CENTRAL INTELLIGENCE BULLETIN - 1960/03/31

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03007373
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 14
• Document Creation Date: March 17, 2020
• Document Release Date: March 26, 2020
• Publication Date: March 31, 1960

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CENTRAL
INTELLIGENCE
BULLETIN
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DOCUMENT NO.
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21
ACTH: Ha 10-2
6 JUN 1980
DATE: REVIWIRI
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31 MARCH 1960
I. THE COMMUNIST BLOC
Peiping's announcement ..on urban com-
munes suggests confidence in program;
Mao makes first public appearance in
Peiping in five months.
IL ASIA-AFRICA
South Africa--Further serious disturb-
ance probable.
Outbreaks of racial violence in Rhodesia
likely.
UN group views South Korean election as
"total fraud"; its report would further
damage Seoul's international standing.
UAR officials increasingly critical of
Soviet performance in regard to industri-
alization program.
III. THE WEST
�Breakdown of present round of Cyprus
negotiations may be imminent.
---SECgri"
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CENTRAL INTELLIGENCE BULLETIN
31 March 1960
DAILY BRIEF
3\e
I. THE COMMUNIST BLOC
Communist China: The announcement by planning chief
Li Fu-chun, on 30 March, that urban communes are being
formed "in a big way" suggests confidence based on success-
ful experimentation in 1959 that further communalization can
be carried out without serious opposition or economic dislo-
cation. This expansion of the commune program apparently
has less spectacular immediate objectives than the rural com-
munes. The program retains, however, some ideological over-
tones and seems to reflect Peiping's compulsions to demonstrate
its commitment to social revolution and its unwillingness sub-
stantially to modify its course.
Li gave credit for "enriching the treasure house of Marxism-
Leninism" to Mao Tse-tung, who appeared in Peiping for the
first time in five months when he tfpnc1pc1 the opening of the Na-
tional People's Congress. (Page 1)
II. ASIA-AFRICA
South Africa: Large African demonstrations in the Cape
Town area on 30 March have dispersed, but further serious dis-
turbances may develop as the militancy of the Africans increases.
The government, in a renewed drive to suppress the anti-apartheid
movements, has declared certain districts to be in a state of emer-
gency, a modified form of martial law, and has partially mobilized
the civilian reserve of about 20,000 men. Leaders of the principal
opposition party in parliament have stated that they will support
the government's efforts to restore order.
The UN Security Council's decision to discuss the South Afri-
can situation will probably contribute to increased tension in the
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Federation of Rhodesia and Nyasaland: ff?utbreaks of vio-
lence are likely unless the British colonial secretary can obtain
the cooperation of the white-controlled federal government for
a series of moves to placate the African population. These would
Include the release from prison of the African leader, Hastings
Banda, and the promise of constitutional advances in Northern
Rhodesia and Nyasaland looking toward African-dominated gov-
ernments. The Africans are showing growing determination and
organization, while the Europeans appear to have little compre-
hension of the pace of nationalist development in Afri.
(Page 2)
South Korea: he report of the United Nations Commission
for the Unification and Rehabilitation of Korea (UNCURK) to the
1(1); UN will reflect the commission's opinion that the South Korean
\1 tir vresidential elections were a "total fraud,"
Such a report would further damage the declin-
ling international standing of the South Korean Governmen_tA
(Page 3)
UAR-USSR: High-level Egyptian officials are becoming in-
creasingly critical of Moscow's performance in aiding the UAR's
Industrialization program. Cairo, in line with Nasir's current
policy of encouraging Western participation, seems interested in
turning some of the projects now assigned to the USSR over to
Western countries. Cairo will, nevertheless continue to use all
available Soviet aids andThe USSR's role will remain important.
(Page 4)
D
III. THE WEST
Cyprus: [Reports from British and Greek officials on Cyprus
indicate that a breakdown in negotiations over the size of future
British bases may be imminent. Archbishop Makarios has re-
fused to consider granting Britain more than 80 square miles for
the bases, and London will not accept this limitation. British
spokesmen have indicated that a new five-party conference will
follow if a deadlock results, but Makarios has stated that he will
not atten,ig (Page 5)
31 Mar 60
DAILY BRIEF ii
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IV. WATCH COMMITTEE CONCLUSIONS
A. Ro Sino-Soviet bloc country intends to initiate hostil-
ities against the continental US or its possessions in
the immediate futur_93
B. ao 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 im-
mediate future
C. ahe following developments are susceptible of direct
exploitation by Soviet/Communist hostile action which
could jeopardize the security of the US in the imme-
diate future_D
dione7
31 Mar 60
DAILY BRIEF
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I. THE COMMUNIST BLOC
Peiping Launches Urban Commune Drive
The chairman of Peiping's State Planning Commission,
Li FU-chun, in the first major speech to the National People's
Congress on 30 March, declared that urban communes are
being developed "in a big way" in cities throughout the coun-
try. Li's announcement climaxed a campaign to publicize the
rapid growth of facilities for "collectivized living" in major
cities during recent weeks. The recent publicity campaign
did not mention urban communalization specifically, but it was
apparent that the groundwork was being laid for such a move.
