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Viewing cable 08MANAGUA1186, NICARAGUA: GON SAYS IT WILL FOCUS ON CLAIMS UNDER ARMY CONTROL

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Reference ID Created Released Classification Origin
08MANAGUA1186 2008-09-22 15:00 2011-08-19 20:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Managua
VZCZCXYZ0000
RR RUEHWEB

DE RUEHMU #1186 2661500
ZNR UUUUU ZZH
R 221500Z SEP 08
FM AMEMBASSY MANAGUA
TO RUEHC/SECSTATE WASHDC 3186
INFO RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE
UNCLAS MANAGUA 001186 
 
STATE FOR WHA/CEN, EB/IFD/OIA, AND L/CID 
STATE ALSO FOR WHA/EPSC 
STATE PASS TO USTR 
TREASURY FOR INL AND OWH 
 
SIPDIS 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: EINV ECON USTR KIDE NU
SUBJECT: NICARAGUA: GON SAYS IT WILL FOCUS ON CLAIMS UNDER ARMY CONTROL
 
REF: A) 02 MANAGUA 877, B) MANAGUA 564, C) MANAGUA 1120 
 
SUMMARY 
------- 

1. (SBU) During the August 28 monthly Working Group meeting on 
property issues, GON officials reported the establishment of an "ad 
hoc" committee to settle claims under the control of the Nicaraguan 
Army.  Econoff urged GON officials to explain how they determine 
settlement offers.  Econoff discussed a number of high profile U.S. 
citizens' property claims that had attracted U.S. Congressional 
interest and informed GON officials of the upcoming visit of a U.S. 
Government delegation to discuss government policies pertaining to 
U.S. property claims.  It appears that the GON is committed to 
resolving U.S. claims under army control during this waiver year. 
 
 
"AD HOC" COMMITTEE TO REVIEW ARMY CONTROLLED CLAIMS 
--------------------------------------------- ----- 

2. (SBU) During the August 28 monthly Property Working Group 
meeting, Econoff met with Ruth Zapata, head of the Office of 
Assessment and Indemnification (OCI), Jeanette Garcia, director of 
the National Confiscations Review Commission (CNRC), and Maysella 
Bravo, an official from the Office of the Attorney General, to 
review the claims of U.S. citizens who have requested assistance 
from the Embassy.  GON officials informed Econoff that President 
Daniel Ortega had established an ad hoc committee, including 
representatives from the Attorney General's Office and the 
Nicaraguan Army, to resolve claims on properties under Army control. 
 Zapata explained that the committee has been working since early 
August on the Las Serranias residential complex case.  This case 
involves 29 properties confiscated from the Barreto family (Ref B). 
 
 
TRANSPARENCY AND FAIRNESS IN PROPERTY APPRAISALS 
--------------------------------------------- --- 

3. (SBU) Econoff urged GON officials to explain to U.S. claimants 
how the government determines settlement offers, noting that many 
U.S. claimants complain about OCI's lack of transparency and 
fairness in appraising confiscated properties (Ref A).  Zapata 
asserted that according to the law, appraisals are prepared on the 
basis of historical values recorded in property registries, not 
current market values.  She added that property values are public 
information that claimants can request this information from the 
National Cadastral Registry Office or its regional offices. 
 
CONGRESSIONAL INQUIRIES AND BILATERAL REVIEW 
-------------------------------------------- 

4. (SBU) Econoff raised several U.S. claims that have recently 
received U.S. congressional attention, namely citizens Fidelina 
Arauz and Uri Kollnesher.  Zapata replied that these claims are 
under review.  Econoff broached the subject of an upcoming bilateral 
review by a U.S. Government delegation from Washington in October 
(Ref C).  Zapata said they look forward to holding bilateral 
discussions with the delegation. 
 
COMMENT: 
-------- 
 
5. (SBU) The formation of a committee to review claims under Army 
control signals that the GON is committed to resolving these cases 
during this waiver year.  On August 19, our Defense Attache met with 
a high-ranking general, who occupies a house in Las Serranias that 
is claimed by the Barreto family.  He told our Defense Attache that 
the Army wanted to resolve these claims during the past waiver year, 
but Attorney General Hernan Estrada was dragging his feet.  We plan 
to keep this avenue of communication with the Army open while we 
continue to press Estrada to resolve these claims. 
 
CALLAHAN