

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 04BRASILIA572, WORST OF BRAZILIAN SCANDAL HAS PASSED
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. #04BRASILIA572.
Reference ID | Created | Released | Classification | Origin |
---|---|---|---|---|
04BRASILIA572 | 2004-03-10 20:08 | 2011-02-23 00:12 | CONFIDENTIAL | Embassy Brasilia |
This record is a partial extract of the original cable. The full text of the original cable is not available.
C O N F I D E N T I A L SECTION 01 OF 03 BRASILIA 000572
SIPDIS
DEPT FOR WHA/BSC
E.O. 12958: DECL: 03/10/2014
TAGS: PGOV ECON SOCI KCRM BR
SUBJECT: WORST OF BRAZILIAN SCANDAL HAS PASSED
REF: A. BRASILIA 402
¶B. BRASILIA 458
¶C. BRASILIA 564
¶D. SAO PAULO 378
Classified By: POLOFF RICHARD REITER, FOR REASONS 1.5 B AND D.
¶1. (C) SUMMARY. On March 4, Brazil's Workers' Party (PT) quashed efforts to set up a congressional inquiry (CPI) into the gaming sector and the "Waldomiro Diniz" scandal (refs A,B). This, coupled with the fact that no new allegations pointing to wrongdoing by PT leaders have emerged in recent days, suggests that the worst of the scandal has passed. Lula's Chief of Staff, Jose Dirceu, was emboldened to give a defiant press interview in VEJA magazine. The post-mortem shows that the winners include PMDB Senator Jose Sarney, who gave key support to the administration in quashing the CPI. Losers, aside from Dirceu, include PT Senator Aloizio Mercadante and PL Senator Magno Malta. Other big losers are the nation's more than 120,000 bingo parlor employees put out of work when Lula closed the parlors February 20.
¶2. (C) And of course the Workers' Party has lost political capital. It is too early to say whether the scandal will hurt the PT in October's municipal elections, but it is likely to slow the legislative agenda in an already compressed congressional year. The PT may also emerge more dependant on its coalition partners (who will extract maximum benefits in return), particularly the PMDB, which was instrumental in saving the PT from worse disgrace. The PT's poor response to the crisis is in part due to its inexperience with ethics scandals, but the party is likely to discover that learning these lessons is politically expensive. END SUMMARY.
CONGRESSIONAL INQUIRY GETS PUT IN A DRAWER ------------------------------------------
¶3. (SBU) On March 4, three weeks after the "Waldomiro Diniz" scandal broke --in which a senior advisor on President Lula's staff was caught soliciting bribes from a numbers racketeer-- the Workers' Party used a parliamentary tactic to quash efforts to establish a congressional inquiry (CPI). The CPI was sponsored by Senator Magno Malta, of the coalition's Liberal Party. On March 4, Malta filed his petition with the Senate leadership, but the fix was already in. Senate President Jose Sarney, a leader of the coalition's PMDB party, went ahead and authorized the CPI, but then neither the PT nor the PMDB nominated their members to the committee. Without a quorum, the committee could not be established and, in the lexicon, was "put in a drawer". Investigations by the Federal Police, the Federal Prosecutor, and the Rio state assembly still continue. With the CPI threat gone, and the fact that no new allegations against PT leaders have emerged in recent days, the worst of the scandal appears to have blown over.
JOSE DIRCEU FINALLY GOES PUBLIC -------------------------------
¶4. (U) In fact, Lula's embattled Chief of Staff Jose Dirceu, for whom Waldomiro Diniz worked, felt emboldened enough to make his first public statement when he gave a long interview for the March 10 issue of VEJA magazine. Defiant, Dirceu wondered why the opposition politicians who now say they have known about Diniz's malfeasance for over a year did not raise the issue earlier. Saying that he made a mistake in trusting Diniz but committed no crime, Dirceu confirmed that Lula refused his offer to resign. He insisted that the scandal is not an "institutional crisis" and that the Workers' Party maintains its "standard of ethical behavior and transparency".
LEGISLATIVE AGENDA A TOUGH SELL -------------------------------
¶5. (C) The Lula administration and the PT have not emerged unscathed. Lula's personal approval remains at a teflon 60%, but his government's popularity has slipped to 38% (ref C). Even PT politicians tell us that the administration will have to work harder to sell its bills in Congress and may have to offer more pork to coalition allies. Congress is now turning to its legislative agenda (one PT Federal Deputy told us that when the PT caucus in the lower house held its weekly meeting on March 9, crisis management was not even on the agenda), which in the coming weeks will include the Energy Model, Public-Private Partnerships, a Bankruptcy Law, follow-on legislation for last year's tax and pension reforms and possibly judicial reforms. (A bill to reform campaign financing, which got an early boost from the scandal, has once again been put on the back burner.) The legislative plate is full of tough bills, and with municipal elections set for October, Congress will essentially stop working when it goes into recess on June 30.
