

Currently released so far... 6230 / 251,287
Articles
Browse latest releases
2010/12/01
2010/12/02
2010/12/03
2010/12/04
2010/12/05
2010/12/06
2010/12/07
2010/12/08
2010/12/09
2010/12/10
2010/12/11
2010/12/12
2010/12/13
2010/12/14
2010/12/15
2010/12/16
2010/12/17
2010/12/18
2010/12/19
2010/12/20
2010/12/21
2010/12/22
2010/12/23
2010/12/24
2010/12/25
2010/12/26
2010/12/27
2010/12/28
2010/12/29
2010/12/30
2011/01/01
2011/01/02
2011/01/04
2011/01/05
2011/01/07
2011/01/09
2011/01/10
2011/01/11
2011/01/12
2011/01/13
2011/01/14
2011/01/15
2011/01/16
2011/01/17
2011/01/18
2011/01/19
2011/01/20
2011/01/21
2011/01/22
2011/01/23
2011/01/24
2011/01/25
2011/01/26
2011/01/27
2011/01/28
2011/01/29
2011/01/30
2011/01/31
2011/02/01
2011/02/02
2011/02/03
2011/02/04
2011/02/05
2011/02/06
2011/02/07
2011/02/08
2011/02/09
2011/02/10
2011/02/11
2011/02/12
2011/02/13
2011/02/14
2011/02/15
2011/02/16
2011/02/17
2011/02/18
2011/02/19
2011/02/20
2011/02/21
2011/02/22
2011/02/23
2011/02/24
2011/02/25
2011/02/26
2011/02/27
2011/02/28
2011/03/01
2011/03/02
2011/03/03
2011/03/04
2011/03/05
2011/03/06
2011/03/07
2011/03/08
2011/03/09
2011/03/10
2011/03/11
2011/03/13
2011/03/14
2011/03/15
2011/03/16
2011/03/17
2011/03/18
2011/03/19
2011/03/20
2011/03/21
Browse by creation date
Browse by origin
Embassy Athens
Embassy Asuncion
Embassy Astana
Embassy Asmara
Embassy Ashgabat
Embassy Ankara
Embassy Amman
Embassy Algiers
Embassy Addis Ababa
Embassy Accra
Embassy Abuja
Embassy Abu Dhabi
Embassy Abidjan
Consulate Amsterdam
American Institute Taiwan, Taipei
Embassy Bujumbura
Embassy Buenos Aires
Embassy Budapest
Embassy Bucharest
Embassy Brussels
Embassy Bridgetown
Embassy Bratislava
Embassy Brasilia
Embassy Bogota
Embassy Bishkek
Embassy Bern
Embassy Berlin
Embassy Belgrade
Embassy Beirut
Embassy Beijing
Embassy Banjul
Embassy Bangkok
Embassy Bandar Seri Begawan
Embassy Bamako
Embassy Baku
Embassy Baghdad
Consulate Barcelona
Embassy Copenhagen
Embassy Conakry
Embassy Colombo
Embassy Chisinau
Embassy Caracas
Embassy Canberra
Embassy Cairo
Consulate Curacao
Consulate Ciudad Juarez
Consulate Chennai
Consulate Casablanca
Consulate Cape Town
Embassy Dushanbe
Embassy Dublin
Embassy Doha
Embassy Djibouti
Embassy Dhaka
Embassy Dar Es Salaam
Embassy Damascus
Embassy Dakar
Consulate Dubai
Embassy Kyiv
Embassy Kuwait
