Press Pans Former Secretary Baker's Visit

UNCLAS ULAANBAATAR 000215

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E.O. 12958: N/A
TAGS: PREL KPAO EINV EMINETRD MG US
SUBJECT: Press Pans Former Secretary Baker's Visit

Ref: Ulaanbaatar 163


1. Summary: Much of Mongolia's press reacted negatively to
a visit to Ulaanbaatar by former Secretary of State James
Baker. Secretary Baker is remembered warmly by many
Mongolians as the man behind the strengthening of bilateral
ties after Mongolia's 1990 democratic revolution. His visit
here March 25-29 was officially at the invitation of the
Mongolian Government and was heralded by the government as
the first visitor in Mongolia's 2006 800th anniversary
celebrations. When it became apparent both in his meetings
with government officials and remarks to the press that his
other purpose in coming to Mongolia was in the capacity of
legal counsel to and lobbyist for a Canadian mining company,
Ivanhoe (Baker's law firm represents Ivanhoe and he and his
party arrived on an Ivanhoe plane in the company of CEO
Robert Friedland),the local press attacked his visit as a
sham. Ivanhoe Mines is a Canadian firm that is developing a
large and controversial mine in southern Mongolia (reftel).
His visit, which coincided with heightened public attention
to the mining sector on the eve of debate in parliamentary
over revisions to the minerals law, unfortunately served to
deepen the controversy surrounding foreign investment in the
mining sector Due to conflict of interest concerns, Embassy
maintained a discreet distance from the visit. Ambassador
hosted a private coffee for the Secretary and an Emboff sat
in his call on President Enkhbayar -- at the GOM's
invitation. Embassy was not otherwise involved in this
private visit. End Summary.

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An Official Unofficial Celebratory Visit
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2. Initially the Mongolian press was positive, though low
key, about the visit. The Mongolian government said that
Secretary Baker was invited by the Mongolian Ambassador to

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the US and the Ministry of Foreign Affairs. No reason for
the visit was officially announced but word was put out that
it was connected to Mongolia's 800th anniversary
celebrations and Secretary Baker's desire to establish
academic ties between his foundation and Mongolian
institutions. Several papers ran short retrospectives on
Secretary Baker's role in US-Mongolian relations, and

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television stations showed clips from his two visits to
Mongolia as Secretary of State.

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Maybe Another Reason for the Visit?
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3. However,`Txl}oKd h(e,0)dl iq q;8:Qy(U,4/)UZ2MPG=SQ
pro-government paper
s were mostly neutral (though
notably not as positive as might normally be the case).
"Unen" ("Truth") said Secretary Baker's message was, "The
Stability Agreement is not for the gain of one side and loss
of the other side," and "Zuuny Medee" ("Century News")
paraphrased Secretary Baker this way: "I came to remind that
Mongolia is wasting time by delaying the stability
agreement."


4. The opposition press was less polite: "Onoodor"
("Today") said "The `two James Bakers' are pressuring the
Mongolian Government," and "Odriin Sonin ("Today's News")
asked "What was the real reason for James Baker's visit?
Interference in Mongolia's internal affairs." "Onoodor"
also had the toughest article, with a headline: "Lobbyist
Baker, don't ever come to Mongolia again." The following
article claimed Secretary Baker's visit was a last ditch
attempt to "save the family business."

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Comment
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5. From the comments in the media and from discussions with
reporters and editors, the main source of the antagonism
seems to be the feeling among the press that they were
intentionally misled by the Mongolian government on the
nature and reason for Secretary Baker's visit to Mongolia.
Even the pro-government press was caught off-guard by
Secretary Baker's reported advocacy on the Ivanhoe issue.

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And the opposition press was incensed that an official guest
of the Mongolian government would lobby the Prime Minister
on a private business issue.

6. Ambassador Slutz hosted a Sunday afternoon coffee for
the Secretary and his party on the first day of his visit,
and Acting DCM sat in on Secretary Baker's March 21 meeting
with Mongolian President Enkhbayar -- at the GOM's
invitation. Embassy did provide information on "think tanks"
that could be potential partners of the Baker Institute.
Embassy Ulaanbaatar was not otherwise involved in this
private visit.

Slutz