US embassy cable - 05BUENOSAIRES392

UNCLAS SECTION 01 OF 03 BUENOS AIRES 000392 
 
SIPDIS 
 
SENSITIVE 
 
POST FOR DEA ONLY 
DEA HQS FOR OE/OI/OIL/OEL FIELDS/TREMPALA, SARI FOR INDEXING 
LA PAZ CO FOR ACAS KUSEN/ROMERO 
MADRID CO FOR CA ALFRED CHRISTLIEB/ S/A FERNANDEZ 
 
E.O. 12958: N/A 
TAGS: AR, DEA 
SUBJECT: ARGENTINE AIRLINE COMPANY SUTHERN WINDS (SW) 
IMPLICATED IN 60 KILOGRAMS COCAINE SEIZURE IN MADRID IN 
SEPTEMBER 2004; THREE SW EMPLOYEES ARRESTED. 
 
REF: A. FILE:GFZA 05-4002-UEC1I SOUTHERN WINDS AIRLINES 
 
     B. GFZA-99-8027-POLICIA AERONAUTICA 
     C. GFZA-05-9116-AIRLINE EMPLOYEES 
 
1.(SBU) ON FEBRUARY 13, 2005, THE ARGENTINE NEWSPAPER LA 
NACION PRINTED A STORY REGARDING THE REMOVAL OF THE HEAD OF 
THE POLICIA AERONAUTICA NACIONAL (PAN), COMODORO ALBERTO 
BELTRAME, AT THE EZEIZA INTERNATIONAL AIRPORT IN BUENOS 
AIRES, ARGENTINA.  PAN IS TASKED WITH MANAGING THE OVERALL 
SECURITY OF THE AIRPORT.  COMODORO BELTRAME WAS REMOVED AS A 
PRECAUTION DUE TO HIS SON'S INVOLVEMENT IN THE USE OF A 
SOUTHERN WINDS AIRLINE TO SMUGGLE FOUR SUITCASES CONTAINING 
60 KILOGRAMS OF COCAINE TO THE BARAJAS INTERNATIONAL AIRPORT 
IN MADRID, SPAIN, IN SEPTEMBER 2004.  THE COCAINE WAS SEIZED 
BY THE GUARDIA CIVIL IN SPAIN AND NO ARRESTS WERE MADE AT THE 
TIME.  COMODORO BELTRAME,S SON IS IDENTIFIED AS WALTER 
BELTRAME, AGE 22, WHO WORKED AS THE FREQUENT FLYER PROGRAM 
MANAGER FOR THE ARGENTINE AIRLINE SOUTHERN WINDS. 
 
2.(SBU) SINCE THE STORY FIRST APPEARED IN LA NACION, THE 
COCAINE SEIZURE IN SPAIN INVOLVING SOUTHERN WINDS HAS 
MUSHROOMED INTO A FULL BLOWN POLITICAL SCANDAL IN ARGENTINA. 
PAN HAS BEEN IMPLICATED IN THE SCANDAL AND AS A RESULT, THE 
SECURITY PROCEDURES IN PLACE AT THE EZEIZA INTERNATIONAL 
AIRPORT HAS BEEN COMPROMISED. 
 
