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Viewing cable 07LIMA2652, NAS MONTHLY REPORT FOR JULY 2007

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Reference ID Created Released Classification Origin
07LIMA2652 2007-08-03 21:59 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Lima
VZCZCXYZ0020
RR RUEHWEB

DE RUEHPE #2652/01 2152159
ZNR UUUUU ZZH
R 032159Z AUG 07
FM AMEMBASSY LIMA
TO RUEHC/SECSTATE WASHDC 6409
INFO RUEHBO/AMEMBASSY BOGOTA 4933
RUEHBR/AMEMBASSY BRASILIA 7506
RUEHLP/AMEMBASSY LA PAZ AUG QUITO 1373
RHMFIUU/DEPT OF STATE AIR WING PATRICK AFB FL
RHEHOND/DIRONDCP WASHDC
RHMFIUU/COGARD INTELCOORDCEN WASHINGTON DC
RULSJGA/COMDT COGARD WASHINGTON DC//G-CI/G-M/G-OLE//
RUCOWCA/COMLANTAREA COGARD PORTSMOUTH VA
RUWDQAA/COMPACAREA COGARD ALAMEDA CA
UNCLAS LIMA 002652 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR INL/LP 
STATE FOR WHA/PPC 
ONDCP FOR LT COL RONALD GARNER 
 
E.O. 12958: N/A 
TAGS: SNAR KCRM ASEC PREL PE
SUBJECT: NAS MONTHLY REPORT FOR JULY 2007 
 
--------- 
SUMMARY 
--------- 
1. (U) The key developments in July 2007: 
 
** Strikes, violent marches, roadblocks, and airport 
shutdowns require heightened security measures. 
 
** Plan VRAE, the GOP development program for Peru's main 
coca growing--and most poverty ridden--area, is stalled 
because the security component remains unresolved. 
 
** As of July 31, CORAH has eradicated a total of 3,987 
hectares; now operating in the La Morada/Madre Mia areas. 
 
** The readiness posture of the helicopter fleet has improved 
with assistance from INL/A and DynCorp; NAS takes steps to 
avoid maintenance and parts problems. 
 
** C-26s use the FLIR to protect CORAH from night attacks by 
detecting potential hostile forces nearby. 
 
** Interdiction operations slowed by the lack of available 
aircraft due to UH-2 maintenance posture. 
 
** Scanners are monitoring air cargo for the first time in 
Peruvian counternarcotics history; seizures increase. 
 
** NAS-trained Peruvian customs cooperates with Ecuadorian 
customs; team seizes USD 106,000 and a new SUV. 
 
** Garcia implements a package of laws to combat organized 
crime, including asset-forfeiture and severe penalties for 
blocking eradication. 
 
** NGO trains high-school students to host radio call-in 
shows to reach other youth about dangers of drug abuse. 
 
** The new USEPA-approved incinerator for destroying seized 
drugs was inaugurated on July 6. 
END SUMMARY 
 
--------------------------------------------- -------- 
SOCIAL CONFLICTS REQUIRE MORE SECURITY IN COCA AREAS 
--------------------------------------------- -------- 
2. (U) In July, NAS/GOP field operations took place in a 
context of strikes, violent marches, roadblocks, and attempts 
to close down airports.  The trigger was the strike by the 
teachers' union (SUTEP) controlled by the radical "Patria 
Roja," soon joined by a conglomeration of anti-mining and 
anti-free trade groups, as well as cocaleros.  At one point, 
76 different protests were underway in 16 of Peru's 25 
provinces.  The root causes were unmet regional/local 
demands, government inefficiency, and regional incapacity. 
Narco-trafficking and Chavista influences may have fueled 
violent protests.  Pro-coca local and regional authorities 
took advantage of local conflicts to advance their own 
agendas.  We anticipate another general strike in Pucallpa in 
August as well as cocalero mobilization against eradication 
mid-month.  NAS has increased the security awareness level in 
the field to include security training at both eradication 
sites, specifically regarding night patrols and readiness to 
respond to attacks.  The two Army platoons that have 
augmented PNP at the La Morada/Madre Mia site are forming an 
outer perimeter to control key terrain around the work 
area/helo landing sites.  At the Santa Lucia base, increased 
lighting, stepped up communications security, rehearsals for 
base defense, and other measures have been taken to protect 
personnel, infrastructure, and aviation assets. 
 
