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Viewing cable 06BUENOSAIRES2040, PRESIDENT BUSH ACKNOWLEDGEMENT OF CIA PRISONS; DVC WITH US

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Reference ID Created Released Classification Origin
06BUENOSAIRES2040 2006-09-08 14:51 2011-08-25 00:00 UNCLASSIFIED Embassy Buenos Aires
VZCZCXYZ0035
OO RUEHWEB

DE RUEHBU #2040/01 2511451
ZNR UUUUU ZZH
O 081451Z SEP 06
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5834
INFO RHMFISS/CDR USSOCOM MACDILL AFB FL//SCJ2//
RULGPUA/USCOMSOLANT
UNCLAS BUENOS AIRES 002040 
 
SIPDIS 
 
STATE FOR INR/R/MR, I/GWHA, WHA, WHA/PDA, WHA/BSC, 
WHA/EPSC 
CDR USSOCOM FOR J-2 IAD/LAMA 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: KPAO OPRC KMDR PREL MEDIA REACTION
SUBJECT: PRESIDENT BUSH ACKNOWLEDGEMENT OF CIA PRISONS; DVC WITH US 
AMBASSADOR GREGORY SCHULTE ON IRAN; IDB LOAN FOR ARGENTINA; 
US-PARAGUAY AND US-URUGUAY FTAs; 09/07/06; BUENOS AIRES 
 
 
1. SUMMARY STATEMENT 
 
Local international stories include US President George W. Bush 
acknowledging the existence of previously secret CIA prisons around 
the world; a DVC with US Ambassador to the International Atomic 
Energy Agency Gregory Schulte on the diplomatic challenge posed by 
Iran's nuclear program; the IDB loan for Argentina; and the 
US-Paraguay and US-Uruguay FTAs. 
 
2. OPINION PIECES AND KEY STORIES 
 
- "The US acknowledges it used secret prisons all over the world" 
 
Ana Baron, Washington-based correspondent for leading "Clarin," 
writes (09/07) "Two months away from legislative elections, in a 
real change of direction, US President George W. Bush acknowledged 
yesterday that the CIA has clandestine prisons all over the world, 
which were created after the September 11 attacks. And he announced 
that 14 terrorists detained in these prisons were transferred to 
Guantanamo Bay for trials. Bush also urged the US Congress to adopt 
legislation establishing legal military courts where terrorists can 
be judged for diverse crimes including the September 11 attacks. 
 
"... If an attack is always the best defense, Bush decided to go 
beyond that, and during the press conference he granted, in which he 
was surrounded by relatives of victims to the September 11 attacks, 
he revealed the existence of CIA clandestine prisons highlighting 
that these secret prisons had brought big achievements in the global 
war on terrorism." 
 
- "The achievements of war" 
 
Marcelo Cantelmi, international editor of leading "Clarin," writes 
(09/07) "It was an election campaign act rather than an 
acknowledgement of guilt or mistakes... George W. Bush exhibited the 
lamentable existence of clandestine prisons as a new achievement and 
he did so by looking to the imminent anniversary of the terrible 
September 11 attacks... 
 
"Bush needs to revive those ghosts to strengthen his administration 
vis-`-vis upcoming November legislative elections. 
 
"Everything that has happened ever since the September 11 attacks 
has a ghostly face, ranging from abuses at the Abu Ghraib prison, 
lack of rights at Guantanamo, and the decision to ignore centuries 
of international legality by sustaining a 'pre-emptive' attack 
concept. However, the White House considers those obscurities 
legitimate tools, and it modifies reality... and makes up paradises 
of war achievements where one can only predict swamps." 
 
- "'Iran has no nuclear weapons but it is seeking them'" 
 
Claudio Mario Aliscioni, international analyst of leading "Clarin," 
writes (09/07) "Ambassador Gregory Schulte has been the US 
Representative at the International Atomic Energy Agency (IAEA) in 
Vienna for one year. He has never been in Argentina but he 
repeatedly underscores Argentina's cooperation against nuclear 
proliferation. As a White House delegate, his criticism is focused 
on Iran, which Washington accuses of developing a nuclear program 
with military purposes. 
 
"However, the fiasco of the invasion of Iraq makes him cautious when 
condemning the Tehran regime 'We do not believe Iran has nuclear 
weapons, but we do believe it is seeking to obtain them.' 
 
