Nicaragua News Service August 28-September 3, 1994 Vol. 2, No. 37 by Colleen Littlejohn Major news stories for the week: 1. EPS celebrates 15th birthday 2. Ex-police from RN ambush former colleagues 3. Nicaraguan aviation criticized by US FAA 4. NGO donations taxed again 5. Antonio Ibarra disappears from Bolivia 6. Cholera kills 72 so far in 1994 7. US company signs contract with INE 8. Antonio Lacayo defends the right to re-elect president 9. Transport back to normal 10. Lucius Walker of IFCO honored by National Assembly ____________________________________________________ 1. EPS celebrates 15th birthday The Sandinista Popular Army celebrated its 15th birthday last week at the famous San Jacinto farm, site of a famous battle where the US filibuster William Walker was defeated by locals armed with practically nothing more than sticks and stones, according to the local legend. The atmosphere was much different from that of the 14th birthday celebrated last year in the Olaf Palme convention center when President Chamorro announced that General Humberto Ortega would be retired in 1994. That announcement, which was made without consulting Nicaraguan army officials, led to a public dispute with General Humberto Ortega and his brother, Daniel, and signified the beginning of months of tense relations between the Executive and the military. High officials of the military were a little nervous this year also, however, because President Chamorro, who had arrived the night before from Panama, showed up an hour late, due to the fact, as she explained to local journalists, that she forgot to reset her watch due to the time difference in Panama. According to the official program, President Chamorro was to sign into law the recently approved Military Code but that activity was suspended until the afternoon, when she signed the bill in her office in the presence of General Ortega and his closest officials. The signing in her office was meant to be a symbolic act signifying the subordination of the military to the executive branch of the government. According to the new code, a new head of the army will be named on December 21st of this year and will assume authority on February 21st of 1995. General Joaquin Cuadra is expected to succeed General Ortega. (Barricada 9/3) 2. Ex-police from RN ambush former colleagues A group of policemen from Jinotega were ambushed last week by a group of 20 recontras led by Pajarillo, who had been named months before as the Regional Delegate of the Ministry of Government by the Alfredo Mendietta, Minister of Government. The National Police are under the Ministry of Government. One policeman was killed and another wounded in the attack. The police were on a mission outside of Jinotega trying to track down a gang of thieves who had been assaulting on the major roads the day before. Meanwhile, violence continue uncontrolled in the countryside. The leader of UNAG for the Southern Autonomous Region (RAAS) was kidnapped recently and is presumed murdered. Other producers kidnapped from the Fifth region still have not been released, while their families try to get together the ransom demanded. A combined army-police force of 400 is cracking down on kidnapping in the Fifth Region (Barricada 9/3) 3. Nicaraguan aviation criticized by US FAA Nicaragua will protest a recent decision of the US Federal Aviation Administration which lists Nicaragua together with 8 other Latin American and African countries as being countries whose national airlines will not have access to US territory because of substandard government regulation of international safety standards in aircraft maintenance, pilot training and general safety standards. Vice-Minister Transport and Construction, Ing. Raul Leclair, stated that the Nicaraguan government was surprised by the measure which "wounds patriot feelings and the international image of Nicaragua." Other Latin American countries affected are Honduras, the Dominican Republic, Uruguay and Paraguay. Nicaraguan officials complained that the FAA investigation was done in 1992 and that the announcement last week does not take into account the improvements made in the last two years. Supposedly, the FAA ruling would not affect the national airline, NICA, which is partially owned by the El Salvadorean company, TACA, which is registered and approved by the FAA. According to TACA, the FAA ruling means that the Nicaraguan equivalent to the FAA does not have the capacity to supervise NICA. However, La Prensa ran headlines stating that NICA was only allowed to fly to the US if they used US crews and equipment, similar to the case of the rest of the Latin American countries on the list. Beliz was reported to have refused the US offer to provide services in exchange for landing privileges. Bolivia, El Salvador and Guatemala have permission to fly to the US but must subject all their operations to strict US control. (Barricada 9/3; La Prensa 9/2) 4. NGO donations taxed again The Sandino Foundation (FACS) accused the government of criminal neglect for not authorizing the release from customs of a European Economic Community (EEC) donation of 2,271 tons of rice and 450 tons of cooking oil, destined for the victims of this years devastating drought. The food has been sitting in the Corinto port since August 6th. In response, Enrique Brenes, vice-minister of Economy and Development stated that the EEC must pay a 5% tax on the international value of the donation, before it can be released to the Sandino Foundation. According to the official, this new tax was approved by the Ministers of Economy and Development, Agriculture and External Cooperation in March of this year, and that the decision was communicated to national NGOs. A spokesperson