UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 PTQ0447 SECRET PTQ0447 PAGE 01 MEXICO 01676 202219Z ACTION ARA-01 INFO LOG-00 ACDA-10 ACDE-00 INLB-01 ACQ-01 SMEC-00 INL-01 OASY-00 DOEE-00 SRPP-00 DS-00 EUR-01 OIGO-01 H-01 TEDE-00 INR-00 10-00 L-01 ADS-00 M-00 NSAE-00 OMB-01 PA-00 PM-00 PRS-00 P-00 CIO-00 SP-00 USIE-00 ASDS-01 PMB-00 DSCC-00 PRMC-01 DRL-09 G-00 030W ------------------9C2404 202219Z 68 RELEASED IN PART R 201155Z FEB 97 1 4 B B1 B7 D B7 C B7 F 1 4 D B7 M FM AMEMBASSY MEXICO TO DEAHQS WASHDC SECSTATE WASHDC 2364 DIRFBI WASHDC DOJWASHDC INFO AMEMBASSY GUATEMALA AMEMBASSY BOGOTA IRS WASHDC USINS WASHDC Classified by DAS MGrafeld A GIS DoS 4 24 14 - Class SECRET - Reason EPIC EL PASO TX 1 4 B 1 4 D - Declassify on 02 19 2022 DIA WASHDC CIA WASHDC TREASURY WASHDC DIRONDCP WASHDC AMCONSUL MONTERREY CUSTOMS WASHDC AMCONSUL CIUDAD JUAREZ SECDEF WASHDC AMCONSUL HERMOSILLO SECRET REVIEW AUTHORITY Oscar Olson Senior Reviewer SECRET PAGE 02 MEXICO 01676 202219Z AMEMBASSY OTTAWA AMCONSUL NUEVO LAREDO AMCONSULMATAMOROS AMCONSUL TIJUANA AMCONSUL GUADALAJARA AMCONSUL MERIDA UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 It UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 S E C R E T MEXICO 001676 E O 12958 DECL 02 12 07 TAGS PREL KJUS KCRM SNAR PGOV PINR MX SUBJECT ATTORNEY GENERAL MADRAZO EXPLAINS GUTIERREZ ARREST DISMISSAL TO AMBASSADOR REFS MEXICO 1562 1 SECRET - ENTIRE TEXT CLASSIFIED BY AMBASSADOR JAMES R JONES EMBASSY MEXICO REASON 1 5 B 2 SUMMARY AMBASSADOR URGED ATTORNEY GENERAL JORGE MADRAZO ON FEBRUARY 19 TO USE THE OPPORTUNITY PRESENTED BY THE DISMISSAL AND ARREST OF INCD COMMISSIONER GENERAL GUTIERREZ SEPTEL TO PRESS FOR APID ARREST OF TOP MEXICAN NARCOTRAFFICKERS AND A CONSTRUCTIVE GOM RESPONSE TO DRAFT USG ADMINISTRATION OF JUSTICE PROPOSALS 3 MADRAZO SAID THAT GUTIERREZ WOULD FIRST BE TRIED IN A CIVILIAN FEDERAL COURT THEN IN A ILITARY COURT HE SAID THE CASE AGAINST GUTIERREZ IS WELL-DOCUMENTED THE CIVILIAN TRIAL WILL BE MEXICO'S FIRST PROSECUTION UNDER THE RECENTLY ENACTED ORGANIZED CRIME LAW AT THE MOMENT SECRET B1 1 4 D B7 C Per DEA SECRET PAC F 3 MFXIC C 0197R 9092197 B1 1 4 D MADRAZO WILL BE APPOINTING A BLUERIBBON OVERSIGHT COMMISSION OF TOP MEXICAN LEGAL SCHOLARS MADRAZO FEARS THAT SOME IMPORTANT PGR INVESTIGATIONS MAY BE COMPROMISED BY GUTIERREZ AND SAID THAT WHOMEVER IS CHOSEN AS NEW INCD COMMISSIONER WILL BE SUBJECTED TO AN EXTENSIVE VETTING PROCESS FOR THE MOMENT THE CENDRO DIRECTOR GENERAL TITO VALENCIA WILL SERVE AS INTERIM COMMISSIONER OF THE INCD END SUMMARY4 AMBASSADOR WAS JOINED IN THE FEBRUARY 19 MEETING AT PGR HEADQUARTER B7 C B7 F Per DEA A GOLDEN OPPORTUNITY FOR SWEEPING REFORM UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 5 AMBASSADOR SUMMARIZED WASHINGTON REACTION TO THE GUTIERREZ FIRING HE EXPLAINED THAT HE HAD EARLIER SUGGESTED TO SRE UNDER SECRETARY REBOLLEDO AND PRESIDENTIAL CHIEF OF STAFF TELLEZ THAT A CANDID AND COMPREHENSIVE SECTION ON CORRUPTION BE ADDED TO THE DRAFT DIAGNOSTIC PAPER SLATED TO BE