US embassy cable - 04KATHMANDU1269

UNCLAS SECTION 01 OF 03 KATHMANDU 001269 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: OPRC, PGOV, PREL, KMDR, NP 
SUBJECT: WEEKLY NEPAL MEDIA REPORT FROM JUNE 29 TO JULY 
6, 2004 
 
 
STATE FOR NP, AC, PM 
STATE FOR IN/R/MR 
STATE FOR SA/INS, PM/CBM, PM/PRO 
STATE FOR SA/PPD 
 
1.  POLITICAL AFFAIRS 
 
-- PM forms 31-member cabinet: Prime Minister Sher 
Bahadur Deuba has expanded his three-member cabinet to 
31-member cabinet by inducting 28 ministers from four 
political parties and civic society on Monday. (Major 
reports, 7/6) 
 
-- Cabinet faces: The cabinet has 19 cabinet ministers 
including a deputy prime minister from the CPN-UML, the 
major coalition partner, five from Nepali Congress 
(Democratic), two from Rastriya Prajatantra Party (RPP) 
one from Nepal Sadbhawana Party (NSP).  The cabinet has 
two royal representatives.  Under royal recommendation, 
former National Assembly (NA) Chairman Dr Mohammad 
Mohsin and former king-appointed NA member, Krishna Lal 
Thakali, have been appointed cabinet ministers.  Former 
DPM Badri Prasad Mandal has taken charge of the 
Ministry of Forest and Soil Conservation". (The 
Kathmandu Post, 7/6) 
 
-- Dissatisfaction in parties over cabinet: "... Nobody 
is inspired by the faces in the newly formed 31-member 
cabinet.  Those who have been inducted into the cabinet 
have also failed to gather confidence of their party 
colleagues.  There are divisions within the CPN-UML 
regarding the names of the ministers. The party has 
sent inexperienced and brash people to the cabinet. 
The workers of ruling Nepali Congress (Democratic) are 
also unhappy over the selection.  The king's faithful 
are also unhappy over the king's nominations..." (Pro-UML 
"Drishti," V/W, 7/6) 
 
-- RPP and NSP in trouble: "... President of Rashtriya 
Prajatantra Party (RPP) Pashupati SJB Rana has been 
accused of sending names to please the palace.  RPP 
spokesperson Roshan Karki accused Rana of 'striking a 
deal' with the PM.  She said that Rana wanted his party 
man to get the portfolio of minister for water 
resources for which he nominated PM Deuba's mother-in- 
law Pratibha Rana for the post of ministership from 
RPP... Likewise Nepal Sadbhavana Party's Badri Prasad 
Mandal, who has already become DPM, nominated himself 
for minister's post.  NSP partyworkers have strongly 
condemned his move calling it an insult to 'Madhesis' 
(people from the southern plains)..." (Kantipur, V/D, 
7/6) 
 
-- RPP to split: A faction of the Rashtriya Prajatantra 
Party (RPP) led by former Prime Minister Surya Bahadur 
Thapa has decided to launch a new political party. 
(www.neoalnews.com, 7/6) 
-- Girija met Maoist leaders: It is said that Nepali 
Congress President Girija Prasad Koirala met Maoist 
leaders Prachanda and Dr. Baburam Bhattarai in New 
Delhi on Thursday morning in presence of an Indian 
leader.  According to his family source, Dr. Shekhar 
Koirala was also present in the meeting.  Koirala is 
trying to go to power with the Maoists' support. (Pro- 
Deuba "Tarun," V/W, 7/5) ". However, upon his return 
Koirala denied meeting any Maoist leader". (Major 
reports, 7/6) 
 
-- Govt. and partners unveil CMP: After hectic parleys 
for a long time, the four political parties led by PM 
Deuba's Nepali Congress (Democratic) announced a common 
minimum program (CMP) with a vow to restore peace in 
the country.  The 43-point CMP divided into four parts 
primarily stresses the need to resolve the Maoist 
problem and hold general elections at the earliest with 
consensus among all political forces. (Major reports, 
7/1) 
 
