This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SECTION 01 OF 03 PANAMA 000613 
 
SIPDIS 
 
 
SENSITIVE 
 
 
DEPARTMENT FOR WHA/CEN/BRIGHAM AND USOAS/SNEFF 
 
 
E.O. 12958:N/A 
TAGS: PGOV PREL PINR PM POL SPECIALIST
SUBJECT: OBSERVERS, OPACITY, AND A PLEDGE. PANAMA ELECTION 
COUNTDOWN #6: 7 WEEKS TO GO 
 
REF:  A. PANAMA 0564 
      ¶B. PANAMA 0465 
 
 
Summary: Observers, Opacity and a Pledge 
---------------------------------------- 
¶1.  (SBU)  With less than two months to go, electoral 
issues are finally gaining prominence in Panama's media. 
Panamanian and foreign observers organize for the May 2 
elections.  Embassy plans to coordinate with OAS and 
Ombudsman's Office observers to ensure broad coverage of 
key polling areas on election day (although the Embassy has 
made clear that we are not official observers).  Ombudsman 
Juan A. Tejada and Electoral prosecutor Gerardo Solis 
demanded an accounting of the Presidency's discretionary 
funds, but President Moscoso refused to cooperate.  A lack 
of Party support and dissension in the ranks marred the 
signature ceremony for Political Party youth leaders' 
Electoral Ethics Pact and highlighted weaknesses in the 
Endara campaign, which has lost some steam.  End Summary. 
 
 
Electoral Tribunal in high gear 
------------------------------- 
¶2.  (SBU)  Electoral Tribunal President Eduardo Valdes 
announced on a live TV talk show that 20,124 Panamanians 
have received Electoral Tribunal training for Election Day. 
Mostly between 18-25 years old, these individuals will 
supervise voting centers and staff individual precincts 
(called voting tables in Spanish).  Each receives $40 for 
working from 6:00 a.m. until past midnight.  Electoral 
Tribunal authorities nationwide had a closed-door meeting 
over the weekend in Chiriqui Province for one final 
discussion of the "Plan General de Elecciones" (Overall 
Election Plan).  Among other issues, they discussed how to 
interpret the formula for allocating legislative seats 
based on residual votes and voting for the handicapped. 
 
 
Embassy, OAS election observers 
------------------------------- 
¶3.  (SBU)  Embassy Panama will field 12-15 two-person non- 
official observer teams on election weekend (May 1-2) to 
report conditions in key areas.  Likewise, the Defensoria 
del Pueblo (Ombudsman's Office) and the Organization for 
American States (OAS) plan to organize official observer 
teams for Panama's elections.  OAS Country Director Hernan 
Hurtado Prem extended the tin cup to Embassy in a March 8 
letter detailing proposed OAS plans to observe Panama's 
elections and a $129,888 budget.  Embassy has repeatedly 
turned down Electoral Tribunal and Washington-based 
electoral NGOs' funding requests, noting confidence in 
Panama's electoral system.  EmbOffs are studying how to 
coordinate with OAS and Defensoria observers to ensure the 
best possible coverage of the country, while avoiding 
financial commitments or the public perception that Embassy 
teams are official observers. 
 
 
¶4. (SBU) The Defensoria's Director for International 
Affairs Max Lopez and Director for Education and Human 
Rights Promotion Cesar Solano advised Embassy that they 
plan to field 300 Panamanian observers for the May 2 
general elections, an ambitious plan considering human, 
financial, and logistical constraints.  Also, Ombudsman 
Juan A. Tejada will use Electoral Tribunal funds to host 
Latin American Ombudsmen during the elections.  Tejada 
estimates that between 7-10 Ombudsmen will observe 
elections in remote areas of Panama.  Solano plans to meet 
Electoral Tribunal authorities to discuss the scope of 
observation.  Like Embassy Panama, the Defensoria will pay 
special attention to the Ngobe-Bugle (indigenous) 
Reservation, which will be electing legislators for the 
first time. 
 
