CENTRAL INTELLIGENCE BULLETIN - 1960/10/06

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 02977785
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 19
• Document Creation Date: March 17, 2020
• Document Release Date: March 26, 2020
• Publication Date: October 6, 1960

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CENTRAL
INTELLIGENCE
BULLETIN-
TOVSECRET-
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^ 6 OCTOBER 1960
I. THE COMMUNIST BLOC
Soviet military writer argues�probably
for Chinese benefit--that victory in a sur-
prise nuclear attack not possible and that
limited war risks world war. 0
Chinese Communists and Albanians pub-
licly aligned on Sino-Soviet dispute; Mos-
cow expected to move to return Albania to
the fold. 0
II. ASIA-AFRICA
Laos�Vientiane preparing for talks with
the Pathet Lao; Souvanna Phouma increas-
ingly negative about talks with Phoumi.
South Vietnam--Communist guerrilla ac-
tivity growing in previously quiet area,
Cairo urged to give last-ditch financial
aid to Lumumba.
III. THE WEST
Fidel Castro apparently planning to re-
@turn to UN this month.
_Cuba transferring balances in US banks
�to England and Canada.
London, in promotive association among
Common Market, Outer Seven, and the
Commonwealth, seeks to block European
�integration.
Tnp JDlT
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CENTRAL INTELLIGENCE BULLETIN
6 October 1960
DAILY BRIEF
I. THE COMMUNIST BLOC
USSR: Red Army Major General Nikolai A. Talensky, a
noted writer on Soviet military doctrine, has condemned the
idea that war might be justified if it meant the end of capital-
ism. In the magazine "International Life," Talensky said that
after another war, which "could not fail" to be a world war,
"the earth's population would be cut in half, and it would be the C
most active and mostculturedpart of mankind that would disap-
pear." He concluded that a mass surprise attack cannot bring
victory for the attacker because the retaliation could still
destroy all his vital centers.
The article, which has been given added stature by a re-
view, by TASS, is a direct attack on the Chinese Communist
attitude that the dangers of nuclear war have been overrated.
Talensky is also in effect reiterating to the Chinese--who con-
tinue to clamor for Taiwan-=that the concept of limited war is
invalid because it would risk full-_scale war. This is the most
emphatic major article on military theory to appear in the
Soviet press since the Sino-Soviet dispute sharpened at the
Bucharest Conference and indicates an effort to show in prac-
tical military terms why the coexistence line must he follnwPd
Sino-Soviet Dispute: At an Albanian-Chinese friendship
rally in Peiping on 4 October, China and Albania unequivocally
affirmed their solidarity in the Sib-Soviet dispute over world
Communist strategy. The Chinese endorsed the Hoxha regime
for its "completely correct," uncompromising struggle against
imperialism and modern revisionism, and the Albanians, in
turn, lauded Peiping's defense of the purity of Marxism-Lenin-
ism. In attacking Tito as a "traitor to the world proletariat,"
both underscored their displeasure at Khrushchev's gestures of
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friendship to Tito at the United Nations. Moscow must view
Albania's continued defiance as a threat not only to its cam=
paign to isolate Peiping but also to its authority over the
Eastern European satellites. The Soviet leaders can be ex-
pected, therefore, to take measures to bring Albania into
line as quickly as possible. (Page 1)
II
IL ASIA-AFRICA
Laos: The appointment by Souvanna Phouma of a four-
S)
man delegation headed by a left-wing neutralist paves the way
for early peace talks with the Communist Pathet Lao. ebou-
vanna meanwhile is becoming increasingly negative on the ques-
tion of negotiations with General Phoumi's group. Souvanna ap-
parently believes that he now has gained the upper hand and that
he may be able to avert a compromise leading to the replacement
of his government.: I (Page 3)
South Vietnam: Two incidents in the central mountain areas
of South Vietnam on 17 and 20 September point to growing Com=
munistactivitVathea,rea, previously least affected by this year's
stepped-up Communist guerrilla campaign. In one, a village
district office was attacked by a band of 60-100 guerrillas, the
largest Communist force noted in the area since 1955. Commu-
nist infiltration into central South Vietnam from the Laos border
may increase with further deterioration of the Laos situation,
complicating further us internal problems faced by the
Diem government. (Page 4)
Republic of the Congo: The UAR ambassador in Leopoldville
has urged that Cairo grant further financial aid to Lumumba in
view of the "critical" situation in the Congo.
