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Viewing cable 06QUITO1436, SUPREME COURT ALLOWS FORMER PRESIDENT MAHUAD TO
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Reference ID | Created | Released | Classification | Origin |
---|---|---|---|---|
06QUITO1436 | 2006-06-12 18:27 | 2011-05-02 00:00 | UNCLASSIFIED//FOR OFFICIAL USE ONLY | Embassy Quito |
VZCZCXYZ0022
OO RUEHWEB
DE RUEHQT #1436/01 1631827
ZNR UUUUU ZZH
O 121827Z JUN 06
FM AMEMBASSY QUITO
TO RUEHC/SECSTATE WASHDC IMMEDIATE 4579
INFO RUEHBO/AMEMBASSY BOGOTA PRIORITY 5687
RUEHCV/AMEMBASSY CARACAS PRIORITY 1786
RUEHLP/AMEMBASSY LA PAZ JUN 9870
RUEHPE/AMEMBASSY LIMA PRIORITY 0653
RUEHGL/AMCONSUL GUAYAQUIL PRIORITY 0637
RHMFISS/CDR USSOUTHCOM MIAMI FL
UNCLAS QUITO 001436
SIPDIS
SENSITIVE, SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL EC
SUBJECT: SUPREME COURT ALLOWS FORMER PRESIDENT MAHUAD TO
RETURN TO ECUADOR
SUBJECT: SUPREME COURT ALLOWS FORMER PRESIDENT MAHUAD TO
RETURN TO ECUADOR
¶1. (U) Summary: The Supreme Court ruled on June 7 that
criminal charges against ex-president Jamil Mahuad would be
put on hold for lack of evidence, permitting Mahuad to return
to Ecuador without facing an arrest warrant. Ex-president
Mahuad, widely blamed for the country,s severe financial
crisis in 1999, was removed from office after protests in
¶2000. After the decision, he announced that he planned to
return to Ecuador in December, but that he had no intention
of returning to politics. Given Mahuad,s extreme
unpopularity, the ruling again demonstrates the independence
of the new court, which will now come under heavy criticism
from partisan critics. End Summary.
¶2. (U) On June 7, the Second Criminal Court of the Supreme
Court ruled a provisional stay of proceedings in the case of
ex-president Jamil Mahuad, who was charged with crimes in
connection with the freezing of bank deposits in March 1999.
The ruling, which effectively allows Mahuad to return to
Ecuador, suspended the July 2000 order for his arrest due to
lack of evidence. The ruling will become permanent if no new
evidence against him is presented within three years. The
Supreme Court also ruled to drop all charges against the
Mahuad Administration,s Finance Minister Ana Lucia Armijos.
¶3. (U) Arrest warrants for Mahuad and Armijos were issued by
then-Supreme Court President, Galo Pico on July, 13, 2000,
following a denunciation by the Civilian Anti-Corruption
Commission (CCCC) and charges by various members of Congress.
Mahuad,s order to freeze bank accounts, which was executed
by Finance Minister Armijos, was viewed by the CCCC and Pico
as intended not to save the economy from hyperinflation, but
to protect former Progreso Bank owner Fernando Aspiazu who
had contributed an unreported three million dollars to
Mahuad,s campaign. Pico,s decision came 16 months after
the bank account freeze, and several months after both Mahuad
and Armijos had left Ecuador. The charges were dismissed out
of hand by Mahuad,s former political party, the Popular
Democratic Party (DP), as partisan politics, due to Pico,s
allegiance to the rival Social Christian Party (PSC).
¶4. (U) After being removed from office after a week of
protests capped by a coup led by future president Lucio
Gutierrez, Mahuad fled to the United States where he accepted
a faculty position at Harvard,s Kennedy School of
Government. He currently resides in Washington D.C., is a
university lecturer, and has steadfastly refused to
participate in EC politics. Through spokesman and longtime
lawyer Patricio Vivianco, Mahuad responded to the ruling by
announcing that he planned to return to Ecuador in December.
He said he had no desire to return to Ecuadorian politics.
Since his departure, Mahuad,s political party (DP) has lost
credibility, and in an effort to rejuvenate and disassociate
themselves from Mahuad,s legacy they recently changed their
name to the Christian Democratic Union (UDC).
¶5. (U) The Supreme Court ruling and Mahuad,s announcement
were greeted angrily by many Ecuadorians, who still resent
Mahuad for ordering bank accounts to be frozen during 1999,s
hyperinflation. The Committee on Anticorruption (note: a
politicized institution of limited credibility) issued a
statement exhorting the Supreme Court to reverse the
decision, while spokesmen from the leftist Pachakutik and
Popular Democratic Movement (MPD) parties threatened that
when Mahaud returned they would give him "the reception he
deserved." The PSC, who reacted angrily to the court for its
earlier decision freeing another former president, Gustavo
Noboa, from house arrest in March, also expressed their
disgust with the decision. PSC Congressman and confidant of
party boss Leon Febres Cordero, Xavier Sandoval, said the
court,s ruling was "inappropriate, illegal, and against
universal principles of justice."
Comment
-------
¶6. (SBU) The Supreme Court,s ruling on Mahuad demonstrates
its new-found independence and willingness to tackle
controversial issues on which it is assured to take flak.
The court was selected in December in a transparent process
with OAS oversight and USG support. Mahuad,s return would
provoke public ire, but not the political reaction caused by
fellow ex-Presidents Bucaram and Gutierrez in 2005, both of
whom remain important players in Ecuadorian politics.
JEWELL