AMBASSADOR AND SENATE PRESIDENT DISCUSS BILATERAL

C O N F I D E N T I A L LA PAZ 003107

SIPDIS

SIPDIS

STATE FOR WHA/AND
TREASURY FOR SGOOCH

E.O. 12958: DECL: 11/16/2016
TAGS: PGOV PREL ECON MASS MCAP KTIA MOPS BL
SUBJECT: AMBASSADOR AND SENATE PRESIDENT DISCUSS BILATERAL
RELATIONS

REF: A. LA PAZ 3040

B. LA PAZ 2756

Classified By: Ambassador Philip Goldberg for reason 1.4 (b).

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Summary
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1. (C) In a meeting with the Ambassador on November 15,
Senate President Santos Ramirez stated his support for the
passage of money laundering legislation, but made it clear
that his focus is on the rapid passage of an anti-corruption
bill. The Ambassador explained the humanitarian goals of the
"New Horizons" exercise that the U.S. military hoped to
conduct in Bolivia in 2007 and requested Ramirez' support for
the program. The Ambassador explained that the U.S.
executive supports extension of ATPDEA (Andean Trade
Promotion and Drug Eradication Act) benefits for Bolivia, but
that the issue is now in the hands of the U.S. congress. The
Ambassador and Ramirez agreed that they did not want the
MANPADS missile issue to affect bilateral relations. End
summary.

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Money Laundering
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2. (C) The Ambassador thanked Senate President Santos Ramirez
on November 15 for his stated support for the passage of
effective money laundering legislation. The Ambassador noted
that the Embassy has been working with Presidential Legal
Adviser Eusebio Gironda to improve Bolivia's draft
legislation on corruption and money laundering, but that
there are some differences in our approaches, particularly
regarding the inclusion of terrorism finance and the need to
enact either a broader law than what the GOB has proposed or
two separate laws (ref A). Ramirez responded that the
anti-corruption law was of vital importance, and implied that
he would support two laws -- one on corruption and a second
law on money laundering -- so as to not "complicate" passage
of the anti-corruption law. Ramirez also noted that Bolivia
needs to update its penal code and penal procedures code.
Upon the Ambassador's suggestion for increased coordination
between the executive and congress, Ramirez responded that
the executive should convene a meeting including legal
advisers, consultants, the finance ministry, and the bank
superintendency to report to him on the progress of the draft
law.

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New Horizons
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3. (C) The Ambassador explained to Ramirez that the "New
Horizons" exercise that the U.S. military hoped to conduct in
2007 was a humanitarian program under which approximately 200
soldiers would engage in civil construction projects in
Bolivia in order to strengthen links between the two
militaries and promote development (ref B). He added that
press reports on the topic were exaggerated and did not
explain the program's true goals. Ramirez replied that one
must be cautious with the press, which thrived on conflict
and speculation.

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ATPDEA Extension
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4. (C) The Ambassador told Ramirez that the U.S. executive
branch sent a letter to the U.S. congress on November 14
requesting extension of ATPDEA trade preferences for the four
Andean countries currently receiving those benefits. He
explained that the matter was now in the hands of the U.S.

congress.

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MANPAD Missiles
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5. (C) The Ambassador noted that he wanted to put the missile
issue (ref B) behind us and not have it affect our bilateral
relationship. Ramirez explained that the public ministry had
requested congressional approval to bring a case against
former President Rodriguez to the supreme court. He said
that both houses of congress must approve the case by
two-thirds vote in order for it to move forward. The
Ambassador replied that President Rodriguez had not done
anything outside of his capacity as president, nor had he
compromised Bolivia's security. In fact, he had improved it.
Ramirez said that statements by high-level military
officials had raised questions regarding who authorized the
missile transfer, why it was not done in a transparent
manner, and why the Bolivian constitution was violated. He
said that the process must run its course through the
Bolivian justice system, but agreed with the Ambassador that
the process was an internal one which should not affect our
bilateral relationship.

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Comment
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6. (C) The Embassy will continue its dialogue with Ramirez,
one of President Morales' principal advisers, in order to
promote GOB cooperation on topics of mutual interest,
including money laundering and military cooperation. End
comment.
GOLDBERG