Embassy Kuala Lumpur
Embassy Kinshasa
Embassy Kigali
Embassy Khartoum
Embassy Kathmandu
Embassy Kampala
Embassy Kabul
Consulate Kolkata
Embassy Luxembourg
Embassy Luanda
Embassy London
Embassy Ljubljana
Embassy Lisbon
Embassy Lima
Embassy Lilongwe
Embassy La Paz
Consulate Lagos
Mission USNATO
Embassy Muscat
Embassy Moscow
Embassy Montevideo
Embassy Monrovia
Embassy Minsk
Embassy Mexico
Embassy Mbabane
Embassy Maputo
Embassy Manama
Embassy Managua
Embassy Malabo
Embassy Madrid
Consulate Munich
Consulate Mumbai
Consulate Montreal
Consulate Monterrey
Consulate Milan
Embassy Pristina
Embassy Pretoria
Embassy Prague
Embassy Port Au Prince
Embassy Phnom Penh
Embassy Paris
Embassy Paramaribo
Embassy Panama
Consulate Peshawar
REO Basrah
Embassy Rome
Embassy Riyadh
Embassy Riga
Embassy Reykjavik
Embassy Rangoon
Embassy Rabat
Consulate Rio De Janeiro
Consulate Recife
Secretary of State
Embassy Stockholm
Embassy Sofia
Embassy Skopje
Embassy Singapore
Embassy Seoul
Embassy Sarajevo
Embassy Santo Domingo
Embassy Santiago
Embassy Sanaa
Embassy San Salvador
Embassy San Jose
Consulate Strasbourg
Consulate Shenyang
Consulate Shanghai
Consulate Sao Paulo
Embassy Tunis
Embassy Tripoli
Embassy Tokyo
Embassy The Hague
Embassy Tel Aviv
Embassy Tehran
Embassy Tegucigalpa
Embassy Tbilisi
Embassy Tashkent
Embassy Tallinn
Consulate Tijuana
USUN New York
USEU Brussels
US Mission Geneva
US Interests Section Havana
US Delegation, Secretary
UNVIE
Embassy Ulaanbaatar
Browse by tag
ASEC
AF
AE
AR
AORC
AJ
AU
AM
ABLD
AL
AMGT
ASUP
AFIN
APER
ABUD
AVERY
APCS
AEMR
ADCO
APECO
ASIG
AG
AA
AS
AFFAIRS
ASECKFRDCVISKIRFPHUMSMIGEG
AMED
AO
ACOA
AX
AROC
ATFN
ASEAN
AFGHANISTAN
AFU
AER
ALOW
AODE
ATRN
AID
AC
AGMT
CH
CO
CS
CE
CU
CLINTON
CG
CVIS
CMGT
CI
CJAN
CF
COM
CASC
CA
CBW
CM
CDG
CR
COUNTER
CD
CWC
CKGR
CN
CPAS
CJUS
CV
CONS
CT
CY
COUNTERTERRORISM
CIA
CACM
CDB
CAN
COE
COUNTRY
CLEARANCE
CACS
CONDOLEEZZA
CARSON
CL
CIS
CODEL
CTM
CB
ECON
EFIN
EAIR
EUN
EINV
ENRG
EG
ETRD
EPET
ETTC
ELAB
EU
ER
ET
EAGR
ECPS
ECIN
ELTN
EAID
EMIN
EWWT
EFIS
EIND
EC
ES
EN
EI
ENVR
ENGR
ENIV
EUNCH
ENVI
ETRDEINVECINPGOVCS
ELN
EZ
EXTERNAL
EINVECONSENVCSJA
EINT
EUR
ECINECONCS
ENNP
EFINECONCS
EK
ELECTIONS
ECUN
EINVEFIN
ECIP
EINDETRD
EUC
EREL
ECA
ENERG
ENGY
ETRO
EFTA
ECONCS
ECONOMICS
ECONEFIN
EINVETC
EINN
ESA
ETC
ETRDEINVTINTCS
ESENV
ETRDECONWTOCS
IN
IC
IR
IZ
