VZCZCXRO6790
RR RUEHDBU RUEHLN RUEHVK RUEHYG
DE RUEHTA #1960/01 1540309
ZNR UUUUU ZZH
R 030309Z JUN 06
FM AMEMBASSY ALMATY
TO RUEHC/SECSTATE WASHDC 5592
INFO RUCNCIS/CIS COLLECTIVE
RUEHAST/USOFFICE ASTANA
RHMFISS/HQ USEUCOM VAIHINGEN GE//ECJ5//
RUEKDIA/DIA WASHINGTON DC//DHO-2//
RHMFISS/HQ USCENTCOM MACDILL AFB FL//CCJ5//
RUEKJCS/SECDEF WASHINGTON DC//USDP EURASIA//
RUEKJCS/SECDEF WASHINGTON DC//USDP-SOLIC-CN//
RUEATRS/DEPT OF TREASURY WASHDC//IET//
RUEAUSA/DEPT OF HHS WASHDC//CBP//

UNCLAS SECTION 01 OF 05 ALMATY 001960 
 
SIPDIS 
 
SENSITIVE 
 
SIPDIS 
 
STATE FOR INL (PRAHAR, MCCOWAN, AND HOOKER); EUR/ACE 
(MLONGI); SCA/CEN (JMUDGE); DHS FOR TOM WALTERS AND CHARLES 
WHITMIRE 
 
E.O. 12958: N/A 
TAGS: SNAR ASEC KCOR KCRM PREL KZ
 
SUBJECT: KAZAKHSTAN: A/S PATTERSON'S MEETINGS WITH GOK 
OFFICIALS IN ASTANA 
 
REF: A. Almaty 1661, B. 05 ALMATY 4353 
 
ALMATY 00001960  001.2 OF 005 
 
 
¶1. (SBU) Summary:  During a May 12 visit to Astana, INL A/S 
Anne Patterson, accompanied by Ambassador Ordway, secured 
agreement with the Vice Minister of Interior to initiate a 
counter-narcotics strategy dialogue.  Her conversation with 
the Deputy Procurator General broke through a logjam on the 
delivery of long-promised statistical data on crimes.  She 
also met with the Chairman of the Committee for National 
Security (KNB), who agreed to establish a relationship 
between the KNB Military Institute in Almaty and the U.S. 
Border Patrol Academy in Artesia, New Mexico.  During her 
meetings, A/S Patterson also discussed bilateral and 
multilateral efforts to combat narcotics trafficking, the 
draft AML law, and Kazakhstani progress to combat 
trafficking in persons.  End Summary. 
 
--------------------- 
MINISTRY OF INTERIOR 
--------------------- 
 
¶2. (SBU) During a May 5 meeting with A/S Boucher (Ref A), 
Interior Minister Mukhamedzhanvov suggested a periodic 
bilateral information exchange on counter-narcotics.  INL 
Assistant Secretary Anne Patterson agreed to support 
periodic meetings between U.S. and Kazakhstani counter- 
narcotics officials to discuss measures that can be taken to 
address the massive volume of Afghan-origin heroin that 
transits Kazakhstan.  At the Ministry of Interior (MVD), A/S 
Patterson met with two Vice Ministers, Mr. Kalmukhambet 
Kasymov and General Anatoliy Vyborov, who is also the head 
of the MVD Committee on Combating Narcotics and a close 
contact of the Embassy's INL section.  The discussions 
focused on strengthening bilateral cooperation and expanding 
multilateral information sharing and joint activities, and 
interdiction of heroin from Afghanistan. 
 
