAGS: PGOV MARR ASEC TT
SUBJECT: END OF WEEK UPDATE ON FDTL DISMISSALS AND UNREST IN DILI

REF: A) DILI 96, B) DILI 113, C) DILI 135 D) DILI 144

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1. (U) Summary: As of today, the situation in Dili remains calm
and appears to have mostly returned to normal after the spate of
incidences reported in Reftel D. Dili residents who had left
their homes to stay with relatives or take refuge elsewhere out
of fear of escalating violence, a number that was never as many
as exaggerated press reports implied, have mostly returned to
their homes. Embassy sources have been unanimous in
characterizing the unrest as primarily a martial arts
group-driven phenomenon, not involving the dismissed Timorese
armed forces (FDTL) soldiers except in a few isolated incidents.
Government officials continue to characterize the incidents as
a law enforcement issue that they are capable of managing and
expressed frustration and anger with highly inaccurate
international press reports. Meanwhile, the 591 dismissed FDTL
soldiers have reportedly dispersed since Monday, March 27, but
their leader expressed sadness and disappointment that they are
being "treated like criminals" and that no progress has been
made regarding their complaints. Government of East Timor
(GOET) officials are unsympathetic, but at the same time stress
the need to address the FDTL's institutional issues. End
summary.


2. (U) As reported in reftel D, numerous incidents involving
primarily intimidation and property destruction (mostly rock
throwing) occurred late last week and over the weekend in
several Dili neighborhoods. The incidents appear to have been
primarily carried out by members of martial arts groups using
increased publicity regarding tensions between people from the
eastern and western areas of East Timor as a pretext for their
actions. The incidents, and especially the proliferation of
rumors about impending violence that they sparked, raised fears
throughout the city and in some districts. However, incidents
were reduced significantly during the week, at least partially
due to widespread police patrols, and Dili's infamous rumor mill
has died down allowing a return to normality.

3. (U) The incidents and related rumors had prompted a number of
people to take temporary shelter away from their homes in the
affected neighborhoods. As of today, however, Embassy sources
indicate that the vast majority of Dili residents have returned
to their homes, with the exception of several whose houses
sustained damage rendering them uninhabitable. Embassy staff
who had taken in family and friends, report that everyone has
now returned home. A Catholic Church compound that was housing
approximately 200 people earlier in the week now only has a few
families left.


4. (U) In numerous conversations throughout the week, Embassy
sources have been unanimous in characterizing the disturbances
around Dili as the work of martial arts groups, citing two of
the larger groups, SHT and Sete-Sete, as primarily responsible.
The general view is that this was not an orchestrated effort,
but rather the work of a number of the group's members using the
pretext for their own personal motives, such as revenge, theft,
etc.


5. (U) In an apparently impromptu speech Thursday morning (March
30), Foreign Minister Jose Ramos Horta appeared noticeably upset
and blasted the international press for "irresponsible,
alarmist, and downright deceitful" reporting on the week's
events. Singled out in his criticisms were Agence France Press,
ABC (Australia), Lusa (Portugal) and Antara (Indonesia). He
also targeted the media development organization, Internews,
whose international director had been quoted in several of the
international stories, remarking also on its funding via USAID.
(N.B. Although the international director of Internews in Dili
was quoted in inaccurate stories, his quotes were themselves not
inaccurate and he does not appear to be the source for the
inaccuracies.) While Ramos Horta's outburst was the most
sharp-edged of official responses to date by far, it reflects
the overall Government of East Timor (GOET) view that the
incidents were not a major source of concern and that they had
been blown far out of proportion.


6. (U) Meanwhile, the dismissed FDTL soldiers have not been
actively gathering or making any plans since Monday. According
to the Lieutenant Salsinha who has been acting as their leader
so far, he asked them to disperse and to remain calm. He said
that many have returned to their homes in the districts. He
also expressed great frustration and said that he and the other
dismissed soldiers are "feeling very sad" because "some people

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are accusing them of creating instability." The group
apparently has no plan formed at this point regarding any next
steps.


7. (SBU) GOET officials, including the Prime Minister, continue
to publicly support the decision to dismiss the 591 striking
soldiers. However, according to private conversations conveyed
by Embassy sources, Foreign Minister Ramos Horta and Minister of
State Administration Anna Pessoa (who is very close to Prime
Minister Mari Alkatiri) have both separately remarked on the
need to address the institutional issues within the military
that led to the strike of over one third of the force. Both
also reportedly are planning to establish special commissions to
address the long-term institutional issues.
SHIRATORI