Identifier
Created
Classification
Origin
09LAPAZ156
2009-01-29 21:33:00
UNCLASSIFIED
Embassy La Paz
Cable title:
BOLIVIA: MURDER AND SCANDAL
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UNCLAS LA PAZ 000156
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PINR ASEC BL
SUBJECT: BOLIVIA: MURDER AND SCANDAL
REF: 08 LA PAZ 2567
UNCLAS LA PAZ 000156
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PINR ASEC BL
SUBJECT: BOLIVIA: MURDER AND SCANDAL
REF: 08 LA PAZ 2567
1. Summary: Bolivian headlines announced "murder",
"torture", and "conspiracy" in the days following a brutal
murder and robbery which may have ties to powerful
politicians. An investigation into the January 27 murder and
theft of $450,000 has raised suspicions of corruption within
the state hydrocarbons company YPFB. In the course of the
robbery the president of a company contracting to YPFB was
killed. Press reports suggest that the victim may be
associated with the brother-in-law of YPFB President Santos
Ramirez, who is close to President Evo Morales. The victim
was also the nephew of an opposition PODEMOS Senator. If the
stolen money was a kick-back to YPFB, as the press is
alleging, the case could create another high-level corruption
scandal for the Morales government, less than two months
after powerful Presidency Minister Juan Ramon Quintana was
accused of collusion with contraband smugglers (reftel). End
summary.
- - - - - - - - - - - - - - - - -
One Man Dead, USD 450,000 Stolen
- - - - - - - - - - - - - - - - -
2. According to public information, on January 27, Jorge
O'CONNOR D'Arlach was killed and USD 450,000 in his
possession was stolen. The amount of cash the victim was
carrying immediately raised suspicions, particularly since
O'Connor was the president of Catler Uniservice, a company
which has dealings with the state hydrocarbons company YPFB:
in July 2008, O'Connor signed a USD 66 million contract with
YPFB President Santos Ramirez for the construction of a
hydrocarbons liquid-to-gas plant. Police sources have told
the press that they suspect the cash was a kick-back for the
YPFB contract.
- - - - - - - - - - - - - - - - - - - - - -
Murder Investigation Proceeds With Caution
- - - - - - - - - - - - - - - - - - - - - -
3. According to press reports, police sources and prosecutors
are requesting anonymity in what is developing into a
delicate case. One source reportedly said, "This is a very
sensitive and dangerous case because it involves people with
power." Unconfirmed press reports suggest that the house
where the victim was taking the money belongs to the
brother-in-law of YPFB President Santos Ramirez. The victim
is also the nephew of opposition-party PODEMOS Senator Carlos
Rodolfo D'ARLACH Lema (Tarija),who was formerly the
president of YPFB. (Note: Tarija is a sparsely populated
department (state) where many leaders are linked by complex
familial ties. End note.) On January 29, the police
announced that they had arrested three suspects who were
carrying USD 50,000 in cash, USD 37,000 in bank "deposit"
notes (receipts),and stolen license plates.
- - - - - - - - - - -
Senate to Investigate
- - - - - - - - - - -
4. The (opposition-controlled) senate has announced that it
will form a special commission to investigate possible
linkages between the state hydrocarbons company YPFB and the
crime. The senate will ask for testimony from the president
of YPFB Santos Ramirez and Hydrocarbons Minister Saul AVALOS
Cortez.
- - - - - - - - - - - - - - - - - - - -
Not the First Possible Corruption Case
- - - - - - - - - - - - - - - - - - - -
5. In an unrelated and unsolved alleged corruption case, a
former head of the Bolivian Customs Agency has accused
Presidency Minister Quintana of negotiating with smugglers to
allow contraband to exit the country in exchange for
political support. On December 11, 2008, President Morales
publicly supported Quintana, while acknowledging that he knew
of Quintana's meetings with the smugglers. Even one of the
smugglers called for Quintana's resignation: "For the dignity
of this government, Quintana should come out and tell the
truth. He should resign so that he does not damage the
government, since we know that our President is honest." On
January 18 President Morales was moved to re-establish public
control over his most powerful minister, saying "Juan Ramon
(Quintana) should be very afraid of the President." When
asked about Quintana's alleged "dirty work", Morales
answered: "I don't know about dirty work...I never have
anything up my sleeve...as far as I know, no minister can
dedicate himself to (dirty work)."
