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O 071058Z MAR 06
FM AMEMBASSY PHNOM PENH
TO RUEHC/SECSTATE WASHDC IMMEDIATE 6215
INFO RUEHZS/ASEAN COLLECTIVE
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RUEHGV/USMISSION GENEVA 1341

UNCLAS SECTION 01 OF 02 PHNOM PENH 000460 
 
SIPDIS 
 
SIPDIS 
SENSITIVE 
 
STATE FOR EAP/MLS; GENEVA FOR RMA 
 
E.O. 12958: N/A 
TAGS: PHUM PREL KDEM CB
SUBJECT:  CAMBODIA'S ROYALIST PARTY LEADER RESIGNS FROM 
NATIONAL ASSEMBLY PRESIDENCY 
 
Reftel:  Phnom Penh 428 
 
¶1.  (U)  Summary:  FUNCINEPC leader Prince Norodom Ranariddh 
resigned March 3 as the President of the National Assembly 
following Prime Minister Hun Sen's dismissal of two 
FUNCINPEC senior officials from the royal government 
(reftel).  Soon after the resignation, the Prince told 
FUNCINPEC officials to continue cooperation with Hun Sen's 
Cambodian People's Party (CPP).  On March 6, FUNCINPEC 
denied reports that their officials would withdraw from the 
coalition government in protest.  Ranariddh's newly 
nominated Secretary General is prompting further internal 
party grumblings about poor party leadership within 
FUNCINPEC.  While the resignation was prompted in part by 
Hun Sen's reconciliation with the opposition, it is also a 
sign of the continuing decline of the royalist party that 
has relied on nostalgia rather than dynamic leadership for 
support.  End summary. 
 
Prince Norodom Ranariddh Resigns 
-------------------------------- 
 
¶2.  (U)  Prince Norodom Ranariddh, President of the National 
Assembly and President of the royal FUNCINPEC party, said 
that his resignation as President of the National Assembly 
arose from his interest in having more time to strengthen 
FUNCINPEC as a political party, and not because of the PM's 
personal attacks on him.  In a March 3 letter sent to Chea 
Sim and Hun Sen, President and Vice President of the CPP, 
respectively, Ranariddh said that his duties as President of 
the National Assembly compelled him to travel overseas 
extensively, as well as concentrate on the business of the 
National Assembly in Phnom Penh.  The FUNCINPEC leader 
decided that he was rarely interacting with his supporters 
at the grassroots level.  Therefore, he requested both CPP 
leaders to permit his resignation as the President of the 
National Assembly in order to strengthen and improve 
FUNCINPEC.  Ranariddh's letter was later published in the 
local press.  (Note:  Ranariddh will still maintain his 
parliamentary seat as an MP for FUNCINPEC, despite 
withdrawing from the Presidency of the NA.  End note.) 
 
¶3.  (U)  Ranariddh's resignation came after Cambodian Prime 
Minister Hun Sen's March 2 announcement that the RGC would 
end the practice of Co-Ministers, which had been a political 
fixture since the 1993 elections (reftel).  The Prime 
Minister announced his government would dismiss Co-Minister 
of Interior Norodom Sirivudh and Co-Minister of Defense Nhek 
Bunchhay, both of FUNCINPEC.  Prime Minister Hun Sen warned 
in his remarks that his government would replace FUNCINPEC 
officials who walked out of the government and that the 
nomination of government officials would no longer be based 
on political quotas. 
 
Reaction to the Prince's Resignation 
------------------------------------ 
 
¶4.  (U)  The Cambodian public and Phnom Penh's political 
class were not surprised by the resignation announcement. 
Media reports note the CPP will nominate Heng Samrin, 
currently the first Vice President of the National Assembly, 
as Ranariddh's replacement; and CPP MP Nguon Nhel, currently 
the second Vice President, as the first Vice President.  The 
second Vice Presidency would be offered to FUNCINPEC and 
would be offered to the SRP if FUNCINPEC declined.  In March 
6 remarks to the media, Heng Samrin said he expects to be 
approved as Ranariddh's replacement when the NA meets next 
week, and he will remove FUNCINPEC's Kim San as the 
Secretary General of the NA. 
 
SIPDIS 
 
¶5.  (U)  Monh Saphan, FUNCINPEC MP for Kompong Cham, told 
the Embassy that since the National Assembly's approval of 
the 50 percent plus 1 constitutional amendment, FUNCINPEC 
has been powerless to prevent the CPP from doing whatever it 
wants, even if the CPP-FUNCINPEC agreement on the two-party 
cooperation is breached.  He added that FUNCINPEC would even 
lose much more if the party withdrew from the coalition 
government. 
 
