US embassy cable - 04HANOI1587

UNCLAS SECTION 01 OF 08 HANOI 001587 
 
SIPDIS 
 
STATE FOR INL/AAE; EAP/BCLTV; INR/EAP/SEA; L/LEI 
 
E.O. 12958: N/A 
TAGS: SNAR, PREL, PGOV, KCRM, PINS, VM, CNARC 
SUBJECT:  NARCOTICS CERTIFICATION PROCEDURES FOR 2004 
 
Ref: A. 03 Hanoi 1549 B. 03 Hanoi 3288 C. 03 Hanoi 1885 D. 
03 Hanoi 1504 E. 03 Hanoi 1043 F. 03 Hanoi 0353 G. 03 Hanoi 
0549 H. 03 Hanoi 3550  I.  03 Hanoi 3156 
 
1.  (U)  In response to incoming request, post is providing 
responses keyed to 2004 certification instruction points as 
follow: 
 
2.  (U)  Implementation of the counternarcotics Master Plan 
for 2001-2005: 
 
--This is an ongoing activity that continues to make slow 
but steady progress.  The United Nations Office of Drugs and 
Crime (UNODC) continues its support with a USD 276,000 
project designed to help the GVN finalize the plan (which 
now is extended to 2010).  The USG is contributing USD 
100,000 to the project.  According to Bui Xuan Hieu, Section 
Chief, Vietnam Standing Office for Drug Control (SODC), the 
plan now is in the Office of the Government (Prime 
Minister's office) waiting for approval.  Approval should be 
forthcoming "soon." 
 
3.  (U)  Continued focus on narcotics-related corruption, 
including policy statements that make it clear that 
narcotics-related corruption will not be tolerated and will 
be severely punished, including the removal and prosecution 
of corrupt officials, when found: 
 
--The UN, law enforcement agencies, and even the GVN view 
corruption in Vietnam as an endemic problem that exists at 
all levels and in all sectors.  In its public statements, 
the GVN takes a strong stand against corruption in general, 
but has not singled out narcotics-related corruption for 
specific attention.  Colonel Bui Xuan Bien, SODC director, 
confirmed that "any GVN official who violates laws about 
corruption" would be prosecuted.  In addition to the Nam Cam 
case in 2003 (ref A), there have recently been a number of 
other corruption cases.  In a March 2004 case, 26 Lang Son 
provincial customs officials were sentenced to between 2 and 
18 years in prison for taking bribes at Tan Thanh 
International Border Gate in Lang Son Province.  The 
offenders were charged with extorting more than USD 280,000 
between June 2000 and June 2001 by falsifying customs 
documents claiming VAT refunds on non-existent exported 
goods.  Vietnam's state-controlled media also gave prominent 
coverage to the La Thi Kim Oanh Case (ref I).  Oanh, a 
former official of the Ministry of Agriculture and Rural 
Development, was sentenced to death for misappropriating USD 
4.9 million and causing a loss of USD 2.2 million to the 
state budget; two vice Ministers were found guilty of 
related charges, although their sentences were suspended 
upon appeal.  In a drug-related corruption case, during a 
court trial in Ho Chi Minh City in January, former police 
major Nguyen Cong Trieu of the Ho Chi Minh City (HCMC) 
Police's Investigation Division was given an eight year 
sentence for taking bribes and fined USD 2,500, while former 
lawyer Phan Van Hai was sentenced to three years in prison 
for acting as a middleman for bribes, and fined USD 2,000; 
 
--Senior GVN officials continue to speak out against 
corruption.  In January, Communist Party of Vietnam (CPV) 
General Secretary Nong Duc Manh said during the opening of 
the Party Central Committee's ninth plenum that the CPV 
would "clarify the causes of success and failure through 
specific reviews while seeking ways to intensify the combat 
against corruption, wasteful spending and bureaucracy."  At 
a meeting in Hanoi on April 14, 2004 to review the execution 
of the Politburo's resolution on key judicial tasks, 
President Tran Duc Luong called for further judicial reform 
to bolster the fight against crime including corruption.  In 
December 2003, Prime Minister Phan Van Khai confirmed during 
the closing session of a ministerial meeting in HCMC that 
administrative reform and the fight against corruption were 
crucial issues that must be addressed in 2004.  During a 
meeting in Hanoi in March, Phan Dien, Member of the CPV's 
Politburo and Standing member of its Secretariat, claimed 
that Vietnam had "deterred corruption although not 
completely stopped it."  Phan Dien admitted that combating 
corruption is key to economic renovation.  Before the 
People's Councils elections took place in April, Pham The 
Duyet, President of the Vietnam Fatherland Front, said that 
Vietnam planned to use the election to find "new blood" to 
combat corruption, and that the election "should help 
develop a better state management system to fight 
corruption."  At the international level, in December 2003, 
Vietnam joined 94 other countries in signing the UN 
Convention against Corruption at the international 
conference in Merida, Mexico; 
 
