President Correa

Myth 3: The judicial system in Ecuador is fair and independent

Wednesday, October 21st 2009

The judicial system in Ecuador is not fair and is far from independent.

Since assuming office in January 2007, President Correa has consolidated his power over all of Ecuador, including its political, financial, and media institutions:

Correa consolidated political power when the Constituent Assembly, which is dominated by his political party, Alianza PAIS, drafted a new constitution, dissolved the National Congress and announced that its decisions were superior to any other ruling by the judicial system.

He threatened that “[j]udges and tribunals that process any action contrary to the decisions of the Constituent Assembly shall be dismissed from their post and subject to corresponding prosecution” and has since made clear that this threat extends to judges that rule against state interests.

Correa claims that the “Executive Branch [can] exert pressure on the Judicial Branch to get the courts to “respond to the needs of the country” and that, as President, he “is not only the leader of the Executive Branch [but] of the entire State and the State is made up of the Executive, the Legislative, and the Judicial branches.”

Correa has also cancelled foreign corporations’ contracts and seized their assets while simultaneously foreclosing their possibilities for a fair resolution of the disputes by rejecting the jurisdiction of international arbitral tribunals and refusing to comply with their orders. He has also taken steps to control the media, which Correa considers “a corrupt instrument of the oligarchy” and the main “enemy of change,” including threatening to revoke hundreds of radio and television licenses because of alleged “irregularities.”

There is evidence going back to previous administrations that the lawyers representing the Lago Agrio plaintiffs and the Government of Ecuador are working together to ensure a verdict against Chevron in the Lago Agrio lawsuit. The Correa Administration has maintained and furthered this arrangement, converting the lawsuit against Chevron from a legal matter to a political cause.

The Government of Ecuador could benefit greatly from a decision against Chevron, which would absolve it of its own remediation obligations and result in the transfer of an enormous amount of money to Ecuador (the proposed $27 billion judgment would represent half of Ecuador’s GDP). Politically, the Lago Agrio case diverts attention and responsibility for environmental conditions away from Petroecuador and allows Correa to blame all social ills in the Oriente on Chevron.

Correa has publicly prejudged Chevron’s liability in the ongoing case, even taking the unfounded and highly offensive position that Texaco Petroleum was guilty of “crimes against humanity.” Ecuador’s Attorney General confirmed that “the Correa administration’s position in this case is clear: ‘The pollution is the result of Chevron’s actions and not of Petroecuador.’”

Correa has thrown the support of the Government behind the plaintiffs, even offering them “assistance in gathering evidence” against Chevron. In April 2007, just months after assuming office, President Correa took a media tour of the Amazon accompanied by the plaintiffs’ lawyers and representatives, calling plaintiffs’ attorney Pablo Fajardo and Amazon Defense Coalition leader Luis Yanzareal heroes…who have fought for years for their people, their Amazon.” He has also repeatedly referred to Fajardo and Yanza in Ecuador’s national press as “our compañeros” (“comrades”) and his “dear friend[s].”

Correa has called on Ecuador’s Prosecutor General to initiate criminal prosecution against the Chevron attorneys who signed the settlement and release agreements on behalf of Texaco Petroleum. Two previous Prosecutor Generals serving the Correa Administration, called for the criminal charges to be dismissed on three separate occasions. However, the next appointee, Washington Pesántez, then issued baseless indictments despite three earlier opinions that charges be dropped, without pointing to any new evidence, and notwithstanding his earlier opinion, as a District Prosecutor, that found no evidence to support the criminal charges and affirmed the recommendation to dismiss the criminal complaint.

Recently, Correa’s legal advisor, Alex Mera, and Correa’s sister, Pierina, were implicated in a $3 million bribery scheme aimed at guaranteeing remediation contracts that would result from a verdict against Chevron by one of the scheme’s organizers, Patricio García, who stated that he was a political operative for the ruling Alianza PAIS party. García also stated during one of the videotaped meetings that executive-branch lawyers would be sent to Lago Agrio to help Judge Núñez (who was also implicated in the scheme) draft his opinion.

Correa confirmed his alliance with the plaintiffs again after the bribery scheme was revealed, stating unequivocally “[o]f course I want our indigenous companions to win.” And as further proof of the Government’s control over the judicial process, despite repeated claims that the Government has no role in the litigation, Prosecutor General Washington Pesántez announced that he asked Judge Núñez to excuse himself from continuing in the process in order to “ensure that the ruling will not be delayed any longer” and so as not to allow Chevron “to avoid paying the compensation we believe is more than fair because it caused a lot of damage in our country.” Pesántez then confirmed the estimate that “90% [of any judgment against Chevron] would be delivered to the State for remediation and bio-remediation activities.”