WINNERS... -----------
¶6. (SBU) The post-mortem on the scandal is still being written, but there are some clear winners and losers. Among the winners are Senate President Jose Sarney (PMDB) who provided sound advice and procedural support in helping the administration quash the CPI. Rumors that Sarney will be rewarded by getting to name the next head of Electrobras have resurfaced, and it is rumored that the PT will support Sarney's bid to amend the constitution to allow him to remain as Senate President through 2006. Similarly, leading PMDB Senator Renan Calheiros and Chamber Speaker Joao Paulo Cunha (PT) worked hard on the administration's behalf and will expect recognition. Meanwhile, former-Rio Governor Anthony Garotinho, who came in third in the 2002 presidential elections, is positioning himself for another presidential run in 2006. Though Garotinho heads Rio's PMDB branch --and the PMDB is part of Lula's coalition-- he did not miss the opportunity to slam the administration over the Diniz scandal.
...AND LOSERS -------------
¶7. (C) The list of losers from the Diniz scandal must start with Chief of Staff Jose Dirceu. He appears to have dodged the bullet, in that there is no evidence that he was personally involved in corrupt activities. But Diniz worked for him, and there are still unanswered questions about Dirceu's role in both the Diniz and Celso Daniel (ref D) cases. Dirceu is convinced that another member of Lula's inner circle, Communications Secretary Luiz Gushiken, tried to undermine him with tactical leaks over the past weeks, and Lula reportedly had to mediate their dispute. In a March 2 poll (ref C), two-thirds of Brazilians said Dirceu should step down, either temporarily or permanently, from his post.
¶8. (SBU) Leading PT Senator Aloizio Mercadante also came out badly. It was he who gave disastrous tactical guidance to the PT caucus in the Senate that nearly resulted in the CPI being established. (There is some speculation that Mercadante may be replaced by Calheiros as the coalition's floor leader in the Senate.) Liberal Party Senator Magno Malta, leader of the PL's Senate caucus, was badly damaged by his insistence on requesting the CPI, despite the fact that the administration and PL leadership were opposed. (The PL is a coalition member and the party of Vice President Alencar.) Malta gave a tearful mea culpa on the Senate floor on March 9, but he may be forced out of his leadership position, if not out of the party altogether.
BINGO PARLORS OUT OF LUCK -------------------------
¶9. (C) Bingo parlors are losers, and an estimated 120,000 or more gaming employees are out of work. On February 20, Lula issued a decree closing all bingo games and slot machines in Brazil. Bingo was originally legalized in 1993 to allow gaming houses to affiliate with sports clubs and donate 7% of their revenues to the clubs' upkeep. However, many clubs complain that they never received the promised bingo revenues. PT Federal Deputy Jose Eduardo Cardozo told us the system is "a fraud", and the bingo parlors are simply money laundering operations. PT floor leader Arlindo Chinaglia assured us that Congress will support Lula's decree (which must be approved by Congress to remain in force), and no thought is being given to reopening the parlors anytime soon.
WORKERS' PARTY IMAGE TARNISHED ------------------------------
¶10. (C) And of course the Workers' Party has lost political capital. It is too early to say whether the scandal will have an impact on October's municipal elections, and there are still seven months for the party to recover, but the declining popularity of the PT-led administration indicates that the party has suffered a black eye. The PT's code of ethics is more than just image (of 76 members of Congress who are currently defendants in criminal or electoral cases, none is a PT member), but the spate of bad press is damaging, and PT candidates will be hard-pressed to point fingers at their opponents' misdeeds in the election run-up.
¶11. (C) The PT showed itself inexperienced in crisis management, precisely because it is rarely faced with ethical crises. The fact that it was saved by behind-the-scenes support from figures like Senators Jose Sarney and Antonio Carlos Magalhaes, both widely perceived as ethically-challenged, but who have therefore developed superb crisis management skills, is surely not lost on the public or the Workers' Party rank-and-file. The PT learned some tough lessons that it hoped never to need, and finds itself diminished as a result.
COMMENT - PT NOW A HOSTAGE? --------------------------- 12. (C) Pundits here wonder whether, and to what extent, the PT now finds itself held hostage by its coalition allies. The large PMDB party, in particular, is never shy about demanding pork, the right to fill federal job vacancies, compromises on controversial legislation, and now deals on local-level coalitions in the upcoming elections. One PT Deputy told us with a sigh that campaign finance reform and labor reform will not pass this year because the PT will have to limit its exposure on controversial bills. There still may be time and political capital to pass important legislation, but the expectations have been sharply reduced by the scandal. This is surely not how Lula and the PT wanted to begin their second year.
VIRDEN