¶6.  (U)  To underscore dissatisfaction with CPP's handling 
of the dismissal of FUNCINPEC officials, a pro-FUNCINPEC 
newspaper recently re-published the agreement on CPP- 
FUNCINPEC cooperation signed June 30, 2004 by Hun Sen and 
Ranariddh, that was to remain in force until the next 
national elections in 2008.  The agreement stated that any 
government reshuffle, promotion or demotion of FUNCINPEC 
officials nominated by royal decree or sub-decree would 
 
PHNOM PENH 00000460  002 OF 002 
 
 
require the prior approval of FUNCINEPC President Norodom 
Ranariddh. 
 
FUNCINPEC to Continue Cooperation with the CPP 
--------------------------------------------- - 
 
¶7.  (SBU)  On Saturday, March 4, Ranariddh met with senior 
FUNCINPEC officials and instructed them to maintain and 
continue the cooperation with the CPP.  He warned against 
individual FUNCINPEC officials trying to create problems 
with the CPP over recent events.  Por Bun Sreu, newly 
appointed as one of four Deputy Secretary Generals of 
FUNCINPEC said that during the meeting, FUNCINPEC officials 
agreed that they would not walk out of the government. 
Concerning Ranariddh's resignation from the National 
Assembly, Por Bun Sreu added the Prince planned to devote 
more time in preparation for the elections scheduled for 
2007 and 2008.  Ranariddh also announced that Prince Norodom 
Chakrapong would replace Norodom Sirivudh as the party's 
Secretary General, and the number of Deputy Secretary 
 
SIPDIS 
Generals would be reduced to just four:  Chhim Seak Leng, 
Ung Huot, Tea Chamrath, and Por Bun Sreu.  Por Bun Sreu said 
FUNCINPEC officials from the district and provincial levels 
met Sunday, March 5 and were apprised of the recent changes 
in the party's structure. 
 
FUNCINPEC's Problems Bigger than Ranariddh 
------------------------------------------ 
 
¶8.  (SBU)  FUNCINPEC MP from Kampot province, Than Sina, 
told us on March 6 that FUNCINPEC has a number of leadership 
challenges to overcome if the party is to retain its 
supporters in upcoming elections.  Ranariddh has been a 
failure as a leader, he noted, as have a number of other 
senior officials, including Sirivudh.  He characterized them 
all as weak and interested only in womanizing and money. 
Than Sina criticized the appointment of Norodom Chakrapong, 
saying he had similar leadership shortcomings -- having 
driven the Cambodian airlines company he formerly managed 
into bankruptcy, and questioned his loyalty to the party. 
(Note:  Chakrapong has a checkered political history 
including conflicts with Ranariddh.  Chakrapong left 
FUNCINPEC at one time to join the CPP, was expelled from the 
CPP and rejoined FUNCINPEC, only later to leave the royalist 
party to start his own political party.  End note.) 
Recently dismissed Co-Minister of Defense Nhek Bunchhay is 
also of questionable loyalty to the party, continued Than 
Sina.  He accused Nhek Bunchhay of convincing Ranariddh to 
quit the Alliance of Democrats following the 2003 elections 
by orchestrating the deal between Ranariddh and Hun Sen that 
led to the current coalition government. 
 
¶9.  (SBU)  Than Sina lamented that there were no obvious 
leaders within FUNCINPEC to revitalize the party.  Such 
people have already left the party with Sam Rainsy, he 
noted.  Asked if there might be further defections from 
FUNCINPEC, he offered that FUNCINPEC's factions are based on 
personalities and not principles or political ideologies. 
Most people have adopted a wait-and-see attitude and are 
unlikely to leave the party.  FUNCINPEC remains attractive 
to some Cambodians who believe the royal family still has an 
important role in politics, who like King Sihamoni and 
respect the former King Sihanouk.  If people do leave, those 
who have had ties with the CPP will go there; intellectuals 
like himself will likely shift to Sam Rainsy, said Than 
Sina. 
 
¶10.  (SBU)  Comment.  It is too soon to predict where 
FUNCINPEC will come out in light of the reconciliation 
between Hun Sen and Sam Rainsy, and the ongoing dismissal of 
FUNCINPEC officials from some government slots.  Many 
observers question whether the royalist party can survive 
due to weak leadership and the decline of royalist 
enthusiasm with the retirement of former King Sihanouk. 
Without a forward-looking strategy, FUNCINPEC will have 
trouble appealing to a new generation of Cambodian voters 
who do not look at the monarchy with the same nostalgia as 
traditional FUNCINPEC supporters.  However, it is unlikely 
that the old guard of FUNCINPEC will be able to develop such 
a strategy without fundamental changes in the way the party 
operates and under its current party leadership. 
 
STORELLA