3.(SBU) SOURCES CLOSE TO THE INVESTIGATION HAVE PROVIDED 
INFORMATION TO THE BUENOS AIRES COUNTRY OFFICE.  DETAILS 
REGARDING THE SEIZURE OF THE 60 KILOGRAMS OF COCAINE IN 
MADRID FIRST SURFACED IN ARGENTINA WHEN THE BROTHER OF THE 
CEO AND FOUNDER OF SOUTHERN WINDS, CHRISTIAN MAGGIO, PROVIDED 
A DECLARATION BEFORE AN ARGENTINE JUDGE ON OCTOBER 5, 2004. 
CHRISTIAN MAGGIO IS THE GENERAL MANAGER FOR SOUTHERN WINDS. 
MAGGIO HAD BEEN CONTACTED ON OR ABOUT SEPTEMBER 23, 2004, BY 
BARAJAS AIRPORT AUTHORITIES AND ADVISED OF THE SEIZURE OF 60 
KILOGRAMS OF COCAINE FROM FOUR &CARRYON8 BRAND SUITCASES BY 
THE GUARDIA CIVIL.  THE SUITCASES HAD ARRIVED IN MADRID FROM 
BUENOS AIRES ON SOUTHERN WINDS FLIGHT 6420 ON SEPTEMBER 17, 
2004.  THE SUITCASES DID NOT CORRESPOND TO ANY PASSENGERS ON 
THE FLIGHT, AND EACH HAD A LUGGAGE TAG BEARING THE NAME OF 
THE ARGENTINE EMBASSY IN MADRID.  SPANISH CUSTOMS AND GUARDIA 
CIVIL MEMBERS PULLED THE BAGS OFF OF THE LUGGAGE CAROUSEL 
AFTER IT APPEARED THAT THE LUGGAGE HAD BEEN ABANDONED.  THE 
GUARDIA CIVIL OPENED THE LUGGAGE WHICH WAS DETERMINED TO 
CONTAIN 60 KILOGRAMS OF COCAINE.  THE GUARDIA CIVIL THEN 
PLACED THE LUGGAGE BACK ON THE CAROUSEL AND ESTABLISHED 
SURVEILLANCE ON THE BAGS FOR SEVERAL DAYS.  ON SEPTEMBER 22, 
2004, THE GUARDIA CIVIL DISCONTINUED THE ATTEMPT AT 
FURTHERING THE INVESTIGATION AND PROCESSED THE EVIDENCE AS NO 
ONE APPROACHED THE CAROUSEL TO RETRIEVE THE BAGS. 
 
5. (SBU) GENERAL MANAGER MAGGIO INITIATED HIS OWN INTERNAL 
INVESTIGATION AND DETERMINED THAT THREE SOUTHERN WINDS 
EMPLOYEES WERE RESPONSIBLE FOR DEFEATING THE SECURITY 
MEASURES AND SUCCESSFULLY TRANSPORTING THE FOUR PIECES OF 
LUGGAGE ON SOUTHERN WINDS FLIGHT 6420.  SUPERVISOR OF 
PASSENGER TRAFFIC CLAUDIO BAUDINO, SALES MANAGER FERNANDO 
ARRIETE (A FORMER AMERICAN AIRLINES EMPLOYEE) AND FREQUENT 
FLYER MANAGER WALTER BELTRAME WERE IDENTIFIED AS THE 
RESPONSIBLE EMPLOYEES. 
6. (SBU) ARGENTINE FEDERAL JUDGE CARLOS LIPORACE ISSUED 
ARREST WARRANTS FOR ALL THREE INDIVIDUALS.  BAUDINO AND 
ARRIETE WERE ARRESTED ON FEBRUARY 14, 2005, WHILE WALTER 
BELTRAME REMAINED A FUGITIVE UNTIL VOLUNTARILY SURRENDERING 
ON FEBRUARY 17, 2005.  THE REASON BEHIND THE DELAY IN THE 
PROSECUTION OF THIS CASE SINCE CHRISTIAN MAGGIO FIRST 
REPORTED THE INCIDENT IN OCTOBER 2004 HAS YET TO BE REVEALED. 
 
