Daniel Ortega`s Role in the Bolivarian Revolution.

ABOUT THE REPORT
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FEBRUARY 26, 2009 - Vol. Nº 5 – Issue 15
FEATURE
The Americas Report is the
continuation of the work of Dr.
Constantine C. Menges’ original
Americas Report. For almost two
years that report chronicled the efforts
of the Castro – Chavez axis and their
allies in their efforts to undermine the
new spirit of democracy and freedom
in Latin America, in favor of autocratic
forms of regimes throughout the
Western Hemisphere. The report also
monitors events in the area as they
affect regional and US security in this
era characterized by the emergence of
terrorist groups of global reach seeking
international influence. The current
Americas Report and the Menges
Hemispheric Security Project of which
it is a part will continue to support
genuine democracy, free trade and the
fostering of strong inter – American
relationships as well as exposing
growing tyrannies in the area.
Nancy Menges
Editor-in-Chief
Nicole Ferrand
Editor
Visit our blog at: http://themengesproject.blogspot.com/
and leave us your comments!
Daniel Ortega’s Role in the Bolivarian
Revolution.
By Nicholas Hanlon*
"A new political, economic and geopolitical map can be
perceived in Latin America and the Caribbean," – Hugo Chavez,
February3, 2009.
As a consequence of Chavez’s win in the recent February
referendum the Venezuelan constitution now allows elected
officials to run for unlimited terms in office. It is the final step in
the process of making himself dictator for life. This move is but
one of many in a grand strategy to create a Marxist Bolivarian
super-state in South America which Chavez hopes will counter the
U.S. and market capitalism. So, as Daniel Ortega maneuvers
to consolidate power in Nicaragua, he does so in the
context of making Nicaragua a part of the Bolivarian
revolution. He is following the Chavez model by using
“democracy” to subvert democracy. Daniel Ortega, like
his counterparts in the leftist parties of other South and
Central American countries, has used Chavez’s oil
revenue to finance his election. Ortega is also providing
Iran with strategic advantages on Nicaraguan soil in
exchange for energy and infrastructure which will
further entrench his domestic power and influence. As
Washington continues to take Latin American democracy for
granted, proxies of Hugo Chavez march forward as they capitalize
on anti-U.S. alliances.
15th
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Since Ortega took the presidency in 2007, he has forged a new alliance with Iran
and has provided diplomatic cover for men who are likely Iranian Revolutionary
Guard operatives.
Ortega has also entered anti-free trade arrangements and
intimidated the press with police raids under imagined pretenses all the while
retaining financial aid and maintaining relations with the U.S.; Nicaragua’s largest
trading partner. All of this is symptomatic of a game of trade-offs and compromises made in
hopes of tightening a loose grip on power. Ortega does not completely resemble his Bolivarian
counterparts in terms of popularity. Skillful strategy and a world champion poker face have allowed
Ortega to take power with a minority of domestic support and even dissent in his own party.
“Ortega, who had lost the last three presidential elections, won only 37.9% of the vote in the
November 2006 elections, but Nicaraguan law allowed him to avoid a run-off vote since he was
more than 5% ahead of the next closest candidate, Eduardo Montealegre, then head of the
Nicaraguan Liberal Alliance (ALN).” i The Sandinista National Liberation Front (SFLN) was
instrumental in passing the law earlier.
Across Central and South America, presidential candidates have found that electorates
respond to a message that puts the practical above the ideological. For some leaders, this was
actually the case. For others, “pragmatism” became a winning message to facilitate the reestablishment of old dogmas. In late 2006, Daniel Ortega won the presidency of
Nicaragua by moderating his campaign strategy to adopt a message of pragmatism
while assuaging concerns of extremism. It is difficult to reconcile the Daniel Ortega we see
today with the man whose campaign catch phrase was “reconciliation.” In his pre-election speeches,
Ortega promised not to resurrect the ideologically based conflicts that dominated his first
presidency. He pledged not to do battle with the United States, the church, and that he would no
longer seize land. Ortega’s key move was to form alliances with many former enemies. These
included a former Contra leader, Jaime Morales Carazo as his vice president, and Cardinal Miguel
Obando y Bravo, the highest Vatican official in Nicaragua. His most impressive feat was convincing
the electorate and the Bush administration that he would not threaten U.S. relations or in any way
inspire capital flight. Max Blumenthal of The Nation had this to say on the subject; “With an eye on
the $175 million Millennium Challenge grant for Nicaragua, approved before the election by the
Bush Administration, Ortega has toned down his anti-American rhetoric. The day before his
inauguration, he held court with Bush Administration Health and Human Services Secretary
Michael Leavitt and U.S. Ambassador Paul Trivelli, a hated figure in Nicaragua who has openly
demonized Ortega. The new Daniel Ortega is a uniter, not a divider.” ii Blumenthal’s comment was
in contrast to a telling description he gave of Ortega’s inauguration ceremony which was attended by
Hugo Chavez and Evo Morales who delivered the standard Bolivarian fare in the traditional
theatrics. For example, “Morales pledged that he, Chávez and Ortega would nationalize their
countries' industries and bring death to American imperialism.” 2
There are signs that Daniel Ortega is moving quickly towards dictatorship. His
strategic foreign policy is too grandiose to be sustained by a temporary presidency.