RELEASED IN WASHINGTON FFRRI IARY 91 HP POINTFn nl IT THAT ffHE GUTIERREZ INCIDENT PROVIDES MADRAZO AND THE GOM A GOLDEN OPPORTUNITY FOR SWEEPING STRUCTURAL REFORMS A CLEAN BREAK WITH THE PAST BY EFFECTING SUCH REFORMS AMBASSADOR EXPLAINED MADRAZO COULD TAKE SECRET SECRET PAGE 04 MEXICO 01676 202219Z A NEGATIVE-SEEMING EVENT AND TURN IT INTO A POSITIVE ONE 6 AMBASSADOR POINTED OUT THAT NOW WOULD ALSO BE THE IDEAL MOMENT FOR MEXICO TO ARREST THE LEADERS OF THE MAJOR CARTELS SUCH DRAMATIC ARRESTS WOULD HAVE THE SAME POSITIVE EFFECT ON U S OPINION IN THE AREA OF BILATERAL LAW ENFORCEMENT AS MEXICO'S EARLY REPAYMENT OF U S LOANS HAS HAD IN THE FINANCIAL AREA FIRST CASE UNDER NEW ORGANIZED CRIME BILL 7 MADRAZO BEGAN BY EXCUSING HIS EXHAUSTION EXPLAINING THAT HE HAD BEEN WORKING FOR DAYS WITHOUT SLEEP ON THE GUTIERREZ MATTER HE OBSERVED THAT THE 120 PAGE INDICTMENT AGAINST UTIERREZ CONSTITUTES THE FIRST CASE TO BE TRIED UNDER MEXICO'S NEW ORGANIZED CRIME LAW AMONG THE CHARGES AGAINST GUTIERREZ WILL BE CRIMES AGAINST HEALTH COUNTERNARCOTICS AND CRIMES AGAINST THE ADMINISTRATION OF JUSTICE PROVISIONS CONTAINED IN THE NEW LAW B7 C Per DEA 8 MADRAZO SAID THATTHE ARRESTS OF GUTIERREZ UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 4 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 SECRET SECRET PAGE 05 MEXICO 01676 202219Z B7 C Per DEA OUR CASE AGAINST GUTIERREZ IS WELL-DOCUMENTED 9 MADRAZO SAID THAT THE CASE AGAINST GUTIERREZ IS WELL DOCUMENTED THERE ARE NUMEROUS 131 WITNESSES 1 4 D B7 A B7 F 10 THIS TESTIMONY MADRAZO EXPLAINED WILL CONFIRM THAT DRUGLORD AMADO CARRILLO FUENTES'S ASSOCIATE EDUARDO GONZALEZ PERSONALLY PASSED TO GUTIERREZ KEYS TO A MEXICO CITY APARTMENT -- THE APARTMENT WHICH GUTIERREZ USED AS HIS MEXICO CITY RESIDENCE THE EVIDENCE IS THAT GUTIERREZ RECEIVED THREE SEPARATE PAYMENTS FROM CARRILLO FUENTES WHILE INCD COMMISSIONER ONE OF USD 3 000 ONE OF USD 50 000 AND ONE OF USD 300 000 SECRET SECRET PAGE 06 MEXICO 01676 202219Z CERVANTES HIMSELF BEGAN THE INVESTIGATION 11 MADRAZO SAID THAT SECRETARY OF DEFENSE UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 CERVANTES PERSONALLY BEGAN THE INVESTIGATION OF GUTIERREZ ON DECEMBER 9 ONLY A FEW DAYS AFTER BEING APPOINTED INCD COMMISSIONER THE INVESTIGATION WAS COMPLETED ON FEBRUARY 6 HE SAID THAT THE PGR'S ORGANIZED CRIME UNIT HAD SPENT THE LAST FIVE DAYS AND NIGHTS WITHOUT LEEP FORMULATING THE FEDERAL INDICTMENT TWO TRIALS CIVILIAN FEDERAL THEN MILITARY 12 MADRAZO STATED THAT THERE WOULD BE TWO TRIALS A CIVILIAN CRIMINAL TRIAL IN A FEDERAL COURT THEN A MILITARY TRIAL THE MILITARY TRIAL WILL DEAL WITH THE NUMEROUS ALLEGATIONS CONCERNING GUTIERREZ' AND HIS ASSOCIATES' ACTIVITIES WHILE HE WAS COMMANDER OF MEXICO'S FIFTH MILITARY ZONE IN GUADALAJARA HIS POSITION BEFORE BECOMING INCD COMMISSIONER 13 MADRAZO CONCLUDED RUEFULLY THAT GUTIERREZ HAD DECEIVED A LOT OF PEOPLE IN THE ARMY AND THE SECRETARIAT OF DEFENSE OUR FIRST IMPRESSIONS OF HIM WERE ALL VERY POSITIVE HE ADDED THAT THE PUBLIC MESSAGE SENT BY HIS