IS
IAEA
IT
ICTY
IO
IA
IWC
ID
ICRC
ILC
INTELSAT
IMO
ISRAELI
IACI
ILO
ITRA
IBRD
IMF
ICJ
ICAO
ITALY
ITALIAN
IRAQI
INTERPOL
IV
IQ
IPR
INRB
ITPHUM
IIP
IL
INR
ITPGOV
IZPREL
IRC
INRA
INRO
IRAJ
IEFIN
IF
KDEM
KCRM
KJUS
KTIA
KWBG
KPAL
KIPR
KTIP
KE
KNNP
KGHG
KICC
KV
KTFN
KU
KCFE
KDRG
KWMN
KSCA
KGIC
KCOR
KFRD
KPKO
KSUM
KPRP
KPAO
KBCT
KIRF
KCFC
KISL
KREC
KSPR
KHIV
KBIO
KMCA
KMPI
KFLU
KSTH
KBTR
KS
KOMC
KOMS
KSEP
KPRV
KFLO
KHLS
KN
KWWMN
KUNR
KLIG
KSTC
KZ
KG
KRAD
KOLY
KTBT
KTDB
KOCI
KAWK
KCIP
KNPP
KWAC
KMDR
KAWC
KIDE
KSAF
KX
KWMNCS
KNEI
KCRS
KVPR
KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG
KACT
KO
KFSC
KR
KPWR
KMIG
KSEC
KIFR
KDEMAF
KFIN
KGCC
KPIN
KPLS
KIRC
KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG
KGIT
KBTS
KERG
KWMM
KRVC
KNSD
KVIR
KNUP
KTER
KDDG
KHSA
KMRS
KHDP
KTLA
KPAK
KNAR
KREL
KPAI
KTEX
KCOM
KNNPMNUC
KPOA
KRFD
KHUM
KDEV
KNUC
MOPS
MARR
MASS
MNUC
MO
MX
MCAP
ML
MTCRE
MR
MP
MY
MU
MIL
MAR
MC
MRCRE
MTRE
MA
MEPI
MV
MPOS
MD
MZ
MEPP
MOPPS
MAPP
MASC
MT
MERCOSUR
MK
MDC
MI
MAPS
MCC
MASSMNUC
MQADHAFI
MUCN
MTCR
MG
OREP
OVIP
OFDP
ODIP
OPDC
OAS
OTRA
OSCE
OECD
OIIP
OEXC
OPCW
OPIC
OPRC
OVP
OSCI
OTR
OSAC
OIC
OFFICIALS
OIE
PHUM
PREL
PGOV
PREF
PTER
PARM
PBTS
PINR
PINS
PHSA
PK
POL
PM
PINT
PE
PINF
PEL
PA
PARMS
PO
PLN
PROP
PALESTINIAN
PAO
PL
POV
PG
POLITICS
PEPR
PSI
PSOE
PU
POLITICAL
PARTIES
PBIO
PECON
PAK
POGOV
PINL
PKFK
PMIL
PY
PFOR
PHALANAGE
PARTY
PRAM
PMAR
PGOVLO
PUNE
PORG
PHUMPREL
PF
POLINT
PHUS
PGOC
PNR
PGGV
PNAT
PGOVE
PRGOV
PRL
PROV
PTERE
PGOF
PHUMBA
SENV
SY
SZ
SOCI
SO
SR
SNAR
SA
SP
SW
SMIG
SU
SCUL
SC
SAN
SN
SL
SG
SYR
SEVN
SF
SI
STEINBERG
SIPRS
SH
SNARCS
SOFA
SANC
SHUM
SK
ST
TRGY
TU
TBIO
TH
TS
TSPL
TT
TPHY
TSPA
TI
TK
TIP
TERRORISM
TZ
TX
TW
TD
TP
TC
TO
TNGD
TINT
TRSY
TR
TFIN
TURKEY
UK
UNGA
UN
UNHRC
UNMIK
UNO
UZ
UNSC
UP
UG
UNHCR
UNDC
US
UNAUS
USTR
UV
UNEP
UY
UNESCO
USUN
UAE
USEU
UNDP
UNCHS
UNVIE
UNCHC
UE
UNDESCO
USAID
Browse by classification
Community resources
courage is contagious
Viewing cable 06BRASILIA546, ICE THINNING UNDER BRAZILIAN FINANCE MINISTER PALOCCI
If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs
Understanding cables
Every cable message consists of three parts:
- The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
- The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
- The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #06BRASILIA546.
