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Document Number (FOIA) /ESDN (CREST): 
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Document Creation Date: 
April 3, 2019
Document Release Date: 
April 12, 2019
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Publication Date: 
June 15, 1971
41137 Approved for Release: 2018/10/01 C06626609 DEPARTMENT OF STATE TELEGRAM 3.5(c) MFG. 117./0 CONFIDENTIAL' HCG4 17 PAGE 01 LA PAZ 03228 152200Z 90 82 ACTION ARA-20 INFO OCT -01 AID-28 E-15 NSC-10 RSC-0i CIEP-0 1 SAL-02 SS-20 STR -08 CI AE-00 COM-08 FRB-02 INR-08 NSAE-00 TRSE-00 XMB-06 OPIC-12 TRSY-1 1 INT-06 L-04 PRS-01 RSR -0 1 /165 W 119664 ,____(....122._dgyci-6144-7 . � FM AMEMBASSY LA PAZ ( TO SECSTATE WASHDC 4022 CONFIDENT I ALrLAPAZ 3228' -7 PASS OPIC (EF: STATE 10479-0 SUBJECT: MEETING WITH AMBASSADOR SANCHEZ DE LOZADA CI: AMBASSADOR SANCHEZ DE LOZADA CALLED ON ME THIS MORNING/. WE WILL ALSO BE HAVING LUNCH TOMORROW AND PROBABLY ANOTHER CONVERSATION LATE THURSDAY OR FRIDAY BEFORE HE DEPARTS. IN THE CO UR SE OF THE CO NVER SAT ION THE FOLL OWING INTEREST I NG THINGS EMERGED: (A) AS PREDICTED ST TE 104 795 ORDERS WERE ISSUED YESTERDAY TO CHARGE SAENZ TO SIGN THE REQUIRED DOCUMENT REGARDING THE GAS PIPELINE LOAN. (B) THE AMBASSADOR FINDS THE POLITICAL SITUATION IN BOLIVIA "GREATLY DETERIORATED" IN THE LAST SIX MONTHS. HE FEELS THE PRESIDENT HAS VERY LITTLE POWER AND VERY FEW OPTIONS. HE FINDS THE COUNTRY, AND ESPECIALLY THE MIDDLE CLASS, "EXTREMELY DEMORALIZED". HE BELIEVES SOME KIND OF CRISIS IS SHAPING UP WITHIN THE NEXT TWO WEEKS AND WONDERS HOW GOVERNMENT IS GOING TO DEAL WITH THE POPULAR ASSEMBLY. FTRESIDENT TORRES APPEARED T.0_._HIM TO BE "GRAY AND HAGGARD"--.1T HERE IS A DEBATE IN THE CABINET ABOUT RELATIONS WITH THE US. SOME, LED BY MACHICADO AND LUNA , ARE IN FAVOR OF POSITIVE ACT ION TO STRENGTHEN US/ BOLIVIAN RELATIONS; OTHERS, UNNAMED, ARE OPPOSED. SOME CABINET CONFIDENTIAL Approved for Release: 2018/10/01 C06626609 Approved for Release: 2018/10/01 C06626609 DEPARTMENT OF STATE TELEGRAM CABLE SECRETARIAT DISSEM BY PER * TOTAL COPIES: REPRO BY MEG. 11-70 FILE RF. CONFIDENTIAL PAGE 02 LA PAZ 03228 152200Z OFFICERS (HE LATER SAID TWO) ARE ACCUSING THE MILGRP OF POLITICAL PLOTTING. (C) SANCHEZ DE LOZADA WAS NOT AWARE THAT THE COCHABAMBA BNC HAD BEEN RETURNED YESTERDAY. HE DID SAY, HOWEVER, THAT THE GOVERNMENT INTENDS TO ISSUE A DECREE ESTABLISHING REGULATIONS FOR THE GOVERNING OF ALL SUCH CENTERS OF WHATEVER NATIONALITY ON AN EQUAL BASIS. HE THOUGHT THIS A GOOD THING ALTHOUGH HE DID NOT KNOW THE TERMS OF THE DECREE. PRESUMABLY, THIS REFERS TO THE PRESIDENT'S REMARKS TO ME IN OUR LAST MEETING ABOUT IDENTICAL RULES FOR ALL CENTERS. (D) I TOLD THE AMBASSADOR I THOUGHT THE BNC RETURN IS A VERY FAVORABLE DEVELOPMENT AND ALSO EMPHASIZED THE IMPORTANCE OF PROCEEDING PROMPTLY WITH NEGOTIATIONS ttITH IMPC, I STRESSED TO HIM, AS I HAVE TO THE PRESIDENT AND THE FONMINISTER, THE FACT THAT ALMOST SIX MONTHS HAVE PASSED WITHOUT ANY POSITIVE STEPS TOWARD COMPENSATION HAVING BEEN TAKEN. SANCHEZ DE LOZADA EXPRESSED THE OPINTION THAT SERIOUS NEGOTIATIONS COULD NOT BE UNDERTAKEN SO LONG AS MENDEZ PEREIRA WAS MINISTER OF MINES. WHETHER OR NOT THIS IS TRUE, IT IS TO BE REMEMBERED