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Viewing cable 09BUENOSAIRES35, ARGENTINA'S 2008 EPHEDRINE BUBBLE MAY BE POPPED,
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Reference ID | Created | Released | Classification | Origin |
---|---|---|---|---|
09BUENOSAIRES35 | 2009-01-09 14:51 | 2011-04-10 00:00 | UNCLASSIFIED//FOR OFFICIAL USE ONLY | Embassy Buenos Aires |
Appears in these articles: http://www.lanacion.com.ar/1364385-criticas-furibundas-a-paraguay-bolivia-y-peru |
VZCZCXYZ0003
RR RUEHWEB
DE RUEHBU #0035/01 0091451
ZNR UUUUU ZZH
R 091451Z JAN 09
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC 2850
INFO RUCNMER/MERCOSUR COLLECTIVE
RUEHBO/AMEMBASSY BOGOTA 1837
RUEHCV/AMEMBASSY CARACAS 1918
RUEHPE/AMEMBASSY LIMA 2376
RUEHME/AMEMBASSY MEXICO 1738
RUEHQT/AMEMBASSY QUITO 1129
RUEHUNV/USMISSION UNVIE VIENNA 0222
RHMCSUU/FBI WASHINGTON DC
RHMFIUU/DEPT OF HOMELAND SECURITY WASHINGTON DC
RHMFIUU/DEPT OF JUSTICE WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RHEFDIA/DIA WASHINGTON DC
RUEKJCS/SECDEF WASHINGTON DC
RHMFIUU/HQ USSOUTHCOM MIAMI FL
UNCLAS BUENOS AIRES 000035
SENSITIVE
SIPDIS
E.O. 12958: N/A
TAGS: SNAR PGOV PREL PHUM EFIN AR
SUBJECT: ARGENTINA'S 2008 EPHEDRINE BUBBLE MAY BE POPPED,
BUT COCAINE STILL MOVING
REF: A. 2008 BUENOS AIRES 1571
¶B. 2008 BUENOS AIRES 1478
¶C. 2008 ASUNCION 702
¶1. (SBU) Summary: The legal entry into Argentina of
ephedrine bound for illicit uses appears to have slowed
substantially by late 2008 following government decrees to
sharply limit permitted trade in the chemical, though law
enforcement continues to pursue up to eight metric tons of
excess ephedrine still thought to be in the country. On
December 4, 2008, the GOA issued a decree setting up an
inter-agency committee to regulate ephedrine and other
precursor chemical imports. A September decree had already
prohibited the importation of ephedrine by pharmacies and
other retailers. Argentine law enforcement continues to
investigate ephedrine trafficking and the related ""triple
homicide"" of early August 2008, with the Minister of Justice
and the head of the Drug Policy Secretariat trading blame for
the spike in ephedrine last year. GOA officials are also
increasingly concerned about new aerial cocaine trafficking
routes from Bolivia and Paraguay into northern Argentina. As
a GOA proposal to decriminalize personal possession of
narcotics heads toward Congressional consideration, the
Supreme Court is expected to decide in February the case of
an individual detained for two days by police for minor drug
possession, with indications that the Court will rule the
detention inappropriate. End Summary.
Ephedrine: Officials Battle Traffic and Each Other
--------------------------------------------- -----
¶2. (SBU) Argentina law enforcement and judicial officials
continue to investigate individuals linked to a booming
ephedrine trade in 2008. Minister of Justice Anibal
Fernandez has acknowledged that 11.5 metric tons of ephedrine
entered Argentina in 2008 for no apparent legitimate purpose,
and law enforcement continues to seek up to 8 metric tons
thought to be in the country. Prosecutors and the press have
focused on the sudden ostentatious wealth of a few suspects
in the trade, including some linked to Mexican trafficker
Jesus Martinez Espinoza, arrested in Paraguay on October 4
(ref c). Revelations also continue from the August ""triple
homicide"" executions of three individuals, including one
pharmacist, Sebastian Forza, with links to illicit ephedrine
and also to the 2007 electoral campaign of President Cristina
Fernandez de Kirchner (to which he contributed). Rounding
out the sensational stories of crime related to ephedrine,
Federal Judge Federico Faggionato Marquez reported that he
had received threats and was likely the target of a a bomb
planted at one of his properties on December 18 and detonated
without injury by the police.
¶3. (SBU) As reported in refs A and B, different Argentine
authorities have cast recriminations at each other over the
2008 ephedrine bubble. Minister Fernandez has suggested that
the Secretariat of Planning for the Prevention of Drug Abuse
and Drug Trafficking (Sedronar) failed to exercise control
over the imports, in part because as an executive branch
agency with limited resources it was incapable of doing so.
Monica Cunaro, a prosecutor at the head of a scientific panel
analyzing drug policy established by Minister Fernandez, has
lambasted Sedronar for its record of approving suspect
ephedrine imports and for weak controls over seized drugs.
Officials at Sedronar had argued previously that Minister
Fernandez had been slow to approve the draft decrees needed
to give them the authority to reject suspect imports. Prior
to the decrees, they said, they could only approve import
requests by legally registered businesses, whether the
ephedrine import made sense or not. Sedronar head Granero
has also said publicly that Fernandez and Cunaro want him
fired.
¶4. (SBU) A December 4 decree establishing interagency control
over ephedrine imports by Sedronar, the Ministry of Health,
and the Ministry of Justice was thus promulgated in an
environment in which effective cooperation between the
agencies might be difficult. Fortunately, a September 17,
2008 decree banning ephedrine imports by pharmacies and other
retailers appears to have largely halted the easy import of
ephedrine into Argentina, perhaps forestalling the emergence
of a permanent trafficking route through
Argentina to Mexico and the U.S.
