REP. ISSA'S MEETING WITH LEADERS OF LEBANESE COMMUNITY IN

UNCLAS SECTION 01 OF 02 SAO PAULO 000360

SIPDIS

SENSITIVE
SIPDIS

STATE FOR WHA/BSC, NEA/ELA
H PASS REP. ISSA
NSC FOR CRONIN
TREASURY FOR OASIA, DAS LEE AND FPARODI

TAGS: OREP PGOV PREL ETRD PTER EFIN BR LE
SUBJECT: REP. ISSA'S MEETING WITH LEADERS OF LEBANESE COMMUNITY IN
SAO PAULO

SENSTIVE BUT UNCLASSIFIED - PLEASE PROTECT ACCORDINGLY.

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SUMMARY
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1. (SBU) During the visit to Sao Paulo of CODEL Grassley (septels),
Rep. Darrel Issa (CA) held a separate meeting with four leaders of
Sao Paulo's Lebanese community. They discussed the size and
activities of Brazil's Lebanese community as well as the influence
of the broader Arab community on the Foreign Ministry (Itamaraty) in
formulating Brazil's Middle East policy. End Summary.

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REPRESENTATIVE ISSA MEETS SAO PAULO'S LEBANESE LEADERS
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2. (U) In a separate meeting from the rest of the CODEL, California
Representative Darrell Issa met over drinks at the CG's residence
with four leaders of Sao Paulo's Lebanese community to discuss
issues of Lebanon, the Middle East, and Lebanese expatriates. In
addition to Rep. Issa, CG, Issa staffer Laurent Crenshaw, and
Poloff, participants included Joseph Sayah, Lebanese Consul General
in Sao Paulo; Souheil Yamount, a long-time investment and government
relations advisor to the Hariri Family Group; Alfredo Cotait Neto,
President of the Brazil-Lebanon Chamber of Commerce; and Guilherme
Mattar, a Director and Secretary-General of the Brazil-Lebanon
Chamber of Commerce. Rep. Issa told the group he is of Lebanese
descent and his grandfather lived in Rio de Janeiro before settling
in the United States. He has been actively engaged in issues
related to Lebanon and the Middle East for years, both as a
Congressman and before that as a businessman.


3. (U) Brazil's Lebanese community is the largest expatriate group
of Lebanese worldwide. CG Sayah confirmed for Representative Issa
that after four generations since large-scale immigration began, Sao
Paulo alone is home to some eight million persons of Lebanese
descent. Issa wondered aloud if large Lebanese expatriate
communities such as Sao Paulo's might be tapped to support the
democratic process in Lebanon. Sayah pointed out that currently
Lebanon does not have an absentee voter process, and the country's
parliamentary system would not provide the opportunity to affect
presidential elections, which is critical to advancing Lebanon's
fragile democracy.


4. (SBU) Rep. Issa and the group discussed a range of issues facing
Lebanon today, the most pressing being Iran's new influence in the
country after the power vacuum left by Syria's pullout. Sayah
repeatedly linked Hezbollah to Iran, and warned that in upcoming
presidential elections in Lebanon, any candidate who does not
specifically denounce Hezbollah is implicitly supporting Iran as
Hezbollah's current benefactor and puppet-master. Closer to home,
the group candidly acknowledged that Hezbollah supporters operate in
Parana State and the tri-border region where Brazil, Paraguay, and
Argentina meet.

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ALLEGED SYRIAN INFLUENCE WITHIN ITAMARATY
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5. (SBU) Sayah and Yarmout gave a somewhat surprising account of
the current influence on the GoB of various elements of the Arab
community in Brazil. When asked why the GoB had taken some
confusing stands counter to the United States regarding Middle East
policy, both men described the MFA (Itamaraty) as being greatly
influenced by Syrians in Brazil. They said that for generations,
Syrian-Brazilians have become diplomats, while Lebanese immigrants
have focused on business. In the past these trends were not noticed
because there was no divergence in opinion or interests among the
various elements of the greater Arab community in Brazil.


6. (SBU) However, with the Syrian pullout from Lebanon and a
growing hostility between the two countries fueled by the
assassination of Lebanese former Prime Minister Rafik Hariri, the
GoB finds itself behaving almost schizophrenically, both Sayah and
Yarmout asserted. The descendents of Syrians purportedly entrenched
in the Brazilian Foreign Ministry have taken public stands in

SAO PAULO 00000360 002 OF 002


support of Syria, allegedly at times even without the knowledge or
authorization of others in the Lula administration. Further, the
Arab-Brazil Chamber of Commerce has become extremely influential,
and the organization tends to oppose U.S.-led initiatives in the
Middle East. EMBASSY BRASILIA COMMENT: Lebanese CG Sayah's comments
reflect a fascinating and apparently sincere point of view within
Brazil's Lebanese community, and merit further examination and
reporting. That said, while under the Lula administration the MFA's
positions on a number of Middle Eastern issues have been problematic
for the USG, vexing and even inexplicable, we have no way at present
of verifying whether or not they are signs of the existence of a
cabal of Syrian-Brazilian diplomats pursuing their own agenda. END
COMMENT.


7. (SBU) Yamout said that to counter this putative Syrian-based
influence, he recently obtained 10,000 signatures of
Lebanese-Brazilians on a petition demanding that the Lula
administration as a whole, including Itamaraty, play a more balanced
role regarding the Middle East. (NOTE: Both Yamout and Sayah
implied that "Arab" interests may no longer be the same as
"Lebanese" interests. They referred to a subtle change in Itamaraty
policy from being pro-Lebanese to pro-Arab, and thus increasingly
incompatible with Lebanese interests. END NOTE.) He called the
petition a down-payment on grass-roots activism, and said the
community will push Itamaraty to support U.S. resolutions on
Lebanon, Syria and Iran. Rep. Issa said it will be important to
garner international support for a new U.N. resolution following
Resolution 1559, and for smart investments in Lebanon, avoiding the
corruption that has been seen in past programs.


8. (U) Issa wrapped up the evening by declaring that if the Lebanese
expatriate communities of Brazil and the Unites States can stand
together to press their respective governments to cooperate on
promoting democracy and strengthening institutions in Lebanon, the
day may come soon when Lebanon will finally be free of all foreign
influence.


9. (U) This cable was coordinated/cleared with Embassy Brasilia.

MCMCULLEN