He is making long term moves, internationally. Opposition across the political spectrum in
Nicaragua characterizes his behavior as being dictatorial, including former members of his own
party. Members of the Sandinista Renewal Party, a dissident faction of Ortega’s Sandinista National
Liberation Front, have “denounced Ortega as a man leading Nicaragua into a dictatorship.” iii This
was after their plan to join other opposition parties to protest FSLN mayoral election fraud this past
November which was violently prevented by Sandinista supporters. Though pro-Sandinista mobs
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have proven effective thus far, it fits the Chavez model to place ones party in power at the municipal
level in order to control police forces for the coming dictatorship. The Sandinista party has won a
decisive number of victories in stark contrast to what public opinion polls have indicated. In
response, the U.S. and some European governments have withheld $200 million in aid until an
electoral review can take place.
Last October, prior to the November municipal elections, Nicaraguan police
raided the offices of the Center of Media Investigations. Carlos Fernando Chamorro is one
of the journalists whose computer was seized as part of an investigation of “misused foreign funds.”
Many can appreciate the irony considering how much Venezuelan cash flooded Ortega’s own
campaign. Chamorro is the son of former president, Violetta Chamorro, and an outspoken critic of
the government. iv Besides police raids, Ortega has used investigations, arrests of
opposition leaders, and expulsion of international election monitors in order to
intimidate the opposition. Ortega has also investigated journalists and NGOs for money
laundering but then ceased after the U.S. and some European governments withheld over $100
million in aid. v This was prior to the aid withheld in response to last year’s election fraud.
As part of the Chavista block of countries (that include Cuba, Ecuador, Bolivia, and
Nicaragua) and led by Hugo Chavez, a meeting of the Bolivarian Alternative for the Americas
(ALBA) summit was held on February 2,2009 and was attended by Ortega. According to VOA,
“Venezuela and communist-led Cuba created the ALBA alliance in 2004 to counter U.S. influence in
the region. ALBA also aims to advance regional integration to confront the U.S.-backed free trade
deal.” vi More than a burgeoning trade bloc, ALBA is a sort of Bolivarian version of the EU which
includes the goal of a common currency and is based on the idea of a “great nation.” Even more, it is
the grand vision of this group of caudillos, whom have an affinity for the nationalization of industry,
to create a “supranational company.” Daniel Ortega had this to say, "Long live the peoples' unity,
ALBA, the Bolivarian Revolution...that will never be defeated and will never surrender". vii
What is Iran doing in Nicaragua?
The Americas report has well chronicled the Iranian embassy compound in the
Managua suburb, Las Colinas (The Hills). The mansion, which is surrounded by 12 foot high
walls topped with razor wire, is home to Iranian envoy to Nicaragua, Akbar Esmaeil-Pour. For those
in the intelligence community, the number of diplomats (over 100 individuals) and the shear size
of the compound is disproportionately large and suggests extra-diplomatic activity.
Iran is known for having staged terrorist attacks from it’s embassy in Argentina. It is
also well known that at least 21 Iranian men have been able to enter Nicaragua
without visas. Esmail-Pour seems to be a bit stressed out by the media attention that followed
the leaking of documents which revealed to the press that Nicaragua’s chief immigration minister
had authorized the 21 Iranians entry into the country. His response to some press inquiries has
been agitated and hostile. U.S. intelligence is certainly attentive to the compound. Former FBI
associate deputy director of intelligence and international affairs has said of Iran in South America
that; “They use their embassies to smuggle in weapons. They used them to develop and
execute plans," and that “Diplomats have immunity coming and going. It is a protected
center for both espionage and, on occasion, for specific operations. So an embassy in Managua is
definitely an area that will be of concern to our national security apparatus." viii
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In exchange for hosting the Iranians, Daniel Ortega will receive key investments
from Iran which will help him with domestic issues while simultaneously increasing Iran’s ability
to establish a front. Todd Bensman from the San Antonio Express News has traveled to Nicaragua
to investigate Iran’s activities. One of the places he visited was a remote and quiet place on the
Caribbean coast called Monkey Point.
“But perspectives broadened suddenly in March, 2007 when Iranians and
Venezuelans showed up aboard Nicaraguan military helicopters. They had come to
scope out Monkey Point's bay for transformation to a $350 million deep-water
shipping port. The port idea is part of a new diplomatic relationship between Iran and the
Sandinista revolutionary president, Daniel Ortega that has flown largely under American press and
broadcast radar since its announcement. Iran has issued fantastic promises that would
include financing a rail, road, and pipeline "dry canal" from Monkey Point to an
upgraded Port of Corinto on the Pacific, hydroelectric projects, and 10,000 houses in
between”. ix
The money and engineering expertise from Iran will help Ortega address Nicaragua’s current
energy crisis. Iran will greatly increase its presence in Central America if it has an
excuse to regularly traffic engineers, workers, cargo, and ships on the Caribbean coast
of Nicaragua. For over a decade Nicaragua has been planning to construct a dry canal
which will alleviate the overflow of trade when the Panama Canal reaches capacity. If
such a profound source of national revenue is realized under Ortega with the help of Iran both
entities will be greatly strengthened in the region. It is often noted that Iran has no common
ground for relations in Latin America except where it can find enemies of America.
