US embassy cable - 05KATHMANDU2556

C O N F I D E N T I A L KATHMANDU 002556 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR SA/INS, SA/PPD 
NSC FOR RICHELSOPH 
 
E.O. 12958: DECL: 11/23/2015 
TAGS: PGOV, PTER, NP 
SUBJECT: PARTIES AND MAOISTS ANNOUNCE 12 POINT 
"UNDERSTANDING" 
 
Classified By: Ambassador James F. Moriarty. Reasons 1.4 (b/d). 
 
1. (U) This contains an action request.  Please see paragraph 
14. 
 
Summary 
------- 
 
2. (C) On November 22, the seven-party alliance and the 
Communist Party of Nepal (Maoist) separately issued a twelve 
point "understanding" in which both groups agreed to the goal 
of a constituent assembly election, a long-held Maoist 
demand.  The Maoists and Parties confirmed that they shared 
the goal of ending the "autocratic monarchy," which some 
interpreted to mean that the King could retain a role as a 
ceremonial monarch.  The "understanding" contains no/no 
Maoist commitment to give up violence, nor to extend their 
unilateral cease-fire, due to end December 3.  The 
understanding called on the Royal Nepal Army (RNA) and the 
Maoists to turn over their weapons to the UN or another 
international organization during constituent assembly 
elections.  Members of the seven-party alliance have 
different interpretations of the understanding's key clauses 
and confided that many details were still to be worked out. 
The Parties apparently hope that this understanding will 
pressure the King to reach out and start a dialogue on the 
way ahead.  If the King does not respond, the months ahead 
are likely to see the Parties intensifying their 
demonstrations and Maoists escalating violence throughout the 
country -- with the common goal of bringing down the King. 
End Summary. 
 
"Autocratic Monarchy" is Main Obstacle to Peace ... 
--------------------------------------------- ------ 
 
3. (U) On November 22, the seven-party alliance and the 
Communist Party of Nepal (Maoist) separately made public a 
twelve point "understanding" in which both groups stated that 
the autocratic monarchy was "the main obstacle to peace," and 
said that "anti-regressive forces have come to an agreement 
to focus their attack against the autocratic monarchy 
independently," and bring it to an end "by intensifying the 
ongoing democratic movement" across the country.  The 
statement called for "ending autocracy and establishing 
absolute democracy."  The Parties held a press conference in 
Kathmandu, while the Maoist Chairman Prachanda released the 
statement via the internet. 
 
... But Door Open for "Ceremonial Monarchy" 
------------------------------------------- 
 
4. (C) Sushil Koirala, Vice President of the Nepali Congress 
Party (NC), told Emboff that the 12 points signed between the 
seven political parties and the Maoists were just an 
understanding and not an agreement.  Bharat Mohan Adhikari, 
UML Central Committee member, agreed and stressed that the 12 
points did not call for the end of the monarchy, but rather 
an end to "autocratic monarchy."  He added that he hoped the 
King would accept this understanding as a basis for dialogue, 
noting that the Parties could agree to a role for the King as 
the ceremonial head of government.  He requested that the 
international community persuade the King to accept the 
understanding. 
 
Immediate Laying Down Arms Not Part of Agreement 
--------------------------------------------- --- 
 
5. (C) While the text of the understanding made no mention of 
the Maoists giving up violence, alliance leader G.P. Koirala 
(NC) told the press that "the two sides will not launch the 
joint movement until the Maoists surrender their arms." 
Nepali Congress-Democratic (NC-D) spokesperson Minendra Rijal 
told Emboff that the understanding originally contained 18 
points, but the Parties had pushed the Maoists to take out 
any language threatening future violence.  Rijal maintained 
that the basic motivation of the Parties to enter into the 
agreement was to test the Maoists' claims.  He said that the 
Parties would closely watch the activities of the Maoists to 
 
determine whether the Maoists would become committed to 
multiparty democracy and democratic principles.  Rijal 
readily admitted that the Maoists had broken commitments made 
recently and privately to the Parties not to interfere with 
political party activities in rural areas and to stop 
abductions.  CPN-UML Central Committee Member K.P. Oli 
separately said that the understanding was a test and told 
Emboff that the Parties would continue to criticize all 
Maoist violence, including extortion. 
 