THAT SANCHEZ DE LOZ DA AND MENDEZ PEREIRA ARE LONG-STANDING, BITTER ENEMIES. WITH REGARD TO THE MATILDE EXPROPRIATION, THE AMBASSADOR SAID HE KNEW FOR A FACT THAT PHILLIPS BROTHERS, AT LEAST, HAD NO INTENTION OF ENTERING INTO ANY SERIOUS NEGOTIATIONS WITH BOLIVIA. HE SAID PHILLIPS BROTHERS INTENDS ONLY TO GO THROUGH THE MOTIONS WHILE RELYING ON OPIC INSURANCE FOR COMPENSATION. THE AMBASSADOR SAID THAT COMIBOL IS IN A TERRIBLE SITUATION AND BADLY NEEDS RE- ORGANIZATION AND REFINANCING. A PROBLEM CREATED BY THE MATILDE PAYROLLS ARE PAID THREE TIMES AS MUCH AS THOSE WORKING FOR COMIBOL AND DOING THE SAME OR SIMILAR JOBS. 2. � THE AMBASSADOR SAID THAT THE PEOPLE CLOSEST TO THE PRESIDENT ARE HIS PRIVATE SECRETARY, VALLENTSITS, ,ND MINISTER- SECRETARY NEL ARU AND THAT BOTH ARE EVIL INFLUENCES. HE SAID HIS RELATIONS WITH THE FONMINISTRY, ESPECIALLY WITH SUB-SECRETARY LAREDO ARE BAD AS ALWAYS 9UT HE HAS NOT YET MADE UP HIS MIND AS TO WHERE FONMINISTER TABORGA STANDS. LOZADA SAID . HE TOLD TABORGA THAT THE GOVERNMENT MUST DO SOMETHING TO IMPROVE RELATIONS WITH THE US. HE SAID HIS OWN "HOOFER RATING" WAS. VERY HIGH AFTER THE TIN DEnT.SION BUT CONFIDENTIAL Approved for Release: 2018/10/01 C06626609 a: Approved for Release: 2018/10/01 C06626609 DEPARTMENT OF STATE TELEGRAM CABLE SECRETARIAT DISSEM BY PER # TOTAL COPIES: REPRO BY MFG. 11-70 FILE RF. CONFIDENT IAL PAGE 03 LA PAZ 03228 152200Z HAD BEEN VIRTUALLY DESTROYED BY SUBSEQUENT EVENTS IN BOLIVIA, HE SAID AMERICAN CONSERVATIVES HAD BEEN AL IENATED BY THE NATIONALIZATIONS AND THAT AMERICAN LIBERALS HAD BEEN ALIENATED BY THE PC OUSTER WHICH WAS A SYMBOL OF THE KENNEDY SPIRIT. HE SAID THE ONLY FRIENDS BOLIVIA HAS LEFT IN THE US ARE THE PEOPLE WORKING WITH BOLIVIAN AFFAIRS IN THE STATE DEPARTMENT. 3. I BROUGHT TO THE AMBASSADOR � S ATTENTION AN EDITORIAL IN TODAY'S EL D IAR TO SEVERELY ATTACKING HIM FOR DELAYING THE SIGNATURE OF AGREEMENTS NECESSARY FOR CONSTRUCTION OF THE GAS PIPELINE ON THE GROUNDS THAT THE REQUIRED ARGENTINE GUARANTIES ARE ONEROUS. THE EXTREME LEFTIST WR ITER OF THIS EDITORIAL, DANIEL R ODR IGUEZ , TOOK THE LINE THAT THE AMBASSADOR IS WORKING CONTRARY TO THE NATIONAL INTEREST BY DELAYING PROGRESS ON THE PIPELINE AGREEMENTS AND RAISING QUESTION AS TO HIS CAPACITY TO REPRESENT THE REVOLUTIONARY GOVERNMENT ADEQUATELY IN WASHINGTON HE POINTED OUT THAT THE ORIGINAL ARGENTINE GUARANTY WAS PR OPSOED BY NO LESS A REVOLUTIONARY CHARACTER THAN EX-MINES MINISTER MAR CELO QUIROGA SANTA CRUZ; THEREFORE, THEY COULD NOT BE HUMILAT I NG TO THE NATION. GP-3 SIRACUSA 'CONFIDENT IAL Approved for Release: 2018/10/01 C06626609 Approved for Release: 2018/10/01 C06626609 : . By George A. Lawton , speq4i.N7*.:,*4!0_0(prisiist LA PAZ, Bolivia, Oct. The recently of ' l,i,vi,e,. s.G...,,,e-h., n Jose lCrres,27h;a4k.m.g . mem- bers 0f his e;6: . have. been quietly expelled from Peru, it :ii'indined:iere, day. The - Peruvian - government didi not. exPlettl.the,actlit . '..�:.- , Torres, . whose '�igt*e ''.