'we have reached the high point with re-
gard to Lumumbas position through the sums which we have paid
to him, and the descent has in fact begun now." The ambassador
6 Oct 60
DAILY BRIEF ii
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characterized�earlie
cisive" in tnainta.iniTH7
a further ranLccaLo-
Cuba: Fidel Cas:
has apparently seren71.,
of the peoples of all
"struggle against inn
to the UN. Upon his !.2.1��
he said he would return �
ficiais reported on 3 C.
b:3ginning 23 October
by Fidel or Raul Castro.
fa.viciai aid as having been "de-
-7,tunlba's pc,,siton, and implied that
iy Lumumba to "buy off" Mobutu.
. 'THE .WEST
e:--crience at the United Nations
:ad his view of himself as a leader
.lerieveIoped countries in their
srt." He evidently plans to return
-)to nber departure from New York
-_-. a few weeks; New York hotel of-
that Cuba is seeking reservations
del_-gation that may be headed either
(Page 6)
*Cuba: Instructicn:: nave been sent by the National Bank
of Cuba to all New Yo..- ,nks concerned, to transfer to the
United Kingdom or to C.:f,a:-.1a the balances held for the account
cf Cuban banks. The arnt of balances and securities held by
Cuban banks in New Yfrr. '-an'_ 3 as of 31 August is reported to
be slightly in excess o )003,000. Furthermore, the Inter-
national Monetary Furc.�:::F) was likewise instructed to dispose
of and transfer to the :a-1k of England, the proceeds of $1,645,000
held in gold by the Ft- f~)r th.'..% Bank of Cuba. The transfer of
Cuban assets out of th'F; US is probably to safeguard them from
any freezing action by the US. The transfer of Cuban gold held
Cuba's withdrawal from the Fund.
�. un u October, the National Bank of Cuba purchased in New
York the equivalent of nearly $4,500,000 in pounds sterling and
ordered its deposit in London to the account of the Czech State
Eank. This tranantion was probably a payment for Bloc arms.
' 6 Oct 60 �
DAILY BRIEF lii
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European Confederation Common Market officials are
high y suspicious of Britain's current efforts to promote some
�/,
kind of association agreement among the Common Market, the
Outer Seven, and the Commonwealth by taking advantage of De
Gaulle's proposals for a European confederation. They are C ,.-�
convinced that the De Gaulle plan can eventually be "channeled"
to serve at least in part the Common Market's objectives, but
apparently regard the British pressures as a real threat. Ac-
cording to the deputy chief of the American Mission to the Com-
mon Market, his British colleague has led him to believe that
London continues to "seek in every way to retard if not prevent
any real economic or political integration on the Continent."
(Page 8)
CIV. WATCH COMMITTEE CONCLUSIONS
A. No Sino-Soviet bloc country intends to initiate hostilities
against the United States or its possessions in the imme-
diate future.
Note:
B. No Sino-Soviet bloc country intends deliberately to ini-
tiate direct military action against US forces abroad,
US allies, or areas peripheral to the Orbit in the imme-
diate future.
BERLIN: The bloc campaign of undermining the West-
ern position in Berlin continues. There are
indications that among the next East German
steps there may be air harassments.
C. Situations susceptible of direct exploitation by Soviet/
Communist hostile action:
LAOS: Communist elements in Laos have continued
to enhance their position with military successes
In Sam Neua and with the decline of anti-Com-
munist influence over the government result- �
ing from the defeat of General Phoumi's forces (
DAILY BRIEF iv
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6 Oct 60
and his increasing discouragement. The Pathet
�Lao are able to exercise increasing influence
on the Lao Government and thereby seriously
to threaten the political orientation of the coun-
try.
DAILY BRIEF
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China and Albania Reaffirm Solidarity of Ideological Views
Tirana and Peiping have seized the occasion of the Chinese
Communist 11th anniversary celebrations in Peiping to exchange
unequivocal affirmations of solidarity in the current Sino- Soviet
dispute. The love feast climaxes a year punctuated by Albanian
expressions of sympathy for Chinese policies despite Soviet dis-
pleasure and pressure.
