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UNCLAS SECTION 01 OF 05 SEOUL 000594 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PREL PGOV MARR ECON KPAO KS US
SUBJECT: SEOUL - PRESS BULLETIN; April 13, 2009 
 
TOP HEADLINES 
------------- 
 
Chosun Ilbo 
Former President Roh Denies Knowledge of His Wife's Receipt of 1.3 
Billion Won from Taekwang Industrial CEO 
 
JoongAng Ilbo 
Taekwang Industrial CEO: "Roh's Former Secretary Gave Me Bank 
Account Number of Roh's Nephew-In-Law's Venture Company So That I 
Could Send $5 Million 
to Roh's Nephew-In-Law" 
 
Dong-a Ilbo 
Prosecution Confirms Former President Roh's Son is a Major 
Shareholder of Roh's Nephew-In-Law's Venture Company 
 
Hankook Ilbo, Segye Ilbo, Seoul Shinmun 
Former President Roh's Wife, Son Questioned 
in Bribery Scandal 
 
Hankyoreh Shinmun 
Former First Lady Testifies that She Received 1.3 Billion Won from 
Taekwang Industrial CEO 
 
 
DOMESTIC DEVELOPMENTS 
--------------------- 
 
President Lee Myung-bak held a tripartite summit in Pattaya, 
Thailand with Japanese Prime Minister Taro Aso and Chinese Premier 
Wen Jiabao, in which the three leaders called for a "unified and 
stern" response to North Korea's latest rocket launch. (JoongAng, 
Hankook, Segye, Seoul) 
 
According to the U.S. trade journal, Inside U.S. Trade, Assistant 
USTR Danny Sepulveda told business representatives last week that it 
is the intent of USTR to address outstanding issues on the pending 
free trade agreements with Panama, Colombia and South Korea without 
renegotiating their texts. (Dong-a, Hankook, Hankyoreh, Segye, 
Seoul) 
 
 
INTERNATIONAL NEWS 
------------------ 
 
The UN Security Council (UNSC) agreed on April 11 to adopt a 
presidential statement that would condemn North Korea's rocket 
launch and toughen UN sanctions against North Korea. A presidential 
statement is considered a weaker reaction by the UNSC but the 
current statement contains stronger language and demands than many 
observers predicted. (All) 
 
On April 11, the Thai government canceled the scheduled annual 
"ASEAN+3" Summit in Pattaya due to violent anti-government 
demonstrations. Thai Prime Minister Abhisit Vejjajiva declared a 
state of emergency in the capital, Bangkok, and its surrounding 
areas. (All) 
 
 
MEDIA ANALYSIS 
-------------- 
 
-North Korea 
------------ 
The UN Security Council (UNSC)'s April 11 agreement to adopt a 
presidential statement - that would condemn North Korea's rocket 
launch and toughen UN sanctions against North Korea - received wide 
attention.  Most of the ROK media noted that a presidential 
statement is considered a weaker reaction by the UNSC but that the 
current statement contains stronger language and demands than many 
observers predicted. 
 
 
SEOUL 00000594  002 OF 005 
 
 
The ROK media also reported on an April 11 tripartite summit in 
Pattaya, Thailand between the leaders of the ROK, China and Japan, 
in which the three leaders called for a "unified and stern" response 
to North Korea's latest rocket launch. 
 
Right-of-center JoongAng Ilbo editorialized today: "This 
presidential statement has great significance in that it was a 
decision agreed upon by the UN Security Council in response to North 
Korea's defiant rocket launch.  ... Since the impact of the 
sanctions hinges on how actively UN members will implement them, it 
is premature to say whether the presidential statement is truly 
effective.  The presidential statement is also limited because it 
lacks compelling force.  Nevertheless, North Korea should not take 
it lightly that China and Russia joined the condemnation and agreed 
to specific sanctions, based on the perception that North Korea's 
long-range rocket launch violates UN Security Council Resolution 
¶1718.  The North should seriously consider the fact that the 
international community, including China and Russia, spoke with one 
voice about its rocket launch." 
 
