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Viewing cable 08MANAGUA1243, NICARAGUA: ATTORNEY GENERAL ESTRADA AGREES TO A BILATERAL

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Reference ID Created Released Classification Origin
08MANAGUA1243 2008-10-10 17:13 2011-06-23 08:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Managua
VZCZCXYZ0000
RR RUEHWEB

DE RUEHMU #1243/01 2841713
ZNR UUUUU ZZH
R 101713Z OCT 08
FM AMEMBASSY MANAGUA
TO RUEHC/SECSTATE WASHDC 3242
INFO RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE
UNCLAS MANAGUA 001243 
 
STATE FOR WHA/CEN, EB/IFD/OIA AND L/CID-KOBAR, LANDSIDLE 
STATE FOR WHA/EPSC 
STATE PLEASE PASS TO USTR 
TREASURY FOR INL AND OWH 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EINV ECON USTR KIDE NU
SUBJECT: NICARAGUA: ATTORNEY GENERAL ESTRADA AGREES TO A BILATERAL 
REVIEW IN DECEMBER 
 
REF: A) MANAGUA 1120,  B) 07 MANAGUA 2324, C) 07 MANAGUA 2442, D) 07 
MANAGUA 2581, E) MANAGUA 1186 
 
 
1. (U) This cable contains an Action Request in Paragraph 5. 
 
SUMMARY 
------- 
 
2. (SBU) During the Ambassador's September 30 courtesy call on 
Attorney General Hernan Estrada, Estrada agreed to conduct a 
bilateral review of the treatment of claims subject to the Section 
527 Foreign Relations Authorization Act of FY 1994 and 1995 on 
December 4-5.  The Ambassador urged Estrada to quicken the pace of 
claim resolution and increase contact between our working-level 
staffs.  The Ambassador pressed Estrada to resolve U.S. claims that 
attracted U.S. Congressional interest, as well as those properties 
that remain under government control.  Estrada was cordial, but 
misrepresented basic facts about the GON's policies and procedures, 
many of which we will want to raise in the bilateral review. 
 
 
BILATERAL REVIEW IN DECEMBER 
---------------------------- 
 
3. (U) On September 30, the Ambassador paid a courtesy call on 
Attorney General Hernan Estrada.  The occasion provided an 
opportunity to survey the landscape of pending U.S. citizen claims 
against the Government of Nicaragua (GON).  The Ambassador obtained 
agreement to hold a bilateral review, as outlined in the Secretary's 
July 29 letter to Foreign Minister Samuel Santos (ref A).  The DCM, 
Economic Counselor, and Property Officer also participated.  The 
Attorney General was the only GON official. 
 
4. (SBU) Estrada readily agreed to a bilateral review of the GON's 
property claims policies and procedures during the first week of 
December (ref A).  The Ambassador said he will confirm specific 
dates and the delegation members as soon as he could.  The 
Ambassador said there are many issues we have to discuss in the 
bilateral review; The DCM flagged serious concerns about the GON's 
dismissal of 146 U.S. citizen claims based on Decrees 3 and 38 and 
for administrative reasons (lack of proof of ownership and/or 
confiscation of the property in question).  In addition, we have 
questions about the transparency of the government's claims 
resolution and compensation policies and procedures. 
Estrada responded that all policies and guidelines were available on 
the Office of Attorney General's website, www.pgr.gob.ni.  He 
asserted that the property claims resolution process was available 
to the public, noting that he published the guidelines and policies 
on the Attorney General's website in 2007. 
 
5. Action Request: Please confirm that the review will take place 
December 4-5 and the delegation will be led by WHA/CEN Office 
Director Christopher Webster.  We understand that the delegation 
will include Heather Goethert of EEB/IFD/OIA, Office of Legal 
Affairs Assistant Legal Advisor Jeff Kobar, and Jennifer Landsidle 
of the Office of Legal Affairs' International Claims and Investment 
Disputes division. 
 
RESOLUTION OF MORE CLAIMS 
------------------------- 
 
6. (SBU) The Ambassador urged Estrada to quicken the pace of claim 
resolution.  Estrada responded that he and his staff were working 
diligently, but that with a staff of just 11 people and a limited 
budget, there was only so much that could be done.  The Ambassador 
suggested that more meetings and more frequent direct contact at the 
working level would help.  Estrada countered that contact at the 
working-level staff was currently sufficient.  He worried about the 
possibility of corruption and favoritism should his staff become too 
friendly with legal representatives of U.S. citizens, something that 
he alleges took place during the Chamorro, Aleman, and Bolanos 
governments (Refs B, C, D). 
 
RESPONDING TO CONGRESSIONAL INQUIRIES AND PURSUING 
CLAIMS UNDER GON CONTROL 
--------------------------------------------- ----- 
 
7. (SBU) The Ambassador passed Estrada a list of claims recently 
receiving U.S. congressional attention, namely citizens Domingo 
Calero, Mary Ruth Silva, Fidelina Arauz and Uri Kollnesher.  The 
Ambassador then inquired about the status of properties of U.S. 
claimants under government control.  Estrada responded that 
President Ortega had created an ad hoc committee to resolve such 
claims (Ref E).  He added that he had good personal relationships 
with the police and affected ministries which he would call upon to 
resolve these claims. 
 
COMMENT 
------- 
 
8. (SBU) While cordial throughout the meeting, Estrada frequently 
misrepresented basic facts about the GON's policies and procedures. 
He exaggerated the extent of transparency surrounding the resolution 
of and compensation for property claims.  He misstated the legal 
basis for the threshold he applies to claimants when it comes to 
providing proof of ownership or of confiscation.  He overstated the 
level of cooperation between Embassy and GON working-level staff. 
These are all issues that we will want to raise in the bilateral 
review we plan to schedule for December 4-5. 
 
CALLAHAN