Iran’s primary gain from a relationship with Nicaragua is the base of operations at its embassy. The
energy and infrastructure projects could also provide cover for Iran to increase it’s capability in
equipment, manpower, and illicit trade. According to the CIA World Fact Book, Nicaragua is
already a “transshipment point for cocaine destined for the U.S. and …for arms-for-drugs dealing.”
Hezbollah, a terrorist proxy of Iran, is well known for its ability to raise incredible amounts of
money from organized crime and illicit trade in the Americas.
The U.S. intelligence community is aware of Iran’s activities and intentions in Nicaragua.
Yet, the United States Congress could also play an important role in how we deal with the Ortega
government. Last years Congressional Research Service report lists many ways in which Nicaragua
benefits from its relationship with the United States. It includes bi-lateral aid, counter narcotics aid
money, Millennium Challenge Account money, huge trade benefits, remittances and even assistance
in fighting gangs. In turn, Daniel Ortega oppresses human rights and the press, forms alliances with
our enemies, and is generally hostile towards democracy. To continue to fund such a regime only
puts a stamp of approval on their policies, emboldens them while weakening the opposition and
makes the U.S. appear as a country that does not understand the difference between its adversaries
and its friends.
*Nicholas Hanlon is a foreign affairs writer and researcher at the Center for Security Policy in
Washington, D.C. He is a graduate of Georgia State University and has a BA in Political Science
with a concentration in International Affairs and a Minor in French.
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NEWS STORIES
ARGENTINA:
Argentine farmers and government agree to continue talks – MercoPress.
The first meeting in months between protesting farmers and Argentine government
representatives ended three hours later with some advances and probably most
importantly a positive attitude in spite of some previous skirmishes. “It was a beginning;
we’re not satisfied but what is important is that we are looking ahead and not backwards”,
said the president of the Argentine Rural Society, Hugo Biolcati following the Tuesday
round. Eduardo Buzzi, from the Argentine Agrarian Federation (small farmers) and
probably the most combative of the four members of the farmers’ liaison committee said
“it’s a start; there were advances in diary and beef. We talked to delegates who came
willing to work, no doves or hawks. We are still very far from our expectations but we can
say we’re at point 4 out of 10”. Production minister Deborah Girogi; Interior Minister
Florencio Randazzo and Agriculture Secretary Carlos Cheppi sat for the government while
farmers turned up with their four representatives. During a press conference following the
meeting, Ms Giorgi ratified President Cristina Fernandez de Kirchner position that the
controversial export taxes on soybeans, sunflower, wheat and corn remain at their current
level. “We’re well aware of the camp’s problems and will continue to work to sustain
those economies and farmers”, promised Ms Girogi. But Interior minister Randazzo said
farmers should act less as political leaders, “our purpose has been and is to increase
production, we are committed to larger crops, but the situation is difficult and we should
all work to ensure activity and jobs”. Some of the measures agreed on are changes to the
compensation system for wheat growers (depending on size of cultivated land);
elimination of dairy export taxes if domestic market is well supplies and a subsidy to dairy
farmers who produce less than 3.000 liters per day and raise calves. Biolcati praised
Minister Randazzo saying he had “a very conciliatory position”. However the days leading
to this first meeting were full of confrontation. From Olivos Mrs. Kirchner claimed that
farmers protest but also “have the sufficient margin to retain crops from the market”.
Apparently 9 million tons of soybeans are still in the farms unsold, allegedly waiting for a
drop in export taxes. “Only those who make great profits can afford not to sell their
production”, she insisted.
http://www.mercopress.com/vernoticia.do?id=16217&formato=HTML
Argentina’s industrial output falls; first time since 2002 – MercoPress.
Argentina's January industrial production fell 4.4% from a year ago, the first decline since
October 2002, and 6.1% from a month earlier, in seasonally adjusted terms said the
government this week. This was the latest figure to highlight a sharp slowdown in
Latinamerica’s third largest economy which has been growing at an average 8% annually
since 2003. Multilateral organizations and the private sector are anticipating very low
growth in 2009. The INDEC statistics institute said the steep fall partly reflected a record
pace for January growth in 2008. However the automotive sector took the biggest hit in
January having fallen 49.3% from a year earlier. INDEC said most car manufacturers had
produced at a record pace in January 2008 and shut down for maintenance the following
month. The production of raw steel and aluminum dropped 21.7% in January from a year
earlier, while textiles output fell 10.3%. Factories' capacity utilization slipped to 67.4% last
month, reaching its lowest level since February 2004, with utilization in the auto sector
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plummeting to 22.4%. The government of President Cristina Fernandez de Kirchner as
part of stimulus measures has tried to revive the local auto industry by subsidizing the
cost for potential buyers. "(January's) decline is mostly attributable to the global crisis,
but there was a significant slowdown even before the world crisis exploded in October,"
said Fausto Spotorno, an analyst at Orlando Ferreres & Asociados, which has measured
four straight months of declines in industrial output. Although the government's January
data came in below expectations, they still fell short of private estimates. Consulting
group Orlando Ferreres said its industrial production index showed a 9.1% drop in output
in January, while research by the FIEL consultancy indicated an 11.4% decline. The
official INDEC figures have been long questioned, particularly those referred to consumer
prince index and inflation since the government several years ago removed experts and
replaces them with political cronies. The INDEC inflation index is not considered serious
and even the private sector work with their own estimates and the powerful trade unions
movement, aligned behind the government, has announced it will demand salary
adjustments based on the “house wives shopping index”.
http://www.mercopress.com/vernoticia.do?id=16216&formato=HTML
Holocaust row bishop Williamson leaves Argentina – MercoPress.
