NICARAGUA: AMCIT PROPERTY CLAIMS MONTHLY UPDATE: SEPTEMBER

UNCLAS MANAGUA 001242 STATE FOR WHA/CEN, EB/IFD/OIA, AND L/CID STATE ALSO FOR WHA/EPSC STATE PASS TO USTR TREASURY FOR INL AND OWH SIPDIS E.O. 12958: N/A TAGS: EINV ECON USTR KIDE NU SUBJECT: NICARAGUA: AMCIT PROPERTY CLAIMS MONTHLY UPDATE: SEPTEMBER 2008 REF:(C) MANAGUA 1084 SUMMARY -------------- ¶1. In September 2008, the Government of Nicaragua (GON) did not report the resolution of any Embassy registered property claims. There remain 621 unresolved registered property claims belonging to 296 Amcits in the Embassy's data base. On September 25, U.S. citizen Norman Senfeld received the first payment of $2.5 million in the form of indemnification bonds ("bonos de pago de indemnizacion" or BPIs). To date, the overwhelming majority of resolutions have involved compensation via government-issued BPIs. As of August 31, 2008, the GON had issued BPIs with a face value of $333,975,518.06 to Embassy-registered claimants. Since taking office in January 2007, the Ortega administration has resolved 52 claims, five during the 2008-2009 waiver year. NO RESOLUTIONS IN SEPTEMBER -------------- ¶2. The GON did not resolve any U.S. citizen claims registered with the Embassy Property Office in September of the 2008-2009 waiver year. SENFELD RECEIVES BONDS -------------- ¶3. On September 25, 2008, U.S. citizen Norman Senfeld received the first payment of $2.5 million in the form of BPIs. On August 14, Mr. Senfeld signed a settlement document, or "finiquito," for the equivalent of $5 million dollars to resolve his three property claims. Mr. Senfeld will receive the second payment of $2.5 million in BPIs in November 2009 (reftel). STATUS OF AMCIT PROPERTY AS OF 09/30/08 -------------- ¶4. The following is a snapshot of current U.S. citizen property claims. The Embassy maintains separate databases for claims registered before and after the July 31, 2005, deadline in the Consolidated Appropriations Act. EMBASSY-REGISTERED CLAIMS NUMBER -------------- -------------- Total Amcits with pending claims 296 Total Amcit claims pending resolution 621 EMBASSY-REGISTERED CLAIMS BY CALENDAR YEAR NUMBER -------------- -------------- Claims resolved calendar year 2008 42 Claims resolved calendar year 2007 10 Claims resolved calendar year 2006 81 Claims resolved calendar year 2005 126 Claims resolved calendar year 2004 218 Claims resolved calendar year 2003 243 Claims resolved calendar year 2002 125 Claims resolved calendar year 2001 175 Claims resolved calendar year 2000 70 EMBASSY-REGISTERED CLAIMS RESOLVED BY WAIVER YEAR NUMBER -------------- -------------- -------------- Registered claims resolved so far in 2008-09 5 (waiver year: July 29, 2008 - July 29, 2009) Registered claims resolved 2007-08 waiver year 42 Registered claims resolved 2006-07 waiver year 34 Registered claims resolved 2005-06 waiver year 86 Registered claims resolved 2004-05 waiver year 187 Registered claims resolved 2003-04 waiver year 214 Registered claims resolved 2002-03 waiver year 183 Registered claims resolved 2001-02 waiver year 160 Registered claims resolved 2000-01 waiver year 142 Registered claims resolved 1999-00 waiver year 77 Registered claims resolved 1998-99 waiver year 156 Registered claims resolved 1997-98 waiver year 204 Registered claims resolved 1996-97 waiver year 145 EMBASSY-REGISTERED CLAIMS UNDER GON CONTROL NUMBER -------------- -------------- Total Amcit properties under GON control 53 (subject to revision) GON-held claims resolved 2008-09 waiver year 0 GON-held claims resolved 2007-08 waiver year 1 GON-held claims resolved 2006-07 waiver year 0 GON-held claims resolved 2005-06 waiver year 3 GON-held claims resolved 2004-05 waiver year 16 GON-held claims resolved 2003-04 waiver year 12 GON-held claims resolved 2002-03 waiver year 11 GON-held claims resolved 2001-02 waiver year 26 GON-held claims resolved 2000-01 waiver year 2 GON-held claims resolved 1999-00 waiver year 2 GON-held claims resolved 1998-99 waiver year 5 GON-held claims resolved 1997-98 waiver year 29 GON-held claims resolved (total) 176 CLAIMS DISMISSED BY GON DURING THE 2007-08 WAIVER YEAR NUMBER -------------- -------------- MARCH 2008 73 FEBRUARY 2008 21 JANUARY 2008 34 NOVEMBER 2007 18 NUMBER -------------- DECISION AGAINST U.S. CLAIMANT IN COURT 9 (CLAIM WITHDRAWN BY AMCIT) CLAIMS WITHDRAWN BY AMCITS 1 (PROPERTY UNDER AMCIT CONTROL) CLAIMS WITHDRAWN BY AMCITS FOR 1 LACK OF SUPPORTING DOCUMENTS TOTAL CLAIMS RESOLVED BY LAND SWAPS 6 TOTAL CLAIMS COMPENSATED VIA BONDS 1,897 (face value of bonds $333.97 million) NON-REGISTERED RESOLUTIONS BY WAIVER YEAR NUMBER -------------- -------------- Non-registered resolutions 2008-09 waiver year 0 Non-registered resolutions 2007-08 waiver year 6 Non-registered resolutions 2006-07 waiver year 12 Non-registered resolutions 2005-06 waiver year 30 Non-registered resolutions 2004-05 waiver year 0 Non-registered resolutions 2003-04 waiver year 6 Non-registered resolutions 2002-03 waiver year 22 Non-registered resolutions 2001-02 waiver year 93 Non-registered resolutions 2000-01 waiver year 300 Non-registered resolutions 1999-00 waiver year 455 Non-registered resolutions 1998-99 waiver year 310 Non-registered resolutions 1997-98 waiver year 230 Non-registered resolutions 1996-97 waiver year 208 NON-WAIVER CLAIMS REGISTERED AFTER JULY 31, 2005 NUMBER -------------- --- -------------- Total Amcit claimants registered with Embassy 15 Total Amcit claims pending resolution 21 NON-WAIVER CLAIMS RESOLVED BY CALENDAR YEAR NUMBER -------------- -------------- Claims resolved in calendar year 2008 1 CALLAHAN