¶3. (SBU) A/S Patterson noted the importance of the Central 
Asia Regional Information and Coordination Center (CARICC) 
to creating a regional response to the Afghan narcotics 
problem. She queried the MVD Vice-Ministers on when the 
promised building would be made available so CARICC could 
become operational.  Vyborov announced that the Government 
of Kazakhstan has already allocated the money for renovating 
the future site of the CARICC facility.  By the end of June, 
Vyborov added, it is planned that President Nazarbayev will 
appoint the Head of CARICC after joint approval by all seven 
heads of the CARICC-member states, per the procedures in the 
founding documents of the regional body.  After this, 
Vyborov continued, liaison officers would need to be 
nominated and over the next year CARICC would become 
operational.  (Note: Subsequently, the Head of the UNODC 
Regional Office in Central Asia told us that early 2007 is 
the best estimate at the moment and that the current holdup 
is moving out the current building occupants - a GOK 
statistics agency.  End Note) 
 
¶4. (SBU) A/S Patterson asked whether there was a centralized 
naro-trafficking organization in Kazakhstan.  Vyborov 
responded that Kazakhstan does not have a single narcotics 
trafficking structure like that of Pablo Escobar in 
Colombia, but smaller ethnically based narcotics rings 
operated by the Chechens, Roma, and Russian nationals do 
exist.  He offered that their ethnic and other differences 
are sufficient to keep them from creating a unified 
structure. 
 
¶5. (SBU) Speaking broadly about the narcotics situation in 
Kazakhstan, General Vyborov stressed the difficulties the 
country is facing with drug addiction.  He said there are 
54,000 registered drug addicts in Kazakhstan, although the 
actual number of addicts is believed to be twice this 
official figure.  According to Vyborov, this is an 
alarmingly understated number and bodes very ill for the 
future, because even the number of registered drug addicts 
is increasing at 10% per year. 
 
ALMATY 00001960  002.2 OF 005 
 
 
 
¶6. (SBU) Furthermore, Vyborov stated that with the huge 
territory that must be monitored, capabilities are limited. 
(Note: Kazakhstan is the ninth largest country in the world 
with 15,000 kilometers of border.  End Note)  He offered 
that, notwithstanding the transit of Afghan-originated 
narcotics, there were 150,000 hectares of marijuana growing 
in the Chu river valley in south Kazakhstan and 
approximately 60 tons per year was harvested and exported 
each year.  He highlighted the need for specialized 
equipment, especially air assets, and expressed the hope 
that CARICC would provide usable information for 
interdiction operations. 
 
¶7. (SBU) A/S Patterson noted the similarity between 
Kazakhstan's challenges and the interdiction struggle on the 
southern U.S. border.  She said that in her experience, low- 
tech solutions were found to be more effective than the more 
expensive high-tech options.  In her view, officers on the 
ground in mobile patrols serve as a better interdiction 
approach than very expensive helicopters.  She did note that 
if the mobile forces were coupled with small fixed wing 
surveillance aircraft, their effectiveness could be 
increased for a moderate additional expense. 
 
¶8. (SBU) In response to a query from Ambassador Ordway about 
the area of primary drug use, Vyborov pointed out that 
intravenous narcotics use is prevalent in the southern 
region of Kazakhstan and that the use of synthetics from 
Russia and Western Europe is dominant in the northern part 
of the country.  Given the growing magnitude of this 
problem, Vyborov said that it would be beneficial for 
Kazakhstanis to learn from the U.S. experience in drug 
demand reduction and drug addiction treatment. 
 
¶9. (U) In response to the request for U.S. advice, 
Ambassador Ordway noted that the U.S. and the GOK could 
conduct counter-narcotics strategy coordination meetings to 
share information on combating narcotics trafficking and 
related problems.  A/S Patterson secured agreement from 
Vyborov that this would be acceptable, and offered to 
organize the first meeting later in the year.  She offered 
also to help the GOK combat the corrupting effect of illegal 
narcotics money on the law enforcement community. 
 
¶10. (U) Vice Minister Vyborov commended to the Assistant 
Secretary the cooperation between INL and his Committee, 
 
SIPDIS 
pointing to the Ulken checkpoint project as an excellent 
example of joint effort.  He emphasized that future 
cooperation on this and other projects is critical to the 
country's efforts in combating narcotics.  (Note: Ulken is 
one of six checkpoints INL is constructing in cooperation 
with UNODC to interdict narcotics flowing northward through 
Kazakhstan. End Note.) 
 
