DAILY SUMMARY - 1946/07/22
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02036735
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GENERAL
22 JUL 1946
132
1. Soviet troop and aircraft_d_imositIonp--General MacNarney reports
that during the past six weeks two Soviet tank armies have been moved
from Austria and Hungary to the vicinity of Berlin. Some of these
troops apparently are being transferred to the USSR. Soviet aircraft in
Rumania are now estimated at 2,500, as contrasted with March esti-
mates of about 1,000. The increase is thought to be primarily defen-
sive, since most of the planes are fighters.
2. Soviet di_smition of former German Naval mitt�The British Admiralty
has informed the Commander US Twelfth Fleet that despite repeated
inquiries the British have received no certificate of the destruction of
eleven former German submarines located in the Soviet Zone of Germany.
According to the US Naval Attache at Warsaw, the Soviets probably have
completed construction of seven former German destroyers in the Soviet
Zone rather than destroying them as required by the Tripartite Naval
Agreement of 6 December.
3. Reported Soviet distrust of Czechoplovakia--Ambassador Steinhardt in
PraM has been informed that at a recent meeting in Paris Molotov re-
fused to promise Czech Foreign Minister Masaryk to support Csech de-
mands at the impending peace conference. Molotov stated that, while he
could rely on the Poles, Yugoslays, Bulgarians, and Rumanians, he could
not rely on the Czechs, wren though Gottwald (Czech Communist leader)
had become Prime Minister. Steinhardt adds that Masaryk's visit to
Moscow is apparently designed to reach an understanding with i the Soviets
before the peace conference opens.
4. E tian views on UN--The Egyptian acting representative on the Security
Council has told Herschel Johnson that Egypt would gladly support
Afghanistan and Siam for membership in the UN, but "on principle" op-
poses the admission of any country, such as the Mongolian People's
Republic or Albania, which would add to the voting power of the Soviet
Union. Be agreed that favorable action on such countries as Sweden,
Iceland or Portugal might, however, provide a satisfactory basis for
approving the Mongolian application. Egypt will, if pressed, also support
Trans-Jordan's application, in spite of the treaty provision for the pres-
ence of British troops in Trans-jordano
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FIDENTIAL1
5. Possible federation aBu and Yugoslavia--According to US
Political Representative Barnes in Sofia, the reestablishment of
Bulgarian sovereignty through a peace treaty may well be followed by
a federation of Bulgaria and Yugoslavia. It is generally believed in
Sofia that the USSR plans to support such a step.
EUROPE-AFRICA
6. IRAN: 11922,1_1 on British w_p__rsla.LAba_dan--US Ambassador Allen
reports that the British Embassyln4hran "has no information" on
London press reports that three British cruisers are approaching
Iranian waters. Allen states that at the height of the Abadan oil strike
(see Daily Summary of 19 July, item 7) British sent a sloop "and per-
haps a cruiser" from Basra to Iraq waters close to Abadan. Qavam
protested the move strongly in language indicating Soviet pressure and
orally requested the British Ambassador to remove the ships at once.
Allen is "not aware whether either ship touched Iranian waters" but
states that neither is now in the area. Although Abadan now is quiet,
considerable bitterness persists among both the Tudeh Party and the
Arabs, and the Iranian Government believes that further violence by
either side is "very likely,"
Allen believes that the sending of the British ships opens the way
for fresh Soviet propaganda to the effect that British forces were the
first to return to Iran and may also set a precedent for future Soviet
movements in the north. On the other hand, Allen feels the British action
has had the salutary effect of correcting the impression that only the
USSR safeguards its interests in that area and of reassuring the Shah.
7, AUSTRIA: ScOs.t_itt_t_i de on AiWrian oil�Clark reports that the Soviets
have violated the "fundamental principles" of the UNRRA agreement by
unilaterally deciding to distribute locally-produced gasoline on the basis
of supplying 100% of the requirements of the Soviet Zone and Vienna and
only 18% of requirements of the three Western Zones. Clark feels that
the Soviets do not intend to allow the Austrian Government to have any
control over the disposition of Austrian-produced oil products and recom-
mends that the US take "appropriate steps" to force the Soviets to assume
a "reasonable attitude."
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8. ITALY: Dancers of timisai- -Smith reports from Moscow that
Italian Ambassador e out has commented on the "grave danger" that
the Italian Government might use any "suggestions" of economic or
other assistance "emanating" from Washington to raise false hopes in
the Italian people rwarding the peace treaty. Quaroni believes that "a
far too rosy picture" has been painted to the Italians since the surrender
resulting in "unjustified waves of optimism" followed by "inevitable
depression." Quaroni feels that a "serious upheaval" might result
should a "peak and depression" occur before and after the presentation
of the treaty.
9 HUNGARY: Political tension increas -US Minister Schoenfeld reports
that Prime Miriiitinlrely 1�g great difficulty in postponing the
"inevitable issue" between the leftist minorfty.and the vast majority in
Hungary until the conclusion of peace and the restoration of Bulgarian
sovereignty. Nagy's position is increasingly threatened by pressure from
the Soviet-supported Communists and by bitterness within his own party
against further concessions to the Communists.
10. FRANCE: Communist-Socialist rift deepens--According to Caffery, most
political observers believe that the rift between the Socialist and Commtm-
1st Parties has been deepened by the unsuccessful Communist efforts to
invalidate the election of three Assembly members associated with Munich
and the fall of France.
11. ICELAND: UK regards us interests as_itE_/,1mar --The British Foreign
Office has informally disclosed to the State Department that it now re-
gards US interests in Iceland as primary and UK interests secondary since
the UK's air and strategic interests are less vital than those of the US.
12. IRELAND: Parliament to vote on UN membership�US Minister Gray
reports that the Irish iiiiiiParliameliars to consider, probably on 23 July,
a motion to join the UN "as soon as opportune." US Military Attache
Dublin believes that De Valera, anticipating application to UN by other
neutrals, now desires to be able to apply whenever "the situation looks
ripe." His "change of pace," according to the MA, may reflect vigorous
US leadership in the UN, and strong US foreign policy vis-a-vis the USSR.
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TEE AMERICAS
13. ARGENTINA: Vcrarshi. .urchas , mission to UK unsucces ul--
According to theirr om � � i ..t.r � aval Forces in Europe, the
British Admiralty has confirmed the report that an Argentine pur-
chasing mission in London has approached British firms for warships.
The Admiralty will not permit these firms to take any action contrary
to the agreement with the US in respect to South American armament.
14. CANADA: Wheat eement with UK about to be
/ Cabinet has decided to sign a long-term wheat
agreement with the UK. (A US aide =moire to the UK Embassy pre-
viously had expressed concern over the proposed agreement, as tending
to give Canada a preferred position in the UK wheat market and as
affecting adversely large areas of world trade.)
The Minister expressed the hope that clauses inserted to sub-
ordinate the agreement to any international wheat or trade agreement
*NW would make it "more palatable" to the US;
15. VENEZUELA:"C at_zwk_orLAg" rola�The "revolutionary" Govern-
ment has announced the arrest of a number of persons engaged in
"conspiratorial activities." Although those arrested included supporters
of former President Lopez Contreras, the government communique failed
to accuse him directly of complicity (see Daily Summary 18 July, item 7).
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