Identifier
Created
Classification
Origin
06VILNIUS357
2006-04-12 13:19:00
CONFIDENTIAL
Embassy Vilnius
Cable title:  

PARLIAMENT OUSTS SPEAKER IN LATEST LITHUANIAN

Tags:  PGOV PREL LH 
pdf how-to read a cable
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DE RUEHVL #0357/01 1021319
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O 121319Z APR 06
FM AMEMBASSY VILNIUS
TO RUEHC/SECSTATE WASHDC IMMEDIATE 0066
INFO RUEHZG/NATO EU COLLECTIVE IMMEDIATE
RHEHNSC/NATIONAL SECURITY COUNCIL WASHINGTON DC IMMEDIATE
C O N F I D E N T I A L VILNIUS 000357 

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STATE FOR EUR/NB

E.O. 12958: DECL: 04/11/2016
TAGS: PGOV PREL LH
SUBJECT: PARLIAMENT OUSTS SPEAKER IN LATEST LITHUANIAN
POLITICAL DRAMA

Classified By: Political-Economic Officer Nancy Cohen
for reasons 1.4(d).

Summary
-------

C O N F I D E N T I A L VILNIUS 000357

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STATE FOR EUR/NB

E.O. 12958: DECL: 04/11/2016
TAGS: PGOV PREL LH
SUBJECT: PARLIAMENT OUSTS SPEAKER IN LATEST LITHUANIAN
POLITICAL DRAMA

Classified By: Political-Economic Officer Nancy Cohen
for reasons 1.4(d).

Summary
--------------


1. (C) The Lithuanian parliament removed Speaker Arturas
Paulauskas April 11 in an overwhelming vote of no confidence
that resulted in his New Union party's departure from the
ruling coalition. It appears the remaining three coalition
partners will succeed in retaining control of the government
with a slim parliamentary majority. Both New Union
government ministers -- Foreign Minister Valionis (now
traveling in Asia) and Social Welfare Minister Blinkeviciute
-- have submitted their resignations. Though Paulauskas's
removal nominally resulted from charges of Parliamentary
mismanagement, the episode probably masks a power struggle
between the dominant coalition partner Labor Party and the
Social Democrats of Prime Minister Brazauskas. We expect
Lithuania's foreign policy direction will remain solid while
this new internal political drama plays out. Senior
officials assured us April 12 that the May conference on
eastern European democratization that Vice President Cheney
plans to attend remains on track. End Summary.

Rising Tide of Scandals and Acrimony
--------------


2. (U) The Parliament held the no-confidence vote on the
initiative of Conservative Party leader Andrius Kubilius, who
said he aimed to draw attention to recent scandals involving
misuse of Parliamentary resources. After the ruling
coalition removed party discipline for their members on the
issue, significant numbers of them joined with opposition
deputies to deliver a 94 to 11 vote of no-confidence against
Paulauskas in the 141-seat Parliament. The no confidence
vote follows a crescendo of allegations of public impropriety
and government corruption that have dominated the front page
for months. Since late 2005, Prime Minister Brazauskas has
been fending off charges that his wife illegally or
unethically benefited from his office in a real estate deal
that aimed to influence the sale of Lithuania's Mazeikiu
Nafta oil refinery. Since January, three presidential
advisors have resigned their posts in response to allegations
of impropriety. Labor Party leader Viktor Uspaskich has

launched repeated salvos at the President's office, alleging
incompetence and deceit in managing the Presidency.

Immediate Impact
--------------


3. (U) The Parliament replaced Paulauskas with the Labor
Party's Vydas Gedvilas as Acting Speaker until the coalition
chooses a new speaker. Immediately after the no-confidence
vote, Paulauskas announced the withdrawal of his party from
the ruling coalition, including Foreign Minister Valionis
Antanas Valionis (now on a trip to China and South Korea) and
Social Welfare and Labor Minister Vilija Blinkeviciute. The
fate of most of the NU's chairs of various parliamentary
committees and deputy ministers remained unclear April 12,
though the NU chair of the Anti-Corruption Committee,
Algirdas Monkevicius, gave up his chairmanship.


4. (U) The government's three remaining coalition partners
-- the Labor Party of Russian-born tycoon Viktor Uspaskich,
the Social Democrats of Prime Minister Brazauskas, and the
Farmer's party of Kazimiera Prunskiene -- seemed set to hold
on to government with a bare majority of 71 seats. Social
Democratic parliamentary floor leader Juozas Olekas told the
media April 12 following a meeting of the coalition that his
party expects the coalition will continue to function at
three and that the Government will remain intact and that
Brazauskas would not resign. Olekas suggested that the Labor
Party might name a permanent Speaker to replace Paulauskas.


5. (U) Meanwhile, President Valdas Adamkus demanded April 11
that the remaining coalition parties "assume full
responsibility for governing" and "refrain from destabilizing
the state."

Opposition Aims to Exploit Instability
--------------


6. (U) Despite the apparent determination of the remaining
coalition partners to remain in power, opposition leaders
believe they have an opportunity to bring down the government
either through a new coalition or early parliamentary
elections. Opposition leader Andrius Kubilius told us that
he hopes to meet April 12 with Olekas to discuss the

possibility of forming a rainbow coalition government.
Kubilius has also floated in the press the possibility of
calling for new parliamentary elections. So far, the
remaining members of the ruling coalition of not expressed
any public interest in either option.

May Conference to Go Forward
--------------


7. (U) Meanwhile, senior Lithuanian diplomats briefed the
Vilnius diplomatic community April 12 that the political
crisis would have no impact on Lithuanian foreign policy.
They confidently predicted that the May 3-5 conference on "A
Common Vision for a Common Neighborhood" that Vice President
Cheney plans to attend would take place as scheduled. The
Conference aims to facilitate greater transatlantic support
for the fledgling democracies to Lithuania's east and south
-- a theme the diplomats said would remain central to
Lithuanian foreign policy.

Comment
--------------


8. (C) It is clear that both the Laborites and Social
Democrats gave their blessing to opposition efforts to remove
Paulauskas, probably to widen the field in the two parties'
ongoing struggle over power and the allocation of EU
resources. The possible impending nationalization and resale
of the Mazeikiu Nafta oil refinery within the next few weeks
-- which could generate significant new financial resources
for the government -- could also have played a role. It
didn't help that in addition to allowing the Parliamentary
staff to abuse its privileges that Paulauskas has repeatedly
ruffled feathers in the coalition. Labor Party leader
Uspaskich hardly conceals his disdain for his coalition
partners, and it is reasonable to assume he seeks vengeance
for the coalition's failure to support him in fighting his
own allegations of corruption.


9. (C) We believe it unlikely that the opposition will soon
get its wish to either participate in a new government or
force new elections. But the increasingly ugly overtones
among the remaining partners in this fractious coalition seem
a certain recipe for continued stress within the coalition.
Fortunately for U.S. interests, this crisis seems likely to
have no impact on Lithuania's continued staunch support for
U.S. interests in Europe and beyond.
MULL