*.4 to-kilo Aug., .. t- - .. , _ ,, . . -' 2i .was :granted il'''''''-'- essy'''' 'h'e' :.11i, -an'se::47,-Nyiiilvtan :E111:, 45441714 ' " ' - within -two i';!..:,:iitsekti al'ittiilv;elisti'lh,y,fa4Tia'e,o'if; 1.,,ti,,t, 'der: less formal ''6.6editione,;' 411aS e-inilitant Bolivian 'ahoy iw- tb 6acNr:-::4nd'-'1ir401-e..,et...emot2 the ' iiima "Peoples Assembly," Ju - /3137,'7 4Buo, 14:ll4e:t' :4' elitilhin hasnT6unqnii'drri().6.10r:':fig- tiLe - in Bolivian labor *cies ' in 'Bolivia's'.,-Ii52 revantiell, '. � whent eh s' ' 4:: ' was.; ' ' dallniiIii- f'i''..''''ii-.:terri'asatlEot:ifgti.el:n mines under --ii.44.0i51.,!7ft.if- 61. vice president nieilLH:,- llY'ech paia. - ',fled first to gua! ' th 410 test .- e. -,..n.Tueia. 'yfra',;,,e,n..-zot..,the ete.;11014.f.tial an statns:,of an exiled cabinet - miniater. However, Lee,14.11, later 1worked his "way to the Bolivian-Peruvian bar- der where, according to some tOo into Once in wceoenkago�Lechin reportedly . con- sulted - With received re- peatedfrom both Peruvian Foreign Minister Gen. Edgardo Mercado Jar- ia4-eed-Yresddelit74tisiv-Ire.. evening,laseu that his personal asylum was completely secure. But last Saturday tiena delegation of agent5 1 ' fying themselves es being from the PTP. (Peruvian FBI) entered the hotel suite of -fprteel:',..PfeeideetTertei. who ws"s"..,:he.1,4,-,:inteivie*ed by 'tlits toreporter. The PJ.P.. id Turres that Lechin had been arrested in a private house M-a:;r4Muz4Uhurh four hours earlier. They jhan,bluntly-Ttild Gen. Torres 'tad 'ter of information. Ramiro VilIairael, that ' they - must re- gimePresidente Petit for Chile. ' heard' the next plane leaving Approved for Release: 2018/10/01 C06626609 Approved for Release: 2018/10/01 C06626609 Torres, Ex-Pre Found Afard � si ent of Bo1iv4 ed in , .BUENOS AIRESi,June3 (AP) loose�:tillianel'of,left-wing civil �The body of former President ians:f. ank"..offiners-�,Y. that had Juin. .-.Tosd Torres of Bolivia wrested power -free.; rightists -who only 'a few days previously had taken:, over in a coup. ; In 1987, as Chief- of Staff of the artried , forces, General Torres helped plan the ,Operrt tion that resulted in the tie.ath hai beenloCnid on a rural read- , side,-,the auto ties said today. They said General Torres was blindfolded and had been shot tivice iri the heck and once ' In an "effielat statement, the of Ernesto Che Guevara, the -reptidiated. a wave ,,,r.;O:th-Viele.:nce it said has :c.f4; ..�;colliitry's. image erai ;The?0,,lettivinledg bi3911V10 gen. e _ ,e t en- iring in exl n Argentina, the ;P. ,� e a. a , ' b -e n-- disappeared Accordingto the VIPsfiO _ s� io41 Pen /14 eskoieainri,',ea:in!abt1- laleidentfiedaihociiesWas aiming police viru:t tree tit layes,zeri:jhei,a ranch llld 65 aGeea ago the riddladbodieP?ltte4ani.Wero Two weeks bullet after armed me dragged them from their homes, Argentme,born �Cuban revolu- tionary who sought to organize a peasants' 'revolt in Bolivia. Yet' in August 1971, General Torres,. had. hi elf swung so far left that conservative Bo. livian leaders,, fearing he Was turningthe nbuntry toward the Soviet sphere and into Cuban style sOcialtain, ',overthrew hi4 Governatent;Re was foreecl �td flee into exde in Peri. A Rapid Ascent Born into a poor � family in the town of coeha.bamba.,- Gen- eral Torres was a graduate of of the Bolivian Military acad- emy, at whirl he -later taught Ie rose,, Most ;,,rapidly :in rank during the 12-year. -presiden0 of Victor Paz. Estetiasoml Nito . . - � . _Safe' than :-320 - PePple have .