CURRENT INTELLIGENCE BULLETIN - 1956/12/15

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 02063770
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 9
• Document Creation Date: October 25, 2019
• Document Release Date: October 31, 2019
• Publication Date: December 15, 1956

"Approved for Release: 22.1.9L29/23
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/2 CURRENT
INTELLIGENCE
/ BULLETIN
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15 December 1956
Copy No. 112
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AUTH- HR 70-2

OFFICE OF CURRENT INTELLIGENCE
CENTRAL INTELLIGENCE AGENCY
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CONTENTS
1. BRITISH MAY HALT SUEZ TROOP WITHDRAWAL OVER
SALVAGE ISSUE (page 3).
2. USSR WARNS EGYPT TO STAND FIRM ON SUEZ SOLUTION
(page 4).
3.rBHIBA!HI TO BECOME JAPANESE PRIME MINISTER
(page 5).
4. THE HUNGARIAN SITUATION
(page 6).
5. LAOTIAN PREMIER WILLING TO RISK LOSS OF WESTERN
Alp (page 7).
6. EGYPT AND SYRIAN LEFTISTS STEP UP PRESSURE FOR
NEW SYRIAN CABINET (page 8).
15 Dec 56
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COAT 11111AL �
1 BRITISH MAY HALT SUEZ TROOP WITHDRAWAL OVER
SALVAGE ISSUE
A British Admiralty officer has saidthat
Britain may halt withdrawal of its forces
from Port Said as a result of the UN's re-
fusal to accept Britain's terms for the
use of its 40 salvage vessels and per-
sonnel. The officer remarked that Secre-
tary General Hammarskj old apparently is
siding with Nasr 100 percent.
The Admiralty is reportedly "stunned and
bitterly disappointed," and believes that Lt. Gen. Wheeler's
instructions for the use of only six of the British salvage ves-
sels without British crews were in fact drafted before his de-
parture from New York, and were never subject to negotia-
tion. Government leader Butler stated in London on 12 De-
cember that "there can be no question of our ships being used
without their crews!'
Comment Refusal by Britain to withdraw its remain-
ing troops from the Suez Canal zone would
prevent the start of UN operations to clear the canal and give
Egypt an opportunity to raise new equivocations on the issue
and step up harassment of the British in Port Said.
Completion of the withdrawal of British
and French forces is believed planned for 18 December. So
far, an estimated 6,300 troops have departed for Cyprus and
the United Kingdom, leaving approximately 7,000 in Egypt.
15 Dec 56 Current Intelligence Bulletin
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"1...,A 1.1L,
2. USSR WARNS EGYPT TO STAND FIRM ON SUEZ SOLUTION
Soviet deputy foreign minister Zorin is
urging Egypt to be firm in the face of
"new Western tactics" which he expects
to be initiated after the NATO meetings
in Paris, probably through the "broker-
age oi me uniteu Dia
the withdrawal of foreign troops should come
first and that Egypt should then seek a Suez solution which would
be no more favorable to the "aggressors than what was agreed
on before the aggression, if not even less."
Comment This restatement of Soviet support for
Nasr may be counteracted to some extent
by pressure from the neutralist nations. Tito said privately
on 5 December that "Nasr should now be brought around to a
better sense of his international duties and obligations" and
that he planned to send him a "strong letter!' He added that he
was in touch with Nehru on the subject. Nehru will also prob,
ably be willing to urge Cairo to take a conciliatory attitude.
15 Dec 56 Current Intelligence Bulletin
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3. ISHIBASHI TO BECOME JAPANESE PRIME MINISTER
Comment on:
The election of Tanzan Ishibashi as presi-
dent of Japan's ruling Liberal-Democratic
Party virtually assures his early approval
by the Diet as prime minister. His narrow
258-251 victory over party secretary gen-
eral Nobusuke Kishi suggests, however, that his government
will be weakened by continued conservative factionalism.
Ishibashi stated on 30 November that Japan's
major foreign policy question for 1957 would be normalization
of relations with Peiping. He acknowledged that formal diplo-
matic relations might not be possible at this time but believes
increased trade is the means by which this will ultimately be
brought about and therefore favors a reduction of the China
embargo.
Ishibashi has a realistic appreciation of the
value to Japan of continued co-operation with the United States,
but has called for more "equality" in US-Japan relationships
and favors a revision of the US-Japan Security Treaty. He
supports defensive rearmament for Japan.
Ishibashi reportedly bears some resentment
toward the United States for his four-year "purge" during the
American occupation.
15 Dec 56 Current Intelligence Bulletin