--A bilateral anti-corruption agreement with Sweden, 
providing about USD 2.7 million to fund research on socio- 
economic policy and anti-corruption measures over a three- 
year period, was signed in 2002.  Under the agreement, 
Sweden is supporting a study on the "institutional framework 
of anti-corruption policies."  While the official agreement 
is with the Ministry of Planning and Investment, the actual 
partner is the CPV. 
 
4.  (U)  Developing and implementing regulations enabling 
the tools provided in the new counternarcotics law to be 
used fully and effectively to investigate major drug- 
trafficking groups: 
 
--The National Assembly passed a comprehensive 
counternarcotics law on December 9, 2000, which came into 
effect on June 1, 2001.  The GVN directed Ministry of Public 
Security (MPS) and other ministries, including the Ministry 
of Justice (MOJ), to agree on a common approach for 
implementation.  In addition, MOJ was tasked with working 
with MPS and other relevant agencies to review existing 
counternarcotics legal documents and make appropriate 
amendments to facilitate implementation of the new law. 
According to Dr. Doris Buddenberg, UNODC Resident 
Representative, UNODC is assisting the GVN in an "ad hoc" 
manner in this area, especially concerning implementing 
decrees and legal training.  There is now a donor 
coordination group consisting of Sweden, Denmark, and the 
USAID-funded Support for Trade Acceleration (STAR) project 
that meets once a month to discuss legal issues; however, 
the focus is not specifically on narcotics; 
 
--Between 1953 and 2004, Vietnam passed more than 70 decrees 
and legal documents concerning drug issues.  More recently, 
the GVN has made public eight decrees related to the 
counternarcotics law.  These decrees: 
a.  list the narcotic substances and precursor chemicals; 
b.  guide the control of lawful drug-related activities in 
Vietnam; 
c.  stipulate the rehabilitation order, procedures, and 
regimes for drug addicts assigned to compulsory 
rehabilitation centers; 
d.  designate "family organization" and "community-based" 
rehabilitation; 
e.  prescribe the regime of compensation and allowances for 
individuals, families, agencies, and organizations suffering 
life, health, and property damage while participating in 
drug prevention activities; 
f.  stipulate the rewards and commendations for individuals, 
families, agencies, and organizations recording achievements 
in drug prevention; 
g.  assign responsibility on international cooperation in 
the field of drug prevention.  (Note:  According to DEA's 
Hanoi Country Office, this decree contains no concrete 
formulation for creating a framework to allow for 
information sharing and/or cooperative law enforcement 
efforts.  The decree also does not provide implementing 
regulations for international controlled deliveries, which 
is mentioned in the 2001 drug law); and, 
h.  Regulate the management of private treatment centers and 
stipulate conditions and procedures to grant and revoke 
working licenses for such centers. 
 
According to SODC, the GVN will issue at least two other 
decrees this year to guide the implementation of the Drug 
Law.  These decrees concern regulations on precursor 
control, and assignment of specific tasks to different 
ministries and other organizations; 
 
--An eighth (and key) decree, concerning law enforcement, 
has apparently been issued, but according to an MPS 
official, it has not been made public due to its 
"sensitivity."  According to DEA, without knowing what is in 
this decree and/or without access to MPS officers, DEA (and 
other foreign law enforcement entities) are unable to know 
what law enforcement training would be most useful; 
 
--A preliminary analysis by a UNODC legal official concluded 
that the decrees are "insufficient in terms of establishing 
a proper drug control legal system."  The decrees tend to 
focus on drug control areas, which are "generally less 
complex and controversial," the official added.  There is 
still a need for "new and proper" legal instruments in areas 
such as procedures, conditions, systems for investigations, 
international cooperation, extradition, controlled delivery, 
and maritime cooperation, according to the analysis; 
 
--Another problem is Vietnam's lack of judicial capacity. 
UNODC's Dr. Buddenberg lamented that this issue is "still 
not adequately addressed" by the donor community.  Without 
improved judicial capacity, concrete progress in this area 
"will be difficult," she opined; 
 
--While not directly related to the drug law, on May 29, 
2003, the GVN issued Decree 58, which deals with the control 
of import, export, and transit of drug substances, 
precursors, additive drugs, and psychotropical substances. 
According to the decree, only businesses authorized by the 
Ministries of Health, Industry, and Public Security can 
import/export drug substances, precursors, additive drugs 
and psychotropical substances for specific, licit purposes. 
The GVN has tasked MPS to coordinate with other concerned 
ministries and agencies to manage and control the 
import/export of these narcotic substances; 
 
--While the counternarcotics law allows for law enforcement 
techniques such as controlled deliveries, the GVN appears 
reluctant to engage in this area and/or meaningfully 
cooperate with DEA's Hanoi Country Office or other law 
enforcement entities in Hanoi.  DEA has informed MPS' 
counternarcotics unit (C-17) about several major heroin 
shipments transiting Vietnam.  C-17 officials did not 
noticeably respond or react to the DEA-provided information, 
or at least did not share information about its follow-up. 
According to DEA, implementing controlled delivery 
techniques could have resulted in major seizures.  MPS has 
declined to accept DEA offers to fund operations. 
Furthermore, MPS continues to maintain that it is unable to 
share operational information with DEA due to "national 
security considerations" (ref B). 
 
5.  (U)  Increased seizures of opium, heroin, and 
amphetamine-type stimulants (ATS), followed by increased 
investigations and prosecutions of traffickers: 
 
--The GVN continued to arrest and prosecute drug traffickers 
in 2004, with an increase of cases along the Cambodian 
border .  The total number of drug cases discovered by the 
Border Army in 2003 was six times higher compared to 2002. 
According to SODC, in 2003, there were 12,888 drug cases 
with 20,441 offenders arrested.  The seizures include 152.1 
kilograms of heroin, 280.5 kilograms of opium, 734.5 
kilograms of cannabis, 59,771 doses of unspecified drugs, 
27,128 ATS pills, 236,830 tablets and ampoules.  However, in 
the first three months of 2004  compared to the same period 
in 2003, there was a decline of 749 cases (24.6 percent), 
528 offenders (14.2 percent), but 650 percent increase in 
the amount of heroin seized (58.5/8.95 kilograms), and a 520 
percent increase in the amount of synthetic drugs seized 
(10,872/2,090 pills).  Recently, Ho Chi Minh City witnessed 
the biggest Ecstasy case ever in Vietnam.  In a trial in 
April, defendants were charged with trafficking 14,200 MDMA 
pills.  However, DEA and other law enforcement entities 
continue to believe that most arrests involve relatively low- 
level street dealers; 
 
--In terms of seizures, media reports (refs C and D) 
indicated a major seizure of 73 kilograms of heroin  in June 
and July 2003.  This seizure represented about 128 percent 
of the total amount of heroin seized in Vietnam (57.4 
kilograms) during 2002.  Despite this relatively impressive 
seizure, the UN's "Mini-Dublin" 2003 report noted that 
Vietnam remains a "major transit route for drug traffickers, 
with Vietnamese traffickers demonstrating increased 
sophistication in trafficking techniques and concealment." 
The report further stated that Vietnam is atypical in that 
very few drugs (at least until this recent seizure) are 
seized at border crossings, indicating the "inefficiency of 
Vietnam's border control capacity."  According to an article 
in "An Ninh Thu Do" ("Capital Security") newspaper, there 
are only 50 enforcement officers in the Border Army and Sea 
Police forces, who are in charge of the 8,000-kilometer land 
border and 1 million square kilometers of territorial 
waters.  Attempting to address this issue, UNODC (supported 
primarily by the USG), along with C-17, started a project in 
January 2004 to improve interdiction and seizure capacity 
within the GVN; 
--  Concerning prosecutions, the GVN, according to law 
enforcement sources, moves fairly vigorously to prosecute 
those arrested.  As noted above, those prosecuted are 
generally street-level dealers.  In addition, GVN law 
enforcement authorities have not demonstrated the will to 
pursue higher-level narcotics traffickers, according to DEA; 
 
--Vietnam's threshold for the death penalty is among the 
lowest in the world and drug sentences tend to be harsh. 
Possession of 100 grams of heroin or 20 kilograms of opium 
can result in the death penalty, according to SODC. 
Although the number of offenses subject to the death penalty 
has been reduced from 44 to 29 in the Revised Penal Code, in 
recent years, most of the death sentences were handed down 
on drug traffickers, according to MFA spokesman Le Dung in 
April 2004.  According to recent press accounts, in December 
2003 the Tuyen Quang Provincial People's Court handed down 7 
death penalties, 5 life sentences, and an aggregate of 139 
years in jail to others during a trial against 59 
defendants, who were variously charged with trafficking 
illicit drugs and military arms and escaping from the 
prison.  In a prominent February 2004 case against 17 
offenders, the Hanoi Appeals Court handed down death 
sentences to four persons, including ringleader Chu Van Hieu 
and life sentences to seven others.  Hieu and accomplices 
were convicted of trafficking 307 kilograms of opium and 
14.6 kilograms of heroin.  In another case, the HCMC 
People's Court opened a trial in February against two 
leaders of a major drug ring, Ngo Xuan Phuong and Ngo Duc 
Minh, along with other 11 ring members.  The gang had 
organized transnational trafficking of over USD 1 million 
worth of heroin, cannabis and ATS between Vietnam and Japan, 
the Netherlands and UK.  The offenders were charged with 
possession of 36 kilograms of heroin, 50 kilograms of 
marijuana, 15 kilograms of methamphetamine, and 6,000 
ecstasy tablets.  Four traffickers were sentenced to death 
and four others were sentenced to life in jail, according to 
a press report.  Also in HCMC, the People's Court handed 
down four death sentences, eight life sentences, and other 
lengthy sentences in March to ring leader Chu Duc Hai and 
his accomplices on charges of trafficking more than 22 
kilograms of heroin between August 1999 and April 2002.  In 
Ha Tinh province, six traffickers including Duong Duc Son, 
Nguyen Thi Tien, Phung Mai Khoi, Chiem Van Beo, Le Tung Lam, 
and Nguyen Quoc Tuan received death sentences in February 
2004 for trafficking 18 kilograms of heroin and 87.3 
kilograms of opium; 
 
--2003 year end statistics indicated a sharp increase in ATS 
and ecstacy nationwide.  According to SODC, during CY 2000 - 
2003, authorities seized 118,140 synthetic pills, accounting 
for an increase of 95,110 pills or 413 percent compared to 
CY 1998 - 2000.  The situation in the future will be "more 
complicated", SODC's Col. Hieu speculated. 
 
6.  (U)  Productive cooperation with regional neighbors, 
including Laos, the PRC, Burma, and other countries to 
reverse threatening trends in narcotics trafficking: 
 
--During late 2003 and early 2004, Vietnam continued efforts 
in regional and international cooperation.  According to 
press reports, a memorandum of understanding was signed 
during a December 16 - 18 visit to Vietnam by Gen. Viktor 
Cherkessov, President of Russia's State Committee on Illegal 
Drugs.  The MOU commits the two sides to implement an 
earlier 1998 agreement and abide by international 
conventions on illicit drug trafficking.  Vietnam and Russia 
agreed to unite in the fight against drug production and 
trafficking, share information and collaborate in scientific 
research on drugs and personnel training. 
 
--  Also, during a December 22 - 23 trilateral Meeting on 
Drug Control Cooperation among Cambodia, Laos, and Vietnam 
was held in Hanoi under the chairmanship of General Le Hong 
Anh, Vietnamese Minister of Public Security and Vice Chair 
of NCADP.  Vietnam said during the meeting that it was 
willing to "share experiences and exchange visits and 
training programs with the two neighbors."  At Vietnam's 
initiative, a project proposal (for UNODC funding) that is 
to be endorsed at the next meeting in Phnom Penh will be 
designed to strengthen cross-border cooperation on drug 
control between the three countries.  Delegates also agreed 
that the borders still remain hotspots for drug trafficking, 
drug abuse, and drug-related crimes.  They called for 
stepping up information exchange to aid the fight; 
--  In February, during a joint cabinet meeting between 
Vietnam and Thailand, Deputy Prime Minister Vu Khoan and his 
Thai counterpart Chavalit Yongchaiyudh discussed, among 
other security issues, drug cooperation.  They agreed to set 
up a joint working committee to monitor security 
cooperation, including drug crimes; 
 
