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OO RUEHCHI RUEHDT RUEHHM RUEHNH
DE RUEHPF #1821/01 2781007
ZNY CCCCC ZZH
O 051007Z OCT 06
FM AMEMBASSY PHNOM PENH
TO RUEHC/SECSTATE WASHDC IMMEDIATE 7417
INFO RUCNASE/ASEAN MEMBER COLLECTIVE PRIORITY

C O N F I D E N T I A L SECTION 01 OF 02 PHNOM PENH 001821 
 
SIPDIS 
 
SIPDIS 
 
STATE FOR EAP/MLS 
 
E.O. 12958: DECL: 10/01/2016 
TAGS: PGOV KDEM PREL CB
SUBJECT: FUNCINPEC'S POLITICAL PARALYSIS 
 
REF: PHNOM PENH 1396 
 
Classified By: Pol/Econ Chief Margaret McKean; Reasons 1.4 (b) and (d) 
 
 ¶1.  (C)  Summary.  After nearly two months of continued 
removals of FUNCINPEC officials and criticism of party leader 
Prince Norodom Ranariddh by PM Hun Sen, Ranariddhhas sought 
to stave off further problems by underscoring that FUNCINPEC 
will remain a partner within the coalition government.  The 
Prnce, however, urged FUNCINPEC MPs to boycott an upcoming 
National Assembly vote that would remove a number of 
FUNCINPEC government officials and replace them with other 
FUNCINPEC cadre loyal to FUNCINPEC Secretary General Nhek Bun 
Chhay -- who is widely viewed as working within FUNCINPEC on 
behalf of Hun Sen and the CPP.  Ranariddh told the Ambassador 
that he has no choice but to maintain the coalition 
partnership with the CPP for the moment, but still hopes to 
join with the Sam Rainsy Party (SRP) against the CPP in 
upcoming elections.  Ranariddh will not remove Nhek Bun Chhay 
or other FUNCINEPC officials who seemingly have switched 
their loyalty to the CPP.  Senior FUNCINPEC supporters of 
Ranariddh recently removed from government positions 
complained of anonymous security threats against them; some 
officials worry that Ranariddh himself may be in danger if he 
remains in the country.  End Summary. 
 
Ranariddh Comes and Goes; Finds Little Room to Maneuver 
--------------------------------------------- --------- 
 
¶2.  (SBU)  Following a raft of criticism from PM Hun Sen in 
early 2006, Prince Norodom Ranariddh left Cambodia on March 5 
and only returned five months later -- on August 17.  At the 
time, he told supporters on arrival at Siem Reap airport that 
he would work to rebuild FUNCINPEC, which had been hurt by 
defections and removals of FUNCINPEC government officials 
during his long absence.  On August 24, the Prince flew out 
of the country again following withering attacks on him by 
some of his own Ministers -- including Minister of Rural 
Development Lu Laysreng, who suggested that Ranariddh should 
step down as leader of FUNCINPEC given the party's declining 
popularity in successive elections since 1993.  Ranariddh 
returned on September 9 but has spent most of his time 
outside Phnom Penh, visiting grassroots supporters in a 
number of provinces.  He once again floated the idea of an 
Alliance of Nationalists (reftel) in mid-September and began 
talks with opposition leader Sam Rainsy through 
intermediaries such as Prince Chakrapong.  FUNCINPEC 
officials in favor of the alliance believe that 2008 
represents the last chance for pro-democracy advocates, as 
the oil and gas revenues that are anticipated to begin in 
2009 will almost assuredly serve to solidify the CPP's hold 
on power for another generation. 
 
¶3.  (U)  On September 14, Ranariddh visited Kampong Chhnang 
province and openly pointed out the limitations of 
FUNCINPEC's partnership with the CPP, mused about the 
prospects of alliance with the SRP, and criticized the border 
treaty between Cambodia and Vietnam.  Ranariddh left the 
country the next day.  The PM struck back quickly, using his 
own public appearance also in Kampong Chhnang province three 
days later to warn the royalist party to "prepare their 
coffins" following his hearing of the behind-the-scenes 
discussions between the SRP and FUNCINPEC.  The PM said that 
the FUNCINPEC leader could not have it both ways -- with one 
foot in the coalition government and the other foot in the 
opposition's camp.  In response, the PM removed four senior 
FUNCINPEC government officials:  Senior Minister Serei Kosal, 
Undersecretary of State Chea Chanboribo of the Ministry of 
Information, and Ministry of Justice Secretaries of State 
Kassie Neou and Tuot Luch.  A number of other dismissals and 
re-appointments have been proposed.  Ranariddh has asked 
FUNCINPEC MPs to boycott any future National Assembly 
sessions that would formally remove FUNCINPEC officials and 
appoint replacements without his concurrence. 
 