FIRING WAS MEANT TO BE SECRET SECRET PAGE 07 MEXICO 01676 202219Z VERY STRONG -- THAT EVEN AT THE HIGHEST LEVELS MEXICAN OFFICIALS CANNOT CARRY OUT CRIMES WITH IMPUNITY WHO WILL BE THE NEXT INCD COMMISSIONER 14 MADRAZO TOLD AMBASSADOR THAT NO DECISION HAD YET BEEN REACHED ON WHO WOULD NEXT BE NAMED INCD COMMISSIONER CENDRO DIRECTOR GENERAL TITO VALENCIA WILL SERVE AS ACTING DIRECTOR IN THE INTERIM HE STATED THAT WHOEVER IT IS WILL BE SUBJECTED TO THE MOST DEMANDING TESTS HE WILL UNDERGO POLYGRAPH TESTING URINE TESTING FOR DRUG USE A FULL INVESTIGATION OF HIS PROPERTY AND BACKGROUND AS WELL AS ADDITIONAL TESTS AND INVESTIGATIONS OTHER TOP PGR MILITARY NOT INVOLVED UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 15 MADRAZO TURNED TO TWO OTHER ARMY GENERALS IN TOP PGR POSITIONS VALENCIA AND FEDERAL JUDICIAL POLICE COMMANDER GENERAL GUILLERMO ALVAREZ NARA HE SAID THAT ALVAREZ NARA WAS NEVER CLOSE TO GUTIERREZ DURING THEIR PREVIOUS MILITARY EXPERIENCE THE TWO OPERATED IN VERY DIFFERENT AMBITS GENERAL ALVAREZ NARA REFTEL WAS PREVIOUSLY HEAD OF THE MILITARY JUDICIAL POLICE AS FOR VALENCIA ALTHOUGH HE AND GUTIERREZ HAD BEEN ASSOCIATES MADRAZO IS SECRET SECRET MEXICO 01676 202219Z PAGE 08 CONVINCED THAT HE WAS NEVER CONNECTED TO OR AWARE OF GUTIERREZ' CRIMINAL ACTIVITIES A NEW PGR OVERSIGHT COUNCIL H HE NEED FOR SWEEPING OVERHAUL OF THE PGR HE SAID THAT A COUNCIL OF OVERSIGHT WILL BE APPOINTED MADE UP OF TOP MEXICAN LEGAL SCHOLARS MADRAZO MENTIONED HECTOR JOSE LUIS SOBERANES FERNANDEZ UNAM LAW SCHOOL' DIRECTOR OF JURIDICAL STUDIES HECTOR FICKS ZAMUDIO PRESIDENT OF THE INTERAMERICAN COURT OF JUSTICE AND IGNACIO BURGOA ORIGUELA CONSTITUTIONAL LAW SCHOLAR AT UNAM IT WILL MAKE RECOMMENDATIONS ON STRUCTURAL CHANGES IN THE PGR BUT HE POINTED OUT THAT MAJOR STRUCTURAL REFORM CANNOT BE BROUGHT ABOUT IN A DAY B1 1 4 D MY ASSOCIATES ARE CLEAN 17 MADRAZO THEN STATED THAT THE CIVILIAN OFFICIALS HE HAD BROUGHT INTO THE PGR REFTEL HAD BEEN THOROUGHLY INVESTIGATED MY ASSOCIATES ARE ALL CLEAN SECRET UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No 005510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No_ C05510284 Date 12 01 2014 SECRET PAGE 09 MEXICO 01676 202219Z NECESSARY REFORMS TO BE TAKEN AT THE INCD 18 MADRAZO SAID THAT IDEALLY THE INCD SHOULD OPERATE MORE AND MORE INDEPENDENTLY OF THE PGR HE SAID THAT THROUGH BETTER TRAINING HIGHER SALARIES AND THE LIKE HE INTENDED TO MAKE THE INCD A CELL OF EXCELLENCE A PAGE ON CORRUPTION IN THE DIAGNOSTIC DRAFT 19 MADRAZO AGREED WITH AMBASSADOR THAT A PAGE ON CORRUPTION IN THE DIAGNOSTIC DRAFT WOULD BE APPROPRIATE HE SAID HE WOULD REVIEW CAREFULLY WHATEVER REBOLLEDO DRAFTED ON THE SUBJECT A GOOD TIME TO MOVE AHEAD ON AOJ 20 AMBASSADOR OBSERVED THAT IN ADDITION TO MAJOR STRUCTURAL REFORMS AND ARREST OF THE MAJOR DRUGLORDS NOW WOULD BE A GOOD TIME FOR MADRAZO TO PROVIDE A RESPONSE TO DRAFT USG ADMINISTRATION OF JUSTICE AOJ PROPOSAL HE SAID THAT THE GOM SHOULD WORK QUICKLY TO IDENTIFY AREAS IN WHICH IT DESIRES SUCH ASSISTANCE STATUS OF