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UNCLAS SECTION 01 OF 06 SEOUL 000893 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PREL PGOV MARR ECON KPAO KS US
SUBJECT: SEOUL - PRESS BULLETIN; June 5, 2009 
 
TOP HEADLINES 
------------ 
 
Chosun Ilbo 
Former Vice President Al Gore Poised to Visit Pyongyang for Release 
of Two U.S. Journalists Held in N. Korea 
 
JoongAng Ilbo 
"Nuclear Renaissance" Is Coming 
As More Countries Turn to Nuclear Energy amid High Oil Prices and 
Rising Awareness about Global Warming, ROK Hopes 
to Cash In 
 
Dong-a Ilbo, Hankook Ilbo, Seoul Shinmun 
¶N. Korean Patrol Boat Crosses Sea Border in Yellow Sea 
 
Hankyoreh Shinmun 
Ruling GNP Lawmakers: "President Should Admit Mistake in Taking 
Go-It-Alone Approach" 
 
Segye Ilbo 
ROK-U.S. Combined Forces Command (CFC): "We are Not Considering 
Raising Defense Readiness Condition (DEFCON), Since There are No 
Decisive Signs of N. Korean Provocation" 
 
 
DOMESTIC DEVELOPMENTS 
--------------------- 
 
The U.S. has informed the ROKG of its decision to undertake 
intensive financial sanctions against North Korea, separately from a 
new resolution on the North being pushed at the UN Security Council. 
(Chosun) 
 
According to a Blue House official, the visiting U.S. delegation led 
by Deputy Secretary of State James Steinberg briefed President Lee 
Myung-bak and other officials yesterday on independent U.S. 
sanctions "with a financial focus" against the North.  (Chosun) 
 
In a related development, U.S. Under Secretary of Treasury for 
Terrorism and Financial Intelligence Stuart Levey met with Vice 
Finance Minister Huh Kyung-wook to discuss ways to block North 
Korea's illegal money laundering. (JoongAng, Dong-a, Hankook, KBS) 
 
According to the ROK Joint Chiefs of Staff, a North Korean patrol 
boat yesterday crossed the Northern Limit Line (NLL), a de-facto 
maritime border in the Yellow Sea, before returning to the North 
after about an hour. (All) 
 
The U.S. Ambassador to the ROK, Kathleen Stephens, in a June 4 
seminar hosted by the Korea News Editors' Association, said that if 
North Korea continues to develop nuclear weapons and missiles, the 
U.S. and its allies should consider appropriate defensive measures. 
(Chosun, JoongAng, Dong-a, Segye) 
 
 
International Developments 
-------------------------- 
 
According to the foreign media, President Barack Obama, in a June 4 
speech at Cairo University, called for a "new beginning between the 
U.S. and Muslims." He was widely quoted: "I have come here to Cairo 
to seek a new beginning between the U.S. and Muslims around the 
world. ... This cycle of suspicion and discord must end." (All) 
 
President Obama also mentioned the ROK as an example of successfully 
developing its economy while keeping its tradition. (All) 
 
The (North) Korean Central News Agency reported yesterday that the 
North's Central Court began the trial of the two U.S. journalists - 
who have been held in the North since March 17 - at 3 p.m. yesterday 
"on the basis of the indictment already brought against them." 
(All) 
 
SEOUL 00000893  002 OF 006 
 
 
 
A diplomatic source, meanwhile, raised the possibility that, 
depending on their trial results, former Vice President Al Gore, a 
founder of San Francisco-based Current TV where the two journalists 
work, may visit North Korea via Beijing as early as this weekend to 
take the journalists out of the North. (Chosun) 
 
Deputy State Department Spokesman Philip Crowley, in a June 3 
regular briefing, said: "To list a country on the terrorism list, 
there is a legal requirement there. And what we've seen so far (such 
as North Korea's missile launches) I don't think meets that legal 
test." This statement came in response to a June 2 letter from 
several U.S. senators to Secretary of State Hillary Clinton for the 
North's relisting as a state sponsor of terrorism. (Dong-a, Segye, 
Seoul, all TVs) 
 
 
MEDIA ANALYSIS 
--------------- 
 
-President Obama's Cairo Speech 
------------------------------- 
All ROK newspapers led their international news section with a 
report on President Barack Obama's June 4 speech at Cairo 
University.  All TV networks also covered the event, but online news 
outlets, except for two minor outlets, Christian Daily and edaily, 
did not. 
 