6. (C) Regarding the laying down of arms in the future, 
People's Front Nepal (PFN) Central Committee Member Sashi 
Shrestha told Emboff that the Maoists and the RNA should stay 
inside their barracks during the election of the constituent 
assembly, but that did not mean that the Maoists would 
permanently lay down their arms.  Embassy contact Nischal 
Pandey enumerated many specific problems with the 
understanding, starting with the clause calling for the RNA 
to turn over arms to the UN or an international observer.  He 
noted that the RNA was a state army, and therefore was 
inherently different from an armed insurgency.  While he had 
misgivings, Pandey noted that the government had to respond 
to the understanding. 
 
Will Maoists Extend Cease-fire? 
------------------------------- 
 
7. (C) The statement made no reference to the Maoists' 
unilateral cease-fire, due to expire December 3, and the 
members of the seven party alliance did not seem to have a 
clue as to whether the Maoists would extend it.  Rijal told 
us that the Maoists had given the Parties an oral agreement 
that they would extend the cease-fire until mid-January; 
Adhikari speculated that the Maoists would extend the 
cease-fire until the municipal elections scheduled for 
February 2006 in the recognition that if they resumed 
violence the world community would "see through their ploys." 
 Subash Nemwang, CPN-UML Central Committee member said that 
he hoped that the Maoists would extend the cease-fire, as 
they had already said that they would move along the "new 
peaceful political stream."  Padma Ratna Tuladhar, a civil 
society member with close ties to the Maoists, commented that 
although civil society continued to press the Maoists to 
extend the cease-fire, the political parties had not been as 
vocal.  He speculated that the Parties would not mind if the 
Maoists did not extend the cease-fire, as the Parties wanted 
to create a situation where it would be impossible to hold 
municipal elections.  Shalaija Acharya, a dissident member of 
the NC, opined that the February elections would be very 
violent: the Maoists would kill as many candidates as they 
could. 
 
Stated Goal: Constituent Assembly, With UN Monitoring 
------------------------------------------ 
 
8. (U) The Maoists and the Parties agreed to the goal of a 
constituent assembly and agreed to accept the results of an 
election for such an assembly, noting the importance of 
participation of "credible international community" in the 
dialogue process.  The understanding called for continued 
negotiation and dialogue to reach a common agreement on the 
procedural issues leading to a constituent assembly, as 
differences remained on how to get there.  The main goal of 
the seven-party alliance, the understanding acknowledged, was 
the reinstatement of parliament, the formation of an 
all-party government, leading to talks with the Maoists and 
election to a constituent assembly, while the Maoists' goal 
was a national conference followed by an interim government 
that would oversee the election to a constituent assembly. 
Both groups agreed that, after bringing autocratic rule to an 
end, the arms of both the Royal Nepal Army and the Maoists 
would be supervised by the United Nations or a "dependable 
international body" to ensure free and fair election to the 
constituent assembly. 
 
But Party Members Unclear On Way Forward 
---------------------------------------- 
 
9. (C) There was no consensus among our contacts in the seven 
parties on the way forward, or whether Maoists would be part 
of an all-party government.  NC Vice President Sushil Koirala 
said that the parties favored the reinstatement of parliament 
and then forming an all-party government, but without the CPN 
(Maoist) who were not part of the parliament.  However, UML's 
Nemwang told us that, according to the constitution, anybody 
could be inducted into the government for a period of six 
months, so the Maoist leaders could be part of the government 
if the Parties agreed.  PFN Shrestha agreed, claiming that 
the Maoists were not against the reinstatement of the 
parliament.  She worried that things could "go wrong" if the 
King rejected the understanding, and so having Maoists join 
an all-party government should remain an option.  She noted 
that the political problem needed to be solved politically 
and opined that the ball was now in the King's court. 
 
Maoists and Parties to Boycott Municipal Elections 
--------------------------------------------- ----- 
 
10. (U) The statement said the upcoming municipal and 
parliamentary elections had the "malicious intention" of 
deceiving people and the international community, and 
legitimizing the King's autocratic and unconstitutional rule 
and "will be boycotted and made unsuccessful."  The groups 
called on civil society, journalists and intellectuals to 
"participate actively" in the "people's peaceful movement" 
launched under the common agreement.  The statement did not 
elaborate on actions that would be taken to boycott the 
elections, but did "appeal" to the Nepali people and the 
international community to support the "democratic" movement. 
 
