POLITICAL REPRECUSSIONS FOLLOW PERM RESTAURANT FIRE

UNCLAS YEKATERINBURG 000084 SENSITIVE SIPDIS DEPARTMENT OF EUR/RUS E.O. 12958: N/A TAGS: ECON PGOV RS SUBJECT: POLITICAL REPRECUSSIONS FOLLOW PERM RESTAURANT FIRE Sensitive but Unclassified. Not for Internet Distribution. ¶1. (SBU) The tragic fire at the popular Lame Horse restaurant/club in Perm that claimed 149 lives on December 5 has had political repercussions that are still unspooling as the investigation into the incident continues. According to our contacts in the Perm city administration, the city is still in mourning, and Perm Krai Governor Chirkunov has cancelled all public events. ¶2. (SBU) Prime Minister Putin visited Perm on December 8 and took the regional government to task. The next day, all ministers submitted their resignations and will be serving in an acting capacity until the investigation is concluded. Three regional ministers were dismissed outright: Minister of Public Security Igor Orlov; Minister of Infrastructure and City Development Aleksander Kudryavtsev; Minister of Trade and Entrepreneurship Marat Bimatov. National LDPR leader Zhirinovsky has called for Chirkunov's dismissal, but the governor's United Russia supporters have rallied to his defense. Chirkunov's offer to resign his position was not accepted by the Kremlin. The future of Perm City Manager Arkady Kaz, who is close to Chirkunov and is known as an effective manager, is also uncertain: although the city duma did not accept his resignation, he has been suspended pending outcome of the investigation. ¶3. (SBU) The immediate cause of the fire -- an indoor fireworks display gone awry -- is quite clear, and responsibility for the large number of deaths could be widespread. Obvious irregularities in the club's operation were reported in the press in the immediate aftermath of the fire: fire and building code violations, including inadequate or blocked emergency exits, plastic decorations that emitted toxic fumes that were responsible for most of the deaths, and inattention to safety procedures all contributed to the death toll. The local fire chief and officials responsible for conducting regular inspections have been dismissed and may face prosecution. The club's main investor and general manager have been arrested, as has the owner of the pyrotechnic firm that supplied the fireworks. The club's principal owner perished in the fire. ¶4. (SBU) Comment: This is the second major disaster to befall Perm in the last 15 months: a plane crash in September 2008 killed 88. Regardless of whether it was bureaucratic negligence or corruption that is ultimately deemed responsible for the many reported code violations that were allowed to persist in the club's operations, the tragedy could dim the star of the ambitious Chirkunov and may affect the futures of others on his team. His plans for turning Perm into a cultural capital to rival Moscow and St. Petersburg may have to be put on hold. Moreover, members of post's locally-engaged staff were well-acquainted with the restaurant and its general manager, who was an alumna of a US international visitor program in the 1990's and considered one of Perm's most prominent female entrepreneurs. SANDUSKY