---------------------------- 
PROCURATOR GENERAL'S OFFICE 
---------------------------- 
 
¶11. (SBU) A/S Patterson requested that Deputy Procurator 
General Daulbayev resolve a long-standing issue relating to 
the publication of a crime statistics as mandated by the 
2003 U.S.-Kazakhstan Letter of Agreement.  Daulbayev 
announced that the abstract has been declassified and will 
shortly be distributed to the Embassy as well as to the 
public. 
 
¶12. (SBU) Turning to a discussion point more to his liking, 
Daulbayev was positive and upbeat about the pending anti- 
money laundering (AML) law and the location of the Financial 
Intelligence Unit (FIU) within the Procurator's Office. 
Daulbayev said that the FIU was to be under the authority of 
the Procurator's Office in accordance with a Presidential 
decree.  The Procurator's Office will assist with 
establishing the FIU, which, in about two years when it is 
fully established, then should become autonomous and 
 
ALMATY 00001960  003.2 OF 005 
 
 
accountable to the President only.  He noted that the 
Procurator's Office was the most logical place to house the 
FIU because the Procurator's Office coordinates the 
activities of all law enforcement institutions.  The Deputy 
Procurator General thanked A/S Patterson for the technical 
assistance the USG had provided and expressed the need for 
more compliance seminars targeting secondary banks and other 
financial institutions. 
 
¶13. (SBU) In response to a question by A/S Patterson about 
the Procurator Office's role in combating narcotics 
trafficking from Afghanistan, Daulbayev cited the following 
numbers:  in 2005, there were 410 narcotics-related cases 
and 408 kilograms of heroin were seized. (Note: This sum 
differs considerably from the 130 kilogram figure the GOK 
provided to INL for provision in the 2005 INCSR. End Note) 
Heroin seizure rates declined in the first quarter of 2006, 
however, to only 32.7 kilograms.  Daulbayev stressed that 
only a fraction of the narcotics crossing the territory of 
Kazakhstan is seized by authorities due to Kazakhstan's vast 
territory and the mountainous terrain along the Kyrgyz 
border. 
 
¶14. (SBU) Noting her next stop would be to attend the 
CENTCOM Central Asia Counter Narcotics Security Working 
Group meeting in Dushanbe, A/S Patterson inquired about the 
counter-narcotics cooperation between Kazakhstan and its 
neighbors.  Daulbayev responded that the law enforcement 
agencies of Kazakhstan and neighboring countries enjoy close 
cooperation, but that given the stable supply of narcotics 
from Afghanistan to Tajikistan, it is Tajikistan which must 
serve as the first line of defense in combating narcotics. 
Daulbayev also pointed out that the number of Kazakhstanis 
who are involved in drug trafficking is insignificant in 
comparison to the vast number of Tajik children and women 
involved in the trade. 
 
¶15. (SBU) In conclusion, Daulbayev expressed his 
appreciation for the assistance provided by the USG and 
stressed the need to cooperate in reducing the cannabis 
cultivation in the Chu Valley.  Daulbayev said that it would 
be interesting to learn more about international experience 
in processing cannabis for productive use and in purchasing 
chemicals to halt the growth of wild marijuana.  He 
requested technical assistance in the form of drug detection 
devices.  He also noted that the most effective GOK agency 
in countering narcotics is the Committee for National 
Security, which focuses on using intelligence information to 
break up drug trafficking rings. 
 
-------------------------------- 
COMMITTEE FOR NATIONAL SECURITY 
-------------------------------- 
 
¶16. (SBU) A/S Patterson and the Chairman of the Committee 
for National Security (KNB), Mr. Shabdarbayev, agreed to 
broaden cooperation on border security.  Shabdarbayev 
promised that the Head of the Border Service and the 
Director of the Military Institute of the KNB would 
participate in an exchange visit to the U.S.  Also attending 
the meeting was the Deputy Head of the Border Guard Service, 
General Uazhanov, who during his briefing divulged that 
there are 112 border crossing checkpoints in Kazakhstan, 95 
of which are operational. (Note: This was the first time the 
Border Guards had provided us with such precise figures. End 
Note)  Uazhanov continued that last year there were 7,500 
violations of the borders of Kazakhstan and 8,000 arrests 
with contraband narcotics and consumer goods. 
 