7. (SBU) AS ADDITIONAL BACKGROUND, IT WAS ESTABLISHED THAT 
SALES MANAGER ARRIETE ISSUED AN AIRLINE TICKET FOR  WALTER 
BELTRAME TO FLY ON SOUTHERN WINDS ON SEPTEMBER 14, 2004, TO 
MADRID, TO ENGAGE IN UNKNOWN AIRLINE BUSINESS.  AFTER 
ARRIVING IN MADRID, BELTRAME CALLED SUPERVISOR BAUDINO IN 
ARGENTINA AND INSTRUCTED HIM TO PASS THE FOUR PIECES OF 
LUGGAGE THROUGH SECURITY AND ONTO SOUTHERN WINDS FLIGHT 6420 
SCHEDULED FOR DEPARTURE ON SEPTEMBER 16, 2004.  BELTRAME TOLD 
BAUDINO THAT THE LUGGAGE WAS TO BE FORWARDED TO SPAIN ON 
BEHALF OF SOUTHERN WINDS FREQUENT FLYERS AND SPANISH 
NATIONALS ELENA TIOMIL BATAN AND RAMON GONZALEZ VILLAR. 
NEITHER INDVIDUAL WAS TICKETED AS A PASSENGER ON THE 
AFOREMENTIONED FLIGHT.  IRONICALLY, SOUTHERN WINDS VICE 
PRESIDENT ENRIQUE MONTERO FLEW ON THE SAME FLIGHT AS THE FOUR 
PIECES OF LUGGAGE.  SOURCES CLOSE TO THE INVESTIGATION 
INDICATED THAT THIS WAS MERELY A COINCIDENCE AS MONTERO 
NEEDED TO TAKE CARE OF SOUTHERN WINDS BANKING MATTERS WITH AN 
AFFILIATED BANK IN MADRID. 
 
8. (SBU) THE ARGENTINE PRESS LATER REPORTED THAT THE TWO 
SPANISH FREQUENT FLYERS, BATAN AND VILLAR, HAD BEEN ARRESTED 
ON SEPARATE DRUG CHARGES IN SPAIN IN DECEMBER 2004. 
 
9. (SBU) AS PREVIOUSLY STATED, THE ENSUING INVESTIGATION 
COORDINATED BY JUDGE LIPORACE CONTINUES TO GENERATE 
INFORMATION WITH SCANDALOUS REPERCUSSIONS INVOLVING THE 
SECURITY MEASURES IN PLACE AT THE EZEIZA AIRPORT.  FOR 
INSTANCE, THE TAPE OF THE AIRPORT SECURITY CAMERA WHICH WOULD 
HAVE CONTAINED FOOTAGE OF THE SOUTHERN WINDS CHECK-IN COUNTER 
AND REAR SCANNER AREA FOR SEPTEMBER 15, 2004, WAS ERASED 
WITHOUT EXPLANATION.  OTHER INCONSISTENCIES ARE SURFACING ON 
A DAILY BASIS THROUGH THE ARGENTINE PRESS. 
 
10. (SBU) SOUTHERN WINDS SUSPENDED THEIR FLIGHTS TO MIAMI 
LAST YEAR DUE TO COST EFFECTIVENESS ISSUES.  SOUTHERN WINDS, 
JET FUEL COSTS ARE CURRENTLY SUBSIDIZED BY THE ARGENTINE 
GOVERNMENT ON A MONTHLY BASIS.  SOURCES SAY WITHOUT THE 
GOVERNMENT-SPONSORED SUBSIDIES, THE FAMILY-OWNED AIRLINES, 
WHICH FORMED IN CORDOBA, ARGENTINA IN 1996, WOULD FOLD. 
MADRID CONTINUES TO BE THE AIRLINES ONLY INTERNATIONAL 
DESTINATION TO DATE. 
 
11. (SBU) THE BUENOS AIRES COUNTRY OFFICE WILL CONTINUE TO 
MONITOR THE PROGRESS OF THE INVESTIGATION IN AN EFFORT TO 
IDENTIFY THE SCOPE AND DURATION OF THE SMUGGLING OPERATION 
INVOLVING SOUTHERN WINDS AIRLINES. 
 
12. (SBU) THIS CABLE HAS BEEN CREATED IN LIEU OF A DEA-6 IN 
ACCORDANCE WITH DEA AGENTS MANUAL SECTION 6242.11.  ANY 
QUESTIONS CAN BE DIRECTED TO COUNTRY ATTACHE ANTHONY GRECO, 
JR., OR SA STEPHEN BRIGGS AT FTS (301) 985-9361 OR LOCAL 
(5411) 5777-4275. 
 
