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Viewing cable 08SANTIAGO1083, CHILE MEDIA REPORT -- DECEMBER 12

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Reference ID Created Released Classification Origin
08SANTIAGO1083 2008-12-11 17:15 2011-08-25 00:00 UNCLASSIFIED Embassy Santiago
VZCZCXYZ0000
RR RUEHWEB

DE RUEHSG #1083/01 3461715
ZNR UUUUU ZZH
R 111715Z DEC 08
FM AMEMBASSY SANTIAGO
TO RUEHC/SECSTATE WASHDC 4096
INFO RUEHAC/AMEMBASSY ASUNCION 3665
RUEHBO/AMEMBASSY BOGOTA 2205
RUEHBU/AMEMBASSY BUENOS AIRES 1176
RUEHBR/AMEMBASSY BRASILIA 0570
RUEHCV/AMEMBASSY CARACAS 1872
RUEHPE/AMEMBASSY LIMA 5845
RUEHMN/AMEMBASSY MONTEVIDEO 4139
RUEHQT/AMEMBASSY QUITO 2013
RUEAIIA/CIA WASHDC
RHEFDIA/DIA WASHDC
RHEHNSC/NSC WASHDC
RUEATRS/DEPT OF TREASURY WASHDC
RUCPDOC/DEPT OF COMMERCE WASHDC
UNCLAS SANTIAGO 001083 
 
SIPDIS 
 
STATE FOR R/MR, I/PP, WHA/BSC, WHA/PDA, INR/IAA 
 
E.O. 12958: N/A 
TAGS: KMDR KPAO PGOV ECON PREL PGOV SNAR EFIN CI
SUBJECT:  CHILE MEDIA REPORT -- DECEMBER 12 
 
Lead Stories 
------------ 
1.  Dailies highlighted the fining of Chile's three major 
pharmaceutical drugstore chains for conspiring to overcharge 
consumers.  Dailies also highlighted the cabinet changes and Jose 
Miguel Insulza's likely presidential candidacy. 
 
U.S.-Related News 
----------------- 
2.  The Santiago Appeals Court unanimously upheld a 61-day 
imprisonment sentence against Jose Miguel Pizarro, the Chilean 
entrepreneur who recruited Chileans to work as security guards in 
Iraq.  Pizarro was accused of violating the Private Guards Law. 
(Note: Pizarro represented Blackwater in Chile) (La Tercera, 
conservative, independent, circ. 101,000, 12/11.) 
 
3.  OAS Secretary General Jose Miguel Insulza arrived in Santiago 
today to define aspects of his eventual presidential candidacy.  But 
to do this, Insulza must resign from the international organization. 
 However, that resignation has some complicated considerations.  In 
the OAS it is said that advisors to the U.S. President-elect are 
concerned that the Bush administration is trying to pressure 
Insulza, through Secretary Rice, into resigning before January 20, 
so that the current U.S. President can have a say on who will 
replace him in the OAS.  Last night Insulza said, "I owe respect to 
those who elected me, beyond the dislike that this can cause for 
some in the party or in the Concertacion." ( El Mercurio, 
conservative, influential newspaper-of-record (circ. 129,000, 
12/11). 
 
4.  In 2002, General Electric (GE) set up a technical aeronautics 
assistance center in Santiago as part of the offset for Chile's 
purchase of U.S.-manufactured F16s.  Six years later, Carol Hartman, 
of GE Aviation, says the center has been a success, adding that "the 
future looks good."  GE also set up an alliance with Technical 
University Federico Santa Maria so that aeronautics students can 
conduct internships at the center.  This has been profitable for GE, 
which can tap into the new talent it needs to expand, and for the 
university, which has had to become academically more competitive to 
adapt to the center's requirements (La Segunda, conservative, 
afternoon, circ. 33,000, 12/10). 
 
5.  Peru wants Yale University to return 40,000 archeological pieces 
removed from the Lost City of the Incas, Machu Picchu, in 1911 by 
explorer Hiram Bingham and taken to the United States.  The suit was 
filed on the grounds that the pieces are part of Peru's cultural 
heritage (El Mercurio, conservative, influential 
newspaper-of-record, circ. 129,000, 12/11). 
 
6.  The Presidents of Russia and Argentina signed a civilian nuclear 
cooperation agreement during Cristina Fernandez' trip to Moscow. 
"To live in a world with no rules is bad, but even worse is to live 
in a world where the rules apply only to the weakest and where the 
strongest violate them repeatedly," said Russian President Medvedev 
after meeting with Fernandez.  Medvedev just concluded a tour to the 
region that included countries that are critical of the United 
States, such as Venezuela and Cuba (El Mercurio, 12/11). 
 
7.  Palestinian Foreign Minister Riyad Al Malki is in Chile.  In 
this interview, he warns over the eventual victory of the right wing 
party in Israel's election, noting that the party opposes the peace 
process with Palestine.  He said that Hamas has not been in the 
talks with Israel, because as a political party it cannot take part 
in negotiations among states.  On Obama, Al Malki said, "He 
represents a U.S. position that is opposite to Bush's and has 
expressed great interest in negotiations (La Tercera, 12/11). 
 
Local News 
---------- 
8.  The National Economic Prosecutor accused the three largest 
pharmaceutical chains -- Ahumada, Cruz Verde, and SalcoBrand -- of 
conspiring to jointly overcharge consumers for more than 222 drug 
products since 2007.  The three chains control 92% of the local drug 
distribution market.  The suit was taken before the Free Competition 
Defense Tribunal (All dailies, 12/11). 
 
9.  The cabinet members who will run for Congress next year resigned 
yesterday after 7pm:  Labor Minister Oslvado Andrade, Under 
Secretary of Interior Felipe Harboe and Under Secretary of Culture 
Arturo Berrios. Bachelet accepted their resignation, but has not yet 
appointed their replacements.  Government spokesman Francisco Vidal 
said there could be other changes between today and next week (All 
dailies, 12/11) 
 
10.  The National Emergency Office, ONEMI, has maintained the red 
alert in the areas surrounding the Chaiten Volcano in southern Chile 
(La Tercera, 12/11). 
 
Human Rights 
------------ 
11.  On a the anniversary of the Universal Human Rights Declaration, 
President Bachelet placed the fist stone of what will be a monument 
in Villa Grimaldi to remember the military regime's victims of human 
right violations.  Villa Grimaldi is the former detention center 
where Bachelet and her mother were tortured.  "Never again, the 
empire of cruelty.  Never again torture," said Bachelet (La Nacion, 
government-owned, editorially independent, circ. 4,200, 12/11). 
 
12.  Amnesty International Chile (AI-Chile), the Diego Portales 
University and several NGOs' presented proposals for the protection 
of human rights.  Foremost is the elimination of the Amnesty Law, 
the conclusion of pending human right trials with the corresponding 
reparation for the families of the victims, and the ratification of 
international human rights treaties.  AI-Chile Director Karl Bohmer 
said it is "inconceivable" that Chile has not ratified the 
International Criminal Court, created an Ombudsman, drafted a law on 
genocide, or ratified the Convention Against the Disappearance of 
Persons (La Nacion, 12/11). 
 
Environment 
----------- 
13.  Brazilian company MPX Energy Chile is planning to build a coal 
thermoelectric generation plant in northern Chile.  The plant will 
generate 2,100 MWs and should be ready by 2012.  Environmentalists 
are already opposing the project, stating it is a setback on gas 
emissions.  Sara Larrain of Chile Sustentable said that project is 
contrary to the international environmental commitments to which 
Chile has subscribed (El Mercurio, 12/11). 
 
SIMONS