The leader of the Albanian delegation to the Chinese cele-
brations, Deputy Premier Abdyl ICellezi,said at a 4 October rally
that the Chinese, under the "wise and flexible" leadership of
Mao Tse-tung, have always followed correct political, ideologi-
cal, and economic policies. He added that China was defending
the purity of Marxism-Leninism, and that the friendship between
the two countries had been personally endorsed by Albanian party
leader Enver Hoxha and Mao. Kellezi's statements were pre-
ceded by a warm endorsement of Chinese Communist policies
by Hoxha in a 30 September speech in Tirana.
Chiang Nan-hsiang, chairman of the China-Albania Friend-
ship Society, in turn labeled the line of the Albanian Workers'
(Communist) party "completely correct," and asserted that
"neither towering mountains nor deep oceans" could separate
the Chinese and the Albanians. The Chinese even went out of
their way on 2 October in Peiping to demonstrate their pleasure
with the Albanians by sending a higher ranking delegation to the
China-Albania.,;, Friendship banquet than they sent to the Soviet
ambassador's reception.
Chinese and Albanian statements describing Tito as a "run-
ning dog of imperialism" appear to have been for the purpose of
showing displeasure over Khrushchev's gestures of friendship
toward Tito at the UN General Assembly.
The Chinese apparently are willing to provide more than
mere propaganda support to Albania. Chinese business repre-
sentatives in Hong Kong are reliably reported to have been
_SECRET
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seeking to purchase unspecified amounts of wheat for shipment
to Albania in 5,000-ton lots beginning in October. Albania is
believed currently to be short of wheat, and this commodity is
not in the Albanian-Chinese exchange list this year.
Moscow must view Albania's continued willingness to defy
Moscow as a threat not only to its campaign to isolate Peiping
but to its authority over the East European satellites. All
efforts to bring the Albanians into line�including the use of
official snubs and possibly some direct effort to bring about
Internal political change--have evidently failed. Moscow can
be expected to undertake further and more direct measures, in
an effort to bring Albania in line before the November meeting
in Moscow of world Communist leaders.
SECRET
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%10? Nommii
The Situation in Laos
Radio Vientiane announced on 5 October that the Souvanna
Phouma government had appointed a four-man delegation for
the impending peace talks with the Communist Pathet Lao.
Quinim Pholsena, Souvanna's extreme leftist minister of infor-
mation, will head the delegation, and armed forces command-
er General Ouane will be a member. The Pathet Lao had previ-
ously appointed a three-man delegation, all of whom are mem-
bers of the movement's Communist inner core.
[Premier Souvanna told Ambassador Brown on 5 October
that he was worried about the increased strength of the Pathet
Lao and considered it imperative to start negotiations before
the Pathet Lao became even stronger. Souvanna added that he
planned to go to Luang Prabang on 6 October to plead with the
King to order General Phoumi and Prince Boun Oum of the
Savannalchet Revolutionary Committee to join in support of his
government.
Souvanna's emphasis on Phoumi's rallying to his government,
rather than on negotiations for a compromise with Savannakhet,
reflects his confidence that he has gained the upper hand in his
struggle with Phoumi. He apparently now feels that his position
is strong enough to avert the political negotiations the King has
been promoting for the purpose of forming a new government
of national unity under some other premier. He:
ordered his associates in Luang Prabang to or-
ganize a popular demonstration in his favor timed to coincide
with his visit to the royal capital. Such a move would be well
calculated to dissuade the King from asking for Rolm nna's res-
ignation:a
St.Cle,
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%amid
Communistsitrep Up Guerrilla Attacks in Central Region of
South Vietnam
Two incidents in late September point to growing Commu-
nist guerrilla action in the central mountain provinces of South
Vietnam, the area hitherto least affected by the intensified
Communist campaign of terrorism and subversion which be-
gan early this year. Civil Guard troops in one coastal prov-
ince inflicted several casualties and captured rifles and sub-
machine guns after encircling a Communist hide-out on 17
September, On 20 September, a district office in Quang Nam
Province, about 100 miles south of the truce line, was attacked
and ransacked by a band of 60-100 guerrillas, the largest -
Communist force noted in the area since 1955.
In a discussion of the latter incident, South Vietnamese
President Diem told American Embassy officials that a Com-
munist commander killed in the clash carried instructions
from Hanoi to blow up certain bridges throughout the region.
