Identifier
Created
Classification
Origin
06PANAMA2451
2006-12-29 18:49:00
UNCLASSIFIED
Embassy Panama
Cable title:  

PANAMA: 2006 COUNTRY REPORTS ON TERRORISM

Tags:  PTER ASEC EFIN KCRM KPAO KHLS PM 
pdf how-to read a cable
VZCZCXYZ0001
RR RUEHWEB

DE RUEHZP #2451/01 3631849
ZNR UUUUU ZZH
R 291849Z DEC 06
FM AMEMBASSY PANAMA
TO RUEHC/SECSTATE WASHDC 9564
INFO RUEILB/NCTC WASHDC
UNCLAS PANAMA 002451 

SIPDIS

SIPDIS

DEPARTMENT FOR S/CT RHONDA SHORE AND WHA/CEN
PASS TO NCTC

E.O. 12958: N/A
TAGS: PTER ASEC EFIN KCRM KPAO KHLS PM
SUBJECT: PANAMA: 2006 COUNTRY REPORTS ON TERRORISM

REF: STATE 175925

GENERAL ASSESSMENT
------------------

UNCLAS PANAMA 002451

SIPDIS

SIPDIS

DEPARTMENT FOR S/CT RHONDA SHORE AND WHA/CEN
PASS TO NCTC

E.O. 12958: N/A
TAGS: PTER ASEC EFIN KCRM KPAO KHLS PM
SUBJECT: PANAMA: 2006 COUNTRY REPORTS ON TERRORISM

REF: STATE 175925

GENERAL ASSESSMENT
--------------


1. (SBU) SUMMARY. Panama continues to be a strong partner
with the United States in the global war on terrorism. The
Panama Canal is the country's most important economic asset.
Any act of terrorism that closes off the Canal could severely
impact Panama's economy, the United States, and other
countries in the region that rely heavily on the Canal for
commerce. Panama's Public Forces (PPF) closely monitor the
Revolutionary Armed Forces of Colombia (FARC) and United
Self-Defense Forces of Colombia's (AUC) activities in the
Darien Province on the Colombian border. The Government of
Panama (GOP) undertook a review of the structure of the PPF
and conducted exercises to ensure its ability to protect the
Canal and residents of Panama against a possible terrorist
act. END SUMMARY.


2. (SBU) Panama remains a low-threat post for indigenous
terrorism and the State Department downgraded Panama from
"high" to "medium" on the State Department's Security
Environmental Threat List (SETL) for transnational terrorism.
Notable events in 2006 include the creation of a dedicated
border force within the Panamanian National Police (PNP) and
the hosting of a conference for Inter-American Committee
Against Terrorism (CICTE) members.


3. (SBU) Panama did not make any public statements in
support of a terrorist-supporting country on a terrorism
issue or provide any support for international terrorism. On
the contrary, the GOP speaks out against terrorism in many
international forums and signed or ratified all applicable
international agreements concerning counterterrorism.


SAFE HAVEN ASSESSMENT
--------------


4. (SBU) Panama did not provide any support to international
terrorism, terrorists, or terrorist groups.


TERRORIST GROUPS/ORGANIZATIONS
--------------


5. (SBU) Panama currently has no recognized domestic
terrorism organizations.


6. (SBU) However, Panama remains a transshipment point for
arms, drugs, and smuggling of illegal aliens due to its

highly developed commercial transport sector and shared
border with Colombia, home to the FARC and AUC, both
designated as terrorist organizations by the State
Department. Panama's remote border region with Colombia, the
Darien Province, served in the past as a rest and recreation
point for the FARC.


7. (SBU) In January 2006, the FARC kidnapped two Spanish
citizens near the town of Jaque in the Darien. The group
held and later released the two individuals. This incident
indicates that the FARC presence and activity in the Darien
remains. In January 2003, AUC narcoterrorists killed four
Panamanian citizens in the village of Paya.


8. (SBU) In 2006 Panama created a dedicated border patrol
force for both the Colombian and Costa Rican borders. The
Border Protection Force is a separate service with its own
command and headquarters, but remains under the direction of
the Panamanian National Police (PNP). Panama believes a
dedicated border force will result in higher professionalism
as well as improved border security. The PNP in turn will
dedicate more of its efforts to traditional police functions
instead of rotating part of its force to the border to
conduct paramilitary operations every 30 days.


9. (SBU) In June 2003, Panama signed a border security
cooperation agreement (Comision Binacional Fronteriza or
COMBIFRON) with Colombia. COMBIFRON provides a framework for
sharing cross-border security information and encourages
security-force cooperation on insurgent, drug, and illegal
migrant issues. Panama has no army, however, the PNP with
U.S. training and assistance established a permanent presence
in several towns along the border with Colombia to prevent
narcoterrorist operations.


