VZCZCXRO5574
OO RUEHCHI RUEHDT RUEHHM RUEHNH
DE RUEHPF #1908/01 2931132
ZNY CCCCC ZZH
O 201132Z OCT 06
FM AMEMBASSY PHNOM PENH
TO RUEHC/SECSTATE WASHDC IMMEDIATE 7489
INFO RUCNASE/ASEAN MEMBER COLLECTIVE
RUEHGV/USMISSION GENEVA 1543
RUCNDT/USMISSION USUN NEW YORK 2183

C O N F I D E N T I A L SECTION 01 OF 03 PHNOM PENH 001908 
 
SIPDIS 
 
SIPDIS 
 
DEPARTMENT FOR EAP/MLS, DRL AND EAP/RSP 
 
E.O. 12958: DECL: 10/18/2016 
TAGS: PGOV PHUM PREL CB
SUBJECT: A/S LOWENKRON DISCUSSES BURMA, NORTH KOREA AND 
CAMBODIA'S DEMOCRATIC PROGRESS WITH PM HUN SEN AND MFA HOR 
NAMHONG 
 
Classified By: Pol/Econ Chief Margaret B. McKean; Reason:  1.4 (b) and 
(d) 
 
¶1.  (SBU)  Summary.  DRL A/S Barry Lowenkron met separately 
with Cambodian PM Hun Sen and Foreign Minister Hor Namhong 
during an October 14-17 visit to Cambodia.  The PM reassured 
the USG of Cambodia's decision to back Guatemala for the 
rotational Latin American UNSC seat.  Lowenkron thanked Hun 
Sen for his support on Burma; the PM disparaged recent North 
Korean nuclear activities.  Cambodia's positive democratic 
developments were highlighted in both meetings, but A/S 
Lowenkron underscored USG concerns over corruption, land 
disputes, and restrictions on civil society.  In a separate 
meeting, the FM complained about the UNOHCHR Cambodia office 
and sharply criticized UN Special Representative Yash Ghai. 
Lowenkron warned that wealth from raw materials and 
corruption are a dangerous mix and urged the RGC to plan 
wisely for its future use of oil/gas reserves.  End Summary. 
 
¶2. (U)  Participants: A/S Lowenkron was accompanied by the 
Ambassador, DCM, DRL staff member Michael Orona, POL/ECON 
officer (notetaker) and LES (interpreter).  The PM was 
accompanied by DPM Sok An, Minister of Commerce Cham Prasidh, 
MFA Secretary of State Ouch Borith, Om Yentieng and an 
interpreter.  At the MFA meeting, the FM was accompanied by 
MFA Secretary of State Ouch Borith and Acting Head of the 
Americas Department Yous Makana. 
 
Guatemala, Burma and North Korea 
-------------------------------- 
 
¶3.  (C)  During his October 17 meeting with Prime Minister 
Hun Sen, A/S Lowenkron thanked the Cambodian government for 
supporting the candidacy of Guatemala over Venezuela for the 
rotational Latin America seat at the United Nations Security 
Council.  The Prime Minister noted that President Chavez's 
criticism of President Bush at the UNGA had swayed the RGC to 
support Guatemala, despite an earlier promise to back 
Venezuela. 
 
¶4.  (C)  Secretary Rice has been disappointed over ASEAN's 
inability to pressure the Burmese junta over the past year, 
noted Lowenkron, adding that recent statements by ASEAN 
countries have been more encouraging.  The PM noted his 
concern over the lack of progress towards democracy in Burma, 
and highlighted that the Cambodian National Assembly had 
recently established a legislative caucus on Burma. 
Lowenkron applauded the National Assembly's initiative, and 
considered it a positive development. 
 
¶5.  (C)  Hun Sen raised the issue of North Korea, 
underscoring strong RGC condemnation of the DPRK's recent 
nuclear test.  Cambodia had issued a recent statement and 
privately warned other ASEAN members during an August meeting 
to distrust North Korea's motives, said Hun Sen, who thought 
that North Korea had used the Six-Party Talks as a delaying 
tactic to advance its nuclear program.  The A/S expressed 
appreciation for the RGC's principled stance on North Korea. 
The PM promised to support UNSC discussions on North Korea 
and Burma. 
 
A/S: Cambodia Has Great Potential 
--------------------------------- 
 
¶6.  (C)  Lowenkron explained that the Secretary understands 
democracy building does not happen overnight.  A country's 
overall trajectory and progress towards democracy is more 
important.  He and the Secretary focus on three areas: a 
political process that leads to a free, fair election; the 
government's ability to govern openly, fight corruption and 
respect its citizens' rights; and the role of a civil 
society.  In this context, Cambodia presents opportunities 
and challenges.  The election process for the upcoming 
commune elections in April 2007 and general elections in 2008 
must be free, open and fair. Lowenkron also underscored USG 
dissatisfaction over the slow progress on anti-corruption 
legislation and the growing problem of land disputes.  He 
warned that these problems would erode trust in government 
and set back democratic progress.  Cambodia has many NGOs and 
a robust civil society, and he continued that the RGC's 
proposed NGO legislation should not hamstring the very 
organizations who can help Cambodia's democratic development. 
 