"During a two-hour DVC between his Austrian office and the US 
Embassy in Buenos Aires, Schulte repeated many times that his 
country is seeking a 'diplomatic solution' to the crisis with Iran, 
which refuses to suspend its nuclear program based on its civil 
purposes. The US rejects it and encourages UN sanctions. However, 
some members of the UN Security Council, such as Russia and China, 
who have strong commercial ties with Tehran, are trying to put a 
brake on Washington's disciplinary options. 
 
"'Clarin' asked why the world should now trust the US charges 
against Iran when all previous arguments against Iraq were proven 
false. 
 
"'I do not blame you for the question. I also asked whether we were 
sure about the information on Iraq. But now we have better 
information than in the past.' 'We did not find a 'smoking gun', but 
we do have years and years of deceit and the fact that Iran is 
taking steps to master technology, which, through enriched uranium, 
can lead to the manufacture of nuclear weapons. And this is not 
speculation.' 
 
 
"Asked whether the US would seek unilateral sanctions in the event 
the UN imposes no sanctions on Iran, Schulte answered 'We seek UN 
Security Council sanctions. What you mention is highly 
hypothetical.'" 
 
- "The US urges to impose 'firm sanctions' on Iran" 
 
Dolores Ayerra, columnist of business-financial, center-right 
"InfoBae," comments (09/07) "The Bush administration is convinced 
that Iran is developing a nuclear armament program, which it is not 
willing to suspend. While the US asks for an urgent solution, it has 
dismissed a military attack. 
 
"... During a DVC organized by the US Embassy in Argentina, US 
Representative at the UN in Vienna, Gregory Schulte reviewed the 
conclusions of said report and he expressed his deep concern in 
relation thereto. 
 
"Schulte pointed out that the report warns that 'Iranian authorities 
have not complied with the UN Security Council's demands to suspend 
their enriched uranium-related activities.' He also underscored that 
the document shows more than a dozen instances in which Iran has 
denied AIEA inspectors adequate access to information, facilities 
and individuals. 
 
"While the Tehran government argues that this program is only for 
peaceful purposes, the US is increasingly suspicious and it 
questions the alleged civil use of said technology. 
 
"... Schulte urged the international community to seek a diplomatic 
and urgent solution to the conflict, which should be backed by firm 
sanctions. In spite of the increasing tension, the White House has 
dismissed any unilateral and military solution." 
 
- "Face to face" 
 
Santiago O'Donnell, internationa columnist of left-of-center 
"Pagina 12," writes (09/07) "During the morning I attended a DVC 
with US Ambassador to the AIEA, Gregory L. Schulte. During the 
afternoon I read some statements from Iranian President Mahmud 
Ahmadinejad. Both of them, the American and the Iranian, spoke of 
the same. It is a pity that their countries have cut their ties and 
that the two of them cannot talk face to face. 
 
"By using some quotes of statements made by the two of them, I can 
imagine the following dialogue between them. 
 
"Ambassador Schulte: 'The AIEA report, which was submitted to the UN 
Security Council last august 31, focuses on two fields - 
cooperation, or better said, (Iran's) lack of cooperation with AIEA 
inspectors, and its suspension, or better said, refusal to suspend 
its nuclear program, as mandated by the UN...' 
 
"President Ahmadinejad: 'My visit to the UN in New York on September 
12 is a good opportunity to organize a public debate...' 
 
"Ambassador Schulte: 'There is no 'smoking gun,' but there are 
enough signs that the US and the international community are 
convinced that Iran is seeking to develop a nuclear weapon.' 
 
"President Ahmadinejad: 'We want to submit proposals to better lead 
the world, and establish justice, calm, welfare, peace, friendship 
and gentleness.' 
 
"Ambassador Schulte: 'Iran says it wants to achieve nuclear 
development with peaceful purposes, but it has no nuclear energy 
electric centrals. For the one it is building, it has committed 
Russian nuclear material. For years the nuclear central of Natanz 
was disguised as an agricultural research center.' 
 
"President Ahmadinejad: 'I do not agree with the methods of big 
powers, particularly those of the US and UK to lead the world.' 
 
"... Well, we made a try. The dialogue did not end well, but it is 
better than nothing. Perhaps, when they do realize that they should 
have a dialogue, it will be too late." 
 