A British Catholic bishop embroiled in a row over Holocaust denial has flown out of
Argentina days after being told to leave the country. Richard Williamson was asked to
leave Argentina, where he had been living, after he refused to retract his denial of the
existence of Nazi gas chambers. The row hugely embarrassed the Vatican which had only
recently lifted an excommunication order on the bishop. He took a British Airways plane
bound for London from Buenos Aires. Wearing dark glasses and a cap, Bishop Williamson
was swiftly moved through the Argentine capital's Ezeiza airport, accompanied by two
men. Local TV showed the bishop raising a clenched fist to a reporter's face, then pushing
him into a pole with his shoulder as he moved past, the Associated Press news agency
said. As the bishop hurried off, the two men accompanying him held the journalist back,
AP said. Last Thursday he was given 10 days to leave by the government for having
"deeply shocked Argentine society, the Jewish people and all of humanity". Earlier, he had
been removed from his post as head of a Roman Catholic seminary near Buenos Aires.
The row erupted in January after Pope Benedict decided to lift Bishop Williamson's
excommunication on an unrelated matter. After that move, it emerged that the bishop had
denied the full extent of the Nazi genocide of the Jews in an interview for Swedish TV. "I
believe there were no gas chambers," he had said. "I think that two to three hundred
thousand Jews perished in Nazi concentration camps but none of them by gas chambers."
The Vatican later said the Pope had been unaware of Bishop Williamson's views and had
ordered him to recant. Pope Benedict met American Jewish leaders at the Vatican in a
display of solidarity with victims of the Nazis. The decision to lift the excommunication
order was related to the appointment of Richard Williamson as bishop by a breakaway
archbishop more than 20 years ago. Archbishop Marcel Lefebvre, who died in 1991, had
rebelled against liberal reforms in the Church, such as the ending of the Latin Mass.
http://www.mercopress.com/vernoticia.do?id=16219&formato=HTML
BOLIVIA:
Bolivian president accuses CIA of corrupting state oil firm – Oil & Gas Journal.
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The investigation into corruption at Bolivia's state-run oil company has taken a bizarre turn,
with the Bolivian president and other government officials now claiming involvement by the
US Central Intelligence Agency. "Unfortunately there has been a CIA presence in Yacimientos
Petroliferos Fiscales Bolivianos [YPFB], and some of our colleagues have been caught by this
foreign infiltration," said Morales, referring to the arrest of his friend and former YPFB
president, Santos Ramirez. Local media said Morales gave no evidence of the involvement of
the CIA, but quoted him as saying he could give details and names. In his speech, Morales also
said he would speak out against "how from overseas, from the United States" legal protection is
being provided to the "corrupt people who were inside YPFB" with lawyers who are experts "in
defending criminals." "It's the group that represents the savage capitalism, which represents
the large transnationals. They were not interested in poverty, no interest for life or humanity,
but how to accommodate the capital in few hands," Morales said. Separately, Bolivian Interior
Minister Alfredo Rada accused Rodrigo Carrasco Jhansen, a former national marketing
manager for YPFB, of being a member of Bolivia's Comando de Operaciones Especiales (Copes)
and an informer for the CIA. "Rodrigo Carrasco Jhansen was a member of Copes, a former
policeman. You draw your own conclusions. But I can tell you that there is going to be no
cover-up here," said Rada. "We, as the state, are going to continue the investigations to
determine what this gentleman, Rodrigo Carrasco…was doing in YPFB," Rada said. Carrasco
was arrested last week on charges of concealing and "making off with information" together
with Julio Anagua, the former director of administration for YPFB. "Rodrigo Carrasco was
caught red-handed, trying to remove information from a computer…. In the second case,
manager Julio Anagua was caught red-handed tearing up a sheet of paper (documents)," said
YPFB Pres. Carlos Villegas.
http://www.ogj.com/display_article/354400/7/ONART/none/GenIn/1/Bolivian-president-accuses-CIA-of-corrupting-state-oil-firm/
BRAZIL:
World’s main iron ore producer optimistic about China demand – MercoPress.
Brazilian mining giant Vale do Rio Doce, the world's biggest iron ore producer, expects to ship
a record-high 30 million tons of iron ore to China in the first quarter of 2009, it said on Friday.
China is Brazil's single biggest customer for iron ore and the mining industry is sensitive to any
change demand from the Asian giant, which is still in growth as other large economies slide
towards recession. "Demand in China is coming back beyond previous levels ... China is
helping cover a lot of weakness in other markets," said Jose Carlos Martins, executive director
of ferrous minerals. Chief Executive Roger Agnelli said steel mills in Europe had, like China,
been burning through their iron ore and steel stocks and could be expected to start buying
again in the second quarter. On Thursday, the company announced fourth quarter net profits
of 10.44 billion Reales (4.44 billion US dollars), more than double the 4.41 billion Reales it
made in the same three-month period of 2007 and the 4.82 billion Reales profit in quarter
three. The company said that cost controls, production cuts and a weaker local currency helped
it offset weaker demand for metals. (The weaker Brazilian currency inflated its earnings at
home from dollar-denominated exports). The Brazilian currency Real has shed about 33% of
its value against the US dollar since hitting a nine-year high last August. Overall revenue
totaled 17.94 billion Reales in the fourth quarter, up from 15.21 billion Reales in the yearearlier period but down from 21.39 billion Reales in the third quarter of 2008. However
according to US GAAP accounting principles, Vale's fourth-quarter net profit fell 47% to 1.37
billion US dollars from 2.57 billion in the year-ago period and 4.82 billion in the third quarter.
