CENTRAL INTELLIGENCE BULLETIN - 1958/12/18

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03000006
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 16
• Document Creation Date: January 27, 2020
• Document Release Date: January 30, 2020
• Publication Date: December 18, 1958

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18 December 1958
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18 DECEMBER 1958
I. THE COMMUNIST BLOC
Khrushchev attacks "anti-party"
group in opening central commit-
tee speech.
Mikoyan seeks visa for "unofficial"
visit to Washington in January.
Chinese Communists stress Mao
Tse-tung's continued leadership;
endorse his policies on communes
and economic progress.
II. ASIA-AFRICA
Qasim tells Rountree "many Iraqis"
believe United States is conspiring
against Iraqi regime.
Chinese Nationalist irregulars in
Burma may step up activities.
Lebanon - Recent army action in-
volving Moslems may lead to cabi-
net dissension.
South Korea - Rhee determined to
push through legislation aimed at
muzzling political opposition.
0
West Berlin mayor again raises
issue of making all Berlin a free
city.
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CENTRAL INTELLIGENCE BULLETIN
18 December 1958
DAILY BRIEF
/
L THE COMMUNIST BLOC
*USSR: Khrushchev's denunciation of the "anti-patty" group
in his 15 December agricultural report to the central com-
mittee, the strongest attack in recent months, is probably in-
tended to insure support on the eve of the party congress by
Intimidating anyone tempted to question his policies. The
nature of the attack suggests further action against the "anti-
party group;' possibly exclusion from the party or dismissal
from present posts. (Page 1)
*USSR: Soviet First Deputy Premier Mikoyan, long the
principal adviser in the Kremlin on foreign trade matters and
probably one of Khrushchev's closest collaborators, has re-
quested a visa to visit the United States. He plans to arrive
early in January as a "guest" of the Soviet ambassador in
Washington. Mikoyan's purpose in attempting to come to
Washington as an "unofficial visitor" at this time--just prior
to the party congress which opens in Moscow on 29 January--
is probably to explore at first hand US views on the broad is-
sues Ehrushchev has attempted to connect with a settlement
of the Berlin problem.
Communist China: Peiping's official communique on
Mao's decision to OA up his largely ceremonial post as head
of the Chinese Communist government is a vote of confidence
in his leadership and intended to refute allegations that he is
losing power. The communique implies that he will continue
to dominate the regime and strongly endorses both the com-
mune program and the economic "leap forward." It calls for
further remarkable production increases next year.
(Page 2) (Chart)
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Watch Committee conclusion�Berlin: There is no assur-
ance that the USSR will wait for the full six months' period
mentioned in the Soviet note of 27 November before transfer-
ring to the East Germans control over Allied traffic to Berlin
or undertaking harassment of some other sort. Current Soviet
efforts in the Berlin situation appear directed primarily toward
forcing counterproposals and negotiations with the West.
Watch Committee conclusion�Taiwan Strait: The Chinese
Communists do not appear to intend, in the immediate future,
to terminate the self-imposed restriction against interference
with resupply of the offshore islands on alternate days.
IL ASIA-AFRICA
Watch Committee conclusion�Middle East: A deliberate
initiation of large-scale hostilities in the Middle East is un-
likely in the immediate future, although the situation remains
unstable throughout the area. Increased Communist activity
in Iraq has kept the situation precarious. While the recently
planned coup was thwarted, the possibility exists that pro-UAR
groups or army elements acting independently may at any time
attempt to overthrow or modify the regime. The Israeli-Syrian
border situation continues to be tense, and Israeli retaliatory
raids into Syria will probably occur if there are additional se-
rious border incidents.:
Iraq: Prime Minister Qasim appeared tense during his
Interview with Assistant Secretary Rountree on 16 December,
and harped on the theme that "many Iraqis" believe the United
States is conspiring against his regime. Although he reiterated
his desire for friendship with the United States "as with all
other countries," Qasim gave no indication he intends to make
any specific move to improve relations with the West.
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Nationalist China - Burma: Chinese Nationalist irreg-
ulars in the Thai--Laos-Burmese border area may be prepar-
ing to step up their activities, possibly including attacks on
Chinese Communist border villages.
oi
the irregulars are
constructing two airfields on Burmese territory. Reports
persist of periodic supply drops from Taiwan. A resurgence
of Chinese Nationalist activity would complicate the Ne Win
regime's relations with Peiping and distract the Burmese
Army from carrying out its announced intention of suppr
the Communist insurgents during the present dry season
(Page 3)
Lebanon: Strong army action last week against former
rebel elements in the Biqa Valley, following the killing of an
army officer and two men, is likely to arouse a storm of Sunni
Moslem criticism against the government, which tried unsuc-
cessfully to suppress news of the action. Karami, who is
Defense Minister as well as Prime Minister, may attempt to
shift the blame to Minister of Interior Edde and President
Shihab, and Sunni attacks could lead to severe dissension with
in the cabinet. (Page 4)
� South Korea: The Rhee administration seems determined
to enact laws which could drastically reduce South Korea's al-
ready limited political liberties. Despite the unfavorable im-
pact the measures would have externally, Rhee apparently is
convinced that the opposition must be muzzled to prevent it
from winning the 1960 presidential election.
