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Viewing cable 07SANJOSE649, COSTA RICAN PROSECUTOR READY TO INDICT FORMER

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Reference ID Created Released Classification Origin
07SANJOSE649 2007-04-03 22:24 2011-04-24 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy San Jose
VZCZCXYZ0016
PP RUEHWEB

DE RUEHSJ #0649 0932224
ZNR UUUUU ZZH
P 032224Z APR 07
FM AMEMBASSY SAN JOSE
TO RUEHC/SECSTATE WASHDC PRIORITY 7698
INFO RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE PRIORITY
RUEHHE/AMEMBASSY HELSINKI 0072
UNCLAS SAN JOSE 000649 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
DEPT FOR WHA/CEN JASON MACK 
 
E.O. 12958: N/A 
TAGS: PGOV PREL PINR KCOR FI CS
SUBJECT: COSTA RICAN PROSECUTOR READY TO INDICT FORMER 
PRESIDENT CALDERON 
 
1.  (SBU) SUMMARY:  The Costa Rican federal prosecutor's 
office is finally ready to indict former president Rafael 
Angel Calderon (PUSC) for corruption allegations stemming 
from a 2001 loan from the government of Finland to the Costa 
Rican social security fund (INSS). If convicted, he could 
face up to 12 years in prison.  Calderon welcomed the chance 
to present his defense, confident that the charges would be 
dropped.  The once-popular Calderon is mulling over another 
run for the presidency in 2010 and needs to get this incident 
behind him.  Recent polls give him a 60% disapproval rating, 
but a positive outcome in court could help him regain support 
and would buttress his claim that the charges against him are 
political.  Costa Rica needs to get this languishing case 
behind it as well, to show that the judicial system can act 
on corruption allegations.  END SUMMARY. 
 
-------------------------------- 
CALDERON TO GET HIS DAY IN COURT 
-------------------------------- 
 
2.  (U) On March 16, the Costa Rican federal prosecutor's 
office announced that it was ready to file a criminal court 
indictment against former president Rafael Angel Calderon. 
Calderon, founder of the Christian Social Unity Party (PUSC) 
and president from 1990-94, was arrested in October 2004 for 
his alleged involvement in a corruption scandal.  He will be 
charged with embezzlement, bribery, and aggravated corruption 
for allegedly accepting a USD 450,000 "commission" after he 
promoted a USD 39.5 million loan from the government of 
Finland to INSS in 2001.  If a criminal judge approves the 
indictment after a preliminary hearing (not yet scheduled), 
Calderon would stand trial  If found guilty, Calderon faces a 
3-12 year sentence. 
 
3.  (U) After his arrest in October 2004, Calderon spent six 
months in preventive detention followed by another six months 
under house arrest.  He was given conditional liberty in 
October 2005, provided he not leave the country.  Calderon 
asked the Inter-American Commission of Human Rights (IACHR) 
to review his case in September 2005, alleging the 
allegations against him were politically motivated.  An IACHR 
decision is still pending. 
 
--------------------------------------------- -------- 
CALDERON WELCOMES COURT CASE, MULLS RUN FOR PRESIDENT 
--------------------------------------------- -------- 
 
4.  (U) In a newspaper interview, Calderon said he is happy 
to finally have the case brought to trial, confident that it 
would be able to clear his name and finally put the incident 
behind him.  Calderon believes that if he is cleared, he 
could be a viable presidential candidate in 2010, stating to 
the media that "90 percent of the (PUSC) party leaders are 
totally supportive of me."  He has said in various interviews 
that he will not decide until 2009 whether or not to run for 
president. 
 
------- 
COMMENT 
------- 
 
5.  (SBU) Calderon no doubt expects to be cleared of 
wrongdoing, assuming his case even passes the preliminary 
phase.  Calderon,s is one of the two "Ex-Presidents" 
corruption scandals that exploded in late 2004 (the other is 
the case of then-OAS Secretary General Miguel Angel 
Rodriguez).  The evidence against Rodriguez is considered 
much stronger, and both cases have been ready for prosecution 
since July 2006.  Judicial bureaucracy appears to be the only 
reason authorities are leading with the weaker Calderon case. 
 Although a popular president, he faces an uphill battle to 
be re-elected.  His PUSC party, once one of the two major 
political forces in the country, all but disappeared in the 
2006 elections, winning only three percent of the vote.  It 
has since regained some respect and support by consistently 
supporting the Arias administration,s coalition in the 
legislative assembly.  The February 2007 CID/Gallup poll 
showed PUSC polling ahead of the opposition PAC party, 16 
percent to 13 percent, but pollsters tell us PUSC support is 
broad but not deep.  Calderon will have to overcome the 60 
percent personal disapproval rating revealed in the same 
poll, in order to make a comeback, should he be cleared by 
the court.  Costa Rica needs to get this languishing case 
behind it as much or more than Calderon, however, in order to 
demonstrate that the judicial system can act on corruption 
allegations, even up to the highest levels of government. 
WEITZENKORN