US embassy cable - 04QUITO2929

C O N F I D E N T I A L SECTION 01 OF 02 QUITO 002929 
 
SIPDIS 
 
DEPARTMENT PLEASE PASS TO USOAS 
 
E.O. 12958: DECL: 11/05/2014 
TAGS: PGOV, PREL, MARR, EC, President 
SUBJECT: PRESIDENT GUTIERREZ CONFIDENT IN FACE OF 
IMPEACHMENT THREAT 
 
REF: QUITO 2900 
 
Classified By: DCM Arnold Chacon for reason 1.4 (b&d) 
 
1.  (C) Summary:  The GoE reacted calmly to the initiation of 
impeachment proceedings against President Gutierrez by 
Congress on November 4.  The Ambassador spoke with President 
Gutierrez by telephone on November 4 and on the margins of an 
unrelated event on November 5.  Gutierrez thanked the USG for 
our efforts in support of democratic stability and when 
pressed by the Ambassador had no further request for USG 
action.  He said there was no justification for charges 
against him, and expressed confidence that the 
pro-impeachment opposition would fail in its attempt to oust 
him.  He had every intention of staying the course, and not 
letting impeachment proceedings distract him from governing. 
The Ambassador also spoke on November 4 with Defense Minister 
Herrera, who said the President was in good spirits during a 
Cabinet meeting earlier that day, and that the military would 
respect Constitutional rights and Congressional prerogatives. 
 End Summary. 
 
GoE Reacts Calmly 
----------------- 
 
2.  (U) President Gutierrez and other GoE officials took the 
news of impeachment proceedings calmly and reacted 
cautiously.  Minister of Government Baca told reporters that 
the President was not required under the Constitution to 
attend impeachment hearings, should they occur, and seemed 
critical of Foreign Minister Zuquilanda for requesting Rio 
Group mediation.  Economy Minister Yepez commented that a 
prolonged conflict with Congress could put at risk reforms 
needed to promote economic growth.  VP Palacios was nowhere 
to be seen, skipping a Cabinet meeting without public 
explanation. 
 
3.  (C) The Ambassador called Minister of Defense Nelson 
Herrera shortly after the impeachment event took place in 
Congress.  Herrera said the President was in good spirits 
during a Cabinet meeting earlier that day which focused on 
"national issues" rather than impeachment.  He expressed 
concern that the impeachment debate had turned personal 
between Gutierrez and Febres-Cordero.  The Ambassador also 
discussed impeachment on November 5 with Finance Minister 
Yepez and other Cabinet members (SepTel). 
 
4.  (C) The Ambassador spoke later on November 4 by telephone 
and on November 5 on the margins of an unrelated public event 
with President Gutierrez, who denied any justification for 
charges of misuse of public funds and proceeded to denounce 
Febres-Cordero's motives.  He thanked the Ambassador for USG 
efforts to support democratic stability.  The Ambassador 
expressed regret that the impeachment process had turned 
personal with Febres-Cordero, and concern that political 
conflict could undermine economic stability.  Gutierrez said 
he would fight off baseless impeachment charges, saying he 
was convinced he was in the right.  Asked by the Ambassador 
if there was anything we could do to help, Gutierrez had no 
requests. 
 
5.  (SBU) Gutierrez used the occasion of the Ambassador's 
call to congratulate the United States for its successful 
election and President Bush for his re-election.  The 
Ambassador emphasized the gracious victory and concession 
speeches and joint calls by both candidates for national 
unity.  Gutierrez said he had drafted a letter of 
congratulations to President Bush (Quito 2927).  After the 
Ambassador noted that Senator Kerry would remain an 
influential leader in the U.S. Senate, Gutierrez said he 
might send a letter to Kerry as well. 
 
Comment 
------- 
 
6.  (C) The GoE appears confident it has the votes to stave 
off impeachment and has not requested USG assistance to help 
it do so.  For our part, we will continue to reach out to the 
GoE and both the pro and anti-impeachment opposition forces 
to encourage fuller consideration of the consequences of 
political instability.  We will also review and suggest 
opportunities to reinforce our stability message in coming 
weeks. 
 
Additional Procedural Background 
-------------------------------- 
 
7.  (U) On November 4, three major parties and one minor 
party submitted 50 (not 52, as previously reported) 
Congressional signatures in favor of initiating impeachment 
proceedings against President Gutierrez on various grounds 
(see below).  President of Congress Landazuri formally 
accepted the request and said he would propose the approval 
by the plenary of a Special Committee comprised of 
representatives from all parties with 10 or more seats in 
Congress.  A simple majority of a quorum (51 members) is 
required to approve the special committee, which would have 
five days to issue an opinion.  If conformed, the committee 
is expected to issue majority and minority reports, one of 
which will recommend impeachment proceedings. 
 
8.  (C) PSC Congress member Luis Fernando Torres told PolOffs 
on November 5 that despite believing impeachment to be a 
mistake, he hoped to become the PSC representative on the 
special commission.  However, he said it is not clear that 
the pro-impeachment forces will have the simple majority of 
the quorum to assure the creation of the special commission, 
since some signers are wavering.  Due to the closeness of the 
vote, he said, the PSC was forced to accept separate grounds 
for impeachment from each party.  Torres provided us a copy 
of the documents presented to Landazuri, which call for 
impeachment under article 130 of the Constitution, on the 
following grounds: 
 
-- PSC (25 signatures, plus one ex-PRIAN independent):  for 
embezzlement, "for having arbitrarily spent funds, resources 
and public property in favor of PSP candidates of his party;" 
 
-- ID (14 signatures): for embezzlement, "for allowing the 
State Bank to give non-reimbursable loans to private 
institutions... and for the use of public funds of the 
Solidarity Fund... for abandoning his responsibilities to 
participate in the promotion of PSP candidates...for 
importing posters and electoral propaganda from Mexico for 
the 2002 presidential campaign, resulting in his fraudulent 
election;" 
 
-- Pachakutik (8 signatures): for violation of national 
security, for suggesting publicly that the people might "burn 
down the courts;" 
 
-- MPD (3 signatures): for "betraying the motherland"...by 
favoring interests of foreign companies which benefit from 
oil fields in production...taking advantage of state 
resources for personal use and abandoning his 
responsibilities for his party...violating national security 
by involving our country in Plan Colombia...violating 
national sovereignty by permitting the sinking of Ecuadorian 
fishing vessels." 
KENNEY