- "The US: 'This is the moment for sanctions'" 
 
Daily-of-record "La Nacion's" international columnist Dolores Tereso 
writes (09/07) "Convinced that words are not enough, the US believes 
that this is the time to act. Vis-`-vis an Iran that, according to 
Washington, is only trying to 'buy time' to continue developing its 
controversial nuclear program, diplomacy needs some help. 
 
"US Ambassador to the AIEA Gregory Schulte said yesterday 'Time has 
 
 
come for the UN Security Council to back diplomacy with sanctions.' 
The US diplomat made these statements in Vienna, AIEA headquarters, 
during a DVC with Argentine media representatives at the US Embassy 
in Buenos Aires. 
 
"... While Schulte did not give details on the kinds of sanctions 
the US is planning (although it is known that they would be 
gradually imposed), Schulte said that those sanctions would be 
focused on weakening Tehran's nuclear program and that they will not 
be intended to 'punish the Iranian people.' 
 
"Consulted on the possibility that the US could analyze the military 
option against Tehran in the event sanctions will not persuade the 
Islamic regime to abandon its nuclear program, the US diplomat 
insisted that the White House would be limited to the diplomatic 
solution... 
 
"Nonetheless, he clarified that diplomacy must 'urgently' act and he 
recalled the Iranian president's call to 'wipe Israel off the map.' 
He added 'Imagine this government armed with nuclear weapons. Iran 
is the most active sponsor of terrorism, and both the US and 
Argentina have suffered the effects of its action.' 
 
"For its part, Ahmadinejad responded to Bush's charges and defied 
him to debate face to face with him during the UN General Assembly 
in New York. Iran's challenging attitude seems to be based on the 
conviction that the threat or sanctions will not be made effective 
due to Russia and China's opposition... However, in a change in his 
position, Russian FM Serguei Lavrov said yesterday for the first 
time that Russia would analyze the possibility of imposing economic 
sanctions on Iran." 
 
- "Argentine position on Iran is praised" 
 
Jorge Sosa, columnist of business-financial "El Cronista," writes 
(09/07) "US Ambassador Gregory Schulte, US permanent representative 
at the UN in Vienna and the AIEA, said that 'Argentina has played an 
important role,' referring to the Kirchner administration's support 
for the UN Security Council's claim that Iran should suspend its 
nuclear program, which Washington considers a serious world threat. 
 
"Schulte said that Argentina, through its diplomats, 'has clearly 
expressed in public and private encounters the need for Iran to 
cooperate' with the UN request for access to information on its 
enriched uranium plan, which according to the US, is only intended 
to develop nuclear armament." 
 
- "The IDB grants a loan for Argentina in spite of US opposition" 
 
Ana Baron, Washington-based correspondent for leading "Clarin," 
writes (09/07) "The IDB approved yesterday a 50-million dollar loan 
for Argentina in spite of the fact that the US representative voted 
against it during a Board meeting in which they discussed the 
issue. 
 
"The loan will be used for a project to build two satellites for a 
total amount of 100 million dollars. The IDB will only contribute 
half of said amount. 
 
"Argentine Ambassador to Washington, Jose Octavio Bordon, made 
attempts at the US Treasury Department and the US Department of 
State to convince them that the US should abandon its reservations 
but his efforts were in vain. 
 
"The US Treasury Department believes that the IDB priority right now 
is granting loans for infrastructure and not for these kinds of 
loans for satellites. 
 
"... The current political disagreement between the US and Argentina 
is public and remarkable and it reappears again just a few days away 
from President Nestor Kirchner and Economy Minister Felisa Miceli's 
visit to New York to attend the UN Assembly." 
 
- "Will Paraguay also reach an FTA with the US" 
 
Business-financial "Ambito Financiero" reports (09/07) "Uruguay and 
Paraguay seem determined to make progress on direct negotiations 
outside of Mercosur to reach an FTA with the US. It was made public 
that Uruguayan President Tabare Vazquez has arranged to hold a 
meeting with Lula to speak about this issue. For his part, the new 
Paraguayan FM, Ruben Ramirez, asserted that the rest of Mercosur 
partners 'should not be surprised' that his country will start 
negotiating an FTA with the US. 
 
"Vazquez intends to start sharing information with the Bush 
administration to reach an FTA in early October, but before this he 
 
 
believes there should be a direct nod from Mercosur in support of 
these negotiations." 
 
 
To see more Buenos Aires reporting, visit our 
classified website at: 
http://www.state.sqov.gov/p/wha/buenosaires 
 
MATERA