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

C O N F I D E N T I A L SECTION 01 OF 02 KATHMANDU 000872 
 
SIPDIS 
 
STATE FOR SA/INS 
LONDON FOR POL - RIEDEL 
 
E.O. 12958: DECL: 05/03/2012 
TAGS: PTER PGOV NP
SUBJECT: MAOIST STATEMENT "WELCOMES" DIALOGUE; ARMY HITS 
INSURGENT TRAINING CAMP 
 
REF: A. (A) KATHMANDU 838 
 
     ¶B. (B) KATHMANDU 787 
 
Classified By: A/DCM MICHAEL HOZA.  REASON:  1.5 (B,D). 
 
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SUMMARY 
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¶1.  (SBU)  In its fourth public statement in less than a 
week, the Maoist leadership said it would "welcome" any 
initiative to resume dialogue.  Interspersed with the usual 
bromides against "foreign interference," the statement 
indicates that local press reports--both accurate and 
inaccurate-- of possible USG military assistance to the 
Government of Nepal (GON) may be making the Maoists nervous. 
Given Maoist duplicity in the past, however, the GON is 
unlikely to react positively to this tepid overture.  The 
Army reports six platoons have engaged Maoists massed at a 
training camp on the border of the western districts of Rolpa 
and Pyuthan.  The Army estimates Maoist casualties at more 
than 70.  End summary. 
 
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PROLIFIC PRACHANDA 
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¶2.  (U) In an uncharacteristically prolific burst, the Maoist 
leadership has issued four press statements in less than a 
week, each of them referring to the threat of foreign 
interference (Ref A).  The most recent statement, dated May 1 
and signed by Maoist party president Prachanda, made several 
additional references to the threat of foreign interference, 
but also stated the insurgents would "welcome" an 
inititiative to resume dialogue with the Government of Nepal 
(GON).  The unofficial English translation of the press 
statement follows in para 3 below. 
 
¶3. (U)  Begin unofficial translation of Prachanda statement: 
 
Nepal Communist Party (Maoist) Central Committee 
Press Statement 
May 1, 2002 
 
The threat of murder, oppression and terror imposed on the 
Nepali people by feudal regressive forces, which have been in 
power since the Royal Palace massacre in cooperation with 
imperialists, is completely wild and barbaric, with no 
respect for norms, values, customs and accepted practices. 
The behavior of the mercenaries, or the so-called Royal Nepal 
Army, over the last five months under the control and 
direction of these feudal murderers has made this quite 
clear.  This feudalism has been unsuccessful in the face of 
the People's Liberation Army established by the sons and 
daughters of the great Nepali people.  As a result, the 
feudal murderers, in a conspiracy to eliminate the very 
existence of the sovereignty of Nepal and the Nepali people, 
have called for imperialist interference and have announced 
bounties on their heads, demonstrating their monstrous 
character.  In this adverse situation, it is historically 
compulsory for all political forces, intellectuals, and 
people who have faith in the country and the people to unite 
and begin undertaking effective initiatives for a positive 
political way out.  We had clearly visualized the present 
difficult situation at the time of the Royal Palace carnage. 
It is no secret that we had then strongly raised our voices 
for the needs of all political parties, including those in 
Parliament and others outside of Parliament, to unite against 
feudal tyranny. Although late, today not only the 
intelligentsia and the people but also the major 
Parliamentary parties are raising this issue and the need for 
dialogue for a positive political way out and to avoid 
foreign interference.  We welcome this initiative and 
process.  We are ready to take any necessary steps to reach a 
logical conclusion for the liberation of the country from 
regressive feudalistic atrocities, foreign interference and 
oppression.  We appeal to all not to make a mistake by taking 
our feeling of responsibility toward the country and the 
people as weakness or a desperate attempt to hold talks.  We 
will be committed to oppose the so-called ruleres until the 
end if they continue to move ahead in the same way as today. 
No one should doubt this. 
 
Prachanda 
President 
Communist Party of Nepal (Maoist) 
Central Office 
End text of translation. 
 
¶4.  (C) Although dated May 1, the statement was only released 
to the media late May 2.  As of this writing, the GON has 
made no official reaction to the statement's oblique 
reference to resuming dialogue.  In a May 2 meeting with the 
Ambassador, however, Prime Minister Sher Bahadur Deuba said 
that he could not yet contemplate resuming dialogue with the 
Maoists.  Because of their duplicitous behavior in the 
negotiations conducted during the previous year, they cannot 
be trusted, Deuba said.  Negotiations might only be possible 
after GON security forces break the Maoists' strength; he 
indicated he does not think the GON is at that point yet. 
 
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RNA PLATOON ENGAGES MAOISTS IN ROLPA-PYUTHAN 
--------------------------------------------- - 
 
¶5.  (C) On May 2 a 25-man Royal Nepal Army (RNA) platoon on 
night patrol near the border of Rolpa and Pyuthan Districts 
in western Nepal were attacked by a massive Maoist 
contingent, according to the RNA's Director of Military 
Operations Brig. Gen. Deepak Malla.  The platoon withdrew to 
a hilltop and were reportedly holding off the insurgents as 
of COB the following day, according to Malla.  An additional 
five RNA platoons are en route to the site, a few kilometers 
southeast of Liwang, a town visited by emboffs and members of 
the PACOM assessment team in April (Ref B).  Malla said the 
RNA platoon had sustained four casualties, but estimated 
Maoist losses as high as 70.  (Note:  Local press reports, 
citing Ministry of Defense sources, put Maoist casualties at 
¶40.  End note.) 
 
¶6.  (C)  Malla said the RNA had received intelligence of a 
large concentration of Maoists in the area; the patrol had 
been looking for signs of the presence when fired on.  Malla 
added that Maoists were believed to have stockpiled 
significant quantities of weapons at the site, perhaps in 
anticipation of launching a large-scale attack on security 
forces in the near future. 
 
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COMMENT 
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¶7.  (C) Maoist press statements since the state of emergency 
have from time to time implied the insurgents might be open 
to resuming talks, while not stating explicitly they are 
ready to do so.  Prachanda's May 1 statement--tepid though it 
is--is the most explicit articulation to date of the Maoists' 
attitude toward dialogue, and follows widespread reports, 
both accurate and inaccurate, of impending USG and other 
foreign military assistance to the GON.  The strong signals 
of foreign support for the GON implicit in Deuba's upcoming 
meetings with President Bush and UK Prime Minister Tony Blair 
are also undoubtedly a factor--hence the link between 
dialogue as a way to avert "foreign interference." 
 
¶8.  (C)  If the RNA's information is correct, however, the 
Maoists were apparently planning a large-scale attack to 
coincide with or to follow this statement--a pattern they 
have adopted all too frequently in the past.  We do not 
expect the Prime Minister or others in the GON to react 
positively to the Maoists' overture. 
MALINOWSKI