US embassy cable - 03COLOMBO1048

UNCLAS SECTION 01 OF 04 COLOMBO 001048 
 
SIPDIS 
 
Department for D (Gastright), INR/MR, I/RW, I/REC, 
SA (CAPM, WALLER), SA/PD (BRENNIG, IRWIN, SCENSNY), 
SSA/PAS; SSO (PASS TO D); TOKYO (HARA, BRYAN) 
 
E.O. 12958: N/A 
TAGS: KPAO, OPRC, KMDR, OIIP, CE, LTTE - Peace Process 
SUBJECT:  MEDIA PLAY:  (JUNE 13) TOKYO CONFERENCE 
 
Summary.   News coverage of the Tokyo Donor Conference 
faded somewhat, but editorial comment from a variety of 
perspectives reamined robust.  Tamil newspapers continued 
to cover the Tokyo Conference and its aftermath, while 
Tamil editorial comment urged the government to give an 
interim administration with authority to the LTTE.  State- 
owned media coverage of Tokyo was light and focused on the 
potential impact of donor money.  Opposition media ran a 
few sour news headlines about Tokyo, but reserved most of 
its energy for editorial comment, in which editorialists 
questioned the motives of the Tigers and urged the 
Government to prepare militarily.  Independent media 
outlets concentrated on the business community's positive 
reaction to the Tokyo Conference and commented on 
cohabitation issues.  End summary. 
 
----- 
2. LTTE statements and other Tamil reaction. 
----- 
Independent daily VIRAKESARI reported, "`Both parties 
should resume talks - ball in government's court' - Tamil 
National Alliance," while independent daily THINAKKURAL's 
headline quoted Deputy Secretary Armitage's CNN interview, 
"Tokyo assurances based on progress of peace efforts." 
 
Tamil newspapers were also concerned with opposition 
statements.  Independent daily VIRAKESARI reported, 
"There's no truth in what the opposition party says about 
[donor] aid," and quoted Lakshman Kadirgamar, Presidential 
Advisor on International Affairs and Former Minister of 
Foreign Affairs, "PA is ready for devolution of power after 
amending the constitution." 
 
Tamil editorial comment urged the government to give an 
interim administration with authority to the LTTE. 
 
--- Under the editorial headline, "Resumption of talks in 
government hands," pro-LTTE daily, SUDAR OLI cautioned, 
"The LTTE is adamant that talks would be futile. until. a 
powerful administrative body with authority is 
established." 
 
Block quotes. 
 
Six rounds of talks between government and LTTE have been 
completed.  Talks were halted when almost all the plans 
were ready for the seventh round of talks.  The question 
now is whether the talks would continue.  A political 
solution acceptable to everyone should be achieved for the 
ethnic problem in Sri Lanka.  Lasting peace is the 
requirement of everyone without exception. 
 
The LTTE stressed the need for an interim administrative 
structure in the early stages of the talks.  Many 
committees were established in lieu of the interim 
administrative structure, as the provisions in the 
constitution may have blocked the formation of such a 
council. 
 
It is not possible to carry out the development and 
reconstruction work of the north and east with councils 
with less or limited authority.  That is the reason the 
LTTE is demanding an interim administrative structure until 
a final settlement is reached for the ethnic problem in Sri 
Lanka. 
 
The LTTE is adamant that talks would be futile without an 
interim administrative structure and that they will not 
take part in talks until such a powerful administrative 
body with authority is established. 
 
What is the reply of the government? What is the government 
going to do? The future of peace talks is in the hands of 
the government. 
 
End block quotes. 
 
--- Under the headline, "Must not allow room for serious 
division," independent daily THINAKKURAL warned that if 
serious consideration is not given to the Tigers' request 
for an interim administration, ".it may not be possible to 
prevent a situation leading to a serious division in 
national politics. 
 
Block quotes. 
 
There was a time when the international community and 
investors were afraid to assist or invest [in Sri Lanka] 
because of the prevailing war situation.  Now the situation 
has changed.  The pressure applied by the international 
community that peace is the priority, has opened avenues 
for assistance and investment, which was evident from the 
investors that participated at the investors' forum held 
soon after the Tokyo Donor Conference. 
 
The government sources should realize that all these steps 
were possible because of the peaceful situation created by 
the government and the LTTE, and the hope that these two 
parties move forward for a lasting solution. 
 
More funds were received and more pressure has been applied 
at the Conference than expected.  Now it is time for Prime 
Minister Ranil Wickremasinghe and his government to bring 
in cohabitation in local politics and make way for the 
Tiger demand of the interim administrative structure. 
Steps should be taken for drastic changes in the political 
environment and work for an interim administrative 
structure to undertake the development, rehabilitation and 
reconstruction activities in the north and east, even above 
the constitution. 
 
If it is not meticulously handled it may not be possible to 
prevent a situation leading to a serious division in 
national politics. 
 
End block quotes. 
 
