GALA TV FORCED OFF THE AIR, THEN PUT BACK ON, BUT REMAINS

UNCLAS SECTION 01 OF 03 YEREVAN 000344 SIPDIS SENSITIVE SIPDIS DEPT FOR EUR/CARC, NSC FOR MARIA GERMANO E.O. 12958: N/A TAGS: PGOV PHUM PREL KDEM AM SUBJECT: GALA TV FORCED OFF THE AIR, THEN PUT BACK ON, BUT REMAINS ON LIFE SUPPORT REF: A) Yerevan 261, B) Yerevan 86, C) 07 Yerevan 1446, D) 07 Yerevan 1362, E) 07 Yerevan 1338, F) 07 Yerevan 1335 YEREVAN 00000344 001.2 OF 003 (U) Sensitive but unclassified. Please protect accordingly. -------------- SUMMARY -------------- ¶1. (SBU) GALA TV, the regional opposition TV station that has weathered five months of government pressure because of its support of ex-President Levon Ter-Petrossian, finally had its plug pulled the evening of April 16 only to have its connection restored the following morning. Armenian marshals who had unplugged power cables to GALA's transmitter as a "warning disconnection" returned the morning of April 17 to restore the connection, literally one hour after the CDA had visited GALA's owner, and minutes after CDA visited the regional governor, where he had expressed USG concerns about the authorities' pursuit of GALA. GALA also recently received notice from regional tax authorities that it must pay a USD 5,500 penalty for its late payment of USD 87,000 in allegedly evaded taxes that it raised in a March telethon. Another setback was the start of court hearings against key GALA supporter Levon Barseghian for allegedly resisting police orders during an unsanctioned March 2 rally in Gyumri. END SUMMARY. -------------- GOING, GOING, ALMOST GONE? -------------- ¶2. (SBU) As the CDA arrived for his first visit to Gyumri April 16, marshals from Armenia's "Service of Mandatory Implementation of Judicial Acts" were taking GALA TV off the air, enforcing an April 14 Gyumri appellate court order to remove GALA's transmitter from a disputed Soviet-era tower. The Charge learned about the development during his morning visit with GALA's owner Vahan Khachatrian April ¶17. ¶3. (SBU) Khachatrian told CDA that marshals arrived the evening before to remove all of GALA's equipment from the disputed tower, but because they had no engineering specialists who knew how to dismantle the various electrified components, they merely unplugged two cables that fed electricity and GALA's broadcast signal into its transmitter. ¶4. (SBU) Khachatrian said he asked the marshals for ten days to bring his own hired specialists from Yerevan who would remove all of GALA's equipment. The marshals agreed after Khachatrian put the request in writing, but they still insisted that power to the transmitter remain disconnected. ¶5. (SBU) The next morning, shortly after CDA met with Lida Nanian, the governor of the Shirak region whose capital is Gyumri, the marshals returned and restored the connection, apologizing to Khachatrian. Armenian media carried a statement from the head of the marshal's service, Gagik Ayvazian, claiming that his marshals have the right to dismantle the antenna, but the officers limited themselves only to "a warning disconnection." CDA had complained to the governor about GALA's plight, the appearance that the authorities were trying to shut it down because of its pro-LTP leanings, and the ramifications the GALA case had for freedom of expression in Armenia. -------------- -------------- FREEDOM OF EXPRESSION FELLED BY A SOVIET-ERA TOWER -------------- -------------- ¶6. (SBU) Last November, when tax authorities unexpectedly launched an intrusive audit of GALA (reftels),Gyumri's municipality also launched a process to remove GALA's broadcasting equipment from a dilapidated, Soviet-era TV tower that GALA had been using free of charge. The municipality finally registered the tower as its property on November 5, and demanded GALA's immediate eviction. GALA appealed the decision in a Gyumri first instance court, but the court ruled in favor of the municipality on February 29. GALA then took the case to the court of appeals, which upheld the eviction decision on April 14. ¶7. (SBU) Levon Barseghian, the chairperson of Gyumri's Asparez Press Club chairperson told us April 15 that GALA and its supporters plan to appeal the court decision all the way to the European Court of Human Rights if need be. During the various court hearings on the TV tower issue, Barseghian and GALA's owner had tried to negotiate a financial settlement with the city to mutually agree on an appropriate price for the tower's lease and retroactive usage fees. The price that the city proposed, however (USD 650 dollars/month), YEREVAN 00000344 002.2 OF 003 significantly exceeded the going Gyumri market rate of USD 450-500 dollars charged to local companies for more modern TV towers. Barseghian and Khachatrian see the city's price gouging