Considerable attention was given to urban communes in
the fall of 1958, when the commune program was instituted,
but it soon became obvious that the regime was experiencing
difficulties in this aspect of the movement. Reference to ur-
ban communes almost disappeared after Peiping's modification
of its doctrinal claims for the commune program at the end of
1958, presumably in deference to Soviet objections.
Peiping's willingness to undertake the difficult task of ur-
ban communalization at this time may reflect the leadership's
feeling that collectivized living measures in the cities have been
successful enough to permit further steps without significant op-
position.
In the same speech, Li Fu-chun gave credit for "enriching
the treasure house of Marxism-Leninism" to Mao The-tung, who
made his first appearance in Peiping in five months at this meet-
ing. In keeping with the current campaign to present Mao as a
creative Marxist-Leninist theoretician, it is likely that the drive
for urban communes will be firmly linked to his "ideology." This
expansion of communalization indicates that Peiping is willing
to risk Moscow's displeasure rather than abandon what it con-
siders essential as7ects of its current programs.
CO TIA L
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IL. ASIA-AFRICA
Race Relations Worsen in Central Africa
n the Federation of Rhodesia and Nyasaland, wnere a
settler-dominated government shares power with London,
the racial and political situations are becoming more tense
and may lead to early violence. Separatist tendencies among
the three territories which constitute the federation--Northern
and Southern Rhodesia and Nyasaland�are increasing and
there is a widening gap between the races because_ of local
official policies and external nationalist pressures)
(Most of the Europeans appear to have little comprehension
of the strength of African nationalism, and those who do are
determined to resist. By use of force they may succeed in
forestalling an African takeover for several years; this, how-
ever; would be at the risk of bloodshed comparable to the dis-
orders in South AfricaV
The Africans' attitudes are hardening, but many leaders
realize that time is on their side. They show increasing de-
termination and organization. This has been demonstrated by
recent school demonstrations in Northern Rhodesia, disorders
in Nyasaland, a generally effective boycott of the advisory com-
mission on a new constitution, and bolder public statements
against the existence of the federation2
[These problems confront visiting British Colonial Secretary
Macleod with a serious challenge. He must secure the coopera-
tion of the white-controlled government for a series of moves to
placate the African population if early violence is to be forestalled.
These measures include the release of Dr,. Hastings Banda, the
Imprisoned Nyasaland nationalist, and the initiation of far-reach-
ing constitutional changes in Nyasaland and Northern Rhodesia with
a program leading to African-dominated local governments in the
near future
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UN Observers to Report South Korean Elections Fraudulent
EVIembers of the United Nations Commission for the Unifi-
cation and Rehabilitation of Korea (UNCURK) believe that South
Korea's presidential elections on 15 March were a "total fraud,"
The commission is pre-
paring a report to this effect for submission to the UN this April,
and a summary of its findings will be included in UNCURK's an-
nual report to the UN in August. Despite South Korean pressure,
the commission is unlikely to change its findings, which would
further damage the South Korean Government's declining inter-
national standinsj
The American Embassy in Seoul has observed that the South
Korean Government may be beginning to realize that it must
broaden its international support if the country is not to become
isolated. Lresident Rhee's trusted ambassador to France, Gen-
eral Chong Il-kwon, has cautioned of the danger of Asian Commu-
nist efforts to woo the new African nat1on_s3
Although two recent good-will missions increased the number
of states recognizing South Korea, they also met with some rebuffs.
One Seoul mission to South and Southeast Asia reached an agreement
with Malaya to open formal relations but was refused entry by Pak-
istan, despite its strongly anti-Communist orientation. Ambas-
sador Chong's tour of Africa resulted in an agreement with Liberia
to establish diplomatic relations and "tacit" recognition by Libya
and the Union of South Africa. Friendship with South Africa, how-
ever, would many Asian-African states.
ET
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Egypt Dissatisfied With Some Aspects of Soviet
Economic Aid
High-level Egyptian officials are becoming increasingly
critical of Moscow's performance in aiding the UAR's indus-
trialization program. The head of the UAR purchasing mis-
sion in Moscow has complained,
that the USSR is "going back on its word" and is
attempting to stretch out certain important industrial projects
far beyond their originally planned completion dates.
Moscow had been expected to begin a major expansion of
Egypt's Helwan steel plant last February and complete the
project in 1963. Recently, however, Soviet officials have stated
that they will not begin delivery of equipment before 1965 and
that completion is not likely before 1968. They explained this
delay by claiming that their industry is "committed for the next
five years." Moscow is substantially behind schedule on a num-
ber of other projects listed in the Soviet-UAR trade agreement.
Moscow also is expected to build a shipyard at Alexandria.
The chief of the UAll's economic planning board, however, has
been making unfavorable comparisons between repeated Soviet
delays on this project and prompt West German action on the
similar shipyard project at Port Said.
addition, the $2,000,000 Damietta textile factory in Egypt--
the first complete installation built by the USSR--has proved
unsatisfactory for spinning long-staple Egyptian cotton, and th
UAR probably will have it dismantled. The UAR minister of in-
dustry reportedly is considering the cancellation of two Soviet
contracts for textile mills]
Despite these setbacks, Cairo will continue to depend heav-
ily on Soviet economic aid, although it may attempt to focus Com-
munