VZCZCXRO1315
PP RUEHDE
DE RUEHKG #0393/01 0801315
ZNY CCCCC ZZH
P 211315Z MAR 07
FM AMEMBASSY KINGSTON
TO RUEHC/SECSTATE WASHDC PRIORITY 4509
INFO RUCNCOM/EC CARICOM COLLECTIVE
RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE
RUEHHH/OPEC COLLECTIVE
RUEHLO/AMEMBASSY LONDON 0322
RUEHTC/AMEMBASSY THE HAGUE 0733

C O N F I D E N T I A L SECTION 01 OF 03 KINGSTON 000393 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR WHA/CAR - RANDALL BUDDEN, ROBERT COLLINS 
 
E.O. 12958: DECL: 03/20/2017 
TAGS: PREL PGOV ENRG ECON EINV EPET MASS CARICOM JM
XL, XM 
SUBJECT: JAMAICA/VENEZUELA: OPPOSITION LEADER DEEPLY 
CONCERNED OVER CHAVEZ'S INFLUENCE 
 
REF: A. KINGSTON 89 (NOTAL) 
     ¶B. KINGSTON 215 (NOTAL) 
     ¶C. 06 KINGSTON 2021 (NOTAL) 
     ¶D. KINGSTON 342 (NOTAL) 
     ¶E. PORT-OF-SPAIN 220 (NOTAL) 
 
Classified By: Ambassador Brenda L. Johnson, reasons 1.4 (b) and (d) 
 
SUMMARY AND RECOMMENDATIONS 
---------------------------- 
 
1.(C)  In drawing closer to flamboyant Venezuelan President 
Hugo Chavez, Jamaica is "getting mixed up with something from 
which it will be difficult to extricate ourselves," according 
to Leader of the Opposition Jamaica Labour Party (JLP) Bruce 
Golding.  In a private meeting with Ambassador on the eve of 
his March 23 visit to Washington, Golding: 
 
-- reiterated claims that Chavez was providing USD 4-5 
million in cash to finance the election campaign of the Prime 
Minister (PM) Portia Simpson Miller (PSM)'s ruling People's 
National Party (PNP); 
 
-- alleged that Foreign Minister Anthony Hylton and other 
senior PNP figures recently had traveled secretly to 
Venezuela to receive additional cash, part of which then was 
used to repay the Dutch-based oil trading firm Trafigura a 
USD 475,0090 "contribution" it previously had given the PNP 
in a major campaign finance scandal (Reftel C); 
 
-- claimed that, given Jamaica's indebtedness to Venezuela 
under Petrocaribe and the recent signing on of an MOU for 
importation of 2.5 million tons of Venezuelan liquefied 
natural gas (LNG) annually beginning in 2009, Jamaica risked 
being pressured into supporting Chavez's positions in 
international fora; 
 
2.(C) (Summary cont.)  Golding acknowledged that: 
 
(A) the Jamaican Ministry of Foreign Affairs and Foreign 
Trade (MFAFT) adroitly had resisted Chavez's heavy pressure 
for an invitation to the massive official opening ceremony of 
the Cricket World Cup (CWC) series held March 11 in Trelawny, 
deftly offering an alternative stopover meeting with the PM 
in Montego Bay ; 
 
(B) the PM had responded smoothly and noncommittally to 
Chavez's public suggestion that Jamaica join the "Bolivarian 
Alternative for the Americas (ALBA)." 
 
3.(C)  Recommendations:  Embassy shares the Opposition 
Leader's concerns over the influence of Venezuelan money and 
energy supplies in Jamaica in the years ahead, and recommends 
that USG officials use his March 23 visit to Washington as an 
opportunity for serious discussion of these issues.  As 
demonstrations of continued U.S. interest in Jamaica, 
restoration of IMET (recently zeroed out for FY-08 and 
beyond) and a visit from a high-level USG official 
(Secretarial- or Assistant Secretarial-level) would be most 
helpful. 
End Summary and Recommendations. 
 
4.(SBU)  Opposition Jamaica Labour Party (JLP) Leader Bruce 
Golding approached Ambassador during the opening match of the 
Cricket World Cup (CWC) series on March 13 to request a 
private meeting, which was held the morning of March 16 at 
JLP Headquarters.  The Ambassador presented the Opposition 
Leader a copy of the schedule of appointments arranged by 
WHA/CAR for his upcoming visit to Washington; Golding 
expressed thanks, and said he looked forward to the visit 
(note:  post appreciates WHA/CAR's efforts in arranging such 
a comprehensive schedule). 
 
Chavez's Growing Influence 
-------------------------- 
 
5.(C)  Golding then said that JLP concerns over the influence 
of Venezuelan President Hugo Chavez in Jamaica (Reftels A,B) 
had heightened in recent weeks.  Asking that the U.S. hold 
the information in strict confidence, he confirmed that a 
"senior person in the Government" had been passing him 
sensitive inside information, and that "a number of persons 
within the Government" were "frightened over the secrecy" 
surrounding the Government of Jamaica (GoJ)Q,s recent 
dealings with Chavez.  He claimed that Foreign Minister 
Anthony Hylton, Minister of Industry, Commerce, Science, and 
Technology Philip Paulwell, and Senator Colin Campbell 
recently had flown to Caracas.  Upon arrival at the airport, 
they were supposed to have been picked up by helicopter, but 
instead were given one or two large packages; immediately 
thereafter, they returned to Kingston.  The next week, the 
Government had announced it had repaid the Dutch-based oil 
trading firm Trafigura a USD 475,000 "contribution" made to 
the ruling People's National Party (PNP) in a major campaign 
finance scandal (Reftel C). 
 