--------------------------------------------- - 
STRIKE SHUTS DOWN PUCALLPA AND CLOSES AIRPORT 
--------------------------------------------- - 
3. (U) The general strike that began June 27 in Pucallpa 
(site of the NAS Main Operating Base (MOB)) to protest the 
elimination of the exemption for the value-added tax for the 
Amazonia region, temporarily stranded over 50 American 
tourists.  The strike stopped all commercial flights into and 
out of Pucallpa for about a week.  Large crowds gathered 
around the airport, but did not enter the MOB.  All MOB 
personnel have been restricted to the base compound.  Local 
employees have been coming to work unless they felt 
threatened by the crowds.  The security situation is 
continuously being monitored and adjusted as needed. 
 
--------------------------------------------- 
PLAN VRAE, COCA GROWERS, AND EXTREME POVERTY 
--------------------------------------------- 
4. (U) Plan VRAE, approved by the Council of Ministers in 
December 2006, with a proposed budget of 148 million soles 
(47 million dollars) for social programs, basic 
infrastructure and agricultural development is off to a slow 
start because the security component remains in the planning 
stages (the Army has the lead in the VRAE emergency zone). 
 
5. (U) In July, the Ministry of Defense issued a Report by 
the VRAE Multi-Sectoral Group (10 Ministries and DEVIDA) on 
the "Program for Developing the Valley of the Apurimac and 
Ene Rivers."  The Report included statistics on extreme 
poverty rates in the VRAE, that undermine the myth that coca 
is the most lucrative crop for peasant farmers.  The VRAE is 
the principal coca producing area of Peru--coca has doubled 
there in the past 8 years to 16,000 hectares.  Along the 
Apurimac River 60 percent of this previously diverse 
agricultural area is under coca production.  Extreme poverty 
rates remain higher there than in the rest of Peru (44.85 
percent in the VRAE compared to 16.1 percent overall).  The 
Report states that the poorest farmers--47 percent who have 
between 1-3 hectares--are the most dependent on coca.  Eighty 
percent of the houses in the VRAE have no drinking water; 77 
percent have no electricity, and over half the households are 
chronically undernourished.  According to the Report, crop 
productivity is lower than in the rest of the country due to 
deforestation, depleted soil caused by coca cultivation, and 
indiscriminate use of chemicals (e.g., the national average 
for rice production is 4,100 kilos per hectare; in the VRAE 
it is barely 800 kilos per hectare). 
 
--------------------------------------------- - 
CORAH OPERATIONS CONTINUE IN CONFLICTIVE AREA 
--------------------------------------------- - 
6. (U) As of July 31, CORAH has eradicated a total of 3,987 
hectares and eliminated 23,487 square meters of seedbeds.  On 
July 7, CORAH moved further south to the La Morada/Madre Mia 
areas, which was expected to be more conflictive than 
Yanajanca.  So far this month, one CORAH worker was injured 
by a booby trap (IED) in the field; five other IEDs were 
found and disarmed.  On seven different days, shots and 
explosions were heard close to CORAH's cantonment area. 
CORAH expects to complete operations in the La Morada/Madre 
Mia areas in August.  The eradicators will likely move to the 
Tocache area to support Alternative Development activities 
while maintaining the current pace of eradication.  Moving 
CORAH to Tocache should also allow us to reduce flight hours, 
since it is closer to the Santa Lucia base. 
 