THE SPECIAL INVESTIGATIVE UNITS SIU SECRET SECRET PAGE 10 MEXICO 01676 202219Z 21 MADRAZO SAID THAT THE MILITARY WOULD SOON BE COORDINATING ITS INVESTIGATION WITH THE ORGANIZED CRIME UNIT HE SAID VETTING AND INVESTIGATION OF THE 36 ORGANIZED CRIME UNIT MEMBERS WOULD SOON BE FINISHED HE EXPLAINED THAT MANY OF THE NEW UNIT'S MEMBERS ARE FROM THE MEXICO CITY DISTRICT ATTORNEY'S OFFICE THE ORGANIZED CRIME SECTION WILL BE DIVIDED INTO SIX UNITS KEYED TO THE UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 MAJOR DRUGLORDS WHEN L____JSUGGESTED THAT THE SIU REPORT ORGANIZATIONALLY TO THE ORGANIZED CRIME UNIT MADRAZO REPLIED HE WOULD CONSIDER THE SUGGESTION ALONG WITH RECOMMENDATIONS ON THE SUBJECT FROM THE NEW OVERSIGHT COUNCIL B7 C B7 F Per DEA B7 D Per DEA 22 AMBASSADOR ASKED TO WHAT DEGREE GUTIERREZ HAD COMPROMISED CONFIDENTIAL SOURCES AND METHODS MADRAZO SAID THAT HE DID NOT YET KNOW HE OBSERVED THAT GUTIERREZ HAD BEEN ON THE JOB ONLY 76 DAYS AMONG THE GOM'S VERY SENSITIVE INVESTIGATIONS POSSIBLY COMPROMISED ARE TWO TAKING PLACE IN THE STATES OF MORELOS AND AGUASCALIENTES HE NOTED IN THIS REGARD HE SAID THAT HE HAD RECOMMENDED TO THE JUDGE HEARING THE CASE THAT ALL OF GUTIERREZ'S CALLS FROM ALMOLOYA BE RECORDED JONES SECRET SECRET PAGE 11 MEXICO 01676 202219Z UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No 005510284 Date 12 01 2014 SECRET NNNN @@@OASYS@@@ CONCATENATED PTQ8400 PTQ8400 SECRET PAGE 01 MEXICO 01676 01 OF 04 201305Z ACTION ARA-01 INFO LOG-00 ACDA-10 ACDE-00 INLB-01 ACQ-01 SMEC-00 INL-01 OASY-00 DINT-00 DOEE-00 SRPP-00 DS-00 EUR-01 OIGO-01 H-01 TEDE-00 INR-00 10-00 L-01 ADS-00 M-00 NSAE-00 OMB-01 PA-00 PM-00 PRS-00 P-00 CIO-00 SP-00 USIE-00 ASDS-01 PMB-00 DSCC-00 PRMC-01 DRL-09 G-00 030W ------------------9BE2E4 201307Z 38 R 201155Z FEB 97 FM AMEMBASSY MEXICO TO DEAHQS WASHDC SECSTATE WASHDC 2364 DIRFBI WASHDC DOJWASHDC INFO AMEMBASSY GUATEMALA AMEMBASSY BOGOTA IRS WASHDC USINS WASHDC EPIC EL PASO TX DIA WASHDC CIA WASHDC TREASURY WASHDC DIRONDCP WASHDC AMCONSULMONTERREY CUSTOMS WASHDC AMCONSUL CIUDAD JUAREZ UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 k SECDEF WASHDC SECRET SECRET PAGE 02 MEXICO 01676 01 OF 04 201305Z AMCONSUL HERMOSILLO AMEMBASSY OTTAWA AMCONSUL NUEVO LAREDO AMCONSUL MATAMOROS AMCONSUL TIJUANA AMCONSUL GUADALAJARA AMCONSUL MERIDA S E C R E T SECTION 01 OF 04 MEXICO 001676 E O 12958 DECL 02 12 07 TAGS PREL KJUS KCRM SNAR PGOV PINR MX SUBJECT ATTORNEY GENERAL MADRAZO EXPLAINS GUTIERREZ ARREST DISMISSAL TO AMBASSADOR REFS MEXICO 1562 1 SECRET - ENTIRE TEXT CLASSIFIED BY AMBASSADOR JAMES R JONES EMBASSY MEXICO REASON 1 5 B 2 SUMMARY AMBASSADOR URGED ATTORNEY GENERAL JORGE MADRAZO ON FEBRUARY 19 TO USE THE OPPORTUNITY PRESENTED BY THE DISMISSAL AND ARREST OF INCD COMMI TO PRESS FOR RAPID ARREST OF TOP MEXICAN NARCOTRAFFICKERS AND A CONSTRUCTIVE GOM RESPONSE TO DRAFT USG ADMINISTRATION OF JUSTICE PROPOSALS 3 MADRAZO SAID THAT GUTIERREZ WOULD FIRST BE TRIED IN A CIVILIAN FEDERAL COURT THEN IN A ILITARY COURT HE SAID THE CASE