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4, THE HUNGARIAN SITUATION
The general strike in Hungary apparently
has ended in many areas, but tension con-
tinues and could lead to a renewal of the
strike or to widespread fighting. Soviet
military units and Hungarian police re-
portedly began moving into a number of
Budapest industrial enterprises on 13 De-
cember in order to ensure plant safety
and prevent worker demonstrations. At
certain factories, workers' councils were
dissolved. On the same date, the regime
banned all mass gatherings in Budapest
except those approved in advance by the
police.
Although workers in transportation and
most factories have apparently reported to their places of work,
little production has been resumed. The regime, citing the pos-
sibility of future mass unemployment, has inaugurated a strong
campaign to persuade coal miners to return to work.
The workers' resistance has not diminished,
� although the regime has arrested many of their leaders. The
workers' demands to the regime are now emphasizing the ces-
sation of the arrests and the release of labor leaders, rather
than general political issues.
Fighting has taken place in a number of
points throughout the country in the past few days. Although
there have been numerous press reports of large concentra-
tions of guerrillas in Miskolc, Pecs and the Lake Balaton re-
gion,
15 Dec 56 Current Intelligence Bulletin
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kir FiE. I
5. LAOTIAN PREMIER WILLING TO RISK LOSS OF
WESTERN AID
Comment on:
Laotian premier Souvanna Phouma's
reported statement that he is willing
to risk loss of Western support in or-
der to bring several Pathet Lao offi-
cials into his cabinet may have been
,prompted by expectations that any re-
duction in aid would be offset by the
Communist bloc. He has probably been
encouraged in this belief by Pathet Lao
negotiators who,
maintained pressure on him during November to
adopt a policy of neutrality similar to that of Cambodia. The
Pathets stressed that Cambodia is in the enviable position of
receiving aid from both the Communist bloc and the West.
Souvanna moved close to such a position
on 2 November when he signed an agreement with the Pathet
Lao including a provision that Laos would accept from any
country aid "given without strings!' His finance minister re-
portedly has stated that Laos would have to depend on foreign
aid from "all friendly countries, including China:' Souvanna
is reliably reported to have told members of his own party on
12 December that in formulating policy Laos should remember
that its friendship with the United States might only be tempo-
rary, whereas it will have a common border with Communist
China and the Viet Minh forever.
15 Dec 56 Current Intelligence Bulletin
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6. EGYPT AND SYRIAN LEFTISTS STEP UP PRESSURE FOR
NEW SYRIAN CABINET
Comment on:
Syrian leftists, working closely with the
Egyptian embassy in Damascus, are step-
ping uppressure for a cabinet change in
Syria. The new device is a parliamentary
"pledge" now being circulated for signa-
ture among the 142 deputies. The pledge
calls for a "sound and harmonious" regime
to defend Syria's independence, increase
its military strength, repress "imperialist plots," and resist
the "divisive" Baghdad pact. It is sponsored by leader of the
Arab Socialist Resurrection Party Akram Hawrani, former
prime minister Khalid al-Azm, a left-wing Nationalist Party
politician, and other pro-Egyptian politicians. Syrian army
strong man Colonel�Sarraj presumably is among the support-
ers of this move. Some 50 to 60 deputies have reportedly
signed. When the signatures of a majority of the deputies
have been obtained, President Quwatli presumably will be pre-
sented with a "popular" demand for a new government. A pro-
Western cabinet minister on 12 December predicted an early
demise of the present Asali cabinet, saying that it is irrec-
oncilably divided on several issues.
Egyptian officials in Damascus have in-
formed the American embassy that the pledge is aimed at a
"homogeneous attitude in the Syrian government;' particularly
as regards policy toward Iraq. They have admitted that it is
designed to force the resignation of three pro-Iraqi ministers--
two representatives of the Populist Party and one of the Nation-
alist Party. A Populist attempt to obtain Egyptian approval for
an alternate proposal was rejected.
A new cabinet might retain Asali as prime
minister and include Khalid al-Azm as foreign minister and
Hawrani as minister, of defense. The other proposed minis-
ters are leftist and pro-Egyptian despite their party labels.
15 Dec 56
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