--  In April, for the first time, Vietnam and China held a 
conference on bilateral cooperation for security and 
fighting crime at the border.  In addition to the border and 
security issues, the participants discussed measures to 
combat drugs.  Vietnam has also taken steps in the fight 
against the use of drugs in sports; 
 
--  Vietnamese Minister and Chairman of Sports Committee 
Nguyen Danh Thai and Danish Ambassador to Vietnam Bjarne 
Sorensen signed the Copenhagen Declaration on Anti-Doping on 
April 22 in Hanoi; 
 
--  In January, Taiwanese police informed their Vietnamese 
counterparts of a seizure of 44 kilograms of heroin in 
Kaohsiung port.  The illegal shipment was reported as coming 
from Nha Trang in Vietnam. 
 
According to SODC, for the entire year of 2003 and the first 
three months of 2004, there were 19 counternarcotics visits 
to and 10 from Vietnam.  Vietnam has existing 
counternarcotics MOUs with the PRC, Burma, Thailand, 
Cambodia, Laos, Hungary, Russia, and the United States.  In 
June 2003, Vietnam hosted the ASEAN Senior Officials Meeting 
on Transnational Crime (SOMTC) and Counterterrorism as well 
as separate SOMTC+EU, SOMTC+China, SOMTC+3, and SOMTC+US 
sessions.  The meetings included a discussion on regional 
drug issues.  Specifically, the Burmese delegation discussed 
the need for an enhanced regional approach.  According to 
DEA, there is no evidence that the attendance of GVN law 
enforcement officials at regional or international fora has 
led to enhanced cooperation, however. 
 
7.  (U)  Continued eradication of domestic illicit poppy 
cultivation and support of crop-substitution projects to 
eliminate it completely: 
 
--The USG officially estimates that there are about 2,300 
hectares of opium poppy under cultivation in Vietnam. 
However, there has not been a satellite-based opium yield 
survey since 2000.  This estimate is considered high by the 
GVN, UNODC, and law enforcement sources.  SODC reported that 
in 2003 local authorities found and eradicated 102.061 
hectares of poppy in nine provinces in the north and central 
regions, including Bac Kan, Cao Bang, Ha Giang, Lao Cai, 
Lang Son, Lai Chau, Son La, Nghe An, and Thanh Hoa.  SODC's 
Colonel Bien confirmed that "when we find poppy cultivation, 
we eradicate it."  SODC reported that 97 percent of 
Vietnam's entire area of poppy cultivation has been 
eradicated.  Based on numerous provincial visits by embassy 
officers, there appears to be a sincere effort to eradicate 
poppy, when found.  However, GVN officials have admitted 
that complete eradication is unrealistic, given the 
remoteness of mountainous areas in the northwest and extreme 
poverty among ethnic minority populations who still use 
opium for medicinal purposes.  Regrowth in remote areas, 
particularly in the northwest, remains a small, but 
apparently persistent problem, as does limited cannabis 
growth in areas near the Cambodian border; 
 
--Regarding crop substitution, there is a major UNODC 
project (with significant USG support) ongoing in the Ky Son 
district of Nghe An province, one of the drug "hotspots" in 
northern Vietnam (ref E).  This project, currently in its 
second phase, includes a crop substitution/alternative 
development component, where various types of fruit trees 
and other enterprises, such as bee raising, have been 
implemented in areas formerly dedicated to poppy.  UNODC's 
Buddenberg viewed the first phase as "successful," with an 
increase in agricultural production and corresponding drop 
in drug activity.  Based on an embassy monitoring visit in 
April 2003, there has been progress in the livestock and 
agricultural models (the focus of USG assistance); however, 
the selection process of those receiving project assistance 
was not clear, a problem that UNODC is now addressing.  A 
similar project planned in Son La province, another drug 
area along the Lao border, will not proceed.  Prior to the 
proposed project signing, the GVN requested an alternate 
project location and more autonomy in administering the 
project.  UNODC declined to meet the GVN's demands; after 
deliberation, UNODC decided not to proceed; 
 
--In addition to Ky Son, the GVN's Ministry of Agriculture 
and Rural Development (MARD) has continued to support 
projects in various provinces.  The GVN, through MARD, 
independently supports crop substitution projects in other 
provinces, including Hoa Binh, Yen Bai, Ha Giang, Cao Bang, 
and Lang Son.  The GVN has tasked MARD to develop a national 
crop substitution proposal to include in the GVN's 2006-2010 
Master Plan.  To avoid indirectly encouraging poppy 
cultivation through subsidies for eradication, the GVN has 
placed all crop substitution subsidies under national 
programs to alleviate poverty in poor, mountainous regions. 
 
