7 a) In order to comply with the recommendations of the IACHR with regard to establishing a legal procedure acceptable to the indigenous communities involved, which [would] result in the demarcation and official recognition of the lands of the Awas Tingni and other communities of the Atlantic coast, the Government of Nicaragua has a National Commission for the demarcation of the lands of the Indigenous Communities of the Atlantic Coast. To the same end, a draft Law on Indigenous Communal Property [has been] prepared, with three elements: 1. To make the necessary provisions for accrediting the indigenous communities and their authorities. 2. To proceed to demarcate the properties and provide title documents. 3. Settlement of the dispute. The draft law endeavors to find a legal solution to the property of indigenous people or ethnic minorities. The project will be consulted with civil society and, once there is a consensus, it will be submitted to the National Assembly for discussion and subsequent approval. The estimated time for the whole procedure is about three months from today’s date. b) Regarding the recommendation to suspend all activity relating to the logging concession granted to SOLCARSA and to comply with the judgment of the Supreme Court of Justice, the Government of Nicaragua cancelled this concession on February 16, 1998. On that day, it notified Michael Kang, General Manager of SOLCARSA[,] that, as of that date, the concession was null and void. He was also advised that he should order the suspension of all activities and warned that, to the contrary, he would be violating Article 167 of the Constitution and be liable to having either a criminal or civil suit brought against him. c) Regarding the recommendation to initiate discussions with the Awas Tingni [C]ommunity, the Government of Nicaragua is firmly committed to finding a global solution for all the indigenous communities of the [A]tlantic [C]oast, within the framework of the [L]aw on [C]ommunal [P]roperty, and to this end, there will be extensive consultations with these communities. As for the conclusions set forth in Report No. 27/98, the Nicaraguan State manifested its acknowledgement of the rights of the indigenous communities embodied in its Constitution and legislation. Moreover, it indicated that the [G]overnment of Nicaragua has faithfully complied with the previous legal provisions and, consequently, it has acted in accordance with the national legal system and the provisions of the rules and procedures of the [American] Convention [on] Human Rights. Likewise, the Community of Awas Tingni exercised their rights as set forth in the law and had access to the legal remedies that the law provides. Lastly, Nicaragua requested the Inter-American Commission to close the instant case. 24. On May 28, 1998, the Commission decided to submit the case to the Court. IV PROCEEDING BEFORE THE COURT 25. On June 4, 1998, the Commission submitted the application to the Court, in which it invoked Articles 50 and 51 of the American Convention on Human Rights (hereinafter “the Convention” or “the Inter-American Convention”) and 32 ff. of the Rules of Procedure of the Court. The Commission submitted this case for the Court to rule on whether the following articles of the Convention had been violated: 1

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