The global market turmoil had seen demand for iron ore plummet in the last quarter of 2008.
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Vale slowed production at some of its mines in Brazil and abroad and in December announced
it was cutting 1,300 jobs and put 5,500 on mandatory paid vacation.
http://www.mercopress.com/vernoticia.do?id=16183&formato=HTML
CHILE:
Volcano in south Chile erupts again: 150 people evacuated – MercoPress.
Chile has evacuated more than 150 people who had returned to the southern town of Chaiten
after it was destroyed by a volcanic eruption last year. Authorities decided to take action after
the Chaiten volcano erupted again on Thursday, sending a stream of lava down its slopes.
Authorities say no-one will be allowed to stay in the area, in Patagonia. But many of Chaiten's
4,500 former residents have resisted government plans to relocate the town. Deputy Interior
Minister Patricio Rosende said the volcano had seen "a significant resumption of activity".
"Our security team has observed an increase in the size of a column of ash and smoke, with a
deformation to one side," he said. "That leads us to presume that there is a collapse of one of
the cones. This is more proof of the imminent risk in the area. It is a time-bomb." The volcano,
which is 10km (6 miles) from the town, had been dormant for 9,000 years before last May's
spectacular eruption. Vast clouds of smoke and ash soared more than 30km into the sky, as the
debris reached neighboring Argentina and disrupted flights. At the time, officials said the
volcano's two craters had fused, helping ease pressure. But a government expert on volcanoes
warned there could be a big eruption at any time. "There could be a major explosion that could
collapse the volcano's cone," said Luis Lara of the National Geologic and Mining Service.
Sitting on the edge of the South American and Nazca tectonic plates, Chile is in one of the most
volcanically active regions on Earth. Experts say that about 20 of its more than 100 active
volcanoes are in danger of erupting at any time. Chaiten is 1,220km south of Chile's capital,
Santiago.
http://www.mercopress.com/vernoticia.do?id=16168&formato=HTML
COLOMBIA:
President Alvaro Uribe denounces illegal wiretap – BBC.
Colombian President Alvaro Uribe has said he did not give any orders to the country's
intelligence service to tap phone calls of prominent figures. Senior officials in the security
service, Das, have offered to resign over claims that agents eavesdropped on politicians, judges
and journalists. Mr. Uribe blamed the illegal wiretapping on what he called a mafia gang inside
the secret service, the Das. He accused them of damaging Colombian democracy and his
government. Mr. Uribe said he had never given a single order during his political career to
investigate the private lives of his opponents. "I never gave a single order to monitor the
private life of these people," he said. "I am a faithful man, who plays fairly with the opposition
and does not cheat."
http://news.bbc.co.uk/2/hi/americas/7907717.stm
CUBA:
Cuban Boxer Defects to US – VOA News.
Cuban boxer Guillermo Rigondeaux, a two-time Olympic gold medalist, has defected to the
United States and plans to turn professional. A U.S. representative of German-based ArenaBox Promotion says Rigondeaux is in Miami and has signed a contract with the company. The
promoter would not say when or how the boxer made it to Miami. Rigondeaux won the gold
medal in the bantam weight division at the 2000 and 2004 Olympic Games. He was dropped
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from the Cuban team after he and teammate Erislandy Lara unsuccessfully tried to defect
during the 2007 Pan-American Games in Rio de Janeiro. They were arrested by Brazilian
police and sent back to Cuba. Rigondeaux is the latest world class boxer to leave Cuba. Earlier
defections include Lara and Odlanier Solis, the 2004 Olympic heavyweight champion.
http://www.voanews.com/english/2009-02-24-voa19.cfm
ECUADOR:
Ecuador says expelled diplomat was “CIA chief”' – AFP.
The US diplomat Ecuador expelled from the country earlier this week was a CIA station chief,
President Rafael Correa said on Saturday. "Last week we expelled the US embassy's (Mark)
Sullivan from the country. He was, let's be clear, the director of the CIA in Ecuador," Correa
told his weekly radio and television show. Sullivan-- who was listed as first secretary at the US
embassy in Quito -- was given 48 hours to leave the country on February 18. The US State
Department described the move as "unjustified." It is the second such expulsion this month,
testing already tense ties between the two countries. On February 7, Ecuadorian President
Rafael Correa ordered the expulsion of Armando Astorga, a US official responsible for
immigration issues, security and customs. Quito accused both men of trying to influence who
became the head of Ecuador's anti drug-smuggling unit.
http://www.google.com/hostednews/afp/article/ALeqM5g1wzslobYCoYF15lT_XgXKpKvpQA
MEXICO:
Sinaloa Cartel members charged with Arizona-Mexico trafficking – Business Journal.
