BELARUS: TWO INDEPENDENT NEWSPAPERS REGISTERED AND

UNCLAS MINSK 000261 SENSITIVE SIPDIS E.O. 12958: N/A TAGS: PGOV PHUM KPAO BO SUBJECT: BELARUS: TWO INDEPENDENT NEWSPAPERS REGISTERED AND DISTRIBUTED, BUT STILL OBSTRUCTED BY REGIME Summary -------------- ¶1. (SBU) PAO met with Editor-in-Chief of Narodnaya Volya (NV) Yosif Seredich December 11 to discuss the independent newspaper's experience since receiving permission November 27 to be distributed via the state-owned distribution network, Belsayuzdruk. According to Seredich and other evidence, both NV and Nasha Niva (NN) seem to be distributed quite widely, and demand appears to far exceed current supply. While this step by the GOB is certainly progress, Seredich raised a host of serious remaining problems for the paper, including capped distribution, financial difficulties imposed by state-imposed institutions, and harrassment by tax inspectors. Although the GOB trumpets the registration of the papers as a major step forward, the reality is more ambiguous. End summary. ¶2. (SBU) Since their registration on November 27, Seredich reported that NV and NN have been circulated throughout Belarus via the state-owned distribution kiosks, Belsayuzdruk ("Belsoyuzpechat" in Russian). According to an informal survey of Minsk and its adjoining regions, copies of both papers have been either available or sold out at all kiosks. Further anecdotal evidence reports that at least in Minsk, because most kiosks only receive five to six copies and the papers are in high demand, it is difficult to purchase both papers. Only four out of fifteen major national and university libraries contacted reported availability of the papers to their readers. ¶3. (SBU) Seredich said that a principal remaining obstacle for wider distribution of the papers is that each city administration must grant permission for the number of papers distributed each month. Since bringing the paper's print production back from Smolensk, Russia to Minsk, as of December 1 NV has increased its overall circulation from 11,000 to 16,000 but Seredich would like to double that in the coming months. NV is requesting to double most of its current distribution numbers. As examples, Minsk city currently permits 2,500 copies to circulate while Brest permits 1,500; NV is attempting to gain permission to circulate 5,000 and 3,000 respectively, but permission for this increase has not yet been granted. In order to manage the increased circulation, NV is continuing operation of its former independent distribution system, which Seredich called "very costly." ¶4. (SBU) Seredich also described NV's financial problems related to the state-run printing house's demand for advance payment for printing the newspaper. The problem is compounded by Belsayuzdruk's decision to return sales proceeds to Narodnaya Volya only in early February 2009, causing the paper to accumulate costs for two months before receiving any income. To alleviate these financial burdens, NV has been seeking outside advertisements. Thus far, its inquiries to companies which previously advertised with the paper have hit dead ends; initial interest has consistently and quickly been extinguished, and the editor believes this is due to outside pressure. ¶5. (SBU) Seredich detailed increasing attention on the newspaper from tax inspection authorities over the past six months. Tax authorities told Seredich on December 10 that due to accounting system technicalities, NV will be fined approximately USD 50,000 in back taxes. They will be fined a further USD 10,000 plus interest for the accounting irregularity. Seredich explained that since moving production facilities from Minsk to Smolensk three years ago, NV has been following tax guidance issued by the state at that time. The same authorities now claim that the paper has been using an incorrect accounting system, while Seredich insists that the paper has been paying taxes in the prescribed way. Comment -------------- ¶6. (SBU) Anecdotally, many people in Belarus see the registration and distribution of two independent newspapers as a positive step and a clear concession by the GOB to U.S. and EU pressure. However, the constraints described above indicate that we are still far from a situation where the regime respects true freedom of the press. Even if conditions are made easier for Nasha Niva and Narodnaya Volya, and if other independent papers are allowed to be circulated, there are no indications at this time that permission for any independent domestic television or radio broadcasters is in the offing. MOORE