/Diem's brother and political adviser in the region, Ngo Dinh
an, also recently stated that the September attacks indicated
a departure in his area from past Communist tactics of propa-
ganda and sporadic terrorismd This region, traditionally called
Central Vietnam, was formerly a Communist stronghold, but
has been generally quiescent since the departure of Viet Minh
troops after the 1954 truce divided the country into North and
South Vietnam. It is vulnerable to further Communist infiltra-
tion across its common borders with North Vietnam as well
as from Laos, should the situation there further deteriorate.
(Vietnamese Army units are stationed near the border with
North Vietnam, but have been employed against the Communist
guerrillas principally in the delta provinces southwest of Saigon,
where the subversive campaign has been most intense. The
American army attach�as reported that on 28 September,
following an attack by a large Communist band 20 miles west
of Saigon, the army retaliated with its most effective example
to date of a combined operation, using ground and air forces(
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%we" 1110^01
The Situation in the Congo
Although the power struggle in Leopoldville between Mobu-
tu and Lumumba continues, UAR Ambassador Ghaleb has ex-
pressed apprehension for the prospects of deposed premier Lu-
mumba. On 3 October, Ghaleb urged that Cairo grant further
financial aid to Lumumba in view of the "critical" situation in
the Congo. On the same day, Lumumba was publicly criticized
by members of the Congo legislature.
the UAR "has reached the
high point with regard to Lumumba's position through the sums
which we have paid to him, andthedescent has in fact begun now."
The ambassador added, "The sum of money which was given to
Lumumba, despite its small size, was a decisive factor... in saving
Ltirnumba," The last known UAR gift to Lumumba. in an un-
known amount, was made in mid-September.
Ghaleb asked Lumum-
ba to estimate the amoint of money necessary to buy off Mobutu.
In Kata,nga, where sporadic tribal violence continues, anti-
Belgian remarks by an official of the ruling Conakat party may
presage a party split. Ndala Kambola, a rival of President
Tshombd for leadership of the Conakat, on 4 October charged
Belgium with "sabotaging" ICatanga's independence and threat-
ened the nationalization of Belgian companies there. Tshombd
subsequently disavowed Kambola's threats and disputed his
claim to speak for the party.
4012-SECRET
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kid Ikra
Ca..Stro EVident17
Carot
- a has a.r.pareritly
el the people,
.,:veloped countries.
iig departure iroa:.
-2d return in a few York hotel manager says he
kaas refused a Cuban fol. reservation's beginning 23- Octo-
tas :aaefaualc he has geaa :,:.--..forz.--aation that the party would include
::a or Fidel .Castro.
,at-aan to UN General Assam.
.ce at the United Nations late last
his view of himself as a
;ay Latin America, but of all un-
.aeir "strug,gle against impe,rialism."
w LO on 28 September he said he
Car:Arc's UN z-i...ddreaa en :ail; deptember evieently struck a re-
-anaive chord aino ioris of some of the new Afri-
- tes, and the agenda item on land reform
rovid anolher C,C�Cf_.;un r Cuba to pose as the champion
Le 11-ra!erdevelo-::,:el n:aicas. Castro told a Cuban television
_Ice on 30 Sel7tca. :at 'vie are thinl:in3 of presenting a
a in the United 1;a.a.-.-.3 pinst racial segregation in the
7.:1a:i'lcd. States." In a fa:7_2:er ei.:374-t, to identify his regime with
neutralist leaders, Castro declared on his return to Cuba
that NItrumal may v alr_lte this year and Na.sir next March.
r�:1.-he Castro ie:ire, hie'l is giving Increasing propaganda
--at to the cause e:: Alrian rebels, is apparently to act
czt later this moth or a conference sponsored by the "Al-
Aid Comniittee" 1..a.,:r.7.e.d innorocco. The committee member�
-::acenting the Co:lane-an:Us' 'Tforld Federation of Trade Unions
urged Havana as the cite c the corAforence.
Cuba..t, viithdraval on Ociebe,r 01 its candidacy for a UN
.:Ity Council seat, which it had little hope of winning, may
'aavabn in return for a promise by some Latin American del-
e,:-,atIons for -4,7ort for a council seat next year.
l'.1eanwhile, the Catholic archbishop of Santiago, in Oriente
Province, issued a pastoral letter on 2 October constituting the
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rocanti-CoLl r.
in Cuba. Altrilk.,
crally, its prestige ir. C-
:113 island because of
c:chmon in that prc-v.
dictatorship.
having Castro's life ir
.-..t.ista forces.