Attorneys for the U.S. District of Arizona will prosecute several cases, resulting from a 21month federal investigation targeting the Sinaloa Cartel, a Mexican drug trafficking
organization said to use the Arizona border to smuggle narcotics into the country. Attorney
General Eric H. Holder Jr. on Wednesday announced the arrest of more than 750 individuals
on narcotics-related charges and the seizure of more than 23 tons of narcotics as part of the
multi-agency investigation known as Operation Xcellerator. DEA Acting Administrator Michele
M. Leonhart joined Holder at the Washington press conference, which chronicled alleged
activities of the Sinaloa Cartel. Federal agencies claim the group is responsible for bringing
narcotics, including cocaine and marijuana, from Mexico into the United States through an
enterprise of distribution cells here and in Canada. The Sinaloa Cartel also is believed to be
responsible for laundering millions of dollars in criminal proceeds from drug trafficking.
Individuals are charged with a variety of crimes, including engaging in a continuing criminal
enterprise by violating felony provisions of the Controlled Substances Act; conspiracy to import
controlled substances; money laundering; and possession of an unregistered firearm. The
announcement came just days after University of Arizona warned students about the dangers
traveling to Mexico during spring break. Federal officials also issued tips on traveling across
the border during spring break, which typically draws more than 100,000 American teenagers
and young adults. Arizona businesses also have voiced concerns about the escalating violence
around border with Mexico, the state’s largest trade partner. To date, Operation Xcellerator
has led to the arrest of 755 individuals and the seizure of $59.1 million in U.S. currency, more
than 12,000 kilograms of cocaine, 16,000 pounds of marijuana, 1,200 pounds of
methamphetamines, 8 kilograms of heroin, 1.3 million ecstasy pills, $6.5 million in other
assets, 149 vehicles, three aircraft, three maritime vessels and 169 weapons.
http://www.bizjournals.com/phoenix/stories/2009/02/23/daily36.html
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Gunmen kill mayor of Mexican town – CNN.
A mayor in Mexican President Felipe Calderon's home state was ambushed and killed by a
group of heavily armed men as he returned to his house, news reports said. It was the second
assassination attempt in eight days on Vista Hermosa Mayor Octavio Manuel Carrillo
Castellanos, the Cambio de Michoacán newspaper said on its Web site Wednesday. Carillo was
pulling up to his home around 6 p.m. Tuesday when at least two men got out of a vehicle and
opened fire. There were conflicting reports over whether a second vehicle with armed men may
have been involved. Family and others came to Carillo's aid while a police officer stationed at
his house called for help, Cambio de Michoacán said. Carillo was taken to a nearby hospital,
where he died around 7:20 p.m. Officials said they did not have a motive or know if the mayor
had received any threats. But El Excelsior newspaper reported that investigators are looking
into Carillo's recent firing of a Vista Hermosa police commander and an officer. Carillo, who
took office on January 1, 2008, was the second mayor in the Pacific coast state of Michoacán
killed in the last eight months. Marcelo Ibarra Villa, the mayor of Villa Madero, was ambushed
in June while riding in his truck with his wife, El Excelsior said. The gunmen escaped in both
instances. Tuesday's killing came on Mexican Flag Day, just hours after Calderon vowed that
his government would continue to battle the drug cartels that have ravaged the country. The
mayor's death also came four days after the sudden resignation of the police chief in Ciudad
Juarez, across the border from El Paso, Texas. Police Chief Roberto Orduna had received death
threats from local drug cartels and resigned after the recent deaths of eight police officers
under his command. Violent deaths reached record levels in Mexico last year as drug cartels
battle each other and the Mexican government. More than 5,400 killings were reported in
2008, more than double the tally in 2007.
http://edition.cnn.com/2009/WORLD/americas/02/25/mexico.mayor.killed/
NICARAGUA:
NEWS ALERT: Iran to Invest over $200mln in Nicaragua – Fars News.
Iran's ambassador to Nicaragua revealed that Tehran will invest in the Latin American
country's energy and agriculture sectors. The investment in Nicaragua will include the
construction of a dam and a hydroelectric power station. The Iranian investment in the
country's energy sector could pass $200 million, Iranian ambassador Akbar Esmaeil-Pour
said, press TV reported. Talks between the two countries, according to the official, may
also lead to the construction of a "multi-clinic" in Nicaragua. "Once the Nicaragua-Iran
mixed commissions reach an agreement, we expect to have Iranian funds, officers and
technicians to build the project," Xinhua quoted the ambassador as saying. Iran wants to
buy beef, coffee, rice and beans from Nicaragua, Esmaeil-Pour said. Iran also plans to
build five milk factories and 10 collection centers, which would cost $10 million, to
increase milk production in Nicaragua.
http://english.farsnews.com/newstext.php?nn=8712071074
PERU:
Japan, Peru to Start Trade Talks in March – VOA News.
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Peru and Japan have agreed to begin talks on a bilateral trade accord next month in
Tokyo. Japanese Foreign Minister Hirofumi Nakasone and his Peruvian counterpart, Jose
Antonio Garcia Belaunde, agreed to the plans Tuesday in Japan. Belaunde is visiting
Japan with Peru's trade minister, Mercedes Aráoz. In the trade negotiations, Japan is
expected to seek lower duties on cars sold to Peru, while Peru likely will push for better
access to Japan's farm and fisheries markets.
http://www.voanews.com/english/2009-02-25-voa53.cfm
Peruvian president García in an opinion poll upturn – MercoPress.