LAMBERT
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PINR ASEC BL
SUBJECT: BOLIVIA: MURDER AND SCANDAL
REF: 08 LA PAZ 2567
1. Summary: Bolivian headlines announced "murder",
"torture", and "conspiracy" in the days following a brutal
murder and robbery which may have ties to powerful
politicians. An investigation into the January 27 murder and
theft of $450,000 has raised suspicions of corruption within
the state hydrocarbons company YPFB. In the course of the
robbery the president of a company contracting to YPFB was
killed. Press reports suggest that the victim may be
associated with the brother-in-law of YPFB President Santos
Ramirez, who is close to President Evo Morales. The victim
was also the nephew of an opposition PODEMOS Senator. If the
stolen money was a kick-back to YPFB, as the press is
alleging, the case could create another high-level corruption
scandal for the Morales government, less than two months
after powerful Presidency Minister Juan Ramon Quintana was
accused of collusion with contraband smugglers (reftel). End
summary.
- - - - - - - - - - - - - - - - -
One Man Dead, USD 450,000 Stolen
- - - - - - - - - - - - - - - - -
2. According to public information, on January 27, Jorge
O'CONNOR D'Arlach was killed and USD 450,000 in his
possession was stolen. The amount of cash the victim was
carrying immediately raised suspicions, particularly since
O'Connor was the president of Catler Uniservice, a company
which has dealings with the state hydrocarbons company YPFB:
in July 2008, O'Connor signed a USD 66 million contract with
YPFB President Santos Ramirez for the construction of a
hydrocarbons liquid-to-gas plant. Police sources have told
the press that they suspect the cash was a kick-back for the
YPFB contract.
- - - - - - - - - - - - - - - - - - - - - -
Murder Investigation Proceeds With Caution
- - - - - - - - - - - - - - - - - - - - - -
3. According to press reports, police sources and prosecutors
are requesting anonymity in what is developing into a
delicate case. One source reportedly said, "This is a very
sensitive and dangerous case because it involves people with
power." Unconfirmed press reports suggest that the house
where the victim was taking the money belongs to the
brother-in-law of YPFB President Santos Ramirez. The victim
is also the nephew of opposition-party PODEMOS Senator Carlos
Rodolfo D'ARLACH Lema (Tarija),who was formerly the
president of YPFB. (Note: Tarija is a sparsely populated
department (state) where many leaders are linked by complex
familial ties. End note.) On January 29, the police
announced that they had arrested three suspects who were
carrying USD 50,000 in cash, USD 37,000 in bank "deposit"
notes (receipts),and stolen license plates.
- - - - - - - - - - -
Senate to Investigate
- - - - - - - - - - -
4. The (opposition-controlled) senate has announced that it
will form a special commission to investigate possible
linkages between the state hydrocarbons company YPFB and the
crime. The senate will ask for testimony from the president
of YPFB Santos Ramirez and Hydrocarbons Minister Saul AVALOS
Cortez.
- - - - - - - - - - - - - - - - - - - -
Not the First Possible Corruption Case
- - - - - - - - - - - - - - - - - - - -
5. In an unrelated and unsolved alleged corruption case, a
former head of the Bolivian Customs Agency has accused
Presidency Minister Quintana of negotiating with smugglers to
allow contraband to exit the country in exchange for
political support. On December 11, 2008, President Morales
publicly supported Quintana, while acknowledging that he knew
of Quintana's meetings with the smugglers. Even one of the
smugglers called for Quintana's resignation: "For the dignity
of this government, Quintana should come out and tell the
truth. He should resign so that he does not damage the
government, since we know that our President is honest." On
January 18 President Morales was moved to re-establish public
control over his most powerful minister, saying "Juan Ramon
(Quintana) should be very afraid of the President." When
asked about Quintana's alleged "dirty work", Morales
answered: "I don't know about dirty work...I never have
anything up my sleeve...as far as I know, no minister can
dedicate himself to (dirty work)."
LAMBERT