US embassy cable - 04ZAGREB1801

C O N F I D E N T I A L  ZAGREB 001801 
 
SIPDIS 
 
 
EUR/SCE FOR JMITCHELL 
PRM FOR ADEWEY AND TTARGOS 
BELGRADE FOR DSALAZAR 
 
E.O. 12958: DECL: 10/14/2014 
TAGS: PGOV, PHUM, PREF, Refugee 
SUBJECT: GOC COMMITTED TO CLOSING REFUGEE PORTFOLIO; RECENT 
PROGRESS, BUT BARRIERS REMAIN 
 
Classified By: Kirsten B. Selinger for Reasons 1.5 (b) and (d) 
 
Summary and Comment 
 
1. (U) During his 29 SEP ) 2 OCT trip to Croatia, Assistant 
Secretary for PRM Arthur Dewey visited several refugee return 
 
SIPDIS 
sites - both trouble spots and successes - and heard that the 
barriers to additional returns include a lack of economic 
opportunity in the war-affected areas, bureaucratic hold-ups, 
lingering resistance to ethnic Serbs, and the existence of a 
&secret8 list of war-crimes indictments.  FM Zuzul 
emphasized the GOC,s intense commitment to concluding the 
refugee portfolio, noting that they were past &the point of 
no return8 on its resolution.  While many refugees have 
moved on and may no longer wish to return, the GOC wants and 
needs to close the returns chapter, facilitating return for 
those who wish to in a transparent manner.  As such, its 
upcoming public information campaign in Serbia and Montenegro 
(SAM) and Bosnia (BiH) will publicize its program for 
potential returnees who lost socialized housing ) the final 
and most difficult housing category.  Continued international 
pressure is needed, according to the OSCE, UNHCR and EU, in 
order to meet their goal of wrapping up the returns issue by 
the end of 2006. 
 
2. (C) Dewey met with ethnic Serb MP Milorad Pupovac, who 
praised  PM Sanader,s political commitment to reintegration 
and significant progress on housing for returnees, but noted 
that the PM,s message of reconciliation has still not 
trickled down to all members of his party and administration. 
 In the coming months, the ethnic Serb party (SDSS) will 
reevaluate its coalition with the GOC; concrete progress will 
be critical in maintaining their support, and recent comments 
indicate they are not fully pleased with developments.  End 
Summary and Comment. 
 
FM Zuzul: &Only One Way to Proceed8 
 
3. (U) The political commitment of the GOC was repeatedly 
underscored during the visit, most notably in a meeting with 
FM Miomir Zuzul.  The GOC has &made a decision that we want 
to solve8 the issues of refugee return and war criminals. 
The GOC knows there is only one way to proceed, Zuzul said, 
and that its chances for Euro-Atlantic integration hinge on 
these two issues, specifically resolving housing for returns 
and handing over fugitive General Gotovina to the ICTY. 
Since the HDZ took power the atmosphere for returns has 
changed significantly, Zuzul asserted.  We are proud of what 
has been achieved in less than a year, he said, noting that 
PM Sanader has twice visited ethnic Serb homes, the first PM 
to do so.  The GOC goal is to create the conditions for 
returns, including stimulating economic development.  In that 
regard, Zuzul asked Dewey for ideas to redevelop the 
economically-depressed war-affected areas. 
 
Ethnic Serb View: War Crimes Charges Are Continuing Barrier 
 
4. (C) PM Sanader,s genuine commitment was reaffirmed in 
Dewey,s meeting with Serbia and Montenegro Ambassador Milan 
Simurdic and Pupovac, although they noted that others have 
not jumped on board the PM,s reconciliation train.  In fact, 
some are standing in the way and are turning back the 
democratic process, Pupovac stated firmly.  Certain 
politicians will have to leave the GOC, he cautioned, or we 
will reconsider our coalition.  (Note: Pupovac is referring 
in part to unpopular and long-serving Assistant Minister for 
Displaced Persons and Refugees Lovre Pejkovic, who has been 
repeatedly criticized for inaction and obstruction of the 
returns process on many fronts.  End Note.) In recent days, 
Pupovac has spoken out publicly about the lack of practical 
support for returns, calling administrative barriers and 
policy inconsistencies an alternate form of ethnic cleansing. 
 
5. (C) Of serious concern to both is the alleged &secret 
list8 of persons accused of war crimes, which has taken on 
mythic proportions within the refugee community.  Pupovac and 
Simurdic agreed that fear of arrest remains the major 
deterrent to additional returns to Croatia.  The Chief State 
Prosecutor is finalizing a review of all ongoing war crimes 
investigations with the goal of eliminating unfounded 
 
 
accusations.  He has promised a comprehensive list of the 
remaining cases (about 1,900) to Pupovac in the coming weeks. 
 While only a few returnees per month are arrested and most 
are quickly released, Pupovac said that news of any arrest 
has a chilling effect on refugee return as it spreads via 
word of mouth in refugee communities.  Pupovac intends to 
approach Sanader on this issue, and said receipt of an 
accurate list will play into his party,s further 
participation in the coalition, hinting at an internal review 
by the end of this year. 
 
6. (SBU) Simurdic praised the positive approach of the GOC, 
but complained that they have not established a permanent 
dialogue with the GOS.  For example, he was not invited to 
the launch of the GOC/OSCE/UNHCR/EU public information 
campaign to encourage refugee returns, targeted predominantly 
at individuals currently living in Serbia and Montenegro. 
The GOC is using the ethnic Serb SDSS as a substitute for 
dialogue with the GOS, he said.  In Dewey,s meeting with 
Zuzul, the FM had admitted its failure in communicating with 
Belgrade, attributing it to Belgrade,s lack of organization 
and clear representative. 
 
Field Visits: Barriers Remain, Progress Slow 
 
7. (U) In numerous visits to returnee families, and to civil 
society organizations that assist refugee returns, A/S Dewey 
saw GOC-funded settlements for Bosnian Croats and property 
repossession sites of Croatian Serbs.  However, looting of 
Serb properties (mainly by Croats who occupied the properties 
after the war) remains a practical barrier to habitation. 
Many potential returnees, according to several NGOs, are also 
deterred by a lack implementation of laws at the national and 
local levels, minimal access to GOC funding for returns, and 
bureaucratic obstruction. 
DELAWIE 
 
 
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