VZCZCXRO4195
PP RUEHAG RUEHAST RUEHBW RUEHDA RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA
RUEHLN RUEHLZ RUEHPOD RUEHROV RUEHSR RUEHVK RUEHYG
DE RUEHNC #0252/01 1121439
ZNR UUUUU ZZH
P 211439Z APR 08 ZDS
FM AMEMBASSY NICOSIA
TO RUEHC/SECSTATE WASHDC PRIORITY 8721
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUCNDT/USMISSION USUN NEW YORK 1113
RUEHBS/USEU BRUSSELS

UNCLAS SECTION 01 OF 02 NICOSIA 000252 
 
SIPDIS 
 
C O R R E C T E D  C O P Y (CORRECTED CLASSIFICATION) 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV PREL CY
SUBJECT: COMPOSITION OF WORKING GROUPS SPURS OPTIMISM 
 
NICOSIA 00000252  001.4 OF 002 
 
 
(U) Sensitive but unclassified - Please protect accordingly 
 
¶1.  (SBU) Summary:  President Demetris Christofias's appointment of 
well-known supporters of the 2004 Annan Plan to the working groups 
and technical committees soon to begin pre-negotiations preparations 
has pleased reunification activists but divided Cypriot political 
parties.  Pro-government AKEL and opposition DISY praised the 
staffing, but AKEL's partners in the government, DIKO and EDEK, fear 
that the appointment of so many YES voters suggests that Greek 
Cypriots might not "put up adequate resistance" in the talks.  The 
government has responded that appointees will follow Christofias's 
policies, not their own, muting most objections.  The list of 
committee/working group heads includes noteworthy politicians, 
diplomats, academics and technocrats, and is bereft of hard-liners 
and nationalist ideologues.  Post will forward and analyze Turkish 
Cypriot appointments septel.  End Summary. 
 
------------------------------- 
Parties Split Over Appointments 
------------------------------- 
 
¶2. (SBU) The official announcement of the names of the Greek Cypriot 
heads of working groups and technical committees drew mixed 
comments from the Greek Cypriot political establishment but met 
with the approval of reunification activists.  The two major 
parties, AKEL and DISY, reacted positively while DIKO and EDEK 
criticized the inclusion of supporters of the Annan Plan, the 
last (2004) major UN effort to reunify the island.  Indeed, most of 
the politicians chosen to head the committees had actively 
supported the Plan and are known for their moderate views, despite 
some having served in former Cypriot President 
Tassos Papadopoulos's administration. 
 
¶3.  (SBU) The negative reaction of DIKO and EDEK marked their first 
public disagreement with Christofias's handling of the Cyprus 
issue.  DIKO leader Marios Karoyian cautioned that the appointment 
of politicians who supported the YES vote would send the wrong 
messages abroad.  In a similar statement, EDEK Vice President 
Marinos Sizopoulos said YES supporters "may not have what it takes 
to resist the pressure" for unacceptable compromises.  In a 
low-key response, Government Spokesman Stefanos Stefanou said 
that committee heads and members will not follow a personal 
policy, but the policy of President Christofias. 
Opposition DISY, which generally supports the President on 
CyProb-related matters, asserted that the committees should be 
judged from the work they will produce, not from their composition. 
 
-------------------- 
Working Group Heads 
-------------------- 
 
¶4.  (SBU) The list of working group and technical committee heads is an 
impressive array of individuals with extensive experience on the 
issues they have been tasked to discuss with their Turkish Cypriot 
colleagues.  It includes a past president, five former cabinet 
ministers, diplomats, academics and high level government 
officials. 
 
¶5. (SBU) European Matters:  George Vassiliou, former ROC President 
(1989-1993), former negotiator for Cyprus' EU accession and former 
leader of the United Democrats Party.  He is a successful 
economist/businessman turned politician known for his flexible, 
moderate and forward looking approach to efforts for a settlement. 
Vassiliou is a close and regular Embassy contact, and his wife is 
Cyprus's new European Commissioner (Health). 
 