All media coverage is positive.  Citing the foreign media, most 
newspapers and TV networks reported that both the Arab world and 
Israel welcomed President Obama's speech, citing Palestine President 
Mahmud Abbas's Spokesman Nabil Abu Rudeina: "It is an innovative 
political step and a good beginning on which one must build."  The 
Israeli government's statement was also quoted: "Israel shares 
President Obama's hope to end conflicts with the Arab world and to 
lead a new era of reconciliation." 
 
Most coverage focused on Obama's statements: "America will not turn 
our backs on the legitimate Palestinian aspiration for dignity, 
opportunity, and a state of their own;" and "no system of government 
can or should be imposed upon one nation by any other." 
 
Most ROK media also highlighted President Obama's mention of the ROK 
as an example of successfully developing its economy while keeping 
its tradition. 
 
Newspapers carried the following headlines: "I Have Come Here to 
Seek a New Beginning between the U.S. and Muslims" (Conservative 
Chosun Ilbo, right-of-center JoongAng Ilbo, conservative Dong-a 
Ilbo, conservative Segye Ilbo); "This Cycle of Suspicion and Discord 
Must End" (moderate Hankook Ilbo); and "Obama Delivers Speech of 
Reconciliation to 1.5 Billion Muslims" (left-leaning Hankyoreh 
Shinmun) 
 
-North Korea 
------------ 
 
- Detained Journalists Trial 
All ROK media gave prominent coverage to a report citing the (North) 
Korean Central News Agency that North Korea's Central Court began 
the trial of the two U.S. journalists - who have been held in the 
North since March 17 - at 3 p.m. yesterday "on the basis of the 
indictment already brought against them." 
 
Conservative Choun Ilbo noted in its front-page report that this is 
the first time that American citizens have stood trial in a North 
Korean court and it is also unprecedented for the North to announce 
the time of the trial.  Chosun quoted an ROKG official: "It seems 
that North Korea is attempting to take advantage of this incident 
(to improve) negotiations with the U.S." 
 
The Chosun report further quoted a diplomatic source: "Depending on 
their trial results,  there is a great likelihood that former Vice 
President Al Gore, a founder of San Francisco-based Current TV for 
 
SEOUL 00000893  003 OF 006 
 
 
which the two journalists work, may visit North Korea via Beijing as 
early as this weekend to take the journalists out of the North." 
Chosun Ilbo carried a different, inside-page report entitled 
"Attention Focused on Whether Al Gore Will Act as Special Envoy to 
Deliver President Obama's message to Pyongyang." 
 
In a related development, right-of-center JoongAng Ilbo 
editorialized: "The detention of an ROK worker in the Kaesong 
Industrial Complex has now dragged on into its 67th day. The ROKG 
and Hyundai Asan have raised the issue daily... but Pyongyang has 
not yet made any response. ... This North Korean attitude has been 
markedly different from its treatment of the two female American 
journalists it detained. ...  This is outrageous. ...  What is the 
difference between the North and a terrorist group that abducts a 
person in broad daylight and holds him hostage?" 
 
- Deputy Secretary Steinberg in Seoul 
Conservative Chosun Ilbo front-paged a report citing a senior Blue 
House official that the visiting U.S. delegation led by Deputy 
Secretary of State James Steinberg briefed President Lee Myung-bak 
and other officials yesterday on independent U.S. sanctions "with a 
financial focus" against North Korea.  The sanctions are expected to 
be an expanded version of a 2006 freeze of North Korean accounts in 
Macau-based Banco Delta Asia (BDA), according to the Chosun report. 
 