¶17. (SBU) When the Assistant Secretary asked about 
precursors in Kazakhstan, the KNB officials were quick to 
point out that there are no laboratories in Kazakhstan that 
produce precursors and that most precursors found in the 
country are produced in Pakistan and China.  With the same 
vigor, another KNB officer pointed out that trafficking in 
persons is not a serious issue in Kazakhstan since 
 
ALMATY 00001960  004.2 OF 005 
 
 
Kazakhstan is only a transit country.  (Comment:  Despite 
the gesture of cooperation made by their boss, it appears 
old habits die hard.  End comment) 
 
¶18. (U) The KNB Chairman thanked A/S Patterson for the 
assistance of the USG and welcomed the idea of a 
professional exchange between the KNB Military Institute in 
Almaty and the Border Patrol Academy in Artesia, New Mexico. 
He hoped that this exchange would strengthen the ties 
between the two academies and generate a useful exchange of 
ideas and cooperation. 
 
----------------- 
FINANCIAL POLICE 
----------------- 
 
¶19. (SBU) A/S Patterson asked Sarybay Kalmurzayev, the 
Chairman of the Agency on Combating Economic Crimes and 
Corruption (Financial Police) about the role of his Agency 
once the pending anti-money laundering (AML) law is enacted. 
The Chairman pointed out that while the law was initially 
drafted within the walls of his Agency, responsibility for 
it was then transferred to the Procurator's Office, which 
subsequently wrote itself into the law as the lead financial 
monitoring agency.  The FIU, Kalmurzayev added, ought to be 
housed in the Agency on Regulating Financial Markets and not 
in a law enforcement-related agency.  (Comment: The 
Chairman's response betrayed the on-going competition 
between the Agency and the Procurator General's Office 
regarding financial crimes investigation.  Given the 
historically powerful position of the PGO in Soviet and post- 
Soviet governments, for Kalmurzayev to win a bureaucratic 
battle with the PGO would be difficult.  End comment) (Note: 
The draft AML law was submitted by the government to the 
Mazhilis (lower house of parliament) for consideration in 
November, but as reported Ref B consideration was delayed 
until more information on the implications of the proposed 
law could be obtained by the parliamentarians.  End Note) 
 
¶20. (SBU) According to the Chairman, the investigation of 
suspicious financial transactions should be conducted by 
civilians and not by law enforcement officers, who could be 
pressured more easily to sway the investigation or to 
monitor only selected transactions. 
 
¶21. (SBU) A/S Patterson complimented Kalmurzayev, noting 
INL's positive cooperation with the Financial Police 
Academy, and expressed her desire that the Academy continue 
to serve as a training venue for U.S. experts teaching 
investigation techniques and other AML courses for financial 
investigators in Kazakhstan.  Kalmurzayev concurred. 
 
¶22. (U) On the subject of detecting, investigating and 
prosecuting financial crimes, Kalmurzayev, stressed that it 
is difficult to tie economic and corruption-related crimes 
to narcotics-related crimes.  In particular, the Chairman 
noted that it can be very difficult to identify the source 
of illicit money when it is being laundered.  Mr. 
Kalmurzayev continued, saying that the Agency has been 
somewhat successful in fighting corruption-related crimes in 
prisons and has arrested several heads of prisons on 
corruption-related charges.  According to Kalmurzayev, it 
has become common practice to pay a bribe in exchange for an 
early release from prison.  He noted that, depending upon 
the circumstances, such a "paid-for" early release costs 
approximately $30,000. 
 
------- 
COMMENT 
------- 
 
¶23. (SBU) Post views the visit of the Assistant Secretary as 
a resounding success.  In resolving the long-delayed 
statistics issue, cementing counter-narcotics cooperation 
through establishment of periodic strategy sessions, and 
securing agreement for border security cooperation, the 
 
ALMATY 00001960  005.2 OF 005 
 
 
visit significantly advanced the U.S.-Kazakhstan bilateral 
relationship. 
 
¶24. (U) This message was cleared by the Assistant Secretary. 
 
ORDWAY