US embassy cable - 05LIMA5011

UNCLAS SECTION 01 OF 02 LIMA 005011 
 
SIPDIS 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: SNAR, PGOV, PE 
SUBJECT: KINGPIN ZEVALLOS ARRESTED FOR DRUG TRAFFICKING AND 
MURDER 
 
Sensitive But Unclassified, Law Enforcement Sensitive 
Information, Please Handle Accordingly. 
 
1. (U) Summary: OFAC-designated Kingpin Fernando Zevallos was 
arrested in Chosica on charges of drug trafficking, three 
counts of murder, attempted murder, and three counts of 
coercion of witnesses on 11/19.  The arrest warrant issued in 
the early morning was executed by the Peruvian National 
Police (PNP).  The arrest was the result of an extensive 
effort by DEA-Lima in coordination with PNP authorities.  End 
Summary. 
 
2. (U) On 11/19 at 12:30pm, U.S. Treasury Office of Foreign 
Assets Control (OFAC)-designated Kingpin Fernando Zevallos 
Gonzales was arrested by Peruvian authorities in Chosica. 
The charges against Zevallos are: 1) Drug Trafficking; 2) 
three counts of Murder (Jose Maria Ruiz Aguilar, Carlos 
Alberto Alayo Rodriguez, Jesus Flores Matias); 3) Attempted 
Murder (Cesar Angulo Tanchiva); and 4) three counts of 
Coercion of Witnesses (Cesar Angulo Tanchiva, Oscar Benites 
Linares, Lincoln Flores Matias).  Six other subjects within 
the Zevallos organization were also charged with the same, as 
well as Accessory to Murder.  DEA Lima provided significant 
assistance and guidance in developing these charges. 
 
3. (SBU) Zevallos had been under constant surveillance by 
DEA-vetted SIU (Sensitive Investigative Unit) PNP personnel 
in anticipation of issuance of this judicial warrant 
issuance.  His arrest was safely effected by coordinating a 
routine vehicle stop by PNP police units after Zevallos left 
his Lima residence and headed for his weekend retreat in 
Chosica outside the city.  Zevallos was armed with an illegal 
AKM assault rifle and accompanied by a driver, a bodyguard, 
and wife Sandra.  Zevallos personal laptop computer and 
several GSM cellular telephone chips were also seized. 
Concurrent to execution of the arrest warrant, a search 
warrant for Zevallos' residence in Lima was obtained and 
executed on 11/20.  Additional search warrants are being 
executed on locations connected to Zevallos, including the 
former AeroContinente office. 
 
4. (SBU) Coordination between DEA domestic and foreign 
offices as well as Narcotics and Dangerous Drugs Section of 
Department of Justice was essential as was collaboration 
between DEA and the PNP.  Key events in the collective effort 
leading to Zevallos' arrest include: 
 
-- In July Jorge Chavez Montoya (a key lieutenant within the 
Zevallos organization) was arrested in connection with a 
19-kilo cocaine seizure in Iquitos. 
 
-- In July the Ministry of Interior, responding to a DEA 
request, authorized a special investigation of Chavez and 
Zevallos.  (Note:  Until that time, there was no official 
investigation authorized involving Zevallos in Peru. 
Zevallos used his influence to avoid being arrested for his 
current criminal trial and to be treated as a defendant in a 
civil suit. End Note.) 
 
-- On 11/3, DEA Lima released a letter to the Peruvian 
Prosecutors revealing that Chavez had acted previously as a 
cooperating defendant in the U.S. and named Zevallos as a 
cocaine trafficker.  This event was key to supporting the 
decision to charge Zevallos with drug trafficking. 
 
5. (U) Based on an 11/20 investigative television program, 
"La Ventana Indiscreta" the press widely reported on 11/21 
that Zevallos contributed to many political parties during 
previous election campaigns, including President Toledo's 
Peru Posible (PP) party, APRA, Unidad Nacional, Accion 
Popular, and the pro-GOP FIM.  President Toledo publicly 
denied any financing by Zevallos of his party; party leaders 
across the board have made the same denials.  However, 
President Toledo acknowledged that some PP candidates 
received airline tickets from Zevallos' airline, 
AeroContinente, during the election campaigns.  President 
Toledo added that this practice of receiving free airline 
tickets was common among other parties and with other 
airlines. Minister of Interior Romulo Pizarro acknowledged to 
the press that he did receive free AeroContinente tickets in 
2002, and said "given what has transpired it was not very 
prudent."  Congressman Luis Iberico, President of the Defense 
Commission, called for a special commission to investigate 
all the links between Zevallos and politicians. 
STRUBLE