Not Bowled Over 
--------------- 
 
6.(C)  The Opposition Leader then observed that Chavez's 
recent brief unannounced visit to Montego Bay "had not been 
arranged in the normal way."  He understood that the 
flamboyant Venezuelan President had wanted to attend the 
massive opening ceremony of the Cricket World Cup (CWC) 
series held March 11 in Trelawny.  The GoJ had had to "use 
every diplomatic resource at its disposal to dissuade Chavez" 
from attending the high-profile event.  The GoJ had taken the 
position that CWC was a Caribbean, rather than Jamaican, 
event; therefore, his attendance would have required the 
approval and coordination of all the participating 
countries--Q*and for this, time had been insufficient. 
Therefore, as an alternative, the GoJ had suggested a 
stopover visit in Montego Bay, and Chavez grudgingly had 
accepted.  ((Note:  Further to Reftel (D), post will provide 
additional information on the LNG MOU signed by Chavez and 
PSM on March 12 in Montego Bay as it becomes available. End 
Note.)) 
 
Putting the PM on a Sticky Wicket? 
---------------------------------- 
 
7.(C)  Golding then noted that Chavez's public invitation to 
Jamaica to participate in Venezuela's ALBA program, made 
during his meeting with Prime Minister Portia Simpson Miller 
(PSM), had been "the sort of thing normally worked out in the 
corridors, rather than in public."  Golding said he did not 
know whether Chavez's ALBA invitation had taken PSM by 
surprise; if so, by saying only that the GoJ would give his 
offer due consideration before taking any decisions, she had 
handled the situation well. 
 
8.(C)  The Opposition Leader then said he feared the GoJ was 
allowing itself to be maneuvered into a position in which "it 
would have no capacity to say no to Chavez."  He then 
reiterated his claim (Reftel A) that Venezuela was providing 
USD 5-6 million in cash to finance PSM's election campaign. 
He said that, until just before the Trafigura 
"contributions," the PNP had had financial problems, even 
finding it difficult to maintain its party facilities.  But 
recently, there had been a dramatic turnaround.  The PNP no 
longer was aggressively canvassing the private sector, 
apparently because their contributions no longer were needed. 
 Private sector companies which historically had contributed 
to both major political parties no longer were being 
approached by the PNP.  He believed Chavez had taken on the 
role of a "godfather with money," and that Jamaica was "being 
sucked into an agenda not of our own making.  Chavez waves 
cash, we're mesmerized, and cave in to anything he wants." 
Jamaica needed "guidance as to how to deal with Chavez." 
 
9.(C)  Ambassador agreed that Chavez's growing influence was 
of serious concern.  She suggested that Golding raise these 
concerns with USG officials during this upcoming visit to 
Washington.  She noted that Trinidad and Tobago's recent 
decision not to supply LNG to Jamaica on concessionary terms 
(Reftels D, E) had not helped matters vis-Q-vis Venezuela. 
She also reiterated that, as a means of demonstrating the 
USG's continued interest in Jamaica, she had requested that a 
high-level U.S. official visit at the earliest opportunity. 
 
10.(C)  Golding then said that, given Jamaica's indebtedness 
to Venezuela as a result of Petrocaribe, it would be easy to 
imagine a scenario in which Chavez offered to write off or 
defer a portion of these debts in return for GoJ support of 
his positions in international fora.  In response to 
Golding's question as to whether the U.S. had communicated 
its concerns over Venezuela to the GoJ, the Ambassador 
recounted the Embassy's recent sustained effort to dissuade 
the GoJ from supporting Venezuela for a seat on the UNSC, 
noting that the PM at one point had claimed to have left the 
decision of Jamaica's position entirely to Foreign Minister 
Hylton.  She volunteered to share the latest information on 
Jamaica's voting record at the U.N. 
 
11.(C)  In response to Ambassador's inquiry as to whether he 
believed the PNP, as it claimed, actually had returned the 
Trafigura "contribution," Golding replied that, while he 
still had doubts, his doubts were receding.  It seemed 
"logical" that part of the cash apparently received by 
Hylton, Paulwell, and Campbell while in Venezuela had been 
used to pay back Trafigura. 
 
National Elections in June or July? 
----------------------------------- 
 
12.(C)    In response to Ambassador's inquiry as to whether 
PSM might call elections in the wake of what was shaping up 
as a highly successful Cricket World Cup (CWC) series, 
Golding noted that the PNP had been "busy since December 
registering voters," and that the lists of these voters would 
be published on May 31.  Jamaican law prohibited the 
publication of voter lists after elections had been called; 
therefore, PSM probably would wait until early April, setting 
an election date in June or July.  The Opposition Leader 
concluded by observing that, in drawing closer to Chavez, 
Jamaica was "getting mixed up with something from which it 
will be difficult to extricate ourselves."  He did not rule 
out the possibility of the flamboyant Venezuelan President 
"arriving here in the middle of the Jamaican election 
campaign." 
 
Comment 
------- 
 
13.(C)  In contrast to the optimistic impression he had given 
in previous meetings, on March 16 Golding appeared decidedly 
downbeat.  He may sense that the highly successful start to 
the Cricket World Cup (CWC) series and attendant publicity, 
as well as Chavez's largesse, are working to the advantage of 
PM Portia Simpson Miller. 
End Comment. 
JOHNSON