FOREIGN GOVERNMENT COOPERATION
--------------


10. (SBU) The GOP signed and ratified all 12 international
counterterrorism conventions passed after September 11, 2001.
The GOP fully supports the Inter-American Convention Against
Terrorism. On December 1, 2006 the Panamanian National
Assembly ratified the International Convention on the
Repression of Nuclear Terrorism.


11. (SBU) On May 12, 2004 Panama signed the Proliferation
Security Initiative (PSI) which allows U.S. forces to board
Panamanian flagged vessels suspected of carrying weapons of
mass destruction. Panama maintains the world's largest ship
registry, making PSI an important tool in countering
terrorism. The United States and Panama are discussing
information exchanges on various security issues.


12. (SBU) Panama provides enhanced force protection for U.S.
military vessels, including submarines, during "high value
transits" (HVT) of the Canal. USG officials have praised the
GOP's level of support and security for HVTs. During the
November 2005 visit to Panama by President Bush, the GOP
permitted a sizable U.S. military presence to counter the
possibility of a terrorist act.


13. (SBU) The Ministry of Government and Justice (MOGJ) uses
classroom training, table-top exercises, and field visits to
improve coordination among the PPF agencies. Panama is also
the sponsor and host of the annual PANAMAX exercise. PANAMAX
is a multinational civil and military forces training
exercise tailored to the defense of the Panama Canal. The
exercise replicates real world threats to the Canal in order
to develop appropriate responses and guarantee safe passage
through the waterway. The 2006 PANAMAX was the fourth
consecutive year for the exercise. Fifteen nations,
including the United States, participated.


14. (SBU) The MOGJ works closely with the U.S. Department of
Homeland Security and Department of Justice in the Prisoner
Transfer program, which included 90 transfers in 2006. This
program transfers mostly narcotraffickers, whose revenues
support the FARC and the AUC, to U.S. custody for
prosecution. The GOP and DHS are also working together on
other joint counterterrorist initiatives, including the
malafide traveler interdiction operation at Tocumen Airport,
Operation Firewall, where targeted shipments of undeclared
financial instruments were seized while transiting through
Panama, and Panama's continued efforts to improve the level
of international Shipping and Port Security (ISPS)
compliance. Through 2006 Panama worked closely with DHS to
finalize the Declaration of Principles for Panama's Container
Security Initiative, which is scheduled to be signed in
February 2007.


15. (SBU) In 2006, Panamanian law enforcement authorities
worked jointly with the U.S. Drug Enforcement Administration
(DEA) to seize over 32 metric tons of cocaine and over $12
million in drug proceeds and assets.


16. (SBU) On October 30-31, 2006, Panama hosted a
multilateral conference for Inter-American Committee Against
Terrorism (CICTE) members from the United States, Panama,
Colombia, and Brazil to discuss strategies and preventative
measures to protect critical infrastructure vulnerabilities
from potential terrorist activities. The conference included
expert presentations on topics such as telecommunications,
cybersecurity, and international port security.
Representatives from each country provided an overview of the
agencies, programs, and tactical measures implemented to
protect critical infrastructure. The meetings were a
preparatory step for the planned February 2007 CICTE
conference in Panama which will be a larger scale event aimed
at including all CICTE member states.


17. (SBU) Panama's Colon Free Trade Zone (CFZ) is the second
largest in the world and over 2400 companies and 25 banks
operate there, importing and re-exporting goods from around
the world, including the Middle East. Due to its high level
of unemployment rate, high level of poverty, and its use by
drug smugglers, the adjacent town of Colon has a critical
crime rate. The GOP is concerned about the possibility of
terrorist groups exploiting Colon's poverty and drug
smuggling routes to further their goals.


18. (SBU) Panama is an international offshore banking
center. While the GOP has taken extensive measures to combat
money laundering, the banking system and the CFZ still serve
as vehicles for illicit finance. Panama's Foreign Ministry,
Council for Public Security and National Defense, Financial
Analysis Unit, and the Superintendent of Banks are fully
cooperative in reviewing terrorism finance lists. In 2006,
no terrorist assets were
discovered. The Panamanian legislature passed legislation
restricting possession of precursor chemicals and toughened
laws on money laundering.


19. (SBU) Panama did not make any arrests, trials, or
convictions of terrorists in 2006. The GOP did not extradite
or request extradition of any suspected terrorist to or from
other countries during 2006. The United States did not
request Panama to extradite any suspected terrorists in 2006.
Article 24 of the Panamanian Constitution prohibits the
extradition of Panamanian nationals for any reason and of
foreign nationals for political crimes. Also, the GOP will
not extradite anyone for a crime punishable by death, unless
the requesting country provides formal assurance that the
individual will not receive a penalty greater than Panama's
maximum sentence (for any crime) of 20 years imprisonment.


20. (U) Embassy point of contact for this report is Poloff
Carrie Lee, email LeeCK2@state.gov, phone number
011-507-207-7131.

Eaton