DISCREDITED CONGRESS COMPLICATES POLITICAL PANORAMA

C O N F I D E N T I A L LIMA 001551

SIPDIS

E.O. 12958: DECL: 10/20/2018
TAGS: PGOV KDEM SNAR KCRM ETRD PE
SUBJECT: DISCREDITED CONGRESS COMPLICATES POLITICAL PANORAMA

REF: A. A. 08 LIMA 1651

B. B. LIMA 1258

C. C. LIMA 1651

Classified By: Amb. P Michael McKinley for reasons 1.4b and d.


1. (C) Summary: Peru's democratic consolidation faces a
number of obstacles, not least of which is a legislative
branch perceived as lacking in credibility. Exacerbating
this problem, the unicameral Congress has recently been beset
by a series of scandals related to the unethical behavior and
questionable associations of some of its members. Congess
does fulfill its constitutional role effectively at times,
reviewing bills submitted by the executive and calling
ministers to account. Even so, scandals are undermining
Congress' capacity to forge ahead on needed structural
reforms and important issues of national interest. End
Summary.

Congress' Lack of Credibility
--------------

2. (C) Peru's democratic consolidation faces a number of
obstacles, including weak public institutions at the national
and sub-national levels, a lack of state presence in broad
swaths of the country, and a judiciary widely seen as
representing political interests rather than the pursuit of
justice in many cases. Theoretically, in a democratic
system, Congress' first function is representative. In
Peru, this role is complicated by a structure of
representation in which multiple members of Congress
represent the same (sometimes large) region. Beyond that,
the legislative branch is often viewed as part of the problem
rather than the solution -- as unrepresentative, ineffective
and lacking in credibility. This is reflected in the
legislature's dismally low approval ratings, dropping below
10% in recent polls, and a perception that Congress has
failed to engage constructively on important national issues.
Many local analysts also fault weaknesses in Peru's
political party system, including laws that permit the
proliferation of national parties and regional political
movements, that erode Congress's legitimacy and
effectiveness.

Problems Exacerbated by Scandals
--------------

3. (C) Congress' image and credibility have also been
tarnished by a series of high-profile scandals, mostly
related to the unethical behavior of its members. According
to media reports, 82 of the current Congress's 120 members
(over two-thirds) have been referred to the legislature's
Ethics Committee for allegations of misconduct. (Twelve
members have faced suspension.) Alleged misconduct has
ranged from the petty to the absurd -- one Congressman
reportedly falsified a voucher for his meal at a fast-food
chicken restaurant, another allegedly forced an advisor to
wash her feet, yet another was accused of using his staffer
as a watchman at his personal residence.


4. (C) But there have also been more serious allegations of
payroll fraud, corruption and ties with drug trafficking.
For example, former advisor to PNP congresswoman and cocalera
leader Nancy Obregon was caught by police with 140 kilos of
cocaine in the trunk of his car, suggesting a worrisome link
between drug traffickers and some members of Congress. Even
the widely-respected head of the PPC party (a key political
bloc in Congress) and former presidential candidate Lourdes
Flores has been tainted by her ties to a transportation
entrepreneur whose fortune is rumored to have originated in
drug trafficking. As one member of Congress recently told
us, "Frankly, I'm embarrassed to be in Congress these days."

Troubles Undermine Needed Reforms
--------------

5. (C) Congress' current woes are complicating its ability
to implement much-needed structural reforms. Though there
have been partial victories, including a recent change in the
legislative schedule requiring members to spend at least five
consecutive days per month in the regions they represent --
intended to strengthen the historically weak link between
representatives and their political constituencies --
Congress has faltered on larger issues. For example, there
has been little movement on reviving the Senate (eliminated
in the 1993 Constitution),establishing the election of a
percentage of congressional members every two years (rather
than all at once, as is the case in the current system),or
redrawing districts/constituencies to make them more
manageable. In short, there appears little prospect for
near-term progress on reforms, given Congress's discredited
image and its low credibility.

Occasional Efficacy
--------------

6. (C) However, Congess does fulfill its constitutional role
effectively at times, reviewing bills submitted by the
executive and calling Ministers to account. Congress can
call Ministers of state to the legislature to answer
questions, and the members' questioning provides oversight of
the executive, helping to shed light on important national
issues. Congressional committees have investigated and
issued reports on scandals, such as the high-profile
"petro-audio" scandal that caused a cabinet to resign last
year (reftel C),and one congressional committee continues to
press the judiciary to release information concerning the
illegal wire-tapping activities that were behind the scandal.
Finally, Congress has been effective at containing radical
debate, stifling sometimes hairbrained legislative proposals,
and maintaining a pragmatic orientation in debates and
discussions on legislation.

Comment: Complicated Political Challenges
--------------

7. (C) Despite these areas of effective governance,
Congress' structural weaknesses undermine its ability or
willingness to tackle issues of national import. Some
analysts suggest that Congress will be extremely reluctant to
approve any new legislation to replace the two executive
decrees repealed in the wake of the June 5 violence in Bagua
(reftels A and B),unless there is a clear and broad social
consensus to do so. One Congressman recently told us that
the legislators felt 'burned' by the executive branch during
decree repeal episode, and would likely avoid risking a
repeat embarrassment until the social and political
temperatures have simmered down -- which could take time.
Meanwhile, Congress remains easy prey for anti-system actors
who are eager to paint the formal political structure as
prone to passivity, corruption and paralysis.
MCKINLEY