Maoists To Allow Displaced to Return? 
------------------------------------- 
 
11. (C) The Maoists agreed to create a "conducive 
environment" to allow politicos, other "democratic forces" 
and "common people" who were displaced by the conflict to 
return home.  The Maoist also agreed to return the houses and 
physical properties "seized unjustifiably."  However, the 
statement gave no clear explanation of how this would be done 
or any criteria for unjustifiable seizures.  Most party 
members interpreted that clause to mean all confiscated 
property, however, PFN's Shrestha commented that the Maoists 
would decide whether there were justifiable grounds for 
seizing the property.  The Maoists said the people "will be 
allowed" to participate in political activities "without any 
hindrance."  (Comment: The Maoists had earlier agreed to 
allow party members return to the countryside, and have only 
partially kept that promise.  End Comment.) 
 
Maoists and Parties Admit Past Mistakes 
and Promise to Do Better 
--------------------------------------- 
 
12. (C) Our Party contacts touted the understanding as having 
gained a commitment from the Maoists to multi-party 
government, civil liberties, human rights, and the rule of 
law.  (Note: The Maoists made similar commitments before both 
the 2001 and 2003 negotiations with the government, but 
subsequently renounced those commitments. End note.)  In the 
statement both Maoists and Parties admitted to "past 
mistakes" and committed not to repeat such mistakes in the 
future.  They also agreed "to probe into past incidents and 
take action against the guilty."  While they did not 
elaborate how they would do this, they did note that if 
future problems occurred, high level Maoist and Party leaders 
would "discuss and settle the issues amicably" through 
dialogue.  Both parties also committed to respect human 
rights and freedom of the press during the peace process. 
 
Comment 
------- 
 
13. (C) While people have greeted the understanding with 
guarded optimism and as a basis to restart peace talks, most 
Nepalese, including those affiliated with the seven-party 
alliance, are trying to figure out what it means.  The lack 
 
of any provision requiring the Maoists to give up violence is 
troubling.  The Maoists seem to have gained the Parties' 
acceptance of their demand for a constitutional assembly in 
exchange for commitments similar to promises they had made 
earlier.  The Parties continue to insist that this is not an 
alliance and they will not conduct any joint action with the 
Maoists until they give up violence.  That said, the Maoists 
appear to be hoping that the "understanding" will allow them 
to pursue military options in the countryside while 
party-based demonstrations disrupt the urban areas.  A senior 
party member, recognizing the danger of this "understanding," 
and told us that, if the Maoists return to violence, the King 
could well decide to label the signatory parties terrorists 
and imprison them all.  King Gyanendra does not return to the 
country until December 2, so he will have time to consider 
his reaction to this understanding. 
 
Action Request 
-------------- 
14. (U) Post recommends the Department Spokesman consider a 
response along the following lines if asked to comment on the 
Maoist-Party understanding: 
 
Q.  What is the U.S. view of the letter of understanding 
issued by the 7-party alliance and the Maoists? 
 
A. -- If the understanding represents a commitment by the 
Maoists to join the political mainstream while shunning 
violence, we would welcome this. 
 
-- As far as we can see, however, there is nothing in the 
understanding requiring the Maoists to give up violence, or 
even committing the Maoists to extending their cease-fire. 
Obviously, if the insurgents really seek to support the 
democratic process in Nepal and join the political 
mainstream, they will need to abandon violence. 
 
-- In any event, the understanding clearly underscores the 
urgency of the Palace's reaching out to the parties to 
achieve a common understanding on how to bring democracy and 
peace back to Nepal. 
 
Unofficial Translation of the Understanding 
------------------------------------------- 
 
15. (U) The following is an unofficial translation of the 
full text of the 12 point understanding. 
 
Begin text. 
 
Letter of Understanding 
The long struggle between absolute monarchy and democracy in 
Nepal has now reached a very grave and new turn. 
Establishing peace by resolving the 10-year old armed 
conflict through a forward-looking political outlet has 
become the need of today.  Therefore, implementing the 
concept of absolute democracy through a forward-looking 
restructuring of the state has become an inevitable need to 
solve the problems related to class, caste, gender, region, 
etc. of all sectors including political, economic, social and 
cultural, bringing autocratic monarchy to an end and 
establishing absolute democracy.  We make public that, 
against this existing backdrop and reference in the country, 
the following understanding has been reached between the 
seven parliamentary parties and the CPN (Maoist) through 
different methods of talks. 
Twelve Points of Understanding 
1. Today, democracy, peace, prosperity, social progress and a 
free and sovereign Nepal is the chief wish of all Nepalese. 
We completely agree that autocratic monarchy is the main 
hurdle in (realizing) this.  It is our clear view that 
without establishing absolute democracy by ending autocratic 
monarchy, there is no possibility of peace, progress and 
prosperity in the country.  Therefore, an understanding has 
been reached to establish absolute democracy by ending 
autocratic monarchy, with all forces against the autocratic 
monarchy focusing their attack against the autocratic 
monarchy independently, and bring it to an end by 
 
