NICARAGUA: AMCIT PROPERTY CLAIMS MONTHLY UPDATE: JUNE 2009

UNCLAS MANAGUA 000680 STATE FOR WHA/CEN, EB/IFD/OIA, AND L/CID STATE ALSO FOR WHA/EPSC STATE PASS TO USTR TREASURY FOR INL AND OWH SIPDIS E.O. 12958: N/A TAGS: EINV ECON USTR KIDE NU SUBJECT: NICARAGUA: AMCIT PROPERTY CLAIMS MONTHLY UPDATE: JUNE 2009 SUMMARY -------------- ¶1. In June 2009, the Government of Nicaragua (GON) reported the resolution of nine Embassy registered property claims. A U.S. citizen claimant also withdrew one claim because he did not have sufficient documents to support his case. There remain 582 unresolved registered property claims belonging to 278 U.S. citizens in the Embassy's database. To date, the overwhelming majority of resolutions have involved compensation via government-issued indemnification bonds ("bonos de pago de indemnizacion" or BPIs). As of June 30, 2009, the GON had issued BPIs with a face value of $341,992,084.59 to Embassy-registered claimants. Since taking office in January 2007, the Ortega administration has resolved 90 claims, forty-three of which during the 2008-2009 waiver year. EMBASSY REGISTERED CLAIMS RESOLVED IN JUNE -------------- ¶2. On June 30, 2009, the Attorney General's Office provided the Embassy a copy of the final settlement document or "finiquito" that U.S. citizen Norma Amador signed on June 23, 2009. Mrs. Amador received BPIs worth 4,018,000 cordobas, approximately $197,413. We have updated our database to reflect this settlement. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Norma Amador Land 1 bonds ¶3. On June 30, 2009, the Attorney General's Office provided the Embassy a copy of the finiquito that the legal representative of the Bandes Estate signed on June 22, 2009. The Bandes Estate received BPIs worth 1,182,900 cordobas, approximately $58,118. We have updated our database to reflect this settlement. The Bandes Estate claim had been previously dismissed by the GON based on Decree 38 (1979),which authorized the government to confiscate property belonging to allies of the Somoza family. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Bandes Estate House 1 bonds ¶4. On June 19, 2009, the Attorney General's Office provided the Embassy the finiquito that U.S. citizen Orlando Flores-Ponce signed on June 16, 2009. Mr. Flores-Ponce received BPIs worth 2,120,200 cordobas, approximately $104,170. We have updated our database to reflect this settlement. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Orlando Flores-Ponce House 1 bonds ¶5. On June 2, 2009, the Attorney General's Office provided the Embassy a copy of the finiquito that U.S. citizen Amanda Hooker signed on May 4, 2009. Mrs. Hooker received BPIs worth 119,800 cordobas, approximately $5,886. We have updated our database to reflect this settlement. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Amanda Hooker House 1 bonds ¶6. On June 2, 2009, the Attorney General's Office provided the Embassy a copy of the finiquito that the legal representative of U.S. citizen Leticia Jimenez signed on May 29, 2009. Mrs. Jimenez received BPIs worth 842,500 cordobas, approximately $41,393. We have updated our database to reflect this settlement. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Leticia Jimenez Land 2 bonds ¶7. On June 2, 2009, the Attorney General's Office provided the Embassy a copy of the finiquito that U.S. citizen Agnes Montoya signed on May 22, 2009. Mrs. Montoya received BPIs worth 1,617,900 cordobas, approximately $79,491. We have updated our database to reflect this settlement. Mrs. Montoya's claim had been previously dismissed by the GON based on Decree 38. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Agnes Montoya House 1 bonds ¶8. On April 29, 2009, the Attorney General's Office provided the Embassy a copy of the finiquito that U.S. citizen Manuel Murillo signed on April 27, 2009. Mr. Murillo received BPIs worth 34,212,900 cordobas, approximately $1,680,959. We did not report the resolution of this claim in April because Mr. Murillo had legal issues related to the issuance of the BPIs. We have updated our database to reflect this settlement. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Manuel Murillo Land 1 bonds ¶9. On June 30, 2009, the Attorney General's Office provided the Embassy a copy of the finiquito that U.S. citizen Mercedes Torrentes signed on June 25, 2009. Mrs. Torrentes received BPIs worth 1,414,300 cordobas, approximately $69,487. We have updated our database to reflect this settlement. