PML-N BLASTS APPOINTMENT OF NEW PUNJAB GOVERNOR

C O N F I D E N T I A L LAHORE 000208

SIPDIS

E.O. 12958: DECL: 5/16/2018
TAGS: PGOV PREL PK
SUBJECT: PML-N BLASTS APPOINTMENT OF NEW PUNJAB GOVERNOR


CLASSIFIED BY: Antone C. Greubel, A/PO, US Consulate Lahore,
Department of State.
REASON: 1.4 (b),(d)

1. (C) Summary: On May 14 President Pervez Musharraf, with at
least the tacit agreement of Pakistan People's Party (PPP)
leader Asif Zardari, nominated Salman Taseer, media mogul and
former caretaker Federal Minister for Production and Industries,
as Governor of Punjab province. The Pakistan Muslim
League-Nawaz (PML-N) leadership reacted angrily to his
appointment and labeled it a conspiracy being hatched in the
presidency. Although political power is focused on the Chief
Minister, the Governor's office is highly visible and
prestigious. Nawaz Sharif is apparently taking this appointment
as a personal affront. End summary.


2. (C) Salman Taseer is scheduled to be sworn in as Governor of
Punjab province on May 16. Outgoing Governor Lt. General
(retired) Khalid Maqbook submitted his resignation May 15.
Taseer is a PPP party stalwart, businessman and media baron. He
was last elected to office in 1988 as a Member of the Punjab
Provincial Assembly but lost races for the National Assembly in
1993 and 1997. He served on the PPP Central Executive Committee
and as the Central Information Secretary. After Musharraf came
to power in 1999, Taseer was largely politically inactive until
he was appointed to the caretaker government in November 2007.


3. (C) Taseer is a prominent businessman who owns several
companies involved in accounting, management consultancy,
securities, shopping malls and hotels, but is primarily known
for his media holdings which include two major English language
newspapers, The Daily Times and the Friday Times, and the Urdu
language newspaper Aaj Kal. He also owns television news
channel Business Plus. These media are generally balanced in
their reporting despite Taseer's PPP allegiance and his strong
enmity against Nawaz.


4. (C) The President has the constitutional power to appoint
provincial Governors. Because of the fragile political
situation, however, any gubernatorial appointment was bound to
be controversial. According to Chaudhry Muhammad Zakra Ashraf,
prominent businessman and senior PPP leader, former Prime
Minister Nawaz Sharif originally insisted on nominating the next
governor but PPP Leader Asif Zardari strongly objected since the
PML-N held the Chief Minister's position. Zakra stated all
three players had reached a tacit understanding last month that
Zardari would nominate his own candidate but it would be someone
palatable to Nawaz and Musharraf.


5. (C) PML-N's Chaudhry Nisar Ali Khan, one of Nawaz's closest
advisors, held a May 15 press conference blasting Taseer's
appointment. He claimed Taseer's nomination "is part of a
conspiracy being hatched in the presidency." PPP leaders
replied that the PML-N had been taken into confidence and were
now objecting to Taseer's nomination for no tangible reason.


6. (C) Khawaja Asif, a PML-N leader who resigned this week as
Minister for Petroleum and Natural Resources, told A/PO that
Taseer has had serious differences with Nawaz Sharif since the
1980s and has been using "filthy" language against Sharif and
his family. He added that Zardari had called him to say the PPP
supported the President's appointment of Taseer as governor and
Zardari never attempted to call Nawaz to gauge his opinion.


7. (C) Comment: PML-N is casting this as a slap at Nawaz hatched
up largely by Musharraf, with the compliance of PPP's Zardari.
However, Taseer has strong, long-term ties to PPP and it is
unlikely Zardari was a passive actor in the decision on the
Punjab governorship. Instead, this should be seen as another
strong signal from Zardari to Nawaz that there is a cost to pay
for withdrawing from the federal cabinet. End Comment.


8. (U) This cable was cleared with Embassy Islamabad.

GREUBEL