The Amazon Defense Coalition has full confidence in the Ecuadorian judicial system?

Wednesday, September 2nd 2009

“We have full confidence in the Ecuadorian judicial system, as does Chevron.”
-Karen Hinton, spokesperson for the Amazon Defense Coalition.

Not true. Chevron has consistently asserted that the case has involved improper complicity between the plaintiffs and Ecuador’s executive branch and other legal irregularities. And Chevron has asserted that it cannot get a fair trial.

On August 31, 2009, Chevron released a series of videos that depicted Judge Juan Nunez taking part in improper meetings. In the videos, the judge confirms that he will rule against Chevron and that appeals by the energy company will be denied — even though the trial is ongoing and evidence is still being received.

In every country where the rule of law prevails, a judge who has done what Judge Nunez is seen doing in the videotapes would be dismissed from the case and his previous rulings would be annulled.

There are clear and longstanding problems with the judicial system in Ecuador which are widely recognized by international legal experts.

Ecuador’s Judiciary: The Reality:

Let us take a closer look at the judiciary being defended by the Amazon Defense Coalition. In a 2009 statement, the U.S. State Department, Investment Climate said, “Corruption is a serious problem in Ecuador. The courts are often susceptible to outside pressure and bribes. Neither Congressional oversight nor internal judicial branch mechanisms have shown a consistent capacity to effectively investigate and discipline allegedly corrupt judges.”

Additionally, the 2008 Transparency International Corruption Perceptions Index ranks Ecuador 151st out of the 180 countries surveyed for the Corruption Perceptions Index, with a score of 2.0. This score is on par with the Republic of Congo (1.9, 158/180), and worse than Cuba (4.3, 65/180) and Iran (2.3, 141/180).

Ecuador’s Judiciary: The Deterioration:

A series of well-documented government decisions have weakened the country’s judicial system since November 2004. The problems accelerated when Congress initiated impeachment proceedings against the President at the time (President Gutierrez). In response, President Gutierrez orchestrated a new Congressional majority that halted the impeachment proceedings and then purged the Supreme Court of Justice, the Constitutional Tribunal, and the Electoral Court. The purgings were widely criticized by the international community, including United Nations (also here), the Inter-American Commission on Human Rights, and the International Bar Association.

When President Correa came to power in January 2007, he strengthened the government’s grip on the judiciary even further.  Recently, Ecuador’s el Universo newspaper reported that three judges were dismissed because they ruled against the interests of the state and in favor of the construction company Andrade Gutiérrez. Meanwhile, it has been reported that judges of Ecuador’s National Court of Justice are considering a criminal claim against Ecuador’s prosecutor general Washington Pesántez for his ongoing interference in the judicial system.

It’s curious that American trial lawyers pursuing this case against Chevron have full confidence in a judiciary that is reported to be heavily controlled by the country’s executive branch.

Perhaps it’s because the government is strongly supporting the case against Chevron.

In this environment, its clear Chevron cannot get a fair trial.


Government Interference Continues in Chevron Trial

Thursday, July 2nd 2009

On Friday, June 26, 2009 Ecuadorian President Rafael Correa’s website “The Digital Newspaper of the Citizens’ Revolution” ran an article (click image above for larger version) that accuses Chevron’s lawyers of committing fraud, mocks Texaco’s $40 million remediation, and says that it is Chevron’s responsibility to pay $27 billion in damages.

Three days later, on June 29, 2009 in an interview with Democracy Now, President Correa says, in regards to the lawsuit against Chevron, “I reiterate, as the executive branch, we are not a party, and we cannot meddle in judicial matters.”

While claiming that the judiciary is independent, the executive branch continues to politicize this case by making comments that side with the plaintiffs and assign guilt to Chevron. Interference on the part of the Ecuadorian state has been undeniable. In a March 20, 2007 press release, President Correa stated, “The support from the government will translate into help in gathering proof and support for the population directly affected by the contamination Texaco produced.” In Ecuador, where the International Bar Association has concluded that “there is a serious politicization of the judiciary” and “that in many cases no effective independence exists,” such pronouncements have created an environment that makes it impossible for Chevron to get a fair trial in Ecuador.