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Viewing cable 07MANAGUA889, NICARAGUA: MARINA PUESTA DEL SOL, S.A. INVESTMENT PROPERTY

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Reference ID Created Released Classification Origin
07MANAGUA889 2007-04-09 20:28 2011-06-21 08:00 UNCLASSIFIED Embassy Managua
VZCZCXYZ0001
RR RUEHWEB

DE RUEHMU #0889/01 0992028
ZNR UUUUU ZZH
R 092028Z APR 07
FM AMEMBASSY MANAGUA
TO RUEHC/SECSTATE WASHDC 9729
INFO RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE
UNCLAS MANAGUA 000889 
 
SIPDIS 
 
STATE FOR WHA/CEN GSCHIFFER, EB/IFD/OIA, L/CID AND WHA/EPSC 
TREASURY FOR INL MDONOVAN AND GCHRISTOPOLUS, OWH/ASCHWARTZMAN 
STATE PASS TO USTR 
 
SENSITIVE BUT UNCLASSIFIED 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EINV ECON EWWT USTR KIDE NU
SUBJECT: NICARAGUA: MARINA PUESTA DEL SOL, S.A. INVESTMENT PROPERTY 
 
1. (SBU) Summary: On January 24 2007, a band of armed men forcibly 
assumed control of a strip of land owned by Marina Puesta del Sol, 
S.A. in the department of Chinandega.  Ostensibly, the man behind 
the invasion is Mr. Jerez Lacayo, who has asserted ownership by 
virtue of a debt incurred by the spouse of a prior, but fraudulent, 
title holder.  As of March of 2007, Marina Puesta del Sol, S.A. 
remains in legal limbo as a result of contradictory laws, judicial 
wrangling, and armed invasions.  Catering to a wealthy clientele, 
the marina is increasingly well-known as a desirable stopping off 
point for sport fishing and as a final destination for seagoing 
journeys on the Pacific Coast of Central America.  Post is closely 
following developments and has raised the issue with high ranking 
government officials.  End Summary. 
 
2. (SBU) On January 24 2007, a band of armed men forcibly assumed 
control of a strip of land owned by Marina Puesta del Sol, S.A. in 
the department of Chinandega.  A promising marina and beachfront 
property, the investment represents a commitment to future tourism 
in Nicaragua.  Amcit Roberto Membreno and son have invested ten 
million dollars, with plans to expand the hotel and marina.  The 
invasion has put their expansion plans on hold. 
 
Land Invasion 
------------- 

3. (SBU) Amcit Roberto Membreno, original investor and father of 
majority stockholder Amcit Mark Membreno, told Econoffs that Puesta 
del Sol purchased the property in question from the Augusto Cesar 
Sandino Cooperative in 2003.  Shortly thereafter, a former 
Sandinista official named Larios appeared, claiming that the land 
belonged instead to a second cooperative named, interestingly 
enough, Augusto Cesar Sandino 2.  After a brief legal investigation, 
Roberto Membreno ascertained that the recently created cooperative 
was headed by Josefa Dolores Bravo Baez, Larios' own spouse. 
Nicaraguan land cooperatives have historically suffered from 
checkered sales records, contentious litigation, and multiple 
ownership claims. 
 
4. (SBU) Roberto Membreno claims that both the title and Augusto 
Cesar Sandino 2 cooperative are fraudulent.  Representatives of the 
Augusto Cesar Sandino 1 cooperative promised to address the 
accusations to reconcile the problem.  To date no resolution has 
been reached. 
 
5. (SBU) Ostensibly, the man behind the invasion is Mr. Jerez 
Lacayo, who has asserted ownership by virtue of a debt incurred by 
Larios' wife, Josefa Dolores Bravo Baez, precipitating the transfer 
of the property to Jerez Lacayo.  This claim on the land is what 
prompted Jerez Lacayo to occupy the land in January.  In response, 
Roberto Membreno filed a grievance with local police.  Two days 
later, the police persuaded the group occupying the land to leave, 
only to see them return several weeks later with a court lien 
authorizing Jerez Lacayo to take possession.  According to Roberto 
Membreno, the rationale behind the legal court order is derived from 
an August 2006 resolution awarding the property first to Ms. Bravo 
Baez and subsequently to Mr. Jerez Lacayo. 
 
6. (SBU) As of March of 2007, Marina Puesta del Sol, S.A. remains in 
legal limbo as a result of contradictory laws, judicial wrangling, 
and armed invasions.  Despite a February 2007 nullification order 
filed by Marina Puesta del Sol, S.A., control of the crucial strip 
of land is in the hands of heavily-armed invaders.  Claiming 
irregularities and fraudulent judicial procedures, Marina Puesta del 
Sol officials insist that at no time were they properly notified nor 
given the opportunity to file a timely appeal.  Post is closely 
following developments and has raised the issue with high ranking 
government officials. 
 
The Investment 
-------------- 

7. (SBU) Marina Puesta del Sol is a fairly high profile foreign 
investment in Nicaragua's fledgling tourist sector, having been 
featured in yachting and travel magazines.  Currently the marina 
offers a 19-room boutique hotel and docking facilities for at least 
28 oceangoing yachts.  The design calls for expanding the number of 
rooms and docking facilities.  Catering to a wealthy clientele, the 
marina is increasingly well-known as a desirable stopping off point 
for sport fishing and as a final destination for seagoing journeys 
on the Pacific Coast of Central America. 
 
8.  (SBU) Not quite contiguous to the yacht marina and boutique 
hotel, the invaded strip of land is at a higher elevation than the 
marina, situated in the nearby small town of Aposentillo, also in 
the northwest department of Chinandega.  Strategic to the success of 
Puesta del Sol's investment, the invaded property is where Membreno 
built his fresh water storage and supply station, without which the 
marina cannot function.  Membreno said that plans also call for a 
seven million dollar investment to build a private airstrip on the 
contested strip of land. 
 
TRIVELLI