NICARAGUA: GON RESOLVES PROPERTY CASE FOR LIANA WOYWOD

UNCLAS MANAGUA 000723 SENSITIVE SIPDIS STATE FOR WHA/CEN, EB/IFD/OIA, AND L/CID STATE ALSO FOR WHA/EPSC E.O. 12958: N/A TAGS: ECON EINV NU SUBJECT: NICARAGUA: GON RESOLVES PROPERTY CASE FOR LIANA WOYWOD REFS: A) 08 MANAGUA 1120, B) MANAGUA 694 SUMMARY -------------- ¶1. (SBU) On July 17, the Government of Nicaragua (GON) reported that U.S. citizen claimant Liana Woywod recovered her property confiscated by the GON in 1979. The recovery of confiscated property by the original owner is a rare accomplishment in Nicaragua. Including Mrs. Woywod's claim, the GON has resolved 48 claims during the 2008-2009 waiver year. End Summary. GON RESOLVES WOYWOD CASE -------------- ¶2. (U) On July 17, the GON reported that Attorney General Estrada issued a dictum on July 10 that stated that U.S. citizen Liana Woywod recovered her house located in the city of Masaya. Mrs. Woywod's property had been confiscated by the GON in 1979 and transferred to a third party through the Laws 85 (1990) and 88 (1990),known as the "Pinata Laws" (Ref A). The GON provided the Property Office a copy of the dictum on July 17. Mrs. Woywod's case represents one property claim registered with the Embassy Property Office. Type of No. of Type of Claimant Claim Claims Resolution -------------- -------------- -------------- -------------- Liana Woywod House 1 Recovery PERSISTENCE PAYS OFF -------------- ¶3. (U) In 2001, Mrs. Woywod filed a suit in court against the occupant to recover her property. The court ruled in favor of the occupant and she appealed the decision. In 2004, Mrs. Woywod began to negotiate the return of her property with the occupant. In 2005, the occupant vacated the house and the GON re-registered the property under her name. The recovery of confiscated property by the original owner is a rare accomplishment in Nicaragua. GON RESOLVES 48 CLAIMS SO FAR -------------- ¶4. (SBU) Including Mrs. Woywod's claim, the GON has resolved 48 claims during the 2008-2009 waiver year. Between July 29, 2008, and July 17, the GON compensated 44 U.S. citizen claims belonging to 28 U.S. citizens via indemnification bonds issued with a face value of 161,679,400 cordobas, approximately $7,935, 886. A thin secondary market exists for the sale of the bonds, the current price for which ranges between 37 and 50 cents on the dollar. In addition, the courts ruled during the course of this waiver year that property be returned to one U.S. claimant. One claimant signed a lease agreement with the Nicaraguan National Police (NNP) while the NNP builds a new office in order to return the property. The GON also conducted a land swap with one U.S. citizen claimant for another property of comparable value (Ref B). SANDERS