as one more example of politically-motivated retribution for its October 2007 airing of a speech by ex-president Levon Ter-Petrossian that denounced the ruling regime. ¶8. (SBU) According to Barseghian, an internet service provider that uses the same tower as GALA does not pay any rent -- at least officially -- and has not been asked to move or sign a lease agreement. In addition, on April 7 the tower was the target of arson when a bike tire was set ablaze on the tower's middle platform that held the internet provider's antennas and cables for GALA's transmitter. Barseghian suspects Armenia's National Security Service engineered the attack. -------------- -------------- ANYBODY HAVE A TOWER FOR SALE - WHO WILL SELL TO ME? -------------- -------------- ¶9. (SBU) Khachatrian told CDA he is committed to finding an alternative venue for his transmitter, but predicts an uphill battle. GALA has already applied to use Gyumri's central TV tower, but expects that application to be rejected for political reasons. Khachatrian has also tried to buy an antenna of his own, but potential sellers have refused to deal with him, fearful of retribution by the authorities if they do. One of the technical problems facing GALA is finding an area high enough to ensure a sufficient broadcast coverage area. In addition, moving the equipment (transmitter, power generation for the transmitter, etc) to a different location may cost as much as USD 15,000. Khachatrian says he is prepared to bankroll the costs by selling a soap factory he owns, but says potential buyers are afraid to enter into negotiations with him. Khachatrian also confided he fears for his physical security once GALA goes off the air, saying the TV station is the only weapon he has to defend himself. Another complication, mentioned to us by a local media expert, is that GALA's current installation is somewhat unsafe: apparently it is low enough to the ground to create a radiation exposure hazard to people passing underneath. -------------- TELETHON SUCCESS PROMPTS NEW PRESSURES -------------- ¶10. (SBU) After GALA dodged bankruptcy in late March when Barseghian masterminded an impromptu telethon that netted the approximately USD 87,000 in allegedly evaded back taxes, Armenia's tax service on March 27 levied a late payment penalty to the tune of USD 5,500. The amount was calculated based on the number of days it took GALA to pay the taxes following the tax authorities' November 12 decision. Barseghian told the Embassy that GALA raised enough money during the telethon to pay the new fine as well, thanks largely to donations from Armenians overseas that hit GALA's account after the end of the telethon. GALA is unhappy about having to pay the fine, though, grumbling that it will ultimately go into the pockets of the region's allegedly corrupt tax chief. The fine deals another financial blow to GALA, which is being kept afloat by Khachatrian's personal savings that cover GALA's monthly USD 8,000 operating costs. Until its cables were cut, GALA's advertising revenue was at rock bottom, with only two clients willing to risk ad placements with the station. ¶11. (SBU) Barseghian has also seen his personal woes deepen. After a March 21 arson attack on an Asparez car he was driving during the telethon, he is now in court contesting charges that he resisted police orders during a March 2 gathering in Gyumri. On April 11 Gyumri's administrative court held preliminary hearings on the police charges, as well as Barseghian's counter-appeal of the charges. If convicted, Barseghian faces an administrative fine of 50,000 Armenian drams (USD 160). Barseghian says police assaulted and illegally detained him for six hours. Barseghian says he is ready to withdraw his complaint if the police withdraw their charges and publicly apologize for their conduct. -------------- COMMENT -------------- ¶12. (SBU) While it may be true that GALA is not completely blameless in its business operations, the underlying cause of its troubles appears to be political rather than the result of legitimate legal issues. GALA's struggle to stay on the air has galvanized Armenians here and abroad. In an affair that some compare to David versus Goliath, GALA's uncanny ability to withstand relentless government pressure and continue broadcasting gives the discontented a symbol YEREVAN 00000344 003.2 OF 003 they can rally around. GALA's eventual silencing - whether temporary or permanent - will constitute a major blow for these people. It will remove one of the few remaining outlets where people can vent their frustrations with the country's leadership and handling of the political crisis. GALA's impending demise will only deepen the resentment of the authorities held by a growing number of Armenians. PENNINGTON