The promotion of private investment and an improved image of Peru abroad boosted
President Alan Garcia's approval rating to 32% this month, pollster Ipsos-Apoyo said in a
national survey published Sunday in the newspaper El Comercio. "The polls have shown
over time that the main reasons a sector of the population approves of president Garcia
has been his attitude toward promoting private investment and his responsible
macroeconomic management," wrote Alfredo Torres, chief of the pollster. Peru's economy
expanded a higher-than-expected 9.84% last year, the government statistics agency said
early last week. Torres added that more public spending also helped bolster Garcia's
approval rating. President Garcia, who entered office in July 2006, had the strongest
support in the capital region, with a 39% approval rating in Lima, said the poll of 1,000
persons taken from February 18 to 20. Garcia's approval rating was as high as 44% in
September of 2007 and as low as 19% in November last year, the pollster said. Garcia
can't run again in the 2011 general elections due to term limits. The poll has a margin of
error of 3.1 percentage points.
http://www.mercopress.com/vernoticia.do?id=16215&formato=HTML
URUGUAY:
Neo-liberal paradigm “collapsed” in 2008 says Uruguay – MercoPress.
Uruguay’s economy expanded 10.6% last year compared to 2007, said the government in
an official state of the country address to Congress. The report also underlines that with
the triggering of last year’s international crisis, “the neo-liberal (economic) paradigm
collapsed”. The several volumes report points out that in spite of the growing problems
worldwide Uruguay managed to keep growing. “This demanded a very careful
management of economic policy instruments as well as the strong commitment of the
government and economic and social actors. The task was not easy, but the responsibility
and collective effort enabled us to limit the crisis impact and close the year with an
estimated GDP expansion of 10.6%, according to data complied until November 2008”.
“According to data available last October, during the first nine months of the year,
Uruguay’s GDP expanded 13.2% (over the same period in 2007), private investment in
machinery and equipment remained particularly dynamic and domestic demand showed
sustained growth”, points out the report on the bright side. The report indicates that
globally 2008 signals the beginning of a financial crisis “of unprecedented characteristics
with duration and consequences still too risky to predict”. But among so many things,
some seem quite clear: “the neo-liberal paradigm collapsed; credit is over for those who
believed they were infallible and non accountable and acted with arrogance and
irresponsibility”. Further on it admits Uruguay “is not absent from this complex situation,
but the country is neither defenseless nor unskillful to address it”. The government has
11
reacted saying that measures have been adopted to preserve jobs, salaries and contain
inflation, which was above 9% in 2008.
http://www.mercopress.com/vernoticia.do?id=16180&formato=HTML
VENEZUELA:
Venezuela’s Chavez: Unexpected and brief visit to Cuba – MercoPress.
Venezuelan President Hugo Chavez arrived this weekend in Havana for a "working visit" with
his Cuban colleague, Raul Castro, an official communiqué published Saturday in the island's
press said without offering further details. Chavez's visit to Cuba, which had not been
previously announced either in Caracas or Havana, is the fifth he is known to have made in less
than a year. It coincides with the first anniversary of the resignation of convalescing Cuban
leader Fidel Castro last Thursday, and with the anniversary next Tuesday of his brother Raul
being sworn-in as head of state. The Cuban communiqué said that the visit "takes place a few
days after the popular victory of the (Venezuelan) referendum approving the constitutional
reform for the unlimited reelection of public officials." Gen. Castro went to meet Chavez and
his delegation Friday night at Jose Marti International Airport. The Venezuelan president
arrived with his Foreign Minister Nicolas Maduro, Energy and Petroleum Minister Rafael
Ramirez (also president of the state-run oil company PDVSA), Planning Minister Haiman El
Troudi, Agriculture Minister Elias Jaua, and Presidency Minister Luis Reyes. The Havana daily
Granma, the official organ of the Communist Party, said that the visit began "with an embrace
of the two presidents on the floor of the capital's air terminal, symbol of the unity of the two
brotherly countries, and with the cries of 'Viva Cuba! Viva Fidel! and Viva Raul!' from Chavez."
The newspaper published on its front page a black-and-white photo of the presidents, both in
military uniforms, and recalled that Fidel Castro wrote last Feb. 12 in one of his "Reflections"
that the Andean liberator Simon Bolivar "lives again in the revolutionary actions of Chavez."
http://www.mercopress.com/vernoticia.do?id=16185&formato=HTML
Government refuses to meet with European congressmen – El Universal.
Venezuelan authorities urged the European Parliament (EP) to condemn the behavior of
Spanish Deputy Luis Herrero prior to the referendum on the amendment to the Constitution
and refused to meet with an EP delegation next week if their request is not fulfilled, reported
on Wednesday parliamentarian sources. While no final decision has been made, the EP quite
probably will cancel the visit, as it is not expected to censor Herrero, who was evicted from
Venezuela for questioning in advance the voting held on February 15th, Efe reported. On the
contrary, during the last plenary session, the Parliament chair Hans-Gert Pöttering regretted
the action taken by the Venezuelan authorities and labeled the detention and expulsion of the
European deputy as disrespect for the EP. As explained to Efe by the EP sources, the institution
received this week a letter from the Venezuelan government reporting that they would rather
not meet with the delegation at this moment. The Venezuelan Embassy at Brussels made no
comments.
http://english.eluniversal.com/2009/02/25/en_pol_esp_government-refuses-t_25A2235665.shtml
Progress of socialist model depends on oil revenues – El Universal.
