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### Viewing cable 08LAPAZ2623, BOLIVIA: MORALES MANIPULATES MEDIA OWNERS

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Reference ID | Created | Released | Classification | Origin
--- | --- | --- | --- | ---
08LAPAZ2623 | 2008-12-22 15:03 | 2010-12-03 21:09 | CONFIDENTIAL | Embassy La Paz

`

    VZCZCXYZ0009
    PP RUEHWEB

    DE RUEHLP #2623/01 3571502
    ZNY CCCCC ZZH
    P 221502Z DEC 08
    FM AMEMBASSY LA PAZ
    TO RUEHC/SECSTATE WASHDC PRIORITY 9558
    INFO RUEHAC/AMEMBASSY ASUNCION 8679
    RUEHBO/AMEMBASSY BOGOTA 6039
    RUEHBR/AMEMBASSY BRASILIA 0002
    RUEHBU/AMEMBASSY BUENOS AIRES 7222
    RUEHCV/AMEMBASSY CARACAS 4270
    RUEHGE/AMEMBASSY GEORGETOWN 0917
    RUEHPE/AMEMBASSY LIMA 4603
    RUEHMD/AMEMBASSY MADRID 4336
    RUEHMN/AMEMBASSY MONTEVIDEO 6033
    RUEHPO/AMEMBASSY PARAMARIBO 0567
    RUEHQT/AMEMBASSY QUITO 6884
    RUEHSG/AMEMBASSY SANTIAGO 1664
    RUMIAAA/USCINCSO MIAMI FL
    RHEHNSC/NSC WASHINGTON DC
    RHMFISS/HQ USSOUTHCOM MIAMI FL
    RUEHUB/USINT HAVANA 1564
    RUEKJCS/SECDEF WASHINGTON DC
    RUEAIIA/CIA WASHINGTON DC
    RHEFDIA/DIA WASHINGTON DC

` `

    C O N F I D E N T I A L LA PAZ 002623

    SIPDIS

    E.O. 12958: DECL: 12/04/2018
    TAGS: PGOV PREL ODIP OIIP KPAO EAID BL
    SUBJECT: BOLIVIA: MORALES MANIPULATES MEDIA OWNERS

    REF: LA PAZ 2569

    Classified By: PAS Couselor Denise Urs for reasons 1.4 b,d

    ¶1. (C) Summary: Bolivian President Evo Morales continues on
    the offensive against the media, part of a long-running
    campaign against the Bolivian media. Through verbal and
    financial assaults, the Bolivian Government is attempting to
    manipulate the way news is reported in this country. The GOB
    uses financial tactics, such as hitting media with tax bills
    or spending large sums of money on advertising, to influence
    editorial lines and to create a fog about truthfulness. It
    is also using its own media to expand and reinforce a cult
    following around Morales. End summary.

    GOB on the Attack

    ¶2. (SBU) The latest round of political attacks against the
    media (reftel) is part of an ongoing battle. President Evo
    Morales regularly calls the media his "principal opposition,"
    and his "enemies." Notwithstanding his latest barbs,
    however, Morales usually adds that he is not against
    journalists, but against media owners. Rumors have been
    floating for months that in order to attempt to protect the
    President from his "enemies," Venezuelan investors are trying
    to purchase various outlets including La Paz's second-largest
    daily La Prensa, but so far there is no evidence that any
    sales have been concluded.

    ¶3. (C) Instead, the GOB is intimidating media outlets
    through legal proceedings and showing favoritism in the
    distribution of its significant ad budget to push the press
    toward a more favorable view of its policies. In one
    example, the GOB sent La Razon, the largest newspaper in La
    Paz, a tax bill for nearly $5 million for having "avoided
    taxes during 2006." High-level officials at La Razon
    speculated to Public Affairs Section officers that this tax
    bill may have been an attempt to intimidate the paper to move
    from its generally anti-GOB editorial stance. The tax
    liability would also lower the value of the paper so that it
    could be sold at a lower price.

    ¶4. (C) Nationalization of certain companies has also helped
    the GOB push its press agenda forward. On May 1, President
    Morales nationalized communications giant Entel, one of the
    largest advertisers in Bolivia. The GOB has been accused of
    using the enormous advertising budgets of the companies it
    has nationalized, including Entel, to reward media that
    publish pro-GOB articles and to punish those that do not.