----- 
3. GSL statements and pro-government reaction. 
----- 
State-owned media coverage of Tokyo was light and focused 
on the fate of donor money.  State-owned television and 
radio stations carried several optimistic news items about 
Tokyo's remit in English and vernacular news programs, 
including positive reaction from the business community and 
an interview with a former Finance Minister Ronie de Mel. 
On a less up-beat note, they also carried Sinhalese 
chauvinist group Sihala Urumaya's statement that Tokyo aid 
is misleading the people of Sri Lanka. 
State-owned English DAILY NEWS' business page reported, 
"Monitoring foreign aid utilization, project implementation 
should get priority - Industry leaders." 
--- Under the editorial headline, "The economic dimension 
in peace," state-owned English DAILY NEWS observed, "One 
effective way of building on this peace foundation is to 
enhance the economic prospects of the country." 
Block quotes. 
Although a stable peace could be considered a long distance 
away at this point in time, Prime Minister Wickremesinghe's 
bold initiative to find peace by peaceful means and his 
heady attempt to swim against the tide of political 
opportunism, have enabled many a Lankan to entertain in her 
or his heart, the hope of one day drinking deep at the 
springs of peace. 
One effective way of building on this peace foundation is 
to enhance the economic prospects of the country. This is 
the reason why the possible positive fallout from the Tokyo 
donor conference could prove vital. The development funds 
which have been pledged to Sri Lanka by the world community 
should be obtained as quickly as possible and ploughed into 
the development process to enable the wide masses of the 
country to better their economic condition and to thereby 
convince themselves that their peace hopes have not been in 
vain. 
However, it is also important to realise that poverty has 
to be dealt with on a multi-pronged basis. What needs to be 
aimed at is not mere economic growth but equitable growth. 
End block quotes. 
---- 
4. Opposition statements and pro-opposition reaction. 
----- 
Opposition media ran a few sour news headlines about Tokyo, 
but reserved most of its energy for editorial comment. 
Independent, but nationalist-leaning, English daily, ISLAND 
reported, "`If IA is outside constitution so is MoU' - Most 
Tamil parties justify LTTE demand," and "Tokyo donor 
conference: Govt. misleading people - Sihala Urumaya." 
 
Opposition editorialists questioned the motives of the 
Tigers and urged the Government to prepare militarily. 
--- Under the editorial headline, "Warlord preparing for 
war again?" independent, but nationalist-leaning, English 
daily ISLAND advised, "The armed forces must be put on full 
alert. Prabakaran has a tendency to repeat history." 
Block quotes. 
Velupillai Prabhakaran, like most terrorist leaders, is 
attributed with `lateral thinking'- thinking diametrically 
opposite to conventional ways. 
He appeared to be recovering after the 18-month bout of 
sanity and courtship by a misguided `international 
community', but now has once again rebuffed the world's 
most powerful nations. He has rejected the proposal for an 
Interim Administration made by Prime Minister 
Wickremasinghe at Tokyo. He now refuses to negotiate and 
demands an Interim Administration on his terms that would 
go against the provisions of the Constitution. 
Some military analysts now predict that the warlord is 
heading for war. 
 
However much we may yearn for peace, this militarisation of 
the LTTE cannot be ignored and the government forces must 
be prepared for a lightning blitzkrieg by the terrorists. 
Government forces in the Jaffna peninsula are by no means 
well placed and the LTTE may be tempted to stage a 
lightning strike, wipe out the vital Palaly camp and then 
declare peace once again! 
The armed forces must be put on full alert. Prabakaran has 
a tendency to repeat history. 
End block quotes. 
 
--- The ISLAND's Sinhala sister daily DIVAINA, headlined, 
"Seeing the brighter side of Tiger reaction," on its 
editorial page, and commented, "The Tigers were waiting to 
snatch the whole aid package.  In a way it is good that 
they did not turn up in Tokyo, as this shows that we can 
take care of ourselves." 
 
Block quotes. 
 
As we see it, the Tokyo aid is the Government's great 
achievement.  The Tigers did not contribute to it, they 
only fretted about it. 
 
Their comments on the Prime Minister's statement 
[suggesting an interim authority] is baseless, his Tokyo 
objective was to search for financial support to rebuild a 
country ruined by war and politicians.  He was not expected 
to relate a never-heard-before fairy tale, the Tigers have 
the Norwegians for story telling." 
 
The Tigers were waiting to snatch the whole aid package. 
In a way it is good that they did not turn up in Tokyo, as 
this shows that we can take care of ourselves. 
 
The LTTE will say that the Tokyo declaration does not apply 
to them.  That has been the case always.  Morals and virtue 
were always taboo for the Tigers.  We are aware of it. 
 
End block quotes. 
 
----- 
5. Independent media reaction. 
----- 
Independent media outlets concentrated on the business 
community's positive reaction to the Tokyo Conference, but 
commented on cohabitation issues editorially.  Echoing 
television and radio news reports, independent English 
DAILY MIRROR reported, "Foreign cash fails to lift Sri 
Lanka peace prospects." 
 --- Under the editorial headline, "Sri Lanka's plight," 
independent English DAILY MIRROR commented, "It is not 
negative criticism, therefore that is needed from the 
opposition, but effective cooperation to clear the hurdles 
the country is confronted with today." 
Block quotes. 
There is nothing unusual or surprising about what the PA 
spokesman Sarath Amunugama said the other day trivialising 
the record quantum of aid promised to this country at the 
Tokyo meeting. 
It is this plight the country is placed in today that 
compels it to seek outside assistance to solve its internal 
problems, and foreign donations to resuscitate the economy. 
Even these lavish foreign donations will not improve our 
situation unless these funds are prudently utilized. The 
statement made by Prime Minister Ranil Wickremesinghe who 
steered the country to the Tokyo Conference delineates the 
constraints that militate against the proper utilisation of 
these donations. He said, "Sri Lanka has to overcome the 
delays, the blockages and the inertia of its bureaucratized 
apparatus and transform it into one capable of speedy 
implementation, where work is done efficiently and 
effectively." 
It is not negative criticism, therefore that is needed from 
the opposition, but effective cooperation to clear the 
hurdles the country is confronted with today. 
End block quotes. 
 
Wills