AGAINST GUTIERREZ IS WELL-DOCUMENTED THE CIVILIAN TRIAL WILL BE MEXICO'S FIRST PROSECUTION UNDER THE RECENTLY ENACTED ORGANIZED CRIME LAW AT THE MOMENT SECRET B7 C Per DEA SECRET UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No 005510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 w B7 C PAGE 03 MEXICO 01676 01 OF 04 Per DEA 013052 MADRAZO WILL BE APPOINTING A BLUERIBBON OVERSIGHT COMMISSION OF TOP MEXICAN LEGAL SCHOLARS MADRAZO FEARS THAT SOME IMPORTANT PGR INVESTIGATIONS MAY BE COMPROMISED BY GUTIERREZ AND SAID THAT WHOMEVER IS CHOSEN AS NEW INCD COMMISSIONER WILL BE SUBJECTED TO AN EXTENSIVE B1 1 4 D VETTING PROCESS FOR THE MOMENT THE CENDRO DIRECTOR GENERAL TITO VALENCIA WILL SERVE AS INTERIM COMMISSIONER OF THE INCD END SUMMARY 4 AMBASSADOR WAS JOINED IN THE B7 C B7 F Per DEA A GOLDEN OPPORTUNITY FOR SWEEPING REFORM 5 AMBASSADOR SUMMARIZED WASHINGTON REACTION TO THE GUTIERREZ FIRING HE EXPLAINED THAT HE HAD EARLIER SUGGESTED TO SRE UNDER SECRETARY REBOLLEDO AND PRESIDENTIAL CHIEF OF STAFF TELLEZ THAT A CANDID AND COMPREHENSIVE SECTION ON CORRUPTION BE ADDED TO THE DRAFT DIAGNOSTIC PAPER SLATED TO BE RELEASED IN WASHINGTON FEBRUARY 21 HE POINTED OUT THAT J1 HE GUTIERREZ INCIDENT PROVIDES MADRAZO AND THE GOM A GOLDEN OPPORTUNITY FOR SWEEPING STRUCTURAL REFORMS A CLEAN BREAK WITH THE PAST BY EFFECTING SUCH SECRET B1 1 4 D SECRET PAGE 04 MEXICO 01676 01 OF 04 201305Z REFORMS AMBASSADOR EXPLAINED MADRAZO COULD TAKE A NEGATIVE-SEEMING EVENT AND TURN IT INTO A POSITIVE ONE 6 AMBASSADOR POINTED OUT THAT NOW WOULD ALSO BE THE IDEAL MOMENT FOR MEXICO TO ARREST THE LEADERS OF THE MAJOR CARTELS SUCH DRAMATIC ARRESTS WOULD HAVE THE SAME POSITIVE EFFECT ON U S OPINION IN THE AREA OF BILATERAL LAW ENFORCEMENT AS MEXICO'S EARLY REPAYMENT OF U S LOANS HAS HAD IN THE FINANCIAL AREA FIRST CASE UNDER NEW ORGANIZED CRIME BILL UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 7 MADRAZO BEGAN BY EXCUSING HIS EXHAUSTION EXPLAINING THAT HE HAD BEEN WORKING FOR DAYS WITHOUT SLEEP ON THE GU fIERREZ MATTER HE SECRET NNNNPTQ8414 SECRET PTQ8414 PAGE 01 MEXICO 01676 02 OF 04 201307Z ACTION ARA-01 INFO LOG-00 ACDA-10 ACDE-00 INLB-01 ACQ-01 SMEC-00 INL-01 OASY-00 DINT 00 DOEE-00 SRPP-00 DS-00 EUR-01 OIGO-01 H-01 TEDE-00 INR-00 10-00 L-01 ADS-00 M-00 NSAE-00 OMB-01 PA-00 PM-00 PRS-00 P-00 CIO-00 SP-00 USIE-00 ASDS-01 PMB-00 DSCC-00 PRMC-01 DRL-09 G-00 1030W ------------------9BE33D 201308Z 138 R 201155Z FEB 97 FM AMEMBASSY MEXICO TO DEAHQS WASHDC SECSTATE WASHDC 2365 DIRFBI WASHDC DOJ WASHDC INFO AMEMBASSY GUATEMALA AMEMBASSY BOGOTA IRS WASHDC USINS WASHDC EPIC EL PASO TX UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No 005510284 Date 12 01 2014 Q DIA WASHDC CIA WASHDC TREASURY WASHDC DIRONDCP WASHDC AMCONSUL MONTERREY CUSTOMS WASHDC AMCONSUL CIUDAD JUAREZ SECDEF WASHDC SECRET SECRET PAGE 02 MEXICO 01676 02 OF 04 201307Z AMCONSUL HERMOSILLO AMEMBASSY OTTAWA AMCONSUL NUEVO LAREDO AMCONSULMATAMOROS AMCONSUL TIJUANA AMCONSUL GUADALAJARA AMCONSUL MERIDA S E C R E T SECTION 02 OF 