8.  (U)  Continued focus on creating a legal framework to 
address money laundering and other forms of financial 
crimes: 
 
--At present, money laundering is not considered a major 
issue in Vietnam because of the state-controlled banking 
system and high transaction costs.  However, partly due to 
the international emphasis on terrorist financing, over the 
last year there has been a growing awareness and concern 
among State Bank of Vietnam (SBV) officials on the issue of 
money laundering and financial crimes in general.  SBV 
officials have begun to work with the U.S., the IMF, and 
other donors to identify and address weaknesses in their 
banking system.  However, without major reform (including 
greater transparency), it will be difficult to introduce 
sufficient safeguards.  According to a 2003 UNODC report, 
"Vietnam is obviously ill equipped to fight the escalation 
in financial crimes unfolding in most of Southeast Asia." 
While the State licenses wholly foreign-owned and joint 
venture state-private banks to operate alongside the State 
commercial banks, their market penetration and asset base 
are small.  Foreign exchange currency controls for private 
and joint venture banks are considered to be strict. 
However, the banking system in Vietnam is segmented and 
lacks real, transparent, and easily verifiable controls. 
Although banks are under the supervision of the State Bank, 
that supervision is minimal.  Vietnam is in the process of 
implementing banking reform as part of their World Bank and 
IMF loans, and some of that reform is relevant to these 
issues (increased transparency, more effective regulation, 
and overall stability of the banking system).  It will be 
critical that reform of the banking system is accompanied by 
law enforcement training regarding financial crimes; 
 
--There is currently no specific law in Vietnam regarding 
money laundering, although it is mentioned in the 
comprehensive counternarcotics law very generally, but 
internal discussion has begun on the need to draft specific 
regulations on this issue.  According to UNODC, the GVN is 
aware of the potential problem and "trying to take 
preventive measures" such as inviting international experts 
and participating in ILEA training.  To that end, post had 
lined up several appropriate State Bank officials to attend 
ILEA-sponsored training on financial crimes in May 2003; 
unfortunately, Vietnam's participation in the course was 
cancelled by ILEA due to SARS. 
 
9.  (U)  Increasing efforts to support drug awareness and 
prevention, demand reduction, and treatment of drug users 
and addicts: 
 
-- The GVN views drug awareness and prevention as a 
significant objective in its fight against drugs as well as 
an integral part of its efforts to comply fully with the 
1988 UN Drug Convention.  The GVN has continued a steady 
drumbeat of anti-drug propaganda, culminating in a drug 
awareness week every June.  During the week, youth and mass 
organizations engage in various activities to spread the 
anti-drug message.  These include art contests, speeches, 
and meetings.  In a December 2003 event, Vietnam Radio 
Corporation and SODC organized a ceremony to award prizes to 
the winners of the "anti-drug soap opera writing 
competition" for transmission on the Voice of Vietnam's 
radio program.  Currently, SODC is helping with another 
contest titled "The Entire Nation Unites To Prevent and 
Combat Drug Crimes."  Also, in the past year, state- 
controlled television has begun a weekly program called "SOS 
Drugs" and has been airing a series of anti-heroin spots. 
According to the UNODC's Buddenberg, Vietnam and UNODC will 
be signing an agreement to implement a demand reduction 
project (supported mainly by Italy) "within the next few 
months"; 
 