-- Govt forms panel to probe on disappearance cases: 
The Home Ministry Thursday formed a five-member 
committee to probe into the status of indiv 
iduals who 
have gone missing after being arrested by the security 
forces in different times. (Media reports, 7/2) 
 
2.  MAOIST INSURGENCY 
 
-- 13 killed in ambush: A dozen policemen and a 
civilian were killed when Maoists detonated a powerful 
landmine blowing up the pick-up they were travelling 
in, at Bahuarwa Bhatha VDC, along Padam road, 10 kms 
west of Birgunj, early this morning. (Major reports, 
7/6) 
 
-- Defense ministry demands additional 30b rupees: In 
addition to the already earmarked defense budget of 
around Rs. 7.5 billion for the upcoming fiscal year, 
the Ministry of Defense has asked the Ministry of 
Finance to allocate Rs. 3.10 billion more.  The 
security budget has been soaring all along since the 
Maoist rebels took arms in 1996.  Since then the total 
security budget has increased by 300 per cent. (The 
Kathmandu Post, 7/2) 
 
-- Maoists gun down Pokhara mayor: A group of Maoists 
on Friday shot dead Mayor of Pokhara Harka Bahadur 
Gurug and seriously injured his bodyguard and car 
driver.  He is the second mayor to be assassinated by 
the rebels.   Local Maoists have claimed the 
responsibility. (Media reports, 7/2) 
 
-- Maoists ready for UN-mediated talks: Chairman of the 
Communist Party of Nepal (Maoist) Prachanda Thursday 
said his party will take up "more violent means" if the 
government goes on refusing the United Nations to 
"facilitate" peace negotiations in Nepal.  He also said 
that the Deuba government does not have the power to 
find a peaceful and progressive political way out of 
the current crisis as it is a "continuation of the old 
regime."  The Maoist leader even accused the CPN-UML 
leadership for betraying the people's democratic 
aspirations by taking decisions that amounted to 
"conspiracy" and backing "regression."  "The CPN-UML 
leadership has fallen in status and become a slave of 
autocracy. The Nepali people will never forget this 
process of conspiracy and betrayal," the statement 
stated. (Major reports, 7/2) 
 
-- 10 Maoists, 1 security man killed: At least ten 
Maoists and a security man were killed in two separate 
incidents in Kaski Arghakhanchi district Wednesday. 
(Media reports, 7/1) 
 
3.  NEPAL-U.S. 
 
-- U.S. envoy James F. Moriarty arrives: The newly 
appointed ambassador of United States of America to 
Nepal James Francis Moriarty arrived here on Monday. 
The U.S. envoy Moriarty was received at the Tribhuvan 
International Airport by ADC of King Gyanendra and 
Deputy Chief of Protocol. (National News Agency report 
in leading dailies, 7/6) 
-- U.S. couple launches drive to bring adopted daughter 
from  Nepal:  "Joe  Parisi  and  Erin  Thornley  went  to 
Kathmandu, Nepal, on June 28, 2003, to meet their newly 
adopted  daughter,  Tsewang.  They  were  excited  about 
bringing their first child home to America.   A year 
later,  Tsewang  is  still  in  Nepal,  victim  of  a 
belligerent bureaucracy at the U.S. consular office in 
the American Embassy in Kathmandu.  The office is run 
by officials who adamantly refuse to grant a visa to 
the  legally  adopted  5-year-old  and  won't  listen  to 
pleas  from  the  parents  or  even  from  lawmakers, 
including U.S. Rep. Tammy Baldwin, Democrat-Madison..." 
(The Kathmandu Post, 7/3) 
 
-- U.S. provides fund for temple renovation: The U.S. 
embassy announced a grant of over two million rupees 
for the restoration of Kageshwor Mahadev temple, 
situated at Kathmandu Durbar Square.  A press release 
issued by the U.S. embassy stated, "The fund has been 
awarded to the Kathmandu Valley Preservation Trust 
(KVPT) for the restoration of Kageswar Mahadev temple 
from the 2004 Ambassador's Fund for Cultural 
Preservation (AFCP) program."  Nepal is one among the 
41 countries that has been awarded the grant out of 121 
eligible countries. (Major dailies, 7/1) 
 
BOGUE