 
Moscoso says mind your own beeswax 
---------------------------------- 
¶5.  (SBU)  Controversy over how President Moscoso is using 
her discretionary budget allotment continues.  Electoral 
Prosecutor Gerardo Solis met privately at the Presidential 
Palace with Economy and Finance Minister Norberto Delgado, 
Minister of the Presidency Mirna Pitti and Comptroller 
General Alvin Weeden.  Solis confirmed media accounts to 
PolOffs that he requested the GOP provide him a "finiquito" 
(a list of check recipients and justification for the 
checks) in lieu of a full-blown inspection.  Comptroller 
Weeden criticized Solis, a Perez Balladares (PRD)-appointee 
for playing politics. (NOTE: Solis' father, Menalco Solis, 
manages Solidarity Party Presidential Candidate Guillermo 
Endara's campaign.  Some have alleged the money was used to 
renovate former Minister of the Presidency Yvonne Young's 
house. END NOTE.)  Solis added that he believes the GOP 
will seek a way to remove him from office for abuse of 
authority, knowing that its control of the Supreme Court 
will allow them to quash appeals. 
 
 
¶6.  (SBU)  Two officials from the Defensoria del Pueblo 
(Ombudsman's Office) predicted that Moscoso would refuse to 
publish her use of the discretional funds as the Defensoria 
requested under Panama's Transparency Law.  Providing the 
requested information would set a precedent that political 
heavyweights find threatening.  Ombudsman Juan A. Tejada 
said after waiting the 30 days that the law grants Minister 
Pitti to release the information, he will submit a habeas 
data request to the Supreme Court.  Defensoria staff 
believes the GOP-controlled Supreme Court would deny such a 
request. 
 
 
Would Martinelli vote for opponent? 
----------------------------------- 
¶7.  (SBU)  In a 30-minute TV interview by well-known boxing 
commentator Juan Carlos Tapia during his popular program 
called The Best of Boxing, Cambio Democratico presidential 
candidate Ricardo Martinelli stated that if he were not 
running himself, he would vote for Arnulfista candidate 
Jose Miguel Aleman.  Surprised when asked, Martinelli's 
first asked if voiding his vote was an option.  When Tapia 
said no and pressed him, Martinelli said he would vote for 
Aleman, but only if he distances himself from President 
Moscoso, a difficult prospect for most Panamanians to 
imagine.  Martinelli's campaign manager told PolOff that 
Martinelli chose the lesser threat Aleman because whereas 
CD's internal "likely voter" polls show Aleman at 11.5%, 
Torrijos is at 50%.  Martinelli insisted during the 
interview that he and his associates are not "traditional 
politicians", but businessmen and managers who want to make 
a difference.  As in the past, Martinelli criticized 
traditional parties and recent public opinion polls. 
 
 
Youth pledge to play fair - kind of 
----------------------------------- 
¶8.  (SBU)  On Wednesday, representatives of the Political 
Parties Youth Forum signed an electoral ethics pact 
promising to promote an open, transparent, democratic and 
participatory May 2 election.  The Pact explicitly endorses 
the Electoral Tribunal.  Promoters hoped to use the 
disorganized and poorly attended event to foment a more 
active and influential political role for youth leaders 
despite snubs from the older generation in their own 
parties.  Representatives from all legally registered 
political parties except the Solidarity Party signed the 
pact.  Martin Torrijos (PRD) was the only Presidential 
Candidate who showed up, but he departed before the event 
began, leaving PRD legislator Hector Aleman behind to 
attend to the youth.  Cambio Democratico (CD) First Vice 
Presidential candidate Roberto Henriquez also attended.  No 
ranking representatives of Arnulfista candidate Jose Miguel 
Aleman participated.  Solidarity Party youth leaders didn't 
participate because they believe the Electoral Tribunal 
(ET) is too responsive to partisan pressures.  Only PRD, 
MOLIRENA, and CD youth showed up in large numbers. 
 
 
¶10.  (SBU)  COMMENT:  By boycotting the event, Solidarity 
is snubbing the Tribunal for what Solidarity believes is 
the Tribunal's favoritism to the Arnulfistas.  For 
instance, giving President Moscoso sole rights to the image 
of former President Arnulfo Arias.  Panamanian analysts 
believe the Endara team's attacks on the Electoral Tribunal 
only serve to highlight weaknesses in his campaign.  Print 
media have reported recent defections from Solidarity to 
other political camps as significant symptoms of campaign 
sickness in the Endara camp.  Also several influential 
supporters have either distanced themselves from Endara or 
abandoned his campaign, disgusted by the domineering yet 
clumsy tactics of campaign manager Menalco Solis. 
 
 
Watt