04 MEXICO 001676 E O 12958 DECL 02 12 07 TAGS PREL KJUS KCRM SNAR PGOV PINR MX SUBJECT ATTORNEY GENERAL MADRAZO EXPLAINS GUTIERREZ ARREST DISMISSAL TO AMBASSADOR OBSERVED THAT THE 120 PAGE INDICTMENT AGAINST UTIERREZ CONSTITUTES THE FIRST CASE TO BE TRIED UNDER MEXICO'S NEW ORGANIZED CRIME LAW AMONG THE CHARGES AGAINST GUTIERREZ WILL BE CRIMES AGAINST HEALTH COUNTERNARCOTICS AND CRIMES AGAINST THE ADMINISTRATION OF JUSTICE PROVISIONS CONTAINED IN THE NEW LAW B7 C Per DEA 8 MADRAZO SAID THAT THE ARRESTS OF GUTIERREZ UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 OUR CASE AGAINST GUTIERREZ IS WELL-DOCUMENTED SECRET SECRET PAGE 03 MEXICO 01676 02 OF 04 201307Z 9 MADRAZO SAID THAT THE CASE AGAINST GUTIERREZ IS WELL DOCUMENTED- THERE ARE NUMEROUS 131 1 4 D B7 A B7 F 10 THIS TESTIMONY MADRAZO EXPLAINED WILL CONFIRM THAT DRUGLORD AMADO CARRILLO FUENTES'S ASSOCIATE EDUARDO GONZALEZ PERSONALLY PASSED TO GUTIERREZ KEYS TO A MEXICO CITY APARTMENT -- THE APARTMENT WHICH GUTIERREZ USED AS HIS MEXICO CITY RESIDENCE THE EVIDENCE IS THAT GUTIERREZ RECEIVED THREE SEPARATE PAYMENTS FROM CARRILLO FUENTES WHILE INCD COMMISSIONER ONE OF USD 3 000 ONE OF USD 50 000 AND ONE OF USD 300 000 CERVANTES HIMSELF BEGAN THE INVESTIGATION 11 MADRAZO SAID THAT SECRETARY OF DEFENSE CERVANTES PERSONALLY BEGAN THE INVESTIGATION OF GUTIERREZ ON DECEMBER 9 ONLY A FEW DAYS AFTER BEING APPOINTED INCD COMMISSIONER THE SECRET SECRET PAGE 04 MEXICO 01676 02 OF 04 201307Z INVESTIGATION WAS COMPLETED ON FEBRUARY 6 HE SAID THAT THE PGR'S ORGANIZED CRIME UNIT HAD SPENT THE LAST FIVE DAYS AND NIGHTS WITHOUT LEEP FORMULATING THE FEDERAL INDICTMENT UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 i TWO TRIALS CIVILIAN FEDERAL THEN MILITARY 12 MADRAZO STATED THAT THERE WOULD BE TWO TRIALS A CIVILIAN CRIMINAL TRIAL IN A FEDERAL COURT THEN A MILITARY TRIAL THE MILITARY TRIAL WILL DEAL WITH THE NUMEROUS ALLEGATIONS CONCERNING GUTIERREZ' AND HIS ASSOCIATES' ACTIVITIES WHILE HE WAS COMMANDER OF MEXICO'S FIFTH MILITARY ZONE IN GUADALAJARA HIS POSITION BEFORE BECOMING INCD COMMISSIONER 13 MADRAZO CONCLUDED RUEFULLY THAT GUTIERREZ SECRET NNNNPTQ8410 SECRET PAGE 01 PTQ8410 MEXICO 01676 03 OF 04 201306Z ACTION ARA-01 INFO LOG-00 ACDA-10 ACDE-00 INLB-01 ACQ-01 SMEC-00 INL-01 OASY-00 DINT 00 DOEE-00 SRPP-00 DS-00 EUR-01 OIGO-01 H-01 TEDE-00 INR-00 L-01 ADS-00 M-00 NSAE-00 OMB-01 PA-00 PM-00 PRS-00 P-00 CIO-00 SP-00 USIE-00 PMB-00 DSCC-00 PRMC-01 DRL-09 G-00 029W -----------------9BE2F1 201307Z 38 R 201155Z FEB 97 FM AMEMBASSY MEXICO TO DEAHQS WASHDC UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 SECSTATE WASHDC 2366 DIRFBI WASHDC DOJWASHDC INFO AMEMBASSY GUATEMALA AMEMBASSY BOGOTA IRS WASHDC USINS WASHDC EPIC EL PASO TX DIA WASHDC CIA WASHDC TREASURY WASHDC DIRONDCP WASHDC AMCONSULMONTERREY CUSTOMS WASHDC AMCONSUL CIUDAD JUAREZ SECDEF WASHDC AMCONSUL HERMOSILLO SECRET SECRET PAGE 02 MEXICO 01676 03 OF 04 201306Z AMEMBASSY OTTAWA AMCONSUL NUEVO LAREDO AMCONSULMATAMOROS AMCONSUL TIJUANA AMCONSUL GUADALAJARA