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Mercedes Torrentes House 1 bonds STATUS OF AMCIT PROPERTY AS OF 06/30/09 -------------- ¶10. The following is a snapshot of current U.S. citizen property claims. The Embassy maintains separate databases for claims registered before and after the July 31, 2005, deadline in the Consolidated Appropriations Act. EMBASSY-REGISTERED CLAIMS NUMBER -------------- -------------- Total Amcits with pending claims 278 Total Amcit claims pending resolution 582 EMBASSY-REGISTERED CLAIMS BY CALENDAR YEAR NUMBER -------------- -------------- Claims resolved calendar year 2009 33 Claims resolved calendar year 2008 47 Claims resolved calendar year 2007 10 Claims resolved calendar year 2006 81 Claims resolved calendar year 2005 126 Claims resolved calendar year 2004 218 Claims resolved calendar year 2003 243 Claims resolved calendar year 2002 125 Claims resolved calendar year 2001 175 Claims resolved calendar year 2000 70 EMBASSY-REGISTERED CLAIMS RESOLVED BY WAIVER YEAR NUMBER -------------- -------------- -------------- Registered claims resolved so far in 2008-09 43 (waiver year: July 29, 2008 - July 29, 2009) Registered claims resolved 2007-08 waiver year 42 Registered claims resolved 2006-07 waiver year 34 Registered claims resolved 2005-06 waiver year 86 Registered claims resolved 2004-05 waiver year 187 Registered claims resolved 2003-04 waiver year 214 Registered claims resolved 2002-03 waiver year 183 Registered claims resolved 2001-02 waiver year 160 Registered claims resolved 2000-01 waiver year 142 Registered claims resolved 1999-00 waiver year 77 Registered claims resolved 1998-99 waiver year 156 Registered claims resolved 1997-98 waiver year 204 Registered claims resolved 1996-97 waiver year 145 EMBASSY-REGISTERED CLAIMS UNDER GON CONTROL NUMBER -------------- -------------- Total Amcit properties under GON control 51 (subject to revision) GON-held claims resolved 2008-09 waiver year 3 GON-held claims resolved 2007-08 waiver year 1 GON-held claims resolved 2006-07 waiver year 0 GON-held claims resolved 2005-06 waiver year 3 GON-held claims resolved 2004-05 waiver year 16 GON-held claims resolved 2003-04 waiver year 12 GON-held claims resolved 2002-03 waiver year 11 GON-held claims resolved 2001-02 waiver year 26 GON-held claims resolved 2000-01 waiver year 2 GON-held claims resolved 1999-00 waiver year 2 GON-held claims resolved 1998-99 waiver year 5 GON-held claims resolved 1997-98 waiver year 29 GON-held claims resolved (total) 177 CLAIMS DISMISSED BY GON NUMBER -------------- -------------- MARCH 2008 73 FEBRUARY 2008 15 JANUARY 2008 28 NOVEMBER 2007 18 -------------- TOTAL 134 DISMISSED CLAIMS LATER RESOLVED IN FAVOR OF U.S. CLAIMANT NUMBER -------------- -- -------------- MARCH 2009 1 APRIL 2009 5 MAY 2009 4 JUNE 2009 2 OTHER CATEGORIES TRACKED NUMBER -------------- -------------- CLAIMS WITHDRAWN BY AMCITS 9 (DECISION AGAINST U.S. CLAIMANT IN COURT) CLAIMS WITHDRAWN BY AMCITS 1 (PROPERTY UNDER AMCIT CONTROL) CLAIMS WITHDRAWN BY AMCITS FOR 2 LACK OF SUPPORTING DOCUMENTS TOTAL CLAIMS RESOLVED BY LAND SWAPS 7 TOTAL CLAIMS COMPENSATED VIA BONDS 1,932 (face value of bonds $341.9 million) NON-REGISTERED RESOLUTIONS BY WAIVER YEAR NUMBER -------------- -------------- Non-registered resolutions 2008-09 waiver year 1 Non-registered resolutions 2007-08 waiver year 6 Non-registered resolutions 2006-07 waiver year 12 Non-registered resolutions 2005-06 waiver year 30 Non-registered resolutions 2004-05 waiver year 0 Non-registered resolutions 2003-04 waiver year 6 Non-registered resolutions 2002-03 waiver year 22 Non-registered resolutions 2001-02 waiver year 93 Non-registered resolutions 2000-01 waiver year 300 Non-registered resolutions 1999-00 waiver year 455 Non-registered resolutions 1998-99 waiver year 310 Non-registered resolutions 1997-98 waiver year 230 Non-registered resolutions 1996-97 waiver year 208 NON-WAIVER CLAIMS REGISTERED AFTER JULY 31, 2005 NUMBER -------------- --- -------------- Total Amcit claimants registered with Embassy 16 Total Amcit claims pending resolution 22 NON-WAIVER CLAIMS RESOLVED BY CALENDAR YEAR NUMBER -------------- -------------- Claims resolved in calendar year 2008 1 Claims resolved in calendar year 2009 1 CALLAHAN