. tat_ment yet made by any church
;he �.-.:*hurch is weak in Cuba gen-
ate greater than elsewhere on
fm anti- Batista stand taken by many
during Castro's war against the
7:trel,:.,ishop himself is creditectwith
aftc:r he had been captured by the
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WP4VIL)tP4IIAL '#j
Common Market Officials Fear British Exploitation of
ropean Confederation Plan
The De Gaulle proposals for a confederation of the six
European Common Market countries are evidently regarded
by Common Market officials as a lesser threat to the future
development of the European Economic Community than the
possibility of British exploitation of it. According to the
deputy chief of the American Mission to the Common Market,
recent talks with Community officials have revealed a "dedi-
cated conviction" that the De Gaulle plan "will eventually be
channeled" to serve at least in part the Common Market's
objectives. This optimism is tempered, however, by reali-
zation of the extent to which London is using the opportunity
provided by the De Gaulle plan to renew pressure for some
kind of association agreement among the Common Market,
the British-led Outer Seven, and the Commonwealth.
London is exerting its pressure for such an agreement
primarily on Bonn. Common Market officials believe that
thus far the West German Foreign Ministry is resisting these
pressures and has not yet produced any new plan for linking
the Community with Britain and the Commonwealth. They
are not sure, however, how firm this resistance is, and be-
lieve that Adenauer�ordinarily a strong supporter of the
Common Market--is increasingly influenced by German in-
dustry, which has long wanted an economic association broad-
er than the Community. If London and Bonn can work out such
a plan, it will then be cleared with the respective members of
the Common Market and the Outer Seven and presented as a
fait accompli to the United States, which is opposed to any
preferential arrangement between the two groupings.
The initial reaction to the De Gaulle proposals has prob-
ably encouraged London to pursue its efforts to reach an ac-
commodation with the Common Market. Many within the Com-
mon Market have pointed out that, by proposing to put curbs
on the supranational development of the Community, De Gaulle j
6 Oct 60
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was removing one of London's major objections to it. More-
over, immediately after his July visit to De Gaulle when the
confederation proposal was first advanced, Adenauer�apparent-
ly somewhat piqued with De Gaulle and with the Common Market
--proposed to Macmillan a new survey of the accommodation
problem.
This may have encouraged London to expect agreement on
more favorable terms than it is likely to get. The deputy chief
of the American Mission to the Common Market believes his
British colleague has recently made it "abundantly clear that
Britain continues to seek in every way to retard if not prevent
any real economic or political integration on the Continent" and
has been told by him that "British policy on the Six-Seven issue
has not changed in the slightest."
CONFIDEN
6 Oct 60
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%.../ I NI A 41.#Ld INI
1%.10e1 1%14S
THE PRESIDENT
The Vice President
Executive Offices of the White House
Special Assistant for National Security Affairs
Scientific Adviser to the President
Director of the Budget
Director, Office of Civil and Defense Mobilization
Director, National Aeronautics and Space Administration
Special Assistant for Security Operations Coordination
Chairman, Board of Consultants on Foreign Intelligence Activities
Special Assistant for Foreign Economic Policy
Executive Secretary, National Security Council
The Treasury Department
The Secretary of the Treasury
The Department of State
The Secretary of State
The Under Secretary of State
The Under Secretary of State for Political Affairs
The Deputy Under Secretary of State for Political Affairs
The Deputy Under Secretary of State for Administration
The Counselor
Director, International Cooperation Administration
The Director of Intelligence and Research
The Department of Defense
The Secretary of Defense
The Deputy Secretary of Defense
Assistant Secretary of Defense for International Security Affairs
The Secretary of the Army
The Secretary of the Navy
The Secretary of the Air Force
The Chairman, The Joint Chiefs of Staff
The Director, The Joint Staff
Chief of Staff, United States Army
Chief of Naval Operations, United States Navy
Chief of Staff, United States Air Force
Commandant, United States Marine Corps
Assistant to Secretary of Defense for Special Operations
Director for Intelligence, The Joint Staff
Assistant Chief of Staff for Intelligence, Department of Army
Director of Naval Intelligence, Department of Navy
Assistant Chief of Staff, Intelligence, Department of the Air Force
Supreme Allied Commander, Europe
Commander in Chief, Pacific
The Department of Commerce
The Secretary of Commerce
Federal Bureau of Investigation
The Director
Atomic Energy Commission
The Chairman
National Security Agency
The Director
National Indications Center
The Director
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