Conservative Dong-a Ilbo editorialized: "The presidential statement 
cannot be the same as a UN Security Council resolution.  It is 
questionable whether the steps that the UNSC Sanctions Committee 
decides to take will be practical and whether the non-binding 
statement will be effective in implementing sanctions on the North. 
... It is very disappointing that China and Russia took North 
Korea's provocation lightly and refused to adopt a resolution on the 
North.  The international community must clearly demonstrate to the 
North the principle that 'it should pay the price for its bad 
behavior.'" 
 
Moderate Hankook Ilbo's editorial stated: "It is generally believed 
that North Korea failed to achieve its goals at home and abroad of 
showcasing its missile capability and testing the will of the Obama 
Administration.  In particular, since North Korea failed to make 
great improvements in its rocket technology, the overriding view is 
that North Korea would not dare to pursue a second nuclear test as 
some people fear.  ... Strong sanctions could only give North Korea 
justification for rationalizing its bad behavior, rather than 
deterring the North." 
 
Moderate Hankook Ilbo also observed in a commentary: "The reason why 
China is generous to North Korea is because it wants the Six-Party 
Talks which are aimed at denuclearizing the Korean Peninsula to be 
successful. ...  If China joins the international community in 
sanctioning North Korea, North Korea might defy China.  This would 
derail the framework of the Six-Party Talks and weaken China's 
influence on North Korea.  For China, the Kim Jong-il regime should 
be kept in place and the denuclearization of the Korean Peninsula 
should be achieved through the Six-Party Talks in order to stabilize 
Northeast Asia.  This is why China has no choice but to accept North 
Korea's 'stand-alone' strategy even at the expense of damaging its 
international reputation." 
 
ASEAN Summit - Protests in Pattaya 
The ROK media carried straight, inside-page reports saying that 
thousands of anti-government protesters stormed the venue for the 
14th ASEAN Summit and related summits in Pattaya, Thailand, forcing 
the Thai government to cancel those summits and to evacuate world 
leaders from the country.  The ROK media went on to report that Thai 
Prime Minister Abhisit Vejjajiva declared a state of emergency in 
the capital, Bangkok, and its surrounding areas. 
 
Right-of-center JoongAng Ilbo wrote in the headline: "The Root Cause 
of 'Demo-Thailand' is a Power Conflict between (Ousted Former Prime 
Minister) Thaksin, the King and the Military."  Conservative Dong-a 
Ilbo's Headline Read: "Thai Government Deploys Armed Police and the 
Military... Bloodshed Feared."  Left-leaning Hankyoreh Shinmun 
headlined its story: "Thailand's 'Abhisit Cabinet' In Danger of 
Collapse After Only Four Months in Power" 
 
OPINIONS/EDITORIALS 
------------------- 
 
 
SEOUL 00000594  003 OF 005 
 
 
 
CHINA CAN'T SAY 'NO' TO NORTH KOREA 
(Hankook  Ilbo, April 13, 2009, Page 35) 
 
By Beijing Correspondent Jang Hak-man 
 
Recently, China demonstrated its increased stature while keeping 
abreast with the U.S. during the G20 financial summit.  China 
stressed the need to overhaul the international financial system and 
to create a new key currency.  China also showed an active 
willingness to share international values.  The G20 spotlighted the 
search for economic solutions and showed China's elevated status. 
 
However, China's attitude toward North Korea has not changed. 
Chinese Prime Minister Hu Jintao told President Lee Myung-bak at the 
G20 meeting that he would dissuade North Korea from the rocket 
launch.  But while the ROK, U.S. and Japan which were calling for 
sanctions following the rocket launch, China has been defending 
North Korea.  China played a behind-the-scenes role in the UN 
Security Council's adoption of a presidential statement instead of a 
resolution. 
 
Why can't China say "no", despite its displeasure with North Korea? 
The reason lies in the long history between China and North Korea as 
socialist brothers in North East Asia.  Prime Minister Hu Jintao 
sent a congratulatory message to North Korean leader Kim Jong-il, 
who was reappointed as National Defense Commission chairman during 
the recent parliament meeting.  In the message, Hu stated that Kim 
Jong-il's reappointment as head of the military indicated North 
Koreans' loyalty and deep trust.  Hu Jintao added that this year 
marks the 60th anniversary of normalized diplomatic relations 
between China and North Korea based on amity and cooperation, and 
China will make efforts to further solidify bilateral relations.  It 
seems that after confirming the stability of the Kim Jong-il regime, 
China sent a belated message congratulating North Korea's rocket 
launch. 
 