(Page 5)
III. THE WEST
West Berlin: Mayor Willy Brandt continues to oppose
Moscow's proposals on Berlin. However, he has again pub-
licly raised the possibility of including both East and West
Berlin in a "free city." While opposing this idea as "econom-
ically not viable," he said that he would view it in "a different
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light" if Moscow agreed to the creation of an extraterritorial
corridor between Berlin and West Germany. East Germany,
however, has already rejected such a corridor. He also stiltes
he would accept a UN supervised plebiscite in all of Berlin to
determine the city's status. (Page 6)
18 Dec 58
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In THE COMMUNIST BLOC
Khrushchev Attacks "Anti-Party Group"
Khrushchev's condemnation of the "anti-party group" in
his 15 December agricultural report to the central commit-
tee is the strongest attack on the group since the initial re-
action in July 1957. The American Embassy in Moscow
doubts that Khrushchev is facing actual opposition, but con-
siders it likely that his programs have antagonized a num-
ber of highly placed individuals. His denunciation of the
anti-party group could be intended to intimidate such oppq-
nents.
Khrushchev accuses the "despicable" anti-party group
of having manifested a wrong attitude toward the peasantry
and of opposing nearly every major agricultural policy
sponsored by him since Stalin died. He charges Molotov
and Malenkov, specifically, with mistakes and dishonest
juggling of figures during the Stalin era.
The nature of the attack on the anti-party group sug-
gests the possiblity of further action against them. Khru-
shchev's statement that "The tongue refuses to call such
people 'comrades,' even though they have remained mem-
bers of the party" could be an invitation to the central cwa-
mittee to oust them from the party. They might also be
dismissed from their present4posts. The Embassy doubts
that Khrushchev will go solar as a purge trial unless his
situation is actually precarious; all present evidence in-
dicates he is firmly in control.
CONFIDENTIAL
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JOWL
COMMUNIST CHINA
PRODUCTION CLAIMS AND TARGETS
(MILLION METRIC TONS)
1957
1958
1959
STEEL
5.35
11
18
COAL
130
270
380
GRAIN
185
375
525
COTTON
1.64
3.35
5
81217 3
18 DECEMBER 1958
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Peiping Communiqu�n Central Committee Plenum
The communiqu�ssued by Peiping on 17 December on the
work of the recent central committee plenum at Wuhan formal-
izes Mao Tse-tung's decision to step down as chairman of the
government and appears designed to refute Chinese Nationalist
allegations that he is losing power.
The communiqu�oted that the decision will not affect
Mao's "continued leading role in the work of the state," and
pointed out that Mao can be re-elected chairman of the govern-
ment if some "special situation" should arise.
The session gave a resounding vote of confident to Mao on
two policies closely associated with him--the communes and the
"giant leap forward"--over which there have been hints of oppo-
sition. It placed a "very high evaluation" on the communes and
gave local party units until next April to consolidate them.
The session gave its stamp of approval to the high produc-
tion claims advanced in connection with the 1958 "giant leap"--
claims which at least in the agricultural field are seldom credited
outside the bloc. Even greater triumphs are now being promised
for 1959, with the session urging the nation to "go all out, aim
high, and defy difficulties." Production increases in certain
commodities scheduled by the session, while only about half as
great as those claimed this year, are still highly ambitious.
The Taiwan situation was played down, with no mention of
the offshore islands, and only a generalized prophecy that US
forces will be driven from Taiwan "eventually" when Commu-
nists and Nationalists "unite."
CONFIDENTIAL
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vele vary
II. ASIA-AFRICA
Chinese Nationalist Irregular Activity in Burma Border
Area
as of
late November Chinese Nationalist irregulars in Burma
were building two airfields on Burmese territory which
were expected to be operational some time in January.
4irfield construction could be designed for
a logistic build-up which would permit the estimated 6,000
irregulars in the Burma-Laos-Thailand border area to ac-
celerate raids against Chinese Communist villages. Sev-
eral Chinese villages were raided by bands of Chinese Na-
tionalist irregulars last summer, and the raiders' success
may have encouraged Taipei to urge a more ambitious pro-
gram.
Chinese Nationalist authorities on Taiwan have shown
a revived interest in the potentialities of the irregulars dur-
ing the past year and are believed to have flown several sup-
ply missions to the Burma border area during that period.
last summer's border raids were credited to the
orders of a Chinese Nationalist colonel who had recently ar-
rived from Taipei, allegedly to take over command of the ir-
regulars.
Intensified guerrilla activity by Burma-based Chinese
Nationalist irregulars might complicate Rangoon's uncertain
relations with Peiping and give the Chinese Communists an
excuse to put pressure on the Ne Win regime. Preoccupa-
tion with a resurgence of Chinese Nationalist activity might
also distract the Burmese Army from carrying out its an-
nounced intention of suppressing the Communist insurgents.
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'Novi "�Flog.