Reference ID | Created | Released | Classification | Origin |
---|---|---|---|---|
06BRASILIA546 | 2006-03-17 18:06 | 2011-02-23 00:12 | CONFIDENTIAL | Embassy Brasilia |
VZCZCXRO3508
PP RUEHRG
DE RUEHBR #0546/01 0761821
ZNY CCCCC ZZH
P 171821Z MAR 06
FM AMEMBASSY BRASILIA
TO RUEHC/SECSTATE WASHDC PRIORITY 4842
INFO RUEATRS/DEPT OF TREASURY WASHINGTON DC PRIORITY
RHEHNSC/NSC WASHDC
RUEHRG/AMCONSUL RECIFE 4485
RUEHSO/AMCONSUL SAO PAULO 6583
RUEHRI/AMCONSUL RIO DE JANEIRO 1726
RUEHBU/AMEMBASSY BUENOS AIRES 3867
RUEHAC/AMEMBASSY ASUNCION 5289
RUEHMN/AMEMBASSY MONTEVIDEO 6115
RUEHSG/AMEMBASSY SANTIAGO 5385
RUEHLP/AMEMBASSY LA PAZ 4430
RUEHQT/AMEMBASSY QUITO 1750
RUEHCV/AMEMBASSY CARACAS 3155
RUEHPE/AMEMBASSY LIMA 2881
RUEHBO/AMEMBASSY BOGOTA 3641
RUEHME/AMEMBASSY MEXICO 1937
RUEHC/USDOC WASHDC
C O N F I D E N T I A L SECTION 01 OF 02 BRASILIA 000546
SIPDIS
SIPDIS
NSC FOR CRONIN
TREASURY FOR OASIA - PARODI AND LEE
USDOC FOR 3134/ITA/USCS/OIO/WH/RD/DDEVITO/DANDERSON/EOL SON
USDOC FOR 4332/ITA/MAC/WH/OLAC/JANDERSEN/ADRISCOLL/MWAR D STATE PASS
USAID FOR LAC STATE PASS TO FED BOARD OF GOVERNORS FOR ROBITAILLE
E.O. 12958: DECL:03/16/2016
TAGS: EFIN ECON PGOV PREL BR
SUBJECT: ICE THINNING UNDER BRAZILIAN FINANCE MINISTER PALOCCI
REF: A) BRASILIA 0502
B) BRASILIA 0416
C) BRASILIA 0353
D) 05 BRASILIA 3349 and previous
Classified by Deputy Economic Counselor J. Andrew Plowman, resons 1.4 (b) and (d).
¶1. (C) Summary: The Congressional Investigative Commission (CPI) on Bingo Houses, which is conducting hearings into allegations of corruption in the Lula government, heard testimony on March 16 from a gardener/handyman who said Palocci had frequently visited a Brasilia house where several of his advisors are alleged to have conducted corrupt dealings. The CPI hearings were cut short by the arrival of a Supreme Court injunction, obtained by the ruling Workers Party (PT), which claimed the hearing violated Palocci's privacy rights. In contrast with previous CPI hearings on Palocci's activities, the opposition social democratic party (PSDB), which this week announced that Sao Paulo Governor Geraldo Alckmin would be its presidential candidate, did not try to shield Palocci and instead called for his departure. Palocci's international affairs advisor, who two weeks ago categorically denied that Palocci would depart the Ministry before the end of Lula's mandate, was far less certain in a discussion with Econoff on March 17.
¶2. (C) The markets are taking the news in their stride, as CSFB Chief Economist Nilson Teixeira told us that there is little expectation Lula would shift economic policies prior to the elections, even if Palocci were to leave. While Lula's commitment to macroeconomic orthodoxy is unlikely to falter, we have less faith in his March 16 statement that Palocci will stay on the job. The PT's ham-handed injunction caper has created the distinct impression that Palocci has something to hide and weakened him politically. While Lula may soon begin wondering whether Palocci's presence has not now become a bigger liability than asset, we do not expect an immediate change. End Summary.