Chosun quoted the Blue House official: "At the time, the sanctions 
were slapped on a single bank, but the new sanctions would ban 
transactions with any banks suspected of being involved in the trade 
of North Korea's weapons of mass destruction." 
 
Right-of-center JoongAng Ilbo, conservative Dong-a Ilbo, moderate 
Hankook Ilbo and KBS TV reported on yesterday's meeting between 
Under Secretary of Treasury for Terrorism and Financial Intelligence 
Stuart Levey and ROK Vice Finance Minister Huh Kyung-wook. 
According to the media, citing an unnamed Finance Ministry source, 
the two officials agreed to cooperate to prevent North Korea's 
illegal money laundering. 
 
 
OPINIONS/EDITORIALS 
--------------------- 
 
RELEASE KAESONG DETAINEE 
(JoongAng Ilbo, June 5, 2009, page 42) 
 
The detention of an ROK worker in the Kaesong Industrial Complex has 
now dragged on into its 67th day.  The ROKG and Hyundai Asan have 
raised the issue daily through the Kaesong Industrial Complex 
Management Commission, but Pyongyang has not yet made any response, 
except to announce twice that it was investigating the case. 
 
This North Korean attitude has been markedly different from its 
treatment of the two female American journalists it detained.  The 
two journalists, whom the North held a trial for yesterday, have 
been staying in a hotel, not a prison, and were allowed to talk with 
their families in the United States by telephone. 
 
This is outrageous. North Korea has frequently talked about the 
self-reliance of Korean nationals but it detains an ROK citizen and 
won't even inform his government whether he is alive or not.  Even 
though North Korea is notorious for human rights violations, the 
treatment of the worker, named Yoo, cannot be tolerated.  It ignores 
international customary norms and the agreed-upon terms by the ROK 
and the North for handling each other's citizens.  North Korea is a 
state but what is the difference between the North and a terrorist 
group that abducts a person in broad daylight and holds him 
hostage? 
 
In North Korea, a person who is charged with espionage or an act of 
opposing the communist revolution is reportedly arrested by the top 
intelligence agency, investigated for up to a year, shot without 
trial or imprisoned as a political prisoner.  The person is not 
allowed to see his family and the family is not even informed of the 
person's arrest. In the end, the family is also locked away as 
 
SEOUL 00000893  004 OF 006 
 
 
political prisoners.  Until now, Yoo has been treated in the same 
way as a North Korean who has committed treachery. 
 
The ROKG's response has been meek.  Apart from the Reunification 
Ministry, no other government agencies have tackled the issue.  In 
2007 when Korean citizens were kidnapped by the Taliban in 
Afghanistan, the government paid a huge sum of money to bring them 
home, despite international criticism.  What are the Ministry of 
Foreign Affairs and Trade, the National Intelligence Service and the 
Blue House doing now? 
 
We urge the government to respond to the case more actively and 
assertively.  In all international meetings that North Korea 
attends, our government must highlight Yoo's case and put pressure 
on Pyongyang.  At the very least, Seoul can conduct negotiations in 
s-e-c-r-e-t and pay a ransom to bring him home. 
 
(This is a translation provided by the newspaper, and it is 
identical to the Korean version.) 
 
 
FEATURES 
-------- 
FORMER VICE PRESIDENT AL GORE POISED TO VISIT PYONGYANG FOR RELEASE 
OF DETAINED TWO U.S. JOURNALISTS 
(Chosun Ilbo, June 5, 2009, Front page) 
 
By Reporters Ahn Yong-hyun and Lim Min-hyuk 
 
The (North) Korean Central News Agency reported on June 4 that the 
North's Central Court began the trial of the two U.S. journalists, 
Laura Ling and Euna Lee on the basis of the indictment already 
brought against them.  This is the first time that American citizens 
have stood trial in a North Korean court and it is also 
unprecedented for the North to announce the time of trial.  The date 
of the trial was announced on May 14.  An ROKG official speculated 
that it seems that North Korea is attempting to take advantage of 
this incident (to improve) negotiations with the U.S. 
 
