A trial opened in Peru's Cajamarca region March 6 against 16 community leaders facing charges for their participation in a 2012 protest against the Conga mining project. According an indictment filed by the 2nd Provincial Criminal Prosecutor's Office of Celendín, the defendants—all local social leaders, including five women—may face up to 36 years in prison if convicted. The case stems from the July 2012 violence in the provinces of Celendín and Bambamarca, in which five protesters were killed by National Police troops. Among the accused is Milton Sánchez Cubas, secretary-general of the Inter-Institutional Platform of Celendín, for whom the Inter-American Court on Human Rights had recently issued "precuationary measures" due to threats on his life.

An international arbitration body, having ruled for Peru in a case brought by a US mineral interest under terms of the Free Trade Agreement, is now denying Lima recovery of its legal costs. New York-based Renco Group Inc brought the case before the UN Commission on International Trade Law (UNCITRAL) in 2011, charging Lima with violating investment protection provisions of the FTA, formally known as the US-Peru Trade Promotion Agreement. At issue was Lima's demand that Renco's affiliate Doe Run Peru clean up decades of toxic pollution linked to lead and zinc smelting at its facilty in La Oroya, which Renco said forced the subsidiary into bankruptcy. Renco sought $800 million in compensation. UNCITRAL turned down Renco's claim on jurisdictional grounds in July 2016, but subsequently decided to waive its usual "loser pays" principle, forcing Peru to pay half the legal costs in the case, some $3.8 million. UNCITRAL cited Peru's delay in raising its objections to the tribunal's jurisdiction. Renco says it will file the case again "in a manner that cures the technical legal defect that was the basis for the dismissal." Peru's new President Pedro Pablo Kuczynski has pledged to re-open the idled Oroya complex, and says its auction to new owners willing to address its financial and environmental problems will take place in March. (Lexology, Jan. 24; Gestión, Jan. 12; Law360, Nov. 14; Bloomberg, July 18; VOA, July 6)

Peru's prosecutor general Pablo Sánchez announced Feb. 7 that he is seeking the arrest of former president Alejandro Toledo on charges of laundering assets and influence trafficking. Prosecutors opened a formal investigation this week into allegations that Toledo took $20 million in bribes from Brazilian construction firm Odebrecht, with investigators raiding his home in Lima on Feb 4 and carting off boxes full of documents. Sánchez is now asking a judge to approve 10 months of "preventative detention" for Toledo while the case is under investigation. Toledo is currently believed to be in Paris, where he arrived for an OECD conference last week, and Sánchez argues that he poses a flight risk. Toledo is said to have received the money, laundered through offshore accounts, in exchange for giving the firm approval to complete a highway connecting Brazil with the Peruvian coast in 2006.

President-elect Donald Trump is reported to have named the former chief of the Pentagon's Southern Command, Gen. John Kelly, as his choice for secretary of Homeland Security. As SouthCom chief, Kelly oversaw counter-narcotics operations throughout Central and South America and the Caribbean from late 2012 until his retirement in January 2016. He was a notorious hardliner, which resulted in policy clashes with President Obama, the Washington Post tells us. As Homeland Security chief, he will oversee the 20,000-strong Border Patrol, with responsibility for drug interceptions along the 2,000-mile frontier with Mexico.

Peru's newly appointed defense minister, Jorge Nieto Montesinos, announced that he will focus on wiping out remnant Shining Path guerilla rebels who continue to operate in the Apurímac-Ene-Mantaro Valley (VRAEM), the country's main coca-producing region. Nieto, formerly culture minister, was named defense minister in a reshuffling of President Pedro Pablo Kuczynski‘s four-month-old cabinet. The VREAM is considered by the UN to be the world's most prolific coca cultivation zone, accounting for a third of Peru's annual production. It is also the country's last significant guerilla stronghold. The integrated counter-narcotics and counterinsurgency effort in the VREAM was dealt a setback in October, when Lt. Wilmer Delgado, commander of an army outpost in the valley, was arrested on charges of collaborating with traffickers and receiving payments of allowing drug flights to operate in the area. (Peru Reports, Dec. 7; La República, Dec. 5; La República, Oct. 23)

Gold mining in Peru has razed almost 62,500 hectares of rainforest —an area over ten times the size of Manhattan—between October 2012 and October 2016, according to a new report by the Monitoring of the Andean Amazon Project (MAAP). While the tendrils of gold mining are spreading across the country, the region of Madre de Dios still accounts for the vast majority of mining-related deforestation to date, MAAP researchers write.

During the Asia-Pacific Cooperation Forum (APEC) summit in Lima, protesters took to the streets to oppose the US-led Trans-Pacific Partnership trade deal—just as it appears to be on the rocks with the election of Donald Trump. But as the summit closed, China's President Xi Jinping and his Peruvian counterpart Pedro Pablo Kuczynski signed a series of bilateral agreements to advance "free trade" between the two countries and cooperation in the mineral and resource sectors. Xi especially plugged the Chinese-backed mega-project to build a transcontinental railway through the Amazon basin, and praised Peru for its ground-breaking 2010 free trade agreement with China. "Peru was the first Latin American country to sign a comprehensive free trade agreement with China. It's leading the region on cooperation with China," Xi said through an interpreter in a speech before Peru's Congress. 

A fire swept through the Cantagallo shanty-town, just across the Río Rímac from downtown Lima, on Nov. 4, leaving some 2,000 residents of the informal settlement facing an uncertain future. Hundreds of homes were destroyed and a child badly injured in the blaze, which authorities say started near a leather workshop that used flammable chemicals. The settlement was established by Shipibo-Konibo indigenous migrants from Ucayali in in Peruvian Amazon in 2001. Lima's conservative Mayor Luis Castañeda is proposing to relocate the community to the Barrios Altos area east of downtown. But community leaders say they will refuse to move, and intend to rebuild where they are.