Moslem Feuding May Cause Lebanese Cabinet Crisis
The Lebanese Army's strong action last week end against
former rebel Sunni Moslem villagers in the Biqa Valley is
likely to arouse a storm of Sunni Moslem criticism against
the government. Sunni Moslems killed an army officer seek-
ing to end a fight between Sunni and Shia Moslem villagers.
The army in reprisal destroyed the Sunni village, causing a
large number of Sunni casualties.
News of the attack, which the army tried to keep out of
the press, stirred violent popular reaction in the Basta quarter
of Beirut, and large-scale demonstrations on 15 December
were averted only by pressure from higher Moslem leaders.
Shia Moslem tribesmen employed in coastal areas left abruptly
for the Biqa around 12 December on the orders of their leader.
This move may be connected with the prevailing Shia-Sunni
tension and could lead to further clashes.
Apparently, the army action was taken without the knowledge
of Sunni Moslem Prime Minister and Minister of Defense Karami,
but with the approval of President Shihab. This action has al-
ready resulted in an attack on the government by former rebel
leader Abdullah Yafi and adverse press comment. Karami
may .,attempt to shift the blame toz the Christian minister of
Interior, Raymond Edde, which could cause serious dissension
in the cabinet.
The army action was sterner than any taken during the civil
war last summer. The fact that Arsal, the village attacked, was
a stronghold of former rebel sympathizers adds to the politicians'
difficulty. The surviving inhabitants are said to have fled to Syria.
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President _Rhee, Moves To Suppress Opposition
The South Korean Government is engaged in a major
struggle with the opposition Democratic party in the Nation-
al Assembly to force passage of revisions of the national
security law and the local autonomy law. These government-
inspired measures appear to be designed to silence growing
political opposition by abridging the already limited civil
liberties and press freedom in order to prevent an adminis-
tration defeat in the 1960 presidential election.
The Democrats and a wide segment of the press are
critical of the loose definition of espionage in the revised
version of the security law and object to the provision for
penalizing anyone who has "benefited the enemy" by spread-
ing "false facts or distorted news." This latter proviso
would permit stringent press controls. Proponents of the
measure claim that its enactment is necessary to combat
Communist activities and maintain domestic order.
The planned revision of the local autonomy law would
provide for governmental appointment rather than election
of local executives in towns and cities. The Democrats have
been engaged in a well-organized campaign to win control of
the cities.
Rising opposition at home and fear of losing American
support may induce the government to tone down the most
offensive parts of the proposed bills before pushing them
through the assembly. However, in an effort to muffle op-
position, the government already has suspended some rights
of public assembly in Seoul and has organized an anti-Commu-
nist Fighting Committee to drum up local support for the re-
visions.
SE
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III. THE WEST
West Berlin Mayor Raises Question of a Free City
For All of Berlin
West Berlin's Mayor Willy Brandt has again publicly
raised the possibility of including all of Berlin in a "free city."
In an interview with a West German paper, Brandt said that
while he opposed this idea as economically not viable, he
would view it in a "different light" if Moscow would agree to
the creation of an extraterritorial corridor between Berlin
and West Germany. In the same interview he said that a UN-
supervised plebiscite in all parts of Berlin would be an ac-
ceptable way of determining the city's status. Brandt repeated
the idea of a plebiscite to French reporters on 15 December.
In an interview with a Munich paper on 5 December,
Brandt commented that the possibility of making all Berlin
a "free city" might be acceptable "in principle" in case of
an "emergency" situation. He followed up this interview
with a suggestion for a Berlin corridor in statements to a
Danish paper on 9 December. Neither of the original inter-
views provoked much public reaction in West Germany.
Since Brandt and Adenauer still differ to some extent
over whether to seek broad negotiations on Germany, Brandt
may be seeking to elicit a new proposal from Moscow to in-
clude East Berlin in the free city, which could then be used as
the basis for high-level East-West talks on Berlin and linked
to the entire German question. His references to a corridor
and plebistite3, however, suggest that he may also hope to draw
a Soviet rejection which could be used to put the USSR on the
defensive.
CONFIDENTIAL
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*IS Nisorl
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
Office of Defense and Civilian Mobilization
Special Assistant for Security Operations Coordination
Board of Consultants on Foreign Intelligence Activities
Special Assistant for Foreign Economic Policy
Special Adviser to the President
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 Economic Affairs
The Deputy Under Secretary for Political Affairs
The Deputy Under Secretary 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
The Secretary of the Army
The Secretary of the Navy
The Secretary of the Air Force
The Chairman, The Joint Chiefs of Staff
Commandant, United States Marine Corps
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
Assistant to Secretary of Defense for Special Operations
Director for Intelligence, The Joint Staff
Assistant Chief of Staff for Intelligence, Department of the Army
Director of Naval Intelligence, Department of the Navy
Assistant Chief of Staff, Intelligence, Department of the Air Force
Supreme Allied Commander, Europe
Commander in Chief, Pacific
The Department of the Interior
The Secretary of the Interior
Federal Bureau of Investigation
The Director
Atomic Energy Commission
The Chairman
National Security Agency
The Director
National Indications Center
The Director
United States Information Agency
The Director
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