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C O N F I D E N T I A L SECTION 01 OF 03 KATHMANDU 000093 
 
SIPDIS 
 
E.O. 12958: DECL: 01/28/2020 
TAGS: PGOV PREL KDEM NP
SUBJECT: NEPAL: PRACHANDA CITES PROGRESS, CHALLENGES AHEAD 
 
Classified By: Charge d'Affaires, a.i., John M. Ordway 1.4 (b/d). 
 
¶1. (C) Summary.  In a meeting with P-5 representatives, 
Maoist leader Prachanda claimed credit for recent movement on 
the peace process, but said that hardliners in other parties 
are trying to stop progress.  Prachanda continues to press 
for the formation of a national unity government, led by the 
Maoists or another "neutral" leader.  While the Maoists agree 
in principle with PM Nepal's "action plan" on the integration 
and rehabilitation of Maoist combatants, key issues such as 
the numbers and modalities of Army integration remain 
unresolved.  Prachanda said integration/rehabilitation and 
constitution drafting must move "simultaneously," given the 
low level of trust between the parties.  End Summary. 
 
Maoists Pushing Peace Process 
----------------------------- 
¶2. (C) United Communist Party of Nepal-Maoist Chairman Pushpa 
Kamal Dahal "Prachanda" met with representatives of the P-5 
plus Japan on January 28.  Outgoing U.S. Charge Ordway and 
incoming Charge Camp attended the meeting.  UN Representative 
Karin Landgren briefed the group on the recent UNSC debate on 
UNMIN's mandate extension.  Prachanda said that Maoist 
"unilateral" action has led to recent progress on the peace 
process, citing the discharge of disqualified combatants, 
postponement of the indefinite general strike, formation of 
the High-Level Political Mechanism (HLPM), and agreement "in 
principle" on the action plan on integration and 
rehabilitation of verified Maoist combatants.  "Some leaders" 
in other political parties are against the peace process, 
Prachanda charged, because they worry that the promulgation 
of the new constitution will benefit the Maoists, not them. 
 
Maoists Still Want National Unity Government 
-------------------------------------------- 
¶3. (C) According to Prachanda, the High-Level Political 
Mechanism seeks to create a "conducive environment" to 
conclude the peace process.  The HLPM's third meeting on 
January 29 will discuss the "root cause" of the political 
stagnation (from the Maoist perspective):  the President's 
reversal, in May 2009, of the dismissal of the then-Chief of 
the Army Staff by then-Maoist PM Prachanda, undermining 
"civilian supremacy."  Addressing the President's 
"unconstitutional" step is quite necessary,  and will lead to 
the formation of a government of national unity, Prachanda 
said.  Without a such a unity government, it will be 
"difficult" to conclude the peace process within the 
specified time. 
 
¶4. (C) Camp asked whether the Maoists will insist on leading 
a national unity government.  Prachanda said that the 
Maoists, as the largest party in the Constituent Assembly, 
have the right to form a national unity government, but may 
be able to accept a neutral leader from another party.  The 
Maoists cannot accept M.K. Nepal's continued leadership. 
(Note: Kathmandu is rife with rumors that Prachanda has cut a 
deal with G.P. Koirala, in which the ailing Koirala would 
become PM.  End Note.)  On timing, Prachanda said the 
national unity government "should" be formed before May 
(note: slightly leaving the door open to a unity government 
after promulgation of the constitution, but before elections, 
an idea floated recently by senior Maoist leader Baburam 
Bhattarai). 
 