¶4.  (SBU)  Going one step further, Hun Sen called for Prince 
Ranariddh to step down as the leader of FUNCINPEC, noting 
that he would work with FUNCINPEC Secretary General Nhek Bun 
Chhay.  The PM also disparaged Prince Sisowath Thomico's 
suggestion that the National Assembly be dissolved and power 
to run the government be handed to former King Norodom 
Sihanouk.  Sihanouk responded that he would not accept the 
offer, noting that the Prime Minister and the CPP would never 
allow it.  The PM accused the royalists of plotting a coup 
and threatened to cut salaries at the Royal Palace. 
Following the removals of Serei Kosal and the other three 
FUNCINPEC officials, Kosal and Chea Chanboribo reported they 
had received anonymous security threats; Ranariddh's advisor 
and manager of Ta Prohm, the FUNCINPEC radio station, also 
reported to the Embassy that he had received an anonymous 
threat. 
 
PHNOM PENH 00001821  002 OF 002 
 
 
 
¶5.  (C)  Ranariddh returned to Cambodia on September 25 and 
sought to shore up his position by clarifying that FUNCINPEC 
would remain a loyal partner to the CPP in the government. 
The FUNCINPEC leader requested a series of meetings with 
diplomatic missions as a prelude to a media announcement that 
the diplomatic corps had urged the Prince to remain in the 
government for the sake of political stability.  During his 
September 27 meeting with the Ambassador, the Prince 
maintained that he had little choice other than to maintain 
the facade of a partnership with the CPP.  He stressed that 
Nhek Bun Chhay and several other senior FUNCINPEC officials 
-- referred to by the Prince as "the Gang of Four" -- would 
remain in the party for the time being, despite their lack of 
loyalty to Ranariddh.  The Prince explained that he would 
begin working on a redrafting of the party regulations and 
bylaws, thereby forming a legal basis for their future 
removal.  Ranariddh noted that he planned to maintain an 
amicable working relationship with Hun Sen to preserve 
FUNCINPEC as well as the monarchy but also would still seek 
to form an understanding with Sam Rainsy concerning future 
collaboration on a political alliance.  He asked the US 
Embassy to intercede with Rainsy and request a meeting on 
Ranariddh's behalf. 
 
New Permanent and Steering Committees Formed 
-------------------------------------------- 
 
¶6.  (SBU)  On September 28, Ranariddh held a closed door 
meeting of senior FUNCINPEC officials at the Cambodiana 
Hotel, and did not invite Nhek Bun Chhay.  Over the weekend 
of September 30-October 1, Ranariddh met with FUNCINPEC 
representatives at Prince Norodom Sirivudh's residence, where 
the group established a new permanent committee and steering 
committee.  Nhek Bun Chhay participated in the meeting, which 
FUNCINPEC sources claim was geared towards seeking an end to 
the internal party rift.  The permanent committee has 
Ranariddh as its leader, and comprises 18 members.  Chhim 
Seak Leng is the deputy who will make decisions on the 
party's affairs when Ranariddh is absent.  The steering 
committee has been reduced to 59 members; Nhek Bun Chhay 
remains as Secretary General but FUNCINPEC sources believe 
the new structures will serve to minimize his 
responsibilities within the party.  Ranariddh left the 
country for Malaysia on October 3, and is not anticipated to 
return soon.  A senior FUNCINPEC official within the MFA told 
us that the party worries about Ranariddh's safety in 
Cambodia in the current political climate; others express 
similar security concerns for Ranariddh and other FUNCINPEC 
officials. 
 
Comment 
------- 
 
¶7.  (C)  Ranariddh does little to inspire the PM's 
confidence, as the Prince continues to talk out of both sides 
of his mouth.  We have no intention of acting as an 
intermediary for Ranariddh with Rainsy, but will maintain our 
continued policy of supporting all the political parties and 
their ability to operate freely and contest equally at 
election time.  Despite Ranariddh's claims that FUNCINPEC 
remains a loyal partner in the coalition government with the 
CPP, the coalition is in name only.  The divisions and 
discord within the party are apparent, and the PM continues 
to openly intimidate Ranariddh.  Many FUNCINPEC loyalists are 
worried about the party's future, and the sense of drift is 
palpable.  It is unclear how Ranariddh can restore confidence 
in the party among grassroots FUNCINPEC supporters when he 
remains an absentee party leader, preferring to spend most of 
his time in Malaysia with his mistress and young son.  End 
Comment. 
CAMPBELL