A diplomatic source said that depending on their trial results, 
there is a great likelihood that former Vice President Al Gore, a 
founder of San Francisco-based Current TV for which the two 
journalists work, may visit North Korea as early as this weekend to 
take the journalists out of the North. 
 
Some observers believe that the plans by the U.S. delegation, led by 
Deputy Secretary Steinberg, to stay in Beijing during the weekend 
after its visit to the ROK is related to Al Gore's (possible) visit 
to North Korea.  In the past when North Korea took an American into 
custody, it allowed a U.S. special envoy to visit the country (to 
negotiate his release).  ROK authorities said that, given the past 
record, former Vice President Al Gore will likely take the reporters 
out of North Korea by paying the "costs of stay" which North Korea 
is expected to request.  Asked whether he is considering visiting 
North Korea during a May 15 interview with CNN, he said he would do 
everything including that option.  He added, however, that his visit 
to North Korea may not yield results because North Korea is a 
different country (from the rest of the world). 
 
Attention focused on whether Al Gore will act as special envoy to 
deliver President Obama's message to Pyongyang. 
 
Former Vice President Gore is seeking to visit North Korea in his 
capacity as a civilian who is the founder of Current TV, not in any 
governmental capacity.  In a regular press briefing, Deputy State 
Department Spokesman Philip Crowley said that the U.S. government 
does not have information about his visit because he is a civilian. 
Crowley also noted that for now the U.S. has no intention of 
relisting North Korea as a state sponsor of terrorism.  Observers 
say that (the government) made the statement (that it has no 
intention to relist North Korea) in consideration of the trial of 
the detained female reporters and Gore's (possible) visit to North 
Korea.  Shortly after North Korea's May 25 second nuclear test, the 
U.S. State Department said that it may consider putting North Korea 
 
SEOUL 00000893  005 OF 006 
 
 
back on the list of state sponsors of terrorism.  All attention is 
focused on whether Al Gore can act as special envoy to deliver 
President Obama's message to North Korean leader Kim Jong-il. 
 
It is noteworthy that on May 26, immediately after its nuclear test, 
North Korea allowed the two reporters to have a phone conversation 
with their families in the U.S.  A diplomatic source said that this 
may be North Korea's conciliatory gesture toward the U.S.  Also, 
North Korea allowed a Swedish Embassy official in Pyongyang to meet 
them three times.  This lenient attitude by North Korea is in stark 
contrast with its attitude toward a Hyundai Asan employee who has 
been detained in the North for 67 days. 
 
Many observers speculate that the U.S. and North Korea have largely 
reached an agreement on how to deal with this issue through the 
Swedish Embassy in Pyongyang or through the "New York channel 
(contacts between North Korean diplomats and U.S. officials at the 
UN)."  A diplomatic source said, however, "With talk of the U.S.'s 
financial sanctions on North Korea emerging, we cannot rule out the 
possibility that the North might behave capriciously."  A key ROKG 
official noted, "To my knowledge, although the U.S. proposed former 
Vice President Al Gore's visit to North Korea, the North has yet to 
give its final 'OK.'"  Even if there isn't a favorable verdict for 
the journalists, he may visit Pyongyang to reaffirm Washington's 
willingness to have high-level talks with the North.  When U.S. Army 
Chief Warrant Officer Bobby Hall was taken into custody in North 
Korea in 1994 after his army helicopter crossed the border, and 
Korean-American Evan Hunziker entered North Korea in 1996 by 
swimming across the Yalu River, then-Representative Bill Richardson 
visited North Korea to win their release. 
 