The reason why China is generous to North Korea is because it wants 
the Six-Party Talks which are aimed at denuclearizing the Korean 
Peninsula to be successful.  For two decades, China has provided 200 
million dollars of free aid to North Korea, which has suffered from 
energy and food shortages.  On the contrary, this shows that should 
China twist North Korea's wrist, the DPRK could soon topple any 
time. 
 
However, China would not be careless enough to do so.  If China 
joins the international community in sanctioning North Korea, North 
Korea might defy China.  This would derail the framework of the 
Six-Party Talks and weaken China's influence on North Korea.  For 
China, the Kim Jong-il regime should be kept in place and the 
denuclearization of the Korean Peninsula should be achieved through 
the Six-Party Talks in order to stabilize North East Asia.  This is 
why China has no choice but to accept North Korea's "stand alone" 
strategy even at the expense of damaging its international 
reputation. 
 
China could form an opposition front involving Russia and North 
Korea against an alliance of the ROK, the U.S. and Japan.  China 
seems to tolerate North Korea to maintain a balance of power.  The 
rocket launch may either improve or strain U.S.-North Korean 
relations.  But in either case, China seems to regard North Korea as 
useful leverage. 
 
Although time has passed, the reality of a Cold War still exists in 
North East Asia.  (Therefore,) in order to maintain the balance of 
power in North East Asia, China, an aspiring world power, cannot say 
"no" to North Korea. 
 
 
SUBSTANTIVE SANCTIONS SHOULD BE IMPOSED ON NORTH KOREA'S ROCKET 
LAUNCH 
(Dong-a Ilbo, April 13, 2009, Page 31) 
 
The UN Security Council plans on April 13 to officially adopt a 
 
SEOUL 00000594  004 OF 005 
 
 
presidential statement regarding North Korea's April 5 long-range 
rocket launch.  It is noteworthy that the draft of the presidential 
statement, proposed by the U.S. and supported by major nations, is 
more specific than other such statements.  The statement specifies 
that the UN Security Council Sanctions Committee on North Korea 
should strengthen the sanctions mentioned in Article 8 of UN 
Security Council Resolution 1718.  Therefore, according to some 
observers, what is a presidential statement in form is virtually 
identical to a resolution in substance. 
 
However, the presidential statement cannot be the same as a UN 
Security Council resolution.  It is questionable whether the steps 
that the UNSC Sanctions Committee decides to take will be practical 
and whether the non-binding statement will be effective in 
implementing sanctions on the North. 
 
North Korea proceeded with its provocation probably because it 
believed that UN members did not implement sanctions in a consistent 
way and China and Russia would support the North in the end.  It is 
very disappointing that China and Russia took North Korea's recent 
provocation lightly and refused to adopt a resolution on North 
Korea.  The international community must clearly demonstrate to the 
North the principle, "It should pay the price for its bad 
behavior." 
 
Based on the presidential statement, the U.S., Japanese and ROK 
governments should closely cooperate to implement sanctions against 
the North.  In addition, they need to jointly utilize all possible 
measures in a systematic way.  In addition, we should double our 
efforts to obtain an independent capability to effectively curb and 
respond to a threat from the North, which is armed with nuclear 
weapons and missiles.  We should also decide on any measures which 
could deal heavy blows to the North, such as full participation in 
the Proliferation Security Initiative and the prompt development of 
the Missile Defense system. 
 
 
CHINA AND RUSSIA AGREE TO UNSC'S STATEMENT CONDEMNING NORTH KOREA 
(JoongAng Ilbo, April 13, 2009, Page 46) 
 
The UN Security Council agreed yesterday to adopt a presidential 
statement condemning North Korea's long-range rocket launch and 
toughening UN sanctions against North Korea.  Taking this realistic 
approach can be described as a "Solomon's decision."  After the 
U.S., which argued for the adoption of a legally binding resolution, 
and China and Russia, which objected to it, remained at an impasse 
for nearly a week, they finally reached a compromise to put 
stringent sanctions in the form of a non-binding presidential 
statement.  This has great significance in that it was a decision 
agreed upon by the UN Security Council in response to North Korea's 
defiant rocket launch.  We hope that the statement will be passed 
"as is" at the upcoming UN Security Council meeting. 
 
