DAILY SUMMARY - 1946/07/15
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02036739
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ET
GENElarik
15 JUL 1948
126
1 Reactions to Soviet declaration on the Ruhr-- Veteran French ex-
em
agents, ace� to i erY, are agreed that Molotov"s
declaration on the Ruhr and Rhineland (for German political control
and bger-Allied economic control, respectively)reflects Stalin's
view that the German Communist Party is to be favored over the
French because Germany is the "key to final power in Europe."
Caffery remarks that the French Communists, in order to
divert attention from their abandonment (forced by Molotov's dec-
laration) of the very popular thesis of Ruhr-Rhhieland internation-
alization, are (a) arguing that only by Inter-Allied control can France
obtain "vitally important" reparations, particularly coal; (b) "viol-
ently dragging the red herring" of France's coal needs before the
public; and (c) denying that the Soviet and French positions are incom-
patible.
Belgian Foreign Minister Spaak has told Ambassador Kirk
that the Soviet position on the Ruhr indicates a desire for the maxi-
mum Integration of the German economy with that of eastern Europe.
Z.
EUROPE-AFRICA
2. YUGOSLAVIA; Tito reporled shot--The Strategic Services Unit has
received an unconfirmed report from a hitherto very reliable source
that Marshall Tito was shot on the afternoon of 11 July and is in
serious condition. One shot is reported to have passed through his
body, piercing a kidney; another wounded him in the arm. The assail-
ant was a young Chetsdk; the shooting occurred at a point near Belgrade
while The was reviewing his personal guard. At last report Tito's
condition was improving. (The Yugoslav Government has officially
denied that any attack has been made on 'Tito's life and has stated that
he is on a speech-making tour in Montenegro.)
3. BULGARIA: Soviets said to have abolished restricted zones--The US
Military Attache in Ankara reports Ma
the Soviets have abolished the former restricted
zones LU Deigaria4 this action signifies the end
of extensive Soviet maneuvers in Bulgaria.
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4. GREECE: Pz'oposed Greek economic mission to US--Ambassador
Harriman* London has been ask�d by Greek Prime Minister
Tsaldaris whether the US would receive Greek, mission to negotiate
an Ex?ort-import Bank lain or to discuss Greek inpuietai needs
before Tsaldaris' formal visit in September. The State Department
has informed Harriman there is "very little possibility" of an
additional Export-Import Bank loan to Greece in the "foreseeable
future," and cites the fact that the Greek Government has not used
the 25 million dollar credit granted in December 1945. The Depart-
ment is willing to receive a mission to discuss general Greek
economic problems on the understanding that an Export-Import Bank
loan to Greece will not be considered at this time.
5 GERMANY: Possible change in Soviet attitude--The US Political
Advisor's Office in Berlin reports til Iij the past two weeks
Soviet officials in Berlin have been talirag, a raore "conciliatory and -
cooperative" attitude toward the US officials and are making "unusual
efforts" to be socially friendly and agreeable. The Office believes
that these developments indicate a "possible change" in the attitude
or tactics of the Soviets toward the US.
6. IRAN: ifty....am party continuqs growth�US Ambassador Allen reports
that Qaram's new party, the 4'Democrats of Iran," continues to win
adherents throughout southern and western Iran but "has not succeed-
ed as well in Tehran" because of its lack of outstanding figures. Allen
has been informed that Qavam has won over some elements from the
Soviet-supported Tudeh Party as well as half of the adherents of the
moderate Iranian Nationalist Party in Tehran. Qavam's aim, as Allen
sees it, is to "swallow up" both the Tudeh and the "Democrats of
Azerbaijan" and form a single-party state "along Turkish rather than
Russian lines," employing Schwarzkopf's gendarmerie as his ma
"honor guard." Allen believes, however, that the Shah will not allow
this to happen "without a struggle."
7. IRAQ: Communist influence prolongs strike--Legation Baghdad has
received from the Iraqi Foreign Office confirmation of the part played
by "two Baghdad Communists in instigating and prolonging the current
strike against the Iraq Petroleum Company (see Daily Summary of
12 July, item 5.) An SSU representative reports that the workers,
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under Communist influence, are continuing to press excessive demands
and that the Company "is most reluctant to yield'
expect that the strikers will resort to robbery and rioting ff the
strike continues much longer.
FAR EAST
8. JAPAN: Soviet repatriation of Japanese�SCAP reports that in the
recently concluded conferences on the repatriation of Japanese from
Soviet-controlled territories, Soviet General Derevyanko proposed to
exclude the Japanese military from repatriation and to limit discussions
to the North Korea and Dalny-Port Arthur areas where (according to
the Soviets) the Japanese population, estimated at 100,000 and 300,000
respectively, includes no row's. The Soviets are not prepared to
furnish either ships or fuel for the operation. SCAT, disagreesvvith
the Soviet position and recommends that negotiations be continued
"on a governmental level."
9. CHINA: Government and press countering anti US propaganda--
General Gillem reports that T.V. Soong, in an 8 July press conference,
condemned anti-US propaganda as not representing the true sentiment
of the Chinese. Soong's remarks represent the first official defense of
the presence of American troops in China by the National Government.
Chinese newspapers also have begun to express counter-arguments to
the recent attacks on US influence in China.
10. SIAM: Government Plans regarding UN--Legation Bangkok reports
that the Siamese Government proposes to submit the border dispute to
UN "within the next day or two" and then make applications for member-
ship. The Legation has learned that the Siamese, In submitting the case,
to the Security Council (a) will link the border incidents and the question
of territories and (b) are approaching General Donovan to act as legal
counsel.
French may refer border dispute to International Court--
Ambassador clattery reports that the French are seriously con-
sidering a proposal to submit the border dispute to the International
Court in order to avoid "red herrings being drawn across the track
of the basic issue" in the Security Council.
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TIIE AMERICAS
11, VENEZUELA: asks US mediation to forestall revolt�The
leaders of the enezue � revo I ,rnmenfEve asked
US Ambassador Corrigan to mediate with opposition leaders to
prevent a counter-revolution (see Daily Summary 9 July, item 10).
The State Department has instructed Corrigan to take such action
only if one or two other American nations are associated in the
mediation.
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