US embassy cable - 05BRASILIA927

UNCLAS SECTION 01 OF 02 BRASILIA 000927 
 
SIPDIS 
 
SENSITIVE 
 
DEPT FOR WHA/BSC AND EB/TPP/IPE 
STATE PASS TO USTR FOR SCRONIN, LYANG AND BPECK 
STATE PASS TO USPTO/OLIA 
USDOC FOR 4332/ITA/MAC/WH/OLAC/JANDERSEN/ADRISCOLL/MWAR D 
USDOC FOR 3134/ITA/USCS/OIO/WH/RD/DDEVITO/DANDERSON/EOL SON 
NSC FOR KBREIER 
 
E.O. 12958: N/A 
TAGS: KIPR, ETRD, KJUS, BR 
SUBJECT: LETTER FROM BRAZIL'S CONGRESSIONAL FRONT FOR THE 
FIGHT AGAINST PIRACY AND TAX EVASION 
 
REF A) BRASILIA 599, B) BRASILIA 487 (NOTAL) C) SAO PAULO 
 
174 
 
1. (U) Eight Brazilian congressmen, members of the 
Congressional Front for the Fight Against Piracy and Tax 
Evasion, visited the Embassy on March 30 to deliver a letter 
addressed to the Ambassador regarding Brazil's inclusion on the 
Special 301 list and possible removal of GSP benefits. (Note, 
one was delayed and so did not sign the letter).  An unofficial 
translation of the text of the letter follows in paragraph 4; 
original will be filed at Post. 
 
2. (SBU) During the meeting with DCM, the deputies emphasized 
their commitment to enhancing IPR protection in Brazil in 
partnership with the GoB and the newly formed National Council 
to Combat Piracy and Intellectual Property Crimes, as well as 
with the private sector.  They conveyed their view that a USG 
withdrawal of GSP benefits from Brazil at this time would be 
counterproductive to Brazil's efforts to improve its 
enforcement of intellectual property rights. 
 
3. (SBU) In response, DCM noted that USG dialogue with the GoB 
on these issues over the past 10 months has been frank and 
constructive, adding that we are paying particular attention to 
the development of the National Council and the extent to which 
it activities will make systemic improvements in copyright 
protection in Brazil.  DCM also observed that the USG has been 
encouraged by the recent increase in seizures in the Foz de 
Iguacu area. 
 
4. (U) Start Text of Letter. 
 
CHAMBER OF DEPUTIES 
CONGRESSIONAL FRONT FOR THE FIGHT AGAINST PIRACY AND TAX 
EVASION 
 
Mr. Ambassador, 
 
Faced with information divulged by the national and 
international press that Brazil has been included on the 
Special 301 list (list of countries that do little to fight 
piracy) and, because of this is facing sanctions by the 
North American government, including the possible removal 
of Brazil from the list of countries included on the 
"Generalized System of Preferences - GSP", please be 
advised of the following: 
 
On July 8, 2004 representatives of the Congressional 
Investigative Committee (CPI), founded for the purpose of 
investigating facts related to piracy against 
industrialized products and tax evasion - Piracy CPI of the 
Chamber of Deputies, made an official visit to the U.S. 
Congress and presented an Open Letter to "The International 
Congressional Anti-Piracy Caucus", communicating the 
results of the CPI's Final Report as well as initiatives 
taken by the Brazilian Government in the fight against 
piracy, smuggling, tax evasion and embezzlement. 
 
We should emphasize that since then, various actions have 
been taken for this purpose, in the area of enforcement 
with intensified customs inspections and creation of 
specialized anti-piracy sections in the Federal Police, and 
in the institutional area with the installation of the 
National Council for the Fight Against Piracy, which is 
already fully functioning. 
 
We should point out that we are concerned with keeping 
Congressional actions alive, because piracy causes serious 
harm to our country through tax evasion, unemployment and 
paralysis of technological development among other things. 
Once the CPI work was concluded, we created the 
Congressional Front For the Fight Against Piracy and Tax 
Evasion, which developed an intense agenda of activities. 
Around 100 private entities, forming the National Forum of 
Entities against Piracy and Illegality, came together with 
our support with the same objective. 
 
We therefore come to you for the purpose of manifesting our 
concern regarding threats of sanctions since the Brazilian 
government has been taking a firm stand in the fight 
against piracy, with the support of the Brazilian Congress. 
 
We take the liberty of expressing our opinions in an effort 
to ensure the continued good relationship between Brazil 
and the United States of America, and we hope the Office of 
the U.S. Trade Representative - USTR will review their 
position. 
 
Brasilia, March 30, 2005 
 
(signed) 
Deputy Vanessa Grazziotin, General Coordinator of the Front 
Deputy Josias Quintal 
Deputy Sandes Junior 
Deputy Laura Carneiro 
Deputy Luiz Antonio Medeiros 
Deputy Julio Lopes 
Deputy Julio Semeghini 
 
End Text. 
 
CHICOLA