    ¶5. (C) With only one exception, anti-GOB television network
    Unitel, all of the major media in Bolivia accept direct paid
    advertising from the Government, including spots that label
    the media as "liars" and suggest that Bolivians should not
    trust what they read, see, or hear from the press.
    Ironically, these same media often editorialize against the
    GOB during the same broadcasts or in the same newspapers that
    carry anti-media ads. PAS officers have asked media
    directors why they continue to carry the GOB ads, and all
    have stated that without the income it would be more
    difficult to survive in the very competitive market.

    Who owns the Media?

    ¶6. (SBU) Although the majority of media in Bolivia are
    privately owned, it is difficult to determine who the owners
    are. There are no public records that prove ownership, and
    companies or individuals who own majority stakes can sell
    without a public paper trail. There are regular rumors about
    the possible sale of outlets, but proof of such sales is nil
    and the rumors usually fade quickly.

    ¶7. (C) Another issue of concern is the influence of
    Venezuelan money in the media. PAS regularly hears that
    Venezuelan businessmen are negotiating the purchase of one of
    the television networks (usually cash-strapped ATB) as well
    as numerous newspapers that are in financial trouble. Others
    claim it is mere speculation. Nevertheless, Venezuelan money
    has built a technically stronger, pro-government, populist
    media network in the main Bolivian cities, called Radio y
    Television Popular.

    ¶8. (C) La Paz,s second largest daily La Prensa reported
    that Morales has reformed state-owned media outlets in an
    effort to expand the popularity and cult following of the
    President. The GOB created a network of community radio
    stations, an internet wire agency (ABI), and expanded the
    reach of the Government-owned TV Channel 7 using a $9 million
    donation from Venezuela to install 120 repeaters. There are
    also reports that the budget for Channel 7 operations has
    expanded by $3.8 million and that the normal procurement
    protocols have been dropped. The political opposition claims
    that the President is advised by a team of communications
    experts from Venezuela as well as other countries.

    ¶9. (C) Under the Morales administration, Channel 7, Empresa
    Nacional de Television, has become one of the government's
    primary media tools, often presenting biased and misleading
    information, openly propagandizing for the President and his
    policies, and discrediting the opposition. Channel 7 is
    intent on expanding its reach and influence throughout the
    country. The manager of Channel 7 announced that it is
    upgrading to digital technology, a costly investment by
    Bolivian standards. A year ago, Channel 7 announced the
    receipt of a donation of equipment from unknown sources to
    improve its reach in the departments of La Paz and Santa
    Cruz, and that it had purchased 50 new repeaters to be
    distributed to remote locations in the west and the Amazon
    region. After the Iranian President's visit to Bolivia early
    in 2007, some publications reported that Channel 7 would get
    a large donation (some reported the intended donation would
    be a multi-million dollar investment) to strengthen the state
    TV network, but there has been no indication that this is
    going to materialize. Iranian media are now reporting that
    the donation will be in the form of Spanish-language
    programming. Channel 7 also airs Venezuelan Government-owned
    Telesur programming as part of its regular daily schedule.

    Who Owns the Print Media?

    ¶10. (SBU) Two major media conglomerates appear to own most
    of the media in Bolivia. Spanish group Prisa (owners of the
    Spanish daily El Diario) owns La Razon; ATB, a private TV
    network; and &Extra8 a cheap sensationalist daily. The
    other media conglomerate, the Canelas and Rivero families,
    owns most of the national major dailies throughout the
    country. In La Paz, they own La Prensa; in Santa Cruz,
    leading daily El Deber; in Cochabamba leading daily Los
    Tiempos; they also own the only daily in El Alto, El Alteo;
    in Sucre, Correo del Sur; in Potosi, El Potosi; and in
    Tarija, El Nuevo Sur. The Canelas-Rivero Group papers are
    generally critical of the Government. Other smaller,
    independently owned newspapers fight for ever-shrinking
    private-sector advertising revenues and often accept GOB
    advertising to continue printing.

    Comment

    ¶11. (C) Bolivia's media environment is increasingly
    difficult. The GOB, aided by large Venezuelan investments,
    has used financial pressures in an attempt to change the
    editorial line of the media, and to hasten or provoke the
    sale of media outlets. The regular rumors about the
    impending sales of media may be a smoke screen to cover an
    actual sale, they may be a rouse to frighten the media, or
    they may simply be the imagination of media owners. It is
    always possible, however, that media will be sold without
    public knowledge, changing the opinion-leader landscape in
    the country. End comment.
    LAMBERT

`