CUBA NEWS
November 21, 2005
 

Grant aims to help U.S., Cuba prepare for post-Castro era

By Suzanna Stagemeyer / The Associated Press. Lincoln Journal Star, November 20, 2005.

OMAHA - As birthdays come and go for Fidel Castro, the United States sees reconciliation with Cuba nearing.

But more than the 79-year-old dictator stands in the way of a renewed friendship. An enduring source of conflict is compensating Americans for property seized when Castro imposed communist rule more than four decades ago.

A Creighton University team has begun a controversial effort to bridge that gap, creating a claims tribunal supported by a $750,000 grant from the U.S. Agency for International Development's Cuban Transition to Democracy Program.

"There's an increasing sense of urgency as Castro gets older to have these things ready and waiting," said Michael Kelly, an international law specialist at Omaha's Creighton University and a grant team member. "You don't want to begin the planning process when the crisis has arrived on your doorstep."

Over two years, the team will create a model for a U.S.-Cuba property claims tribunal, anticipating Cuban democracy and renewed economic relations.

But another model is not needed, some critics say.

"The grant is a sham and totally counterproductive," said Wayne Smith, director of the University of Havana exchange program at Johns Hopkins University and of the U.S. Center for International Policy's Cuba program.

"Looking at Iraq and some of our other misadventures around the world, I can't imagine other countries wanting us to come in and have us play a role in the transition," Smith said.

Property claims must be addressed for economic, political and legal reasons, but the United States has no real jurisdiction over Cubans or those who were Cubans when their properties were confiscated, Smith said.

Miami lawyer Timothy Ashby, however, supports the idea of an all-encompassing tribunal model.

"Cubans will resist being told what to do by the U.S., definitely, but if the U.S. has a model, they can sit down together and try to come to terms," said Ashby, who dealt with the restitution issue while serving in the U.S. Commerce Department's International Trade Administration during the 1980s and early 1990s.

International law obligates Cuba to compensate owners of seized property. But too many claims could overwhelm a fledgling democracy, Kelly said.

And the claims are many.

The 5,911 claims determined valid by the U.S. Foreign Claims Settlement Commission were valued at $1.8 billion in 1960s dollars, said David Bradley, chief counsel of the commission.

Over the years, Cuba has approached the United States with restitution plans but has been rebuffed, Smith said.

The United States is banking on a democratic Cuba after Castro, even though the transition may take years.

"In some respects, it might take a generation if you think in terms of the kinds of transformation of values and attitudes that need to occur in Cuba," said Frank Mora, professor of national security strategy at the National War College in Washington, D.C.

The Cuban democracy movement is stronger today than it was a decade ago, Mora said, but it doesn't have enough power to incite change today.

Until the change occurs, the compensation model most likely remains merely that - an idea - which bothers Florida businessman Teo Babun.

The $750,000 grant is a lot of money, he said, to be spent on redundant research. And it's money that should be spent on changing Cuba today, Babun said.

Other U.S.-funded groups have used grant money to educate and equip Cubans so they don't have to rely on the communist government.

"Even if they (the Creighton team) come up with the best program in the world and it works, it is for after the transition (to democracy). It has nothing to do with what USAID should be doing today to accelerate the transition," said Babun, executive director of Evangelical Christian Humanitarian Outreach to Cuba.

Babun, whose family lost land in 1960 to Castro's expropriation, said substantial claims research already exists - research such as that done by the Cuba Claims Registry Assistance LLP, of which Babun was an executive partner.

But Creighton grant team members say their research will yield a Cuba-specific model that balances the desires of Cubans, Cuban-Americans and U.S. claimants.

"We'll propose things that haven't been proposed before," said grant team member Patrick Borchers, dean and professor of law at Creighton. "It may be more useful for claimants to have, say, a tax-free zone than a back payment."

Such an agreement would satisfy claimants, who could recover their money through the venture, as well as help develop the Cuban economy, he said.

"Whatever model emerges, it has to have such a degree of legitimacy that all shareholders will buy into it," Kelly said. "It has to stabilize the island so it doesn't slip into chaos after Castro."

While Castro has negotiated settlements with European claimants, Cuba's debt to the United States is too overwhelming to repay in a lump sum, said Ashby, the Miami restitution expert.

However their model turns out, the grant team members - five from Creighton and one from the University of Iowa - know they've taken on a stiff challenge.

"It'll be like playing three-dimensional chess, putting something like this together," Kelly said.


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