¶5. (SBU) The Argentine public continues to follow ephedrine
closely, particularly the investigation into the August 2008
""triple homicide."" On January 1, detained Argentine Luis
Tarzia, who was alleged to have been a link between the
Argentine pharmaceutical importers and Mexican traffickers,
died of apparent heart disease in police custody. Although
no foul play has been seriously alleged, this is the second
witness in the triple homicide to have died (the first was
deemed a suicide in August when the associate of triple
homicide victim Sebastian Forza fell from his apartment
balcony).
The Curious Case of the Hidden Coke
-----------------------------------
¶6. (SBU) The issue of Sedronar's control of decommissioned
materials became tabloid fodder in December when stories
broke that Sedronar was being investigated over the discovery
by a garage mechanic of 8 kilos of cocaine hidden in the
engine block and under the seat of a small truck it was
operating, a truck seized in 2007 from a drug bust by Santa
Fe provincial police. Newspaper ""Critica"" went on to dissect
Sedronar Secretary Granero's suggestion that the cocaine
might have been left undiscovered from the 2007 bust, quoting
Santa Fe police officials assurances that they would have
looked everywhere in the truck after discovering the first 26
kilos. Critica also insisted that the cocaine found in 2008
appeared to be packaged differently from that of the 2007
bust.
¶7. (SBU) Minister Fernandez came forward on the record to say
he doubted any Sedronar officials were engaged in any illicit
traffic in the cocaine, and, separately, a Ministry of
Foreign Affairs official involved in counter-narcotics told
poloff in mid-December that he did not find it credible that
Sedronar officials would have knowingly taken a vehicle with
hidden drugs to a mechanic. That said, he could not quite
piece together a story about the cocaine that made sense.
Others have suggested the drugs were a plant to discredit
Granero and Sedronar. In the meantime, a federal judge is
investigating the case.
New Cocaine Threats
-------------------
¶8. (SBU) In the midst of close press attention over the
growth of illicit ephedrine trade in 2008, Argentine
authorities have also expressed concerns about evidence of an
increase in cocaine trafficking from the Andean countries
through Argentina to Europe. In a briefing to Embassy
officials on December 18, senior Gendarmeria officials said
they were concerned over increasing use by traffickers of
light aircraft to bring cocaine across Argentina's northern
borders to remote landing strips. Limited radar coverage and
surveillance capability, they said, meant that Argentina had
several large blind spots inits northern provinces,
particularly a large swath spreading out from the borders of
Santiago del Estero,
Chaco and Santa Fe provinces. One NGO, the Argentine
Antidrug Association, was quoted on January 4 in newspaper
""Perfil"" saying that there were up to 1500 clandestine
landing strips in Argentina's northwest, up 50 percent from
2006, and that 120 flights per day were landing in Argentina
carrying drugs, accounting for 80 percent of the cocaine
traffic in the country. These figures appear speculative,
but they may reflect a real increase in exploitation by
narcotics traffickers. Overall, cocaine and marijuana
seizures were up in Argentina in 2008 over 2007.
¶9. (SBU) Although acknowledging the threat of increased
cocaine traffic, and even that this might increase with
Bolivia's expulsion of the DEA, Argentine officials are less
willing to admit the presence of organized cartels managing
the trade or cocaine production in the country. Fernandez in
particular has disputed the idea that cartels are operating
in the country. Still, newspaper of record ""La Nacion,"" used
a December 30 editorial to label 2008 the ""year of organized
crime"" in Argentina, raising concerns both about the drug
trade, rising violence, and also the recently approved
legislation allowing for the repatriation of offshore money
without detailing its provenance. ""La Nacion"" worried that
the move signaled a growing convergence of political and
criminal interests in Argentina.
Decriminalization Advances
--------------------------
¶10. (SBU) GOA officials continue to advocate the idea of
de-penalizing personal possession of narcotics, including
marijuana and cocaine. The proposal, advanced at several
points in 2008 (ref A), has the backing of President
Crisitina Fernandez de Kirchner, who argued that the
Argentine Government needed to redirect resources toward
pursuing trafficking and treating personal users. The
proposal was advanced in the scientific panel headed by
public prosecutor Monica Cunaro and backed by Fernandez.
Granero, several opposition legislators, catholic church
officials and provincial officials from many regions have
raised concerns about the proposal and the connection of drug
use to crime increases: the top concern of the Argentine
public according to recent polls. Although Congress is
beginning to seriously discuss how such a law might be
structured, there is not yet a single government proposal for
legislation.
¶11. (SBU) A Supreme Court ruling is expected as early as
February 2009 in a case brought by an individual detained for
two nights by the police for possession of marijuana
cigarettes. The Court will consider whether police detention
for minor possession violated the citizen's right to privacy
under the Constitution. One Justice, Carmen Argibay, told
the press that she supported the decriminalization effort and
thought that a majority of the court would do so and other
press reports say a majority of the court favor
non-criminalization of possession of small amounts for
personal use. Legal authorities are reportedly concerned
that a judicial ruling disallowing detention for minor
possession will cause legal confusion until the law is
amended to better define penalties - or depenalizing - such
possession.
Comment
-------
¶12. (SBU) Unlike other bubbles popped in 2008, ephedrine of
course does not lack for demand even now. By tightening up
import requirements, however, Argentina may have done enough
to prevent its emergence as a long-term trafficking route for
the chemical. Addressing continued cocaine traffic through
the country will not be so simple. Decriminalization of
personal possession would probably not change much the law
enforcement dynamic for pursuing and prosecuting cocaine
trafficking, but its effecton personal consumption in
Argentina absent more extensive public awareness and
treatment efforts may well be less than salutary.
WAYNE
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