New Witness Contradicts Palocci Denials ---------------------------------------
¶3. (SBU) Among the many allegations of corruption and/or involvement in influence peddling that have been leveled against Minister Palocci (Ref D and previous), one set revolves around the activities of a group of advisors who supposedly engaged in influence peddling and corrupt contracts. The group is alleged to have conducted these corrupt dealings at a Brasilia house rented by one of these advisors. Palocci testified to the CPI that he never went to the house. Costa and a driver for one of Palocci's aides both have contradicted that testimony.
¶4. (SBU) Costa's March 16 testimony to the CPI was cut short by the arrival of an injunction from the Supreme Court, obtained at the behest of the PT party, which claimed the hearings would violate Palocci's privacy rights. The PT justified the injunction on the grounds that Costa's testimony might touch on intimate details of Palocci's alleged activities at the house, since other witnesses have claimed that Palocci's advisors frequently brought prostitutes to the premises for parties. Even though it alleges the claims to be false, the PT argued that the testimony stood to violate Palocci's privacy rights.
Opposition no longer Shielding Palocci --------------------------------------
¶5. (C) In contrast with previous CPI sessions on the allegations surrounding Palocci, members of the opposition PSDB and PFL (Liberal Front Party) no longer sought to shield Palocci. In BRASILIA 00000546 002 OF 002 meetings prior to yesterday's CPI session, PSDB Party leaders had told PolCons that in retrospect, their decision to spare Palocci -- motivated by a desire to act as good citizens and preserve Palocci's fiscal policies -- had been a strategic error. The PSDB and PFL changed course at the March 16 hearing and in its aftermath, called for Palocci's departure and sharply criticized the PT decision to seek the Supreme Court injunction. PSDB party president Tasso Jereissati termed Palocci's tenure "unsustainable." Even some members of the PMDB party, nominally allies of the PT, jumped on the bandwagon, calling on Palocci to leave office.
¶6. (C) Throughout the roller-coaster ride of the Palocci corruption allegations, the ministry's international affairs advisor, Sergio Bath (please protect), repeatedly has assured us that Palocci has no intention of leaving the ministry. On March 3, he categorically denied reports published by the press that Palocci would leave to be Lula's campaign coordinator and stated that Palocci expected to stay in office for the remainder of Lula's term. In a March 17 conversation about the most recent developments, he was far less categorical, saying that he anticipated no change over the course of the next few days.
Markets Calm, Expect no Change ------------------------------
¶7. (SBU) CSFB Chief Economist Nilson Teixeira told Econoff March 17 that financial market participants appear not to be concerned about the latest twists in the Palocci saga. The most likely scenario, he stated, is that Palocci would remain on the job for the rest of Lula's term. Even were Lula to opt to replace Palocci, there was little chance he would change economic policies this late in the game. The economy was Lula's biggest success story going into the election, Teixeira pointed out. Even were Palocci to be replaced with someone like Senator Aloizio Mercadante, a senior PT member who has at times questioned the degree of the finance ministry's zeal in pursuing elevated primary surpluses, Teixeira believed there would be policy continuity for the remainder of Lula's term.
¶8. (C) Comment: The political equation surrounding Palocci has changed fundamentally given Lula's (entirely unexpected) resurrection in the opinion polls and the PSDB's decision to nominate Sao Paulo Governor Alckmin as its presidential candidate; the opposition no longer has any incentive to spare Palocci. Moreover, the ham-handed way in which the PT sought to stop yesterday's testimony with a supreme court injunction has created the distinct impression that Palocci has something to hide. Palocci has reasons to want to stay on the job, as his ministerial rank means that only the Supreme Court can prosecute him. Moreover, Lula has no obvious candidate to replace Palocci, for few people would be acceptable both to the markets and Lula's left wing. Lula must nevertheless be wondering whether keeping Palocci will not become an increasing liability, presenting the opposition with an easy target as the election season begins. We do not expect an immediate change, however, as the GoB evaluates the political fallout of yesterday's fiasco and, just maybe, begins to plot Palocci's exit strategy.
CHICOLA