intensifying the ongoing democratic movement across the 
country. 
2. The seven-party alliance is fully convinced that 
sovereignty and executive right of the people can be 
reestablished through the reinstatement of Parliament (on the 
basis of people's movement); forming an all-party government 
with full executive power; have talks with the Maoists and 
elections to a constituent assembly.  Whereas CPN (Maoist) 
believes that the people's sovereignty can be established 
through formation of an interim government formed after 
holding a national political conference of the agitating 
democratic forces, which will oversee the election to the 
constituent assembly.  An understanding has been reached 
between the seven-parties and the CPN (Maoist) to continue 
dialogue on this procedural work-list and find a common 
understanding. It has been agreed that the force of people's 
movement is the only way to achieve our agreed goals. 
3. The nation has demanded a constructive end to the present 
armed conflict and establishment of a lasting peace. 
Therefore, we are committed to ending autocratic monarchy and 
the existing armed conflict, and establishing permanent peace 
in the country through constituent assembly elections and 
forward-looking political outlet.  The CPN (Maoist) expresses 
its commitment to move along the new peaceful political 
stream through this process.  After bringing the autocratic 
monarchy to an end, we have agreed that the arms of both the 
Royal Nepalese Army and the Maoists will be under the 
supervision of the United Nations or a dependable 
international body to ensure free and fair election to a 
constituent assembly.  Both parties have also agreed to 
accept the results of the elections.  We also expect credible 
international mediation during the dialogue process. 
4. Expressing clearly and making public institutional 
commitment to the democratic norms and values like the 
competitive multiparty system of governance, civil liberties, 
human rights, the concept of the rule of law, fundamental 
rights etc. the CPN (Maoist) has expressed commitment to act 
accordingly. 
5. The CPN (Maoist) has expressed its commitment to create an 
environment allowing the political activists of other 
democratic parties and common people, who were displaced 
during the course of the armed conflict, to return to their 
former localities and live there with dignity.  The Maoists 
have also agreed to return the houses, land and property of 
people and party cadre seized unjustifiably.  People will be 
allowed to take part in political activities without 
hindrance. 
6. The CPN (Maoist) has also agreed to criticize itself for 
its past mistakes and has expressed commitment not to repeat 
such mistakes in the future. 
7. The seven political parties, undertaking self evaluation 
of their past mistakes, have expressed commitment not to 
repeat such mistakes which were committed while in parliament 
and in government in the future. 
8. During the peace process, commitment has been expressed to 
fully respect the norms and values of human rights and press 
freedom and move ahead accordingly. 
9. As the announcement of municipal polls pushed forward with 
the malicious intention of deluding the people and the 
international community and giving continuity to the 
autocratic and illegitimate rule of the King, and the talk of 
elections to Parliament are a crafty ploy, we announce to 
actively boycott them and call upon the general public to 
make such elections a failure. 
10. The people and their representative political parties are 
the real guardians of nationalism.  Therefore, we are firmly 
committed to protecting the independence, sovereignty, 
geographical integrity of the country and national unity. 
Based on the principle of peaceful co-existence, it is our 
common obligation to maintain friendly relations with all 
countries of the world -- especially with our neighbors India 
and China.  But we request the patriotic masses to be 
cautious against the false attempt by the King and (his) 
loyalists to prolong his autocratic and illegitimate rule and 
delude the patriotic people by projecting the illusory 
"Mandale" nationalism and questioning the patriotism of the 
political parties, and appeal to the international powers and 
the people to support, in every possible way, the democratic 
 
movement against autocratic monarchy in Nepal. 
11. We appeal to all people, civil society, professional 
organizations, various wings of parties, people of all 
communities and regions, press and intellectuals to actively 
participate in the peaceful movement launched on the common 
understanding based on democracy, peace, prosperity, social 
transformation and the country's independence, sovereignty, 
and pride. 
12. Regarding the inappropriate conducts that took place 
between the parties in the past, a common commitment has been 
expressed to investigate any objection raised by any party 
over such incidents, take action if found guilty, and to make 
the action public. An understanding has been reached to 
settle any problem emerging between the parties through 
peaceful dialogue at the concerned level or at the leadership 
level. 
End text. 
MORIARTY