Integration/Rehabilitation and Constitution Together 
--------------------------------------------- ------- 
¶5. (C) Prachanda said that the integration and rehabilitation 
of the 19,602 "verified" Maoist combatants must move 
simultaneously with the finalization of the constitution -- a 
position contrary to the Government's (which says that 
integration/rehabilitation must come before the 
constitution), although he did admit that one could come a 
few days before the other.  The Maoists are "seriously 
suspicious" of the Government's proposed sequencing, given 
 
KATHMANDU 00000093  002 OF 003 
 
 
the recent comments by the Indian Chief of Army Staff (no 
Maoists should be integrated into the Nepal Army), the GON 
Defense Minister (the Nepal Army can veto any integration 
plan), and PM Nepal (the Maoists could end up like the LTTE). 
 If the Maoists eliminate their army first, they worry that 
the GON could dissolve the Constituent Assembly and impose 
presidential rule and/or "seriously repress" the Maoists. 
 
¶6. (C) Despite the Maoist agreement "in principle" with the 
GON's plan, finishing the process by May will be difficult, 
Prachanda said.  He outlined his negotiating position:  5,000 
- 10,000 Maoists should be integrated into the Nepal Army, 
4,000 rehabilitated into society, and the remainder 
integrated into the Nepal Police, Armed Police, and new 
security organs.  (Note: informally, most experts believe 
that a reasonable plan would integrate approximately 5,000 
Maoists into all security institutions, including the police 
and Army.  End Note.) 
 
UNMIN Safety Blanket for Maoists 
-------------------------------- 
¶7. (C) On UNMIN, Prachanda said the Maoists would have 
preferred a full six month mandate extension (i.e., to June 
28).  Once UNMIN leaves, Prachanda worries that the 
"atmosphere" will change, leading to the "isolation" of the 
Maoists.  Asked by Prachanda if UNMIN might stay past May if 
the parties extend the constitution deadline, Landgren and 
the French ambassador did not reply directly, but said that 
the UNSC would need to know by March whether the GON planned 
to request an extension.  Ordway underscored the importance 
of sticking to the May 28 deadline in the Comprehensive Peace 
Agreement.  In the absence of concrete progress with a clear 
end to the process in sight, it will be difficult for the 
international community to support any mandate extension. 
 
Constitution Drafting Unlikely to be Complete by May 28 
--------------------------------------------- ---------- 
¶8. (C) Prachanda said the Maoists remain committed to 
finishing the constitution by May 28, but acknowledged the 
difficulty of meeting the deadline.  The Maoists want to 
avoid a "constitutional vacuum" on May 29.  If the deadline 
cannot be met, Prachanda sees two options:  (1) approving a 
"shortcut" constitution which would leave the details to the 
future parliament, or (2) extending the timeframe for six 
months to allow for completion of the draft.  Even though no 
one is saying so publicly, Prachanda says that leaders of the 
major parties, including G.P. Koirala, favor a six-month 
extension. 
 
India, Strikes, and Violence 
---------------------------- 
¶9. (C) Prachanda said that the Government of India's policy 
toward the Maoists remains "unclear."  For example, Prachanda 
wondered why the Indians have not publicly supported the 
HLPM.  Responding to the questions of the Japanese 
Ambassador, Prachanda said that he personally opposes general 
strikes ("bandhs"), but that Nepal has developed a culture 
whereby "no one listens to you" unless you strike.  The 
Maoists oppose violence, Prachanda added, claiming that the 
youth wings of other parties have killed 70 Maoists since the 
CPA signing in 2006, whereas the Maoists have "only" killed 
10-12 people. 
 
Comment 
------- 
¶10. (C) The Maoist movement on the peace process in recent 
weeks is encouraging -- and Prachanda is right to claim 
credit -- but these positive steps have not translated into 
greater trust between the parties.  Reaching consensus on key 
issues, such as the integration and rehabilitation of the 
former Maoist combatants, will be difficult, particularly as 
hardliners (Maoists and non-Maoists) dig in their heels. 
Prachanda's continuing obsession with the President's May 
2009 "unconstitutional move" and demand for a government of 
 
KATHMANDU 00000093  003 OF 003 
 
 
national unity is also troubling.  Forcing out the current 
government -- which will not go willingly -- would likely 
delay or even stop progress in the peace process. 
CAMP