FIRST MEETING WITH FM LACOGNATA

C O N F I D E N T I A L ASUNCION 000361 SIPDIS WHA/FO CMCMULLEN, WHA/BSC MDRUCKER, BFRIEDMAN, MDASCHBACH E.O. 12958: DECL: 06/09/2029 TAGS: PREL MASS EAID PGOV PA SUBJECT: FIRST MEETING WITH FM LACOGNATA Classified By: DCM Michael J. Fitzpatrick; reasons 1.4 (b) and (d). ¶1. (C) SUMMARY: In Ambassador's first formal meeting with Foreign Minister Hector Lacognata, President Lugo's new face to the world expressed a strong desire for close relations with the United States. Ambassador reviewed the range of U.S. assistance in Paraguay -- from Peace Corps to military assistance -- only to find the Foreign Minister well-briefed on all our programs. Lacognata promised to take leadership on a defense cooperation agreement with the Paraguayan Congress, gladly accepted U.S. communications assistance, and promised to unstick the dormant biofuels Memorandum of Understanding. Seemingly relaxed and open, Lacognata thanked the Ambassador for her visit and for all of our projects in country. END SUMMARY. ¶2. (C) Ambassador officially called on new Paraguayan Foreign Minister Hector Lacognata early June 9 and highlighted a few areas of key interest. Lacognata warmly welcomed the Ambassador and opened the meeting by mentioning a young Paraguayan (illegal) immigrant whose children were removed by U.S. children's services because the mother was charged with child abuse. (NOTE: Lacognata first telephoned Ambassador May 28 to inquire about this case, which made front page headlines locally. The press alleged that the children were being wrongly removed from their Paraguayan mother. Ambassador gave Lacognata (himself a pediatrician) information which indicated that the infant twins had "shaken baby syndrome." The call, coupled with Lacognata's professional experience, kept him from making rash public statements on the case based on inaccurate information. END NOTE). The Foreign Minister reported that the older two children would soon be returned to Paraguay to live with their grandmother while the younger two continue to receive medical assistance for possible shaken baby syndrome and the U.S. judicial process plays out. Lacognata thanked the Ambassador for her assistance, calling it "timely." ¶3. (C) Ambassador reviewed the range of U.S. assistance in Paraguay -- from Peace Corps to military assistance -- only to find the Foreign Minister well-briefed on all of our programs. (NOTE: Prior to the meeting, the Foreign Ministry's protocol chief told us Lacognata starts working at 6 a.m. and ends his days around 7:00 p.m., eating only a sandwich at his desk for lunch. He said Lacognata is well-structured and does his homework on the issues, which was confirmed during our discussion of bilateral issues. END NOTE). Ambassador assured Lacognata that the United States' goal is to support the Lugo administration, and that we seek to work with Paraguay as a partner, and within the framework established by the Lugo government. Lacognata was not surprised by the existence of any of our programs, and was familiar with the details of the Joint Immediate Response Detachment (DCEI), the Global Peacekeeping Initiative (GPOI),and the MCC Threshold Program. ¶4. (C) Lacognata promised to take leadership on a defense cooperation agreement with the Paraguayan Congress, gladly accepted U.S. communications assistance, and promised to unstick the dormant biofuels Memorandum of Understanding. Lacognata listened attentively as the Ambassador explained that we would like to have a defense cooperation agreement to serve as a clear framework for our military assistance programs. He quipped, "why not just transfer those funds to the Foreign Ministry instead?", before promising to lobby Congress regarding a defense cooperation agreement. Lacognata said his ministry had neglected congressional relations, and that in an effort to improve executive-congressional relations, he would visit the different parties represented in Congress beginning June 10. In response to the Ambassador's mention of USAID's Office of Transition Initiatives (OIT) communications assistance to the GOP (to include the Foreign Ministry),Lacognata seemed grateful for the hand. He also promised a response within 15 days to the draft biofuels Memorandum of Understanding pending MFA approval since October. Similarly, he asked his staff to take another look at an e-visa program stalled in the Foreign Ministry for over a year. ¶5. (C) Lacognata was also pleased that President Lugo had been able to meet with Representative Elliot Engel on the margins of the recent OAS meeting in Honduras. He agreed with the Ambassador on the timely window being opened for Paraguayan-U.S. trade. Lacognata also mentioned that he had been up nearly the entire night of June 8 trying to resolve a bilateral conflict with Bolivia. Lacognata said that Bolivian military police crossed into Paraguay and kidnapped an 18-year-old Paraguayan citizen (with some involvement by the Paraguayan military as well). The Foreign Minister said Bolivia had accepted responsibility for the incident, and was satisfied that the responsible Bolivian police official had been fired. He said the timing of President Morales' visit on June 12 was unfortunate, as it had been scheduled long before the incident occurred to commemorate the resolution of the Chaco War and Paraguay's long-standing border dispute with Bolivia, but was now being made to look like Morales was coming to Paraguay to smooth things over. ¶6. (C) COMMENT: Seemingly relaxed and open, Lacognata thanked the Ambassador for her visit and for all U.S. projects in country. If driven by a leftist ideology, Lacognata did not put that foot forward with us. He was the opposite of antagonistic -- friendly and professional in his demeanor, and was clearly following Lugo's instructions to work closely with us. Lacognata is smart, proactive, and a quick study -- he had obviously gone to great lengths to study the pending bilateral issues and had mastered them all. He asked the Ambassador for only one thing during our meeting: direct communication, promising that he would be the bearer of both good and bad news coming from his government. Please visit us at http://www.state.sgov.gov/p/wha/asuncion AYALDE