¶7.  (C)  The PM responded that Cambodia is a haven for NGOs. 
Sidestepping the issues raised by Lowenkron he said that the 
Cambodian government and the Ministry of Interior are working 
on a draft version of an NGO law, but NGOs will have an 
 
PHNOM PENH 00001908  002 OF 003 
 
 
opportunity to provide input.  On the land issue, the 
government has established a Land Dispute Authority headed by 
DPM Sok An that includes the opposition Sam Rainsy Party. 
Hun Sen has appealed for an end to illegal land grabs but the 
government may have to take stricter measures to deter 
unscrupulous wealthy developers.  Corruption is a core issue 
and impediment for Cambodia's development, acknowledged the 
PM, who added that the CPP faces a difficult election if this 
issue is not properly addressed.  Opposition leader Sam 
Rainsy has opened discussions with the government to help 
solve the corruption problem, and Hun Sen has recently 
discussed including SRP members on the national auditing 
authority. 
 
¶8.  (C)  The A/S underscored President Bush's concern over 
corruption and the need for all governments to address the 
issue fairly and transparently.  The A/S urged the PM to view 
the United Nations as a a friend to Cambodia and a partner 
that can strengthen the RGC's work in eliminating poverty and 
improving the Cambodian people's lives.  The PM responded 
that Cambodia had welcomed UNTAC, is currently involved in 
U.N. operations in Sudan, and will soon send a PKO force to 
East Timor. 
 
Meeting with FM Hor Namhong 
--------------------------- 
 
¶9.  (C)  Earlier on October 16, A/S Lowenkron met Foreign 
Minister Hor Namhong, who foreshadowed the PM's comments 
about North Korea and Burma and characterized both countries 
as unpredictable and troublesome for the region.  The A/S 
added that the situation in Burma is serious and has negative 
transnational implications for the ASEAN region.  The FM 
thanked the USG for assistance in health, education, and 
demining, and outlined areas where Cambodia has made positive 
democratic progress:  a free media environment, a land law, 
and a strong political opposition.  A/S Lowenkron also 
applauded Cambodia's commitment to religious freedom. 
 
¶10.  (C)  Despite democratic progress, continued the FM, the 
UNSGY's Special Representative for Human Rights Yash Ghai was 
pessimistic about the human rights situation in Cambodia. 
Cambodia may not be perfect, Hor Namhong allowed, but it has 
performed better than other countries in the region.  The A/S 
responded that no country's record on human rights is 
perfect, and Cambodia has tremendous potential.  As in the 
later meeting with PM Hun Sen, the A/S underscored USG 
concerns over land issues, political participation, 
corruption and good governance.  On elections, the FM said 
that the RGC will invite observers from many organizations on 
election day.  The A/S responded that the period leading up 
to the election is equally important in judging the validity 
of elections.  The FM assured the A/S that Cambodia will pass 
a good anti-corruption law but offered no timetable. 
Cambodia's future oil and gas revenues will require careful 
planning, offered A/S Lowenkron.  Officials in other oil-rich 
countries seem to believe that development can thrive even 
with rampant corruption, but history has shown otherwise, he 
warned. 
 
¶11.  (C)  The FM raised the issue of three suspected 
containers of uranium found near the border with Thailand, 
and asked for USG technical assistance to ascertain the 
contents of the containers and help dispose of the contents. 
The Ambassador responded that the Embassy has conveyed a 
request for USG assistance.  The FM also conveyed an 
invitation for the Secretary to visit Cambodia and stated 
that he was sorry to miss A/S Hill in New York City; A/S 
Lowenkron promised to convey these messages. 
 
Comment 
------- 
 
¶12.  (C)  Overall, both meetings were friendly and 
underscored the key human rights issues in our bilateral 
relationship.  A/S Lowenkron delivered a clear message to the 
PM regarding the proposed law that NGOs fear will restrict 
their activities, describing it as a troubling worldwide 
phenomenon.  The PM offered no clear timetable for passage of 
the draft anti-corruption law or an indication that the donor 
community's suggestions would be approved.  The latest draft 
version suggests that the RGC will provide budgetary support 
to the proposed Anti-Corruption Body (ACB) as well as 
investigative authority, but will not grant autonomy to the 
ACB nor address the issue of asset declaration.  End Comment. 
 
¶13.  (U)  A/S Lowenkron did not have the opportunity to clear 
 
PHNOM PENH 00001908  003 OF 003 
 
 
this message before his departure. 
 
 
 
 
MUSSOMELI