-- By the end of 2003, official GVN statistics reported 
160,700 registered addicts, although the UN and other 
agencies suspect the actual number is substantially higher. 
According to Nguyen Vi Hung, Director of Hanoi Department 
for Social Evils Prevention, by March 2003 there were 13,736 
drug users in Hanoi.  However, it was estimated that 
approximately 2,000 drug users in the capital city had not 
been identified or registered.  That official figure is 11 
percent higher than 2002.  The Ministry of Labor, War 
Invalids and Social Affairs (MOLISA) is the GVN ministry 
tasked with providing drug treatment services.  Since 2001, 
emboffs have visited most drug treatment centers in northern 
Vietnam as well as some in the south (ref F).  According to 
SODC, there are now more than 100 big and small centers at 
the provincial level, which have a capacity of between 100 
to 1,000 addicts each.  There are also 700 centers at lower 
levels.  Provincial authorities run most centers, but some 
are supported by mass organizations, such as the Youth 
Union.  Drug treatment centers range from the most basic to 
almost resort-like.  Most suffer from a lack of physical and 
material resources.  The addict population is a combination 
of those who enter voluntarily and others who are undergoing 
"compulsory" treatment.  Drug treatment, as with other 
public sector services in Vietnam, suffers from a lack of 
resources.  However, the GVN has continued efforts to expand 
drug treatment in 2004.  According to SODC, of 160,700 
addicts, approximately 36,478 had been assigned "compulsory" 
treatment; 
 
--According to MOLISA's Dr. Sac, only a few drug treatment 
centers, most of which are in the South, experienced 
escapes, likely due in part to a 2002 GVN decree that 
mandated minimum stays of one year.  No such escapes have 
been reported in  2003, however.  Vocational training in the 
centers is uneven, ranging from good to nonexistent.  Lack 
of resources has had a negative impact on the GVN's plan to 
improve drug treatment in one of Vietnam's "hotspot" 
provinces, Nghe An.  Opening of a 700-bed center is the 
ultimate goal of this province, but due to funding 
constraints, this has been delayed, according to Dr. Sac. 
Presently, there are "only about 160 addicts" staying in the 
partially completed facility, he added; 
 
--In addition to drug treatment centers, those with less 
severe addictions may be treated under a community-based 
treatment scheme (ref G).  Despite apparently good 
intentions, it appears that implementation is rather thin 
and uneven, with "peer pressure" the main component of 
treatment following detoxification.  Community-based 
treatment nonetheless at least provides addicts with a 
supportive infrastructure (and limited vocational training) 
that would otherwise not be available; 
 
--During its June 2003 session, the National Assembly 
approved a five-year pilot project on post-treatment 
vocational training and employment developed by the HCMC 
People's Committee.  Nguyen Minh Triet, Chairman of Ho Chi 
Minh City Party Committee and CPV Politburo member, said "I 
would bet my political career on the success of this 
program."  The one to three year program is compulsory for 
those judged at high risk for returning to drugs.  It is 
voluntary for others who have finished their compulsory 
treatment and judged less at risk.  According to Nguyen 
Hoang Mai of the National Assembly's Social Affairs 
Committee, the goal of the program is to try to reduce the 
relapse rate (generally estimated at about 85 percent, 
similar to western countries) by providing recovering 
addicts with skills that will enable them to assume 
"productive lives after treatment."  The pilot project is 
now underway in HCMC.  Le Thanh Hai, Chairman of HCMC 
People's Committee, pointed out that vocational training and 
employment opportunities for addicts is among eight major 
issues to be "definitely solved" in 2004.  As a result of 
the project, 200 former drug users who have completed drug 
rehabilitation and vocational training have started work at 
a plastics production factory which opened on April 20 in 
HCMC's Cu Chi District.  As part of the effort, more than 50 
enterprises in HCMC have invested about USD 3 million to 
provide vocational training and jobs to over 10,000 drug 
addicts who are now undergoing treatment at the city's 
treatment centers.  To encourage businesses to employ 
recovering addicts, Nguyen Thanh Tai, Vice Chairman of the 
HCMC People's Committee, suggested preferential policies for 
the businesses and enterprises. The enterprises will receive 
preferential allocation of land, workshop building, 
operational funds and other benefits such as subsidy support 
to vocational training, simple and fast investment 
procedures, and lower transportation costs.  In March 2004, 
the Youth Brigade held a ground-breaking ceremony at Nhi 
Xuan industrial park in Hoc Mon district, HCMC.  According 
to the plan, the park will provide jobs to 10,000 workers, 
of whom between 5,000 and 6,000 are former addicts.  Under 
this program, factories and enterprises will employ about 
14,000 recovering addicts by the end of 2004. 
 
10.  (U)  With a narcotics agreement signed between the 
United States and Vietnam, closer counternarcotics 
cooperation in the form of training and assistance to 
Vietnam is expected to improve in the time ahead, especially 
once the two countries begin implementation of the projects. 
BURGHARDT