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

UNCLAS SECTION 01 OF 02 BRASILIA 001923 
 
SIPDIS 
 
SENSITIVE 
 
DEPT FOR WHA/BSC 
 
E.O. 12958: N/A 
TAGS: PGOV KJUS ECON SOCI BR
SUBJECT: BRAZILIAN SUPREME COURT TO DECIDE KEY CASES THIS 
SESSION 
 
REF: A. BRASILIA 1076 
 
     ¶B. BRASILIA 1144 
     ¶C. BRASILIA 1670 
     ¶D. BRASILIA 1834 
 
¶1. (SBU)  Judge Nelson Jobim, who in May rotated into a 
two-year stint as Chief Justice of the Brazilian Supreme 
Federal Court (STF), is already putting his stamp on the 
court's way of doing business (ref A).  On July 30, Jobim 
marked the end of the July recess by doing something no other 
Chief Justice has ever done:  he announced the court's agenda 
for August.  As expected, several key cases are in line for 
decisions this month, ranging from a ruling on taxing 
pensioners that could unhinge the administration's pension 
reform plan to challenges to the recently unveiled Energy 
Model. 
 
¶2. (SBU) Jobim's announcement of the court's agenda not only 
offers transparency and predictability to the press and 
public, but to the other ten Justices as well.  One 
prerogative of each judge is the right of "review" a case, 
i.e., to pull it from the docket at any time, including while 
the other justices are issuing their rulings.  These 
"reviews" may last several weeks or months and generally 
occur on the most important cases when judges are under 
particular pressure.  Chief Justice Jobim hopes that by 
announcing the agenda well in advance, he will reduce the 
number of time-consuming "reviews".  Jobim plans to issue 
weekly updates to the agenda. 
 
¶3. (SBU) Key cases on the Supreme Federal Court's docket this 
session: 
 
- ENERGY MODEL.  Set to be heard August 4, two constitutional 
challenges filed by the opposition PSDB and PFL parties to 
the GoB's Energy Model that was enacted by Presidential 
Decree in December 2003.  That Decree is now pending 
Congressional ratification.  The petitions charge that the 
new rules for the energy sector violate consumer rights.  The 
Court's discussions have been suspended by a judge's request 
for a review. 
 
- CLOSING BINGO PARLORS.  Scheduled for August 5, a petition 
filed by the Federal Prosecutor-General challenging states' 
authority to reopen bingo parlors nationwide.  The high 
court's ruling will decide parallel cases in eleven states. 
The issue derives from February's "Waldomiro Diniz" scandal, 
in which an advisor on Lula's staff was caught soliciting 
bribes from a numbers racketeer.  In response, Lula issued a 
Presidential Decree closing all bingo parlors nationwide, but 
the Senate rebelled on May 5 and refused to ratify the 
Decree, so several states allowed the gaming parlors to 
reopen (ref B). 
 
- CONGRESSIONAL INQUIRIES.  A petition filed by the 
opposition PFL party seeks to open a congressional inquiry 
(CPI) into the Waldomiro scandal.  At the scandal's height, 
Lula's Workers' Party (PT) and its allies successfully spiked 
the inquiry by simply not nominating any members, preventing 
it from forming for lack of quorum.  The PFL's petition on 
the legality of this tactic was set to have been heard last 
June when the scandal was on the front pages, but one judge 
requested a "review", so the case is now slated for August. 
 
- TAXING RETIREES.  Scheduled for August 18, a decision on 
whether retirees' pensions can be taxed.  If the Court rules 
against taxing retirees, it could reverse the most important 
element of Lula's pension reform plan, under which the GoB is 
expected to garner an estimated R$ 1 billion (about US$ 330 
million) in annual revenues.  This case could also have 
wide-ranging impact on whether the constitution can be 
amended in other areas with fiscal consequences.  The 
11-member Court was in the middle of voting on the case in 
June when several judges requested a "review", suspending the 
vote, which was running 3 votes to 1 against Lula's reform. 
 
- AUTHORITIES OF THE PROSECUTOR'S OFFICE.  Set for September 
is a ruling on the investigative authorities of the Public 
Prosecutor's Office (Ministerio Publico).  The Constitution 
gives the Prosecutor's Office near-total autonomy to pursue 
cases but expressly grants investigative authorities only to 
the police.  In the wake of several high-profile, and 
allegedly politicized, investigations by the Prosecutor's 
Office, the high court is being asked by a Federal Deputy who 
is under investigation for corruption to limit prosecutors' 
investigative authorities.  In a similar case last October, 
Judge Jobim ruled against the prosecutors. 
 
- ABORTION.  Set for late September is a full court decision 
on a high court judge's preliminary ruling on July 1 that 
would open a narrow exception in the abortion ban to allow 
women carrying fetuses with anencephaly (not having a brain) 
to legally obtain abortions (ref C). 
 
- GUN CONTROL.  The high court also has pending four 
challenges to the December 2003 "Disarmament Law" that 
enacted tough limits on citizens' rights to own and carry 
firearms (ref D). 
 
COMMENT 
------- 
¶4. (SBU) Judge Nelson Jobim appears to be more dedicated to 
transparency and efficiency than his insular predecessor as 
Chief Justice, Mauricio Correa, with whom he often clashed. 
After seven years on the high court and three months as Chief 
Justice, Jobim is building a reputation as a modern jurist 
committed to improving both the functioning of the judicary 
and the quality of its decisions.  The simple act of 
announcing in advance the court's agenda is emblematic of his 
style.  Jobim also presided over the Supreme Electoral 
Tribunal that deftly handled the 2002 national elections.  A 
Judicial Reform bill that would enact significant, if not 
sweeping, changes to the Brazilian judiciary is now in the 
Senate and set to become law in the coming months, and Jobim 
has pronounced himself favorable to this bill. 
DANILOVICH