--------------------------------------------- ------------- 
MORE UH-2S ARE FLYING; MAINTENANCE CRISIS AVERTED FOR NOW 
--------------------------------------------- ------------- 
7. (SBU) The helicopter fleet maintenance posture has 
improved since last month's report.  Poor readiness was due 
to a high demand for air support for CN operations east of 
the Andes dictated by security conditions.  The high 
operations tempo required scheduled and unscheduled 
maintenance of the UH-2s, grounding some helicopters.  The 
UH-2 fleet exceeded the planned monthly flying hours for over 
two months because the PNP MI-17s were down for unscheduled 
and phase maintenance or were being used by President Garcia 
and other GOP officials.  The UH-2s have to fly up to three 
times as many hours to accomplish what a heavy-lift MI-17 can 
haul in one load.  After strong intervention by the NAS 
Director, the GOP assigned two PNP MI-17s to support the 
eradication efforts at Santa Lucia. 
 
8. (U) Operations in conflictive areas have required a 
significant increase in flying hours to transport security 
personnel.  Violent cocalero attacks and SL ambushes required 
a much larger protective force to accompany the eradication 
brigades.  In the recent Yanajanca operation, 1000 people 
were inserted and extracted from the area by helicopter, 
causing a higher flying tempo at longer distances from the 
base. 
 
--------------------------------------------- ---------- 
C-26 AIRCRAFT USED TO PROTECT CORAH FROM NIGHT ATTACKS 
--------------------------------------------- ---------- 
9. (SBU) The C-26s continue to fly over eradication 
operations areas to take FLIR images of the surrounding area 
to detect potential hostile forces nearby.  The Peruvian 
Joint Command is tasking the C-26 for FLIR images of the CN 
areas in the VRAE.  Currently, one C-26 is in Oklahoma to 
have ARINC install a digital camera to augment the FLIR 
capability during CN/CT missions.  The C-26 will be flown 
back to Peru at the end of August.  In recognition of the 
excellent cooperation between the GOP, NAS, and the FAP, the 
FAP presented NAS Director Keogh with a decoration for her 
support of FAP C-26s. 
 
--------------------------------------------- ---------- 
ECO-FRIENDLY INCINERATOR FOR BURNING DRUGS INAUGURATED 
--------------------------------------------- ---------- 
10. (U) The new USEPA-approved incinerator for destroying 
seized drugs was inaugurated on July 6.  The clean-burning 
incinerator replaces an antiquated one that spewed fumes and 
ashes, which prompted community protests that shut down the 
facility several times.  The shutdowns resulted in warehouses 
packed full of seized drugs slated for destruction.  The 
Minister of Interior and Ambassador Struble participated in 
the ceremony. 
 
---------------------------------------- 
INTERDICTION SLOWED BY LACK OF AIRCRAFT 
---------------------------------------- 
11. (U) Interdiction operations this month slowed due to the 
lack of aircraft caused by the maintenance issues described 
above.  Interdictions continued in the VRAE out of the 
Palmapampa police base and in the Upper Huallaga out of Santa 
Lucia.  The figures are: 
 
                           July 2007         Since 01/01/07 
                         VRAE   Huallaga   VRAE   Huallaga 
--------------------------------------------- --------------- 
Laboratories Destroyed    23      6         187      50 
Chemicals Destroyed, kg  5539    145       86632    8565 
Arrests Made              1                  6 
Weapons Seized            1                 15 
Vehicles Seized           3                  5 
 
12. (U) The DIRANDRO Road Interdiction Group, DEPOES-3, 
operating from Ayacucho, has conducted 28 interdiction 
operations with the support of canines.  The figures are: 
 
                           July 2007    Since 01/01/07 
--------------------------------------------- --------------- 
Cocaine Base Seized, kg       39.6           189 
Chemicals Seized, kg          64.5          5942 
Arrests Made                   1              34 
Weapons Seized                 1               4 
 
--------------------------------------------- ---------- 
MARITIME SEIZURES SURPASS LAST YEAR'S IN ONLY 7 MONTHS 
--------------------------------------------- ---------- 
13. (SBU) Interdiction operations by Peruvian Customs and 
Police at Lima's Jorge Chavez International Airport (JCIA) 
seized 203 kg of cocaine HCL in 68 incidents this month.  In 
the past 7 months, this NAS-sponsored project has seized 
2,724 kg of cocaine HCL, and made 448 arrests (364 men and 84 
women) of which 217 were internal carriers ("mules") and 45 
were smuggling cocaine in their luggage or cargo.  This 
year's seizure rate to date has already surpassed last year's 
record of 2,074 kg.  As of July 30, the container 
scanner--reconfigured for air cargo palettes--has been 
deployed at the airport to monitor air cargo for the first 
time in Peruvian counternarcotics history.  An x-ray body 
scanner will also be operational at JCIA by mid August, along 
with a mobile x-ray van that screens cargo. 
 
14. (SBU) NAS training and equipment resulted in 
Peruvian-Ecuadorian cooperation to arrest a passenger in 
Quito airport carrying an undeclared USD 106,000.  On July 
20, the Chief of the Peruvian Customs at JCIA advised the 
USCBP Advisor that a Quito-bound passenger was carrying a lot 
of money, but there was no time to count it before he boarded 
the plane.  The Customs Chief asked the NAS/USCBP Officer to 
alert his counterpart in Quito.  Immigration and Customs 
Enforcement (ICE) in Quito coordinated with Ecuadorian 
Customs to detain the traveler and seize the money when he 
did not declare it on arrival (a violation of Ecuadorian 
law).  When the Ecuadorians discovered the traveler had a SUV 
parked at the airport, they also seized the vehicle. 
 
15. (SBU) For the month of July, the Peruvian Postal System 
(SERPOST) seized 24 kg of cocaine HCL in the out-going 
international mail. 
 
--------------------------------------------- - 
GARCIA PASSES NEW ORGANIZED CRIME LEGISLATION 
--------------------------------------------- - 
16. (SBU) In April, Peru's Congress delegated to President 
Garcia its authority to implement a package of laws to combat 
organized crime.  The new laws went into effect on July 24, 
although they are subject to review by Peru's Congress for a 
period of two weeks.  Among them is the non-penal asset 
forfeiture law that should prove to be a potent new weapon to 
combat money laundering and organized crime.  NAS and the UN 
Office on Drugs and Crime joined forces with Peru's Ministry 
of Justice to develop this new legislation and to secure its 
passage.  The law authorizes the Peruvian government to seize 
illegally earned assets if a defendant, after due judicial 
process, cannot prove the legitimacy of the assets in 
question.  NAS will continue to work with the GOP to provide 
training to prosecutors and other law enforcement authorities 
who will implement the new asset forfeiture law. 
 
17. (SBU) Significantly, the crime package modified an 
existing statute to make impeding the eradication or 
destruction of illicit drug crops, or the destruction of any 
other assets used to make or transport illicit drugs, a crime 
punishable by 6-12 years in prison.  This law will strengthen 
the hand of the government in dealing with cocaleros who 
attempt to disrupt eradication of illicit coca. 
 
--------------------------------------------- --- 
DR PROGRAM HELPS YOUTH REACH OUT TO OTHER YOUTH 
--------------------------------------------- --- 
18. (U) NAS staff traveled to Trujillo to monitor a 
demand-reduction program called "Family or Drugs, You Decide" 
that is in its second year.  CEDRO, the NGO running the 
program, travels with a mobile exhibit to 7 coastal cities to 
educate people about the danger of drugs.  In each city, 
CEDRO has trained a group of about 30 high-school students to 
host a one-hour (or more) radio call-in show that discusses 
drug abuse and other concerns of adolescents.  CEDRO has 
similar programs in communities near USAID's alternative 
development programs.  This highly effective youth outreach 
program is being duplicated in the six community anti-drug 
coalitions in Lima.  NAS is planning to start a coalition in 
one or more of the coastal cities in early 2008. 
WUNDER