¶6. (SBU) Governance and Power Sharing:  Andreas Mavrommatis, former 
Labor Minister, Government Spokesman, diplomat and interlocutor of the 
Greek Cypriot side in the intercommunal talks of 1983-84.  During 
his watch as interlocutor, the two sides made significant progress, 
resulting in a draft agreement which was eventually rejected by 
then-President Spyros Kyprianou.  Mavromatis in 1999 was appointed 
as Special Rapporteur of the UN Commission on Human Rights on the 
situation of human rights in Iraq.  He also chaired the UN Committee 
Against Torture's inquiry on United States practices in 2006. 
 
 
¶7. (SBU) Security and Guarantees:  Sotos Zackheos, a career diplomat, 
served as Ambassador to China, Permanent Representative to the UN in 
New York and Geneva and Permanent Secretary of the Ministry of 
Foreign Affairs (2003-2006).  Zackheos enjoys President 
Christofias's confidence, and is remembered within the Embassy as a 
particularly "challenging" interlocutor.  He remains a regular 
contact. 
 
¶8.  (SBU) Territory:  Alecos Shambos, another career diplomat, served a 
Ambassador to Egypt and Kenya and Permanent Representative to the UN 
in New York in 1993-1995.  Prior to his retirement in 1998, he 
served as Permanent Secretary of the Ministry of Foreign Affairs. 
Hard working and principled, he is known as a person with moderate 
views on the Cyprus issue. 
 
¶9. (SBU) Property:  Erato Marcoullis, former Ambassador to the U.S., 
Permanent Secretary of the Ministry of Foreign Affairs, and the 
 
NICOSIA 00000252  002.3 OF 002 
 
 
(U) Sensitive but unclassified 
 
first woman Foreign Minister (July 2007 - February 2008.)  Though 
she was always viewed as moderate and pro-solution, she disappointed 
many reunification activists when she accepted Tassos Papadopoulos's 
call to head the MFA.  There, she faithfully implemented his 
hard-line Cyprus Problem policies. 
 
¶10. (SBU) Economic Matters:  Michalis Sarris, Finance Minister 
(2005-2008) and former senior World Bank official.  Sarris is 
considered one of the best economists on the island and perhaps the 
best-performing minister in Papadopoulos's cabinet, having delivered 
high growth, low inflation, and a seamless transition to the Euro in 
January 2008.  Embassy officials regularly see him. 
 
--------------------- 
Technical Committees: 
--------------------- 
 
¶11. (SBU) Crime and Criminal Matters:  Andros Kapardis, criminologist, 
professor of legal psychology at the University of Cyprus. 
 
-- Economic and Commercial Matters:  Dionysis Mavronicolas, senior 
civil servant. 
 
-- Cultural Heritage:  Takis Hadjidemetriou, former EU accession 
coordinator in Papadopoulos's administration.  A visible and active 
YES voter, Hadjidemetriou resigned in 2004 following Papadopoulos's 
successful campaign against the settlement plan. 
 
-- Crisis Management:  Marios Lyssiotis, career diplomat seconded to 
the Presidential Palace. 
 
-- Humanitarian Matters:  Symeon Matsis, former Permanent Secretary 
of different ministries and an outspoken supporter of the Annan 
Plan. 
 
-- Health Matters:  Haris Charalambous, former Health Minister 
(2006-2007) and longtime member of AKEL. 
 
-- Environment:  Costas Kadis, academic and researcher specializing 
in environmental issues; also served as Papadopoulos's last Health 
Minister (2007-2008). 
 
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Comment 
------- 
 
¶12. (SBU) Christofias's decision to appoint politicians who were in the 
front lines of the YES camp seems intended to send the message to 
both Cypriot communities and the international community that he 
wants both progress at the talks and an improved climate on the 
island.  The reaction of DIKO and EDEK is a taste of what lies ahead 
as the talks progress, but DISY's backing, along with AKEL's solid 
support, should enable Christofias to continue to pursue his 
policies without too much political cost.