AMCONSUL MERIDA S E C R E T SECTION 03 OF 04 MEXICO 001676 E O 12958 DECL 02 12 07 TAGS PREL KJUS KCRM SNAR PGOV PINR MX SUBJECT ATTORNEY GENERAL MADRAZO EXPLAINS GUTIERREZ ARREST DISMISSAL TO AMBASSADOR HAD DECEIVED A LOT OF PEOPLE IN THE ARMY AND THE SECRETARIAT OF DEFENSE OUR FIRST IMPRESSIONS OF HIM WERE ALL VERY POSITIVE HE ADDED THAT THE PUBLIC MESSAGE SENT BY HIS FIRING WAS MEANT TO BE VERY STRONG -- THAT EVEN AT THE HIGHEST LEVELS MEXICAN OFFICIALS CANNOT CARRY OUT CRIMES WITH IMPUNITY WHO WILL BE THE NEXT INCD COMMISSIONER 14 MADRAZO TOLD AMBASSADOR THAT NO DECISION HAD UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 YET BEEN REACHED ON WHO WOULD NEXT BE NAMED INCD COMMISSIONER CENDRO DIRECTOR GENERAL TITO VALENCIA WILL SERVE AS ACTING DIRECTOR IN THE INTERIM HE STATED THAT WHOEVER IT IS WILL BE SUBJECTED TO THE MOST DEMANDING TESTS HE WILL UNDERGO POLYGRAPH TESTING URINE TESTING FOR DRUG USE A FULL INVESTIGATION OF HIS PROPERTY AND BACKGROUND AS WELL AS ADDITIONAL TESTS AND INVESTIGATIONS SECRET SECRET PAGE 03 MEXICO 01676 03 OF 04 2013062 OTHER TOP PGR MILITARY NOT INVOLVED 15 MADRAZO TURNED TO TWO OTHER ARMY GENERALS IN TOP PGR POSITIONS VALENCIA AND FEDERAL JUDICIAL POLICE COMMANDER GENERAL GUILLERMO ALVAREZ NARA HE SAID THAT ALVAREZ NARA WAS NEVER CLOSE TO GUTIERREZ DURING THEIR PREVIOUS MILITARY EXPERIENCE THE TWO OPERATED IN VERY DIFFERENT AMBITS GENERAL ALVAREZ NARA REFTEL WAS PREVIOUSLY HEAD OF THE MILITARY JUDICIAL POLICE AS FOR VALENCIA ALTHOUGH HE AND GUTIERREZ HAD BEEN ASSOCIATES MADRAZO IS CONVINCED THAT HE WAS NEVER CONNECTED TO OR AWARE OF GUTIERREZ' CRIMINAL ACTIVITIES A NEW PGR OVERSIGHT COUNCIL 16 MADRAZO AGREED WITH THE NEED FOR SWEEPING OVERHAUL OF THE PGR HE SAID THAT A COUNCIL OF OVERSIGHT WILL BE APPOINTED MADE UP OF TOP MEXICAN LEGAL SCHOLARS MADRAZO MENTIONED HECTOR JOSE LUIS SOBERANES FERNANDEZ UNAM LAW SCHOOL DIRECTOR OF JURIDICAL STUDIES HECTOR FICKS ZAMUDIO PRESIDENT OF THE INTERAMERICAN COURT OF 1 4 B 1 4 D B1 JUSTICE AND IGNACIO BURGOA ORIGUELA CONSTITUTIONAL LAW SCHOLAR AT UNAM IT WILL MAKE RECOMMENDATIONS ON STRUCTURAL CHANGES IN THE PGR BUT HE POINTED OUT THAT MAJOR STRUCTURAL REFORM SECRET UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No 005510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 SECRET MEXICO 01676 03 OF 04 201 PAGE 04 CANNOT BE BROUGHT ABOUT IN A DAY MY ASSOCIATES ARE CLEAN 17 MADRAZO THEN STATED THAT THE CIVILIAN OFFICIALS HE HAD BROUGHT INTO THE PGR REFTEL HAD BEEN THOROUGHLY INVESTIGATED MY ASSOCIATES ARE ALL CLEAN NECESSARY REFORMS TO BE TAKEN AT THE INCD 18 MADRAZO SAID THAT IDEALLY THE INCD SHOULD SECRET NNNNPTQ8411 SECRET PTQ8411 MEXICO 01676 04 OF 04 2013062 PAGE 01 ACTION ARA-01 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No 005510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 v INFO LOG-00 ACDA-10 ACDE-00 INLB-01 ACQ-01 SMEC-00 INL-01 OASY-00 DINT 00 DOEE-00 SRPP-00 DS-00 EUR-01 OIGO-01 H-01 TEDE-00 INR-00 L-01 ADS-00 M-00 NSAE-00 OMB-01 PA-00 PM-00 PRS-00 P-00 CIO-00 SP-00 029W USIE-00 PMB-00 DSCC-00 PRMC-01 DRL-09 G-00 ------------------9BE2FF 201307Z 38 R 201155Z FEB 97 FM AMEMBASSY MEXICO TO DEAHQS WASHDC SECSTATE WASHDC 2367 DIRFBI WASHDC DOJWASHDC INFO AMEMBASSY GUATEMALA AMEMBASSY BOGOTA IRS WASHDC USINS WASHDC EPIC EL PASO TX DIA WASHDC CIA WASHDC TREASURY WASHDC DIRONDCP WASHDC AMCONSUL MONTERREY CUSTOMS WASHDC AMCONSUL CIUDAD JUAREZ SECDEF WASHDC AMCONSUL HERMOSILLO SECRET SECRET MEXICO 01676 04 OF 04 201306Z PAGE 02 AMEMBASSY OTTAWA AMCONSUL NUEVO LAREDO AMCONSULMATAMOROS AMCONSUL TIJUANA AMCONSUL GUADALAJARA AMCONSUL MERIDA S E C R E T SECTION 04 OF 04 MEXICO 001676 E O 12958 DECL 02 12107 TAGS PREL KJUS KCRM SNAR PGOV PINR MX SUBJECT ATTORNEY GENERAL MADRAZO EXPLAINS GUTIERREZ ARREST DISMISSAL TO AMBASSADOR OPERATE MORE AND MORE INDEPENDENTLY OF THE PGR HE SAID THAT THROUGH BETTER TRAINING HIGHER SALARIES AND THE LIKE HE INTENDED TO MAKE THE UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 INCD A CELL OF EXCELLENCE A PAGE ON CORRUPTION IN THE DIAGNOSTIC DRAFT 19 MADRAZO AGREED WITH AMBASSADOR THAT A PAGE ON CORRUPTION IN THE DIAGNOSTIC DRAFT WOULD BE APPROPRIATE HE SAID HE WOULD REVIEW CAREFULLY WHATEVER REBOLLEDO DRAFTED ON THE SUBJECT A GOOD TIME TO MOVE AHEAD ON AOJ 20 AMBASSADOR OBSERVED THAT IN ADDITION TO MAJOR STRUCTURAL REFORMS AND ARREST OF THE MAJOR DRUGLORDS NOW WOULD BE A GOOD TIME FOR MADRAZO TO PROVIDE A RESPONSE TO DRAFT USG ADMINISTRATION OF JUSTICE AOJ PROPOSAL HE SAID THAT THE GOM SHOULD WORK QUICKLY TO IDENTIFY SECRET SECRET MEXICO 01676 04 OF 04 201306Z PAGE 03 AREAS IN WHICH IT DESIRES SUCH ASSISTANCE STATUS OF THE SPECIAL INVESTIGATIVE UNITS SIU 21 MADRAZO SAID THAT THE MILITARY WOULD SOON BE COORDINATING ITS INVESTIGATION WITH THE ORGANIZED CRIME UNIT HE SAID VETTING AND INVESTIGATION OF THE 36 ORGANIZED CRIME UNIT MEMBERS WOULD SOON BE FINISHED HE EXPLAINED THAT MANY OF THE NEW UNIT'S MEMBERS ARE FROM THE MEXICO CITY DISTRICT ATTORNEY'S OFFICE THE ORGANIZED CRIME SECTION WILL BE DIVIDED INTO SIX UNITS KEYED TO THE MAJOR DRUGLORDS WHEN UGGESTED THAT THE SIU REPORT ORGANIZATIONALLY TO THE ORGANIZED 67 C B7 F Per DEA CRIME UNIT MADRAZO REPLIED HE WOULD CONSIDER THE SUGGESTION ALONG WITH RECOMMENDATIONS ON THE SUBJECT FROM THE NEW OVERSIGHT COUNCIL B7 D Per DEA 22 AMBASSADOR ASKED TO WHAT DEGREE GUTIERREZ HAD COMPROMISED CONFIDENTIAL SOURCES AND METHODS MADRAZO SAID THAT HE DID NOT YET KNOW HE OBSERVED THAT GUTIERREZ HAD BEEN ON THE JOB ONLY 76 DAYS AMONG THE GOM'S VERY SENSITIVE UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014 h UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 0112014 v INVESTIGATIONS POSSIBLY COMPROMISED ARE TWO TAKING PLACE IN THE STATES OF MORELOS AND AGUASCALIENTES HE NOTED IN THIS REGARD HE SAID THAT HE HAD RECOMMENDED TO THE JUDGE SECRET SECRET PAGE 04 MEXICO 01676 04 OF 04 201306Z HEARING THE CASE THAT ALL OF GUTIERREZ'S CALLS FROM ALMOLOYA BE RECORDED JONES SECRET NNNN UNCLASSIFIED U S Department of State Case No M-2012-36716 Doc No C05510284 Date 12 01 2014