- ,Po ,_ . ltbv beek,killed in all .fcirrns:Of .po,, young ....Offieer; including -Juan litinal',.tdoleidee-Sitine-IVI' 24 Jost Torres, .,.. : . -.�.-- . � when the 'armed forces over But in 1964 General' Torres, theW,-:�1?...residents.-Isibel:: Marti- then a 'nOlonel;. supported :the tlea'..iti''PerditV!Wititi'.'-piOriliSe 1 wit..� tita.r.Y/.e.a.aP;,,,..that,�=0V-erthraW- i to`.teetere order and protect hit. the leftist"-iind.--.dernoeratie'Paz nieti..:.,rikhts, -,.. : -..'. - - -'A - ,,,' regime. Under the late Presi- but ;for t Pe9Ple;' ratlitary.0.0 '9f 1111 ' Ilfe; as a frowneded on e4t,r.eara" of the usuallY ribt and the'left, was ta to the height of power on Oct 6, 197O in the climax LliPhe val of one of Vi s 1/18113r Pad- ",,,Preelaitnca ed hims �t%a revolution of dent Ake*: 11.44 teilto;o400, 46'''''j.a0eV.4"::?".APhitgleaddiqt.b. re- gimeUruguay ail briefIy as Mm shy in Seotember 19&9: Canera ::::of.44itAdolftij.S.0..s.i 'The. ne*',.tiVaridit'fOOVerritairit made him chief of the armed forces but -rn July 1970 under pies :Genetal':;::;::.IOarraO.tilanbarge.d.! GeneralIerreS'arid,1:retired,hhtifrom the army .!: -;,'Pottit that General:- '-...Zoitea resumably started sflotting ievoliition and i own--assirruptilon of presil Approved for Release: 2018/10/01 C06626609 Approved for Release: 2018/10/01 C06626609 Approved for Release: 2018/10/01 C06626609 Approved for Release: 2018/10/01 C06626609 Ex-Leader Of Bolivia Disappears By Joanne Omang Washinton Post Foreign ServiCe BUENOS AIRES, June 2 --Former Bolivian president Juan Jose Torres Gonzalez, ot'ertlirown y -a nnflTary coup in 1971, disappeared trom his home in exile here .csterday Morning, his wife reported. She believes he was kidnaped. Torres. who go' creed in i.970 and 1971 as a leftist populist. left, his downto-xn apartment in this Arzentine capital al t3:30 rester- (-lily planning lo lake Ihe tatoily car for sonic errands. his wife Emma Obleas de Tories told journalists this morning. She said he failed to show up at a noon appointment and the car had not been moved. "I- call on the gov- ernment of my country [Bo- livia] to demand a clarifica- tion from the authorities of. Argentina of the circum- stances in which my husband disappeared," Mrs. Torres said. A spokesman Argen- lina's ruling military junta .said federal police were "checking the complaint but. ha% e no confirmation that a kidnaping has occurred." \not her mililary officer close In hr rzovernment said ihey had iii ruled oin -the that he has jusl into Torres. 51. is Hie third , prominent exile lo sanish 11(.1-0 since the military c...11V. rrnineill, 100k over March 24. tiruguayan political figures Zeinar Michclini and flec- tor Gutierrez, Ruiz were Found dead in an abandoned May 21, their bullet- riddled bodies bearing the marks of a right-wing death squad-style killing. Torres helped plan and carry out the U.S.-backed operation against Ernesto Che Guevara's guerrilla forces in the Bolivia moun- tains that resulted in Gue- vara's death in 1967. There was speculation here that Torres disappearance v, the work of leftist guerrillas retaliating for that anion. tm May 11, Bolivia's ambas- sador to France. Joaquin ZcnIeno Anaya. was assassi- nated in what Iris as a reprisal for his role in operation against Gueviii.a. Approved for Release: 2018/10/01 C06626609 Approved for Release: 2018/10/01 C06626609 HE 7ASITINGT-QN, POST June 3, 196 " By Joanne Omang w'!