If the visit by former Vice President Gore's visit to Pyongyang 
takes place, it is expected to serve as a significant variable in 
U.S.-North Korea relations, which have been deteriorating due to 
North Korea's nuclear test and intercontinental ballistic missile 
preparations.  When war clouds hung over the Korean Peninsula during 
the first North Korean nuclear crisis in 1994, former President 
Jimmy Carter broke the deadlock by meeting with then-North Korean 
leader Kim Il-sung in Pyongyang and mediating the inter-Korean 
summit.  In October, 2000, then-U.S. Secretary of State Albright 
visited North Korea and discussed then-U.S. President Clinton's 
visit to the country.  There is also a possibility that former Vice 
President Gore may meet with Chairman Kim Jong-il.  An ROKG official 
noted, "If former Vice President Gore visits the North, we will have 
to ask him to help resolve the issue of an ROK detainee surnamed Yu 
in the North." 
 
The two U.S. journalists were arrested by the North 80 days ago on 
March 17 while reporting on the human rights of North Korean female 
refugees near the China-North Korea border.  They are charged with 
"illegal entry" and "hostile acts against North Korea." 
 
 
U.S. TO UNDERTAKE FINANCIAL SANCTIONS AGAINST NORTH KOREA 
(Chosun Ilbo, June 5, 2009, Front page) 
 
By Reporter Lim Min-hyuk 
 
The U.S has informed the ROKG of its decision to undertake intensive 
financial sanctions against North Korea, separately from a new 
resolution on sanctions against North Korea being pushed at the UN 
Security Council.  The sanctions are expected to be an expanded 
version of a 2006 freeze of North Korean accounts in Macau-based 
Banco Delta Asia (BDA). 
 
According to a Blue House official, the visiting U.S. delegation led 
by Deputy Secretary of State James Steinberg briefed President Lee 
Myung-bak and other officials yesterday on independent U.S. 
sanctions "with a financial focus" against North Korea.  The 
official said that at the time, the sanctions were slapped on a 
single bank, but the new sanctions would ban transactions with any 
banks suspected of being involved in the trade of North Korea's 
weapons of mass destruction. 
 
 
SEOUL 00000893  006 OF 006 
 
 
Diplomatic sources said that this time, the U.S. will impose 
comprehensive sanctions against all banks suspected of being 
involved in currency counterfeiting and money laundering as well as 
the trade of weapons of mass destruction.  The U.S. aims to curtail 
the North's financial dealings (with the outside world). 
 
The U.S. Treasury has reportedly finished a legal review of its own 
sanctions policy against North Korea.  According to the 
International Emergency Economic Powers Act (IEEPA) enacted in 1977, 
the U.S. president is authorized to declare the existence of an 
unusual and extraordinary threat to national security, foreign 
policy or economy and can then block transactions and freeze assets 
to deal with the threat.  The "Patriot Act" which served as the 
basis for BDA sanctions is still effective.  During a June 3 
interview with the media, Foreign Minister Yu Myung-hwan said that 
the U.S. has not punished North Korea for its illegal acts in order 
to continue to talk with North Korea but now there is no ground for 
the U.S. not to apply its domestic law. 
 
U.S. Under Secretary of Treasury for Terrorism and Financial 
Intelligence Levey reportedly met with Vice Finance Minister Hur 
Kyung-wook and Chairman of Korea Federation of Banks Shin Dong-Kyu 
to consult this matter. 
 
To ensure that the expanded version of BDA sanctions pays off, the 
U.S. needs cooperation from China since a significant proportion of 
North Korea's money circulation depends on China.  In the past, 
China expressed strong displeasure over the BDA sanctions.  During a 
meeting with President Lee Myung-bak, Deputy Secretary Steinberg 
said that it seems that North Korea is not realizing that China has 
changed in position.  He added that it is a great mistake for North 
Korea to think that it can get what it wants through negotiations 
after carrying out provocations, as it did in the past. 
 
Japan is also considering financial sanctions.  A Blue Office 
official said that Tokyo has already taken independent sanctions 
against the North in terms of money remittance and trade.  After the 
North launched a long-range rocket in April, Japan lowered the 
ceiling for remittances to the North from 30 million yen to 10 
million yen and is apparently considering banning remittances and 
trade fully. 
 
 
 
STEPHENS