US embassy cable - 04CARACAS3926

C O N F I D E N T I A L  CARACAS 003926 
 
SIPDIS 
 
 
NSC FOR CBARTON 
HQ USSOUTHCOM ALSO FOR POLAD 
 
E.O. 12958: DECL: 12/22/2014 
TAGS: PHUM, KDEM, KPAO, PGOV, VE 
SUBJECT: CONTENT LAW NOW IN EFFECT, MEDIA STRUGGLE TO ADJUST 
 
 
Classified By: POLITICAL COUNSELOR ABELARDO ARIAS FOR REASON 1.4 (D) 
 
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SUMMARY 
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1. (U) Signed by President Hugo Chavez Frias on December 7, 
the "Law for Social Responsibility in Radio and Television" 
went into effect with its publication in the official gazette 
December 8. The final legislation reflects some last minute 
changes to a handful of articles, but remains much the same 
as reported in reftels. Television and radio stations began 
adjusting their content and news coverage immediately, as was 
evident in the media in Caracas on the day the law was 
finalized. While some adjust, others have taken a more 
defiant or fatalistic attitude, awaiting government reaction. 
Meanwhile, stations are rushing to train employees to avoid 
violations, while reconfiguring hours and even making changes 
to their physical facilities, all in anticipation of March 7, 
when another tier of the staggered requirements goes into 
effect. 
END SUMMARY. 
 
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STREET VENDORS AND POLICE CLASH, BUT FEW WITNESS THE RIOT 
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2. (C) As Venezuela's media content law came into effect 
December 8, street vendors and Caracas police clashed in the 
city center as the authorities attempted to remove the 
vendors' stalls from the sidewalks. The disturbances left 
dozens hospitalized, but while it was in progress, most 
broadcast media only spoke of the melee, and referred viewers 
to their respective web pages where more complete and graphic 
coverage could be included.  Private media executives told 
Emboffs that at first they didn't feel comfortable using 
images of the incident, while confusion reigned in newsrooms 
over what could be shown under the law. Several said they 
decided to begin transmitting certain images only after state 
television channel Venezolana de Television (VTV) broadcast 
live coverage. All-news channel Globovision, a primary target 
of government action in recent years, broadcast some select 
footage live. They held all taped footage until after 23:00, 
when violent images are permitted under the law. Radio 
Caracas Television (RCTV) said they broadcast scenes of the 
disturbances as they normally would. The largest station, 
Venevision (who competitors derisively accuse of capitulating 
to the government), refrained from any live coverage of the 
incident. 
 
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THE BLIND LEADING THE BLIND: MEDIA TRY TO CONFORM 
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3. (C) Most broadcast media are complying as best they can 
with the vaguely-written law,  difficult since the directory 
of rules has yet to be written by the state 
telecommunications regulatory agency, CONATEL. Stations are 
holding special training sessions for employees, many of whom 
worry about making one small mistake, such as forgetting to 
visually identify "archive" footage. Such mistakes can lead 
to a hefty fine, and count as one strike of two that would 
lead to a station's suspension for up to 72 hours. The same 
type of mistake, if made four times within five years, would 
incur a penalty ranging from suspension for up to five years 
or, most seriously, revocation of the stations's broadcast 
concession. 
 
4. (C) Venevision has put a five-second monitored delay on 
all broadcasts, 24 hours a day, the cost of which is 
prohibitive for most other stations. The channel, owned by 
Gustavo Cisneros, has also built a special new suite of rooms 
outside their master control room to limit access to the 
station's nerve center.  Most private media confess to being 
worried about government-aligned "spies" in their midst who 
would sabotage the station to incur fines and shut-downs. 
Venevision's changes ensure that only the most trusted 
employees have access to the master control, while taped 
programming is passed through a small window to an anteroom 
where it is screened, then passed through to the control room 
for broadcast. 
 
5. (C) The most obvious on-screen changes are expected in 
March 2005, when the new mandated hourly schedules come into 
effect. In the meantime, stations have focused on new 
advertising limitations. RCTV reported sending numerous 
prerecorded spots back to their clients, affecting 6,000 
already-sold advertising slots. They are also focused on the 
requirement to maintain their logo on-screen during all 
 
programming and promotions (the final bill does not require 
the logo to be displayed during ads), and avoidance of sex, 
foul language, and most importantly, violence. 
 
6. (C) Globovision appears to have lessened on-the-scene live 
reporting. There are a lot more press conferences from 
government ministries, fewer opposition voices, and more 
taped reports which have the time and date of the recording 
clearly visible at the bottom of the screen.  Though 
Globovision denies it, it is now broadcasting more "CNN en 
Espanol" and RCN Colombia. Globovision executives believe 
that carrying the live feed of a third (non-Venezuelan) 
network qualifies as "live" coverage and exempts them from 
some of the more onerous aspects of the media law. 
 
7. (C) Radio Caracas Television (RCTV) has decided to 
maintain the status quo in coverage. Executives of the 
station say that they expect the government to find ways to 
fine them, or worse. They also report having made no 
adjustments to their news coverage (which only airs in the 
morning, at mid-day, and at 11:00 PM). Executives say they 
will focus on cleansing their entertainment programming of 
sexual and other inappropriate content, to deny the 
government "moral cover" for any action against the station, 
but will not adjust news coverage. They believe the GoV will 
be hard-pressed to close a station without "valid" reasons as 
this would hurt the regime's reputation in the international 
arena. The same executive said that, regardless, given the 
vague wording and the multitude of different requirements 
imposed, it is "impossible to fully comply with the law." 
 
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FINAL PRE-PASSAGE CHANGES 
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8. (U) The National Assembly changed two provisions of the 
law governing the sanctions regime and the requirements for 
National Independent Producers (NIPs), in the final version. 
Under the sanctions regime, fines are now expressed as a 
percentage of a station's gross annual revenue (maximum of 
two percent). Station executives told Emboffs that the new 
fines regime would be even more costly to them than the old 
version, which based fines on "tributary units." Also, fines 
are subject to penalty interest while under appeal to the 
executive branch. The changes in definition for National 
Independent Producers include excising the language that 
would prevent someone who is married to or cohabiting with a 
person employed by a radio or television service provider 
from gaining NIP status. Lawmakers also eliminated the 
requirement that a NIP applicant not have any relationship to 
a radio or TV service provider for 12 months preceding 
application, instead prohibiting any current relationship to 
such a provider. 
 
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IMPLEMENTATION 
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9. (U) In public comments on December 21, CONATEL director 
Alvin Lezama said that the regulatory agency has "noted with 
satisfaction" the efforts toward compliance made to date by 
most media. Specifically, he cited actions observed on 
national television stations to include date and time stamps 
on taped news footage, as well as the disappearance of some 
inappropriate advertising. Lezama also said that at the 
beginning of 2005 the agency will launch an aggressive 
campaign to register National Independent Producers (NIPs) 
and User Committees, in accordance with the law. 
 
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COMMENT 
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10. (C) Most media leaders are in a transitory period of 
confusion in the wake of the enactment of the media law. They 
generally deny that they are self-censoring, while at the 
same time providing several examples of how they are doing 
just that. The law has also made the broadcasting business 
less profitable. Few in the private media have any confidence 
that the law will be applied fairly, and therefore seem 
resigned to a fate that is largely beyond their control. The 
full effect of the law will not be felt for nine months, at 
which point the majority of the its requirements will have 
been phased-in. Most in the media agree that the goal of the 
law is to scare them into self-censorship, while also 
agreeing that the teeth of the legislation is in how it is 
applied. 
McFarland 
 
 
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      2004CARACA03926 - CONFIDENTIAL