�51,111FtoP,;',.T` FOreign,terYlcn BUENOS AIRES, June 2 �Former Bolivian president Jua**40se'T9,rfis:,Perizalei, coup in - 1971, diaappearc� vfidru:' his home YestOrOLOy,:porpi,n,g-, his wile ,She believes - was kidnaped. Torre. -who genicd hi 1970 and 1971 a , leftist l*tnizert in tIii 'apitol at 8:3a '4.m clay 1aArrnh1:1* an,*to tal lamily car for iome errands. - ,tuitei othis , morning. 1Puts beene said ho failed to show ;07 einm 01. 'r � � not ntry [Bo- livia] to demand a clarilica- es of A:.:rfg(F44,Iii(' husband disappeared," Mrs. ()fres -suakmniii thi junta10,;,,ctp1111:itp1721'n' .tu htia.vle.e614116 policon-that a.- e were 1 occurred."r ei� I c' had nut ruled; 9 it ,(1 '4'n(s t � r 11;ts Approved for Release: 2018/10/01 C06626609 Approved for Release: 2018/10/01 C06626609 tfyi--3 Former President of Bolivia Reported Missing in Argentina (BUENOS AIRES, June 2 (UPI) �Former President Juan Jos� Torres Gonzales of Bolivia dis- appeared after leaving his house � yesterday and sources close to his family said they feared he had been kidnapped. t Mr. Torres, who has been liv- ing in Argentina as a political refugee, was reported missing last night He served as Bolivia's Pres- ident for 10 months in 1970 and 1971 and went into exile in Peru after the military coup that brought to power the right-wing regime of Gen. Hugo Banzer Suarez. Mr. Torres moved to the Argentine capital in 1973. Sources close to the Torres family said the former Pres- ident had not been seen since he left his house early yester- day. Mrs. Emma Obleas de Torres said her husband had left their apartment yesterday morning but failed to keep sev- eral appointments during the day, There was no official word on his fate. Two weeks ago, two Uru- guayan leftist politicians, who also had sought political asy- lum in Argentina in 1973, were kidnapped. The bullet-riddled, handcuffed bodies of the two politicians, Zelmar Michelini, a former Senator, and Hector Gu- tierrez Ruiz, the ex-president of the Uruguayan Chamber of Deputies, were found five days later in an abandoned car. Ar- gentina's military government ordered an investigation into the killings but the results are not known. Earlier yesterday, a leader of Associated Press Juan Jos�orres the Radical Civic Union, Argen- tina's main apposition party during the administration of President Isabel Martinez de Peron, told the police one of the party's members had been kiduapped. Enrique Vanoli, political secretary of the par- ty's national committee, said that Guillermo Alonso, his wife, their son and the family maid were abducted at their home in Buenos Aires. The police have not commented on the re- port. Woman Dies in Hotel Pall SAN JUAN, P. R., June 1 (AP) �Louise Hooper, 54 years old, of Jersey City, fell to her death from the 20th floor of the Sheraton Hotel, the police said Tuesday. They said Miss Hooper checked into the hotel Thursday. ONE MILLION KIDS THE FRESH AIR FUND 1J Approved for Release: 2018/10/01 C06626609