Last February 15, following his victory in a referendum allowing for indefinite reelection of all
elected public officials, President Hugo Chávez announced that he will redouble efforts to
achieve implementation of socialism and boost the Simón Bolívar Project for 2007-2013, which
means advancing a socialist production model. The acceleration of such a scheme depends on
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state-run oil company Petróleos de Venezuela (Pdvsa). Under the first socialist plan, the oil
industry is expected to keep core upstream and downstream activities, while generating
revenues and consolidating the new production system. The Simón Bolívar Plan highlights the
need for further prospecting in the Orinoco Oil Belt and the construction of new refineries. The
plan must also implement projects related to the gas industry. However, it emphasizes that
"the oil industry must maximize revenue collection in all the phases of the process and
strengthen tax participation in revenues." Venezuela's 2009 budget reflects this maximization
of income. In the last few years, the share of oil revenues in the local budget has increased. The
reason is that socialist projects were included by financial authorities in the regular
allocations. Although the adoption of a socialist production model was provided for under a
reform to the Constitution that was rejected in a 2007 referendum, the Venezuelan ruler used
the Enabling Law throughout 2008 to speed up the socialist production scheme. In this
connection, the 2009 budget outlines in detail the system's projects. The 2009 budget will
amount to VEB 167.4 billion (USD 77.86 billion) and financial officials estimated oil revenues
at VEB 77.9 billion (USD 36.24), with a reference oil price of USD 60. Consequently, the share
of oil revenues in the official budget would be 46.5 percent, while the non-oil sector would
contribute 46.2 percent. Compared to 2008, the share of the oil sector is higher because last
year government officials estimated that the resources provided by the oil industry would have
a 37.6 percent share while the non-oil share would total 45.7 percent. This implies that the
adoption of socialism will depend on petrodollars. In previous fiscal years, the oil industry has
provided resources to feed parallel expenditures through the National Development Fund
(Fonden) and special trusts. However, the behavior of oil prices has led to a temporary
suspension of deposits made to Fonden. As a result, oil revenues must be allocated to a higher
tax contribution.
http://english.eluniversal.com/2009/02/25/en_eco_esp_progress-of-socialis_25A2235543.shtml
Venezuela lashes out at three countries at OAS – El Universal.
Venezuela attacked on Wednesday the governments of Panama, Argentina and the United
States for having raised at the Organization of American States (OAS) the issue of an act of
vandalism at the major synagogue in Caracas, when the crime was still under police
investigation. Venezuela's Ambassador to OAS Roy Chaderton rather lambasted the three
countries for some "alarming" facts that have occurred there. His remarks were countered by
Panama's Ambassador to OAS Arístides Royo, who claimed that in his speech he did not
mention a specific government. Meanwhile, the Argentinean representative, Martín Gómez
Bustillo, argued that he only referred to a commitment to build tolerant societies.
http://english.eluniversal.com/2009/02/19/en_pol_art_venezuela-lashes-out_19A2232137.shtml
US lambastes human rights status in Venezuela – El Universal.
The United States government criticized on Wednesday in a yearly report the human rights
situation in Venezuela, Cuba and Nicaragua, but noted some progress elsewhere, including
Colombia and Guatemala. Specifically, the US government talked about "deterioration" of
democratic and human rights in Venezuela, whereas in Cuba, freedom of expression and
association is more and more restrained, Efe reported. The large document handed over on
Wednesday to the Congress contains an extensive section on Latin America and the Caribbean,
where in some countries there have been reports of endangered freedom of the press,
intimidation, fraud and violence during polls and the use of referenda to change the
Constitution to undermine the democratic freedom. In some cases, according to the report,
13
governments in the region used democratic processes, such as referenda, to "pursue policies
that threatened to undermine freedoms and democratic institutions, reduce controls or
consolidate the Executive power." Reference is made to Venezuela, where 26 decree-laws were
approved even though some of them mirrored the laws proposed for the 2007 referendum on a
reform to the Constitution which was refused. The US government also noted "threats" on
freedom of the press, particularly in Venezuela and Nicaragua.
http://english.eluniversal.com/2009/02/25/en_pol_esp_us-lambastes-human-r_25A2235655.shtml
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14
i
Clare Ribando Seelke (Analyst in Latin American Affairs Foreign Affairs, Defense, and Trade Division)
Nicaragua: Political Situation and U.S. Relations CRS Report for Congress March 17, 2008
ii
Max Blumenthal The Kinder, Gentler Daniel Ortega The Nation January 19, 2007
iii
Luis Fleischman Nicaraguan elections, Venezuelan fraud The Americas Report | Nov 20, 2008
Nicaraguan press freedom threatened Associated Press/ The Gleaner: Jamaica January 28, 2009
v
Blake Schmidt President Ortega spurs worries about the future: Critics say the former rebel has installed a
dictatorship THE WASHINGTON TIMES February 17, 2009
vi
Venezuela Hosts ALBA Summit VOA News 03 February 2009
vii
Venezuela's Chavez Marks 10 Years in Power with Big Rally Latin American Herald Tribune
February 18,2009
viii
Todd Bensman Iran making push into Nicaragua www.mysanantonio.com 12/18/2007
ix
Todd Bensman Iranian Plant Their Flag in Nicaragua The New York Sun February 7, 2008
iv
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