for the FACS however denied that the local NGOs had been informed of the new measure. The government claims that food donations distort local prices and depress local production. Large rice producers have particularly complained. Brenes, however, stated that the food donation managed by the FACS could possibly be exempted from taxes if it were signed over to the Ministry of Social Action to distribute "in order to be sure that it really gets to the final beneficiaries." (Barricada 9/1, 9/3) 5. Antonio Ibarra disappears from Bolivia Antonio Ibarra, former vice-minister of the presidency and right hand man of Antonio Lacayo, wanted for robbing over $1 million from government social emergency funds, has disappeared without a trace from Bolivia, the country that has given Ibarra protection against am extradition order pending on him from Nicaragua. Ibarra, a naturalized US citizen, was under house arrest in Bolivia for having bribed two judges of the Bolivian Supreme Court to vote to deny Nicaragua's request to bring him to justice. Ibarra disappeared the day that he was to appear in a Bolivian court to testify about the bribery charges. Meanwhile, both the government of Bolivia and Nicaragua are requesting the assistance of INTERPOL to capture Ibarra and Nicaragua insists that he be extradited to Nicaragua to face charges. It is thought that Ibarra has escaped to the US but Bolivian immigration officials do not have a record of him leaving the country. (Barricada 9/3) 6. Cholera kills 72 so far in 1994 The Ministry of Health released a report last week which stated that a total of 72 people have died this year of cholera. A total of 3,907 people have been affected so far this year by the disease. The departments most affected by cholera are Managua, Nueva Segovia, Jinotega and Matagalpa. In Managua the neighborhoods most affected include La Primavera, Altagracia, Ciudad Sandino and Colonia San Jacinto. (Barricada 9/3) 7. US company signs contract with INE The Nicaraguan Energy Institute signed a fifteen year contract with the US company US Power and Light to install an electrical substation in Tipitapa, outside of Managua, and for US Power and Light to sell energy to the state. According the Emilio Rappacholi, Director of INE, the country plans to invest a total of $260 million over the next 4 years in order to be able to produce 225,000 kilowatts of energy. Of that total, $145 million will come from private foreign investment. According to an INE official, private investment in energy will cause a "slight rise in rates," but he would not specify as to how much. (Barricada 9/3) 8. Antonio Lacayo defends the right to re-elect president One of the most controversial issues in the very long term, debate on constitutional amendments in the National Assembly is that of whether or not to permit presidential re-election. Last week former vice-president Sergio Ramirez blasted Antonio Lacayo for delaying the reform process because Lacayo is in favor of re-election and the possibility of electing blood or married relatives of the previous president to the nation's highest office. Lacayo is supported by members of the Center Group, the Social Democratic and the Socialist party members of the National Assembly, according to Jaime Bonilla of the Liberal Constitutional Party (PLC). Lacayo came out for presidential re-election last week and said that he would be "delighted to serve another six years under Dona Violeta." When she was asked for comments during the EPS birthday celebrations, President Chamorro stated that it was too early to start talking about all that and that she still had two years to go. (Barricada 9/3; La Prensa 9/2) 9. Transport back to normal Transportation is back to normal this week after the end of the strike which cost the country over $17 million in losses, according to initial figures. Local merchants calculate that they lost over $660,000 in lost sales. The strike was settled last Wednesday dawn when representatives of the Superior Transport Council signed an agreement with the government which recognized approximately 70% of the demands of the transport workers, according to leaders of the CNT, the National Transport Council. One of the major gains was the promise that the government would give a one cordoba (approximately $0.15) subsidy per gallon of fuel for public transport units, and that the subsidy would continue until February of 1995. The strike was marked by less violence than those previously held, with the exception of last Tuesday night, when shots were fired and vehicles damaged near the offices of the Parrales Vallejos union. Roberto Gonzalez, leader of the union, was briefly held on charges of instigating the violence. (Barricada 9/1; La Prensa 8/31) 10. Lucius Walker of IFCO honored by National Assembly Lucius Walker, a US Baptist pastor and director of Interreligious Foundation for Community Organizing (IFCO) and the Pastors for Peace caravans to Central America and Cuba was honored last week by the Nicaraguan National Assembly. Rev. Walker was given the "Pedro Joaquin Chamorro" medal for his humanitarian assistance programs in benefit of the people of Nicaragua. Many religious and Nicaraguan NGO officials, especially those from NGOS working on the Atlantic Coast, were present at the ceremony, which for a few brief moments reminded those present of former times. Rev. Walker spoke about why Nicaragua was so important to him given that it was obvious that governments, especially the US government, could not be expected to implement a true people to people foreign policy given the US Administration's policies towards Nicaragua under Reagan. He also spoke of the need to lift the embargo and normalize relations with Cuba.