Identifier
Created
Classification
Origin
09GUATEMALA1376
2009-12-02 17:59:00
UNCLASSIFIED
Embassy Guatemala
Cable title:
Congressman Arrested for Illicit Investment Scandal
how-toVZCZCXYZ0007 RR RUEHWEB DE RUEHGT #1376 3361800 ZNR UUUUU ZZH R 021759Z DEC 09 FM AMEMBASSY GUATEMALA TO RUEHC/SECSTATE WASHDC 0527 INFO WHA CENTRAL AMERICAN COLLECTIVE RHMFIUU/FBI WASHINGTON DC RUEABND/DEA HQS WASHINGTON DC
UNCLAS GUATEMALA 001376
SIPDIS
E.O. 12958: N/A
TAGS: ASEC KCRM SNAR KDEM PHUM PGOV GT
SUBJECT: Congressman Arrested for Illicit Investment Scandal
REF: GUATEMALA 759
UNCLAS GUATEMALA 001376
SIPDIS
E.O. 12958: N/A
TAGS: ASEC KCRM SNAR KDEM PHUM PGOV GT
SUBJECT: Congressman Arrested for Illicit Investment Scandal
REF: GUATEMALA 759
1. On November 26, Former President of Congress Rub????n Dar????o
Morales was arrested while attempting to flee from the Congress
building. The previous day, the Supreme Court had stripped Morales
of his parliamentary immunity for accepting payoffs in return for
authorizing illicit investments of public funds while he served as
President of Congress. Morales was detained on charges of money
laundering, extortion and corruption.
2. While serving as President of Congress in 2007, Morales
invested Q.16.2 million of congressional funds (about $2 million)
in Mercados de Futuro SA, which paid him a Q.300,000 (about
$37,500) kickback. In 2008, Q.82.8 million (about $10 million) of
congressional funds invested in Mercados de Futuro vanished and a
legal prosecution began against those involved.
3. Soon after an arrest warrant was issued, friends alerted
Morales that police officials were closing in and his arrest was
imminent. Morales' hasty exit from Congress was thwarted when he
was captured just before departing the building. Attorney General
Am????lcar Vel????squez stated that he hoped Morales' high profile
arrest
"serves as a message for other public officials."
4. At the time of Morales' arrest, Ex-Congressional President
Eduardo Meyer, who has also been implicated in the scheme, feared
for his arrest. Several of his congressional colleagues aided
Meyer in his attempt to avoid an arrest by hiding in a restroom.
However, while Meyer lost immunity on October 22, 2008 , no arrest
warrant had yet been issued. Additional cases still under
investigation include Congressmen Anibal Salguero and Paul Gomez,
who were both stripped of their parliamentary immunity on November
12, 2009.
5. Comment: The high profile arrest of former President of
Congress Ruben Dar????o Morales sends a positive message in the
efforts against impunity, particularly in a moment in which several
public officials face corruption charges.
MCFARLAND
SIPDIS
E.O. 12958: N/A
TAGS: ASEC KCRM SNAR KDEM PHUM PGOV GT
SUBJECT: Congressman Arrested for Illicit Investment Scandal
REF: GUATEMALA 759
1. On November 26, Former President of Congress Rub????n Dar????o
Morales was arrested while attempting to flee from the Congress
building. The previous day, the Supreme Court had stripped Morales
of his parliamentary immunity for accepting payoffs in return for
authorizing illicit investments of public funds while he served as
President of Congress. Morales was detained on charges of money
laundering, extortion and corruption.
2. While serving as President of Congress in 2007, Morales
invested Q.16.2 million of congressional funds (about $2 million)
in Mercados de Futuro SA, which paid him a Q.300,000 (about
$37,500) kickback. In 2008, Q.82.8 million (about $10 million) of
congressional funds invested in Mercados de Futuro vanished and a
legal prosecution began against those involved.
3. Soon after an arrest warrant was issued, friends alerted
Morales that police officials were closing in and his arrest was
imminent. Morales' hasty exit from Congress was thwarted when he
was captured just before departing the building. Attorney General
Am????lcar Vel????squez stated that he hoped Morales' high profile
arrest
"serves as a message for other public officials."
4. At the time of Morales' arrest, Ex-Congressional President
Eduardo Meyer, who has also been implicated in the scheme, feared
for his arrest. Several of his congressional colleagues aided
Meyer in his attempt to avoid an arrest by hiding in a restroom.
However, while Meyer lost immunity on October 22, 2008 , no arrest
warrant had yet been issued. Additional cases still under
investigation include Congressmen Anibal Salguero and Paul Gomez,
who were both stripped of their parliamentary immunity on November
12, 2009.
5. Comment: The high profile arrest of former President of
Congress Ruben Dar????o Morales sends a positive message in the
efforts against impunity, particularly in a moment in which several
public officials face corruption charges.
MCFARLAND