INDEXING 
 
1. SOUTHERN WINDS AIRLINES ) NADDIS NEGATIVE; ARGENTINE 
AIRLINES FORMED IN 1996 IN CORDOBA, ARGENTINA, BY FOUNDER AND 
CEO JUAN JOSE MAGGIO; BUS ADD: SUIPACHA 1111, 26TH FLOOR, 
CAPITAL FEDERAL; AVENIDA COLON 540, SUITE 5B, CORDOBA, 
ARGENTINA; AVENIDA SANTA FE 782, THIRD FLOOR, CAPITAL 
FEDERAL; LAVALLE 730, SUITE 5B, CAPITAL FEDERAL; US ADDRESS: 
3399 NW 72ND AVE., SUITE 214, MIAMI, FL; WEB SITE: 
WWW.SW.COM.AR. 
 
2. MAGGIO, JUAN JOSE ) NADDIS NEGATIVE; DOB: 12/28/63; WHITE 
HISPANIC MALE; CIT: ARGENTINA; PRESIDENT/CEO/FOUNDER OF 
SOUTHERN WINDS AIRLINES BASED IN ARGENTINA; RES ADD: COLON 
540, CORDOBA, ARGENTINA; OR ARENALES 3407, APT. 5C, CAPITAL 
FEDERAL; BUS ADD: AVENIDA SANTA FE 782, THIRD FLOOR, CAPITAL 
FEDERAL; CUIT Nol 20-16767015-7. 
 
3. MONTERO, ENRIQUE A. ) NADDIS NEGATIVE; DOB: 12/15/33; 
WHITE ARGENTINE MALE; VICE PRESIDNET OF SOUTHERN WINDS 
AIRLINES; BUS ADD: AVENIDA SANTA FE 1970, THIRD FLOOR, 
CAPITAL FEDERAL; SANTA FE 782, THIRD FLOOR, CAPITAL FEDERAL; 
TUCUMAN 1318, SUITE 3P, CAPITAL FEDERAL; CARLOS PELLEGRINI 
2450, MARTINEZ, BUENOS AIRES PROVINCE, ARGENTINA. 
 
4. CARTASSO, MIGUEL A. ) NADDIS NEGATIVE; BUS ADD: FELIPE 
JULIANES 259, ACASSUSO, BUENOS AIRES PROVINCE, ARGENTINA. 
 
5.    PATANIAN, ANTONIO M. ) NADDIS NEGATIVE; BUS ADD: 
JUNCAL 1945, APT. 8B, CAPITAL FEDERAL, ARGENTINA. 
 
6.    BAUDINO, CLAUDIO FERNANDO ) NADDIS NEGATIVE; DOB: 
06/24/76; SUPERVISOR OF PASSENGER TRAVEL FOR SOUTHERN WINDS; 
ARGENTINE MALE. 
 
7. ARRIETE, FERNANDO PABLO ) NADDIS NEGATIVE; DOB: 08/10/69; 
ARGENTINE MALE; SALES MANAGER FOR SOUTHERN WINDS. 
 
8. BELTRAME, WALTER EDGARDO ) NADDIS NEGATIVE; DOB: 
01/26/77; ARGENTINE MALE; FREQUENT FLYER MANAGER FOR SOUTHERN 
WINDS; ARGENTINE MALE. 
 
9.     TAMBURRINI, CLAUDIO ) NADDIS NEGATIVE; ARGENTINE 
MALE; SOUTHERN WINDS AIRLINE EMPLOYEE BASED IN MADRID, SPAIN. 
 
10. BATAN, ELENA TOIMIL ) NADDIS NEGATIVE; SPANISH NATIONAL 
ARRESTED IN CADIZ, SPAIN WITH 16 KGS OF COCAINE ON DECEMBER 
2004. 
 
11. VILLAR, RAMON GONZALEZ ) NADDIS NEGATIVE; SPANISH 
NATIONAL ARRESTED IN CADIZ, SPAIN, IN DECEMBER 2004. 
 
 
 
GUTIERREZ 
GUTIERREZ