The final text of the presidential statement has designated North 
Korea's April 5 rocket launch as a violation of UN Security Council 
1718, which bans North Korea from any ballistic missile activity. 
Consequently, the statement demands that the sanctions specified in 
Article 8 of the resolution should be implemented.   Since the 
impact of the sanctions hinges on how actively UN members will 
implement them, it is premature to say whether the presidential 
statement is truly effective.  The presidential statement is also 
limited because of its lack of compelling force. 
 
Nevertheless, North Korea should not take it lightly that China and 
Russia joined the condemnation of North Korea and agreed to specific 
sanctions, based on the perception that North Korea's long-range 
rocket launch violates UN Security Council Resolution 1718.  The 
North should seriously consider the fact that the international 
community, including China and Russia, spoke with one voice about 
its rocket launch. 
 
Should the presidential statement be adopted as it is, the ball will 
be in North Korea's court.  Claiming that UN Security Council 
discussion about the rocket launch runs counter to the September 19 
 
SEOUL 00000594  005 OF 005 
 
 
Joint Statement, the North has threatened not only to boycott the 
Six-Party Talks, but also to suspend disabling their nuclear 
facilities and, instead, restore them to their original state. 
North Korea should coolly think about whether those actions will 
serve their national interests.  In 2006, immediately following 
North Korea's nuclear test, UN Security Council Resolution 1718 was 
adopted, but sanctions on the North became merely nominal when the 
DPRK returned to the Six-Party Talks.  It is up to North Korea 
whether or not the sanctions will be implemented in earnest this 
time.  If the North irrationally overturns the Six-Party table 
because of the presidential statement, its isolation and suffering 
will be further aggravated. 
 
 
NO NEED TO BE OBSESSED WITH STRONG SANCTIONS ON NORTH KOREA 
(Hankook  Ilbo, April 13, 2009, Page 35) 
 
The UN Security Council permanent members and Japan have reportedly 
agreed to adopt a presidential statement condemning North Korea's 
rocket launch.  The presidential statement came after the Japanese 
government stepped back from its argument for a new resolution 
following opposition from China and Russia and a passive attitude 
from the U.S.  Japanese Prime Minister Taro Aso said that it is 
meaningless to insist on a resolution.  He added that it is 
important for the international community to send a proper message 
to North Korea. 
 
As Aso said, it is desirable in many ways to wrap up the situation 
with a stern warning, rather than endlessly debating tough 
sanctions.  Because UN Security Council sanctions on North Korea 
imposed after its 2006 nuclear test have failed to deter its "bad 
behavior", it is not wise to drag out the dispute over a resolution. 
 It is time to end the dispute over North Korea's rocket launch and 
to focus on the larger framework of the Six-Party Talks. 
 
Of course, the draft of the presidential statement adopted in place 
of a resolution contains strong language.  The presidential 
statement specifically calls for implementing the asset freezing and 
travel ban measures in the 2006 UN Security Council Resolution that 
were not carried out.  The presidential statement reflects the tough 
stance of not only Japan, but also the ROKG.  However, figuring out 
how to steer North Korea toward a desirable direction is critical. 
 
There are concerns that failing to chastise the North would cause 
North Korea to stray even further.  However, it is generally 
believed that North Korea has failed to achieve its goals at home 
and abroad of showcasing its missile capability and testing the will 
of the Obama Administration.  In particular, since North Korea 
failed to make great improvements in its rocket technology, the 
overriding view is that North Korea would not dare to pursue a 
second nuclear test as some people fear. 
 
Nonetheless, North Korea continues to praise North Korean leader Kim 
Jong-il for his great accomplishments, while hailing its satellite 
launch as a success.  This indicates that the main purpose for the 
rocket launch was to strengthen its shaky unity and herald the 
beginning of Kim Jong-il's third term.  Strong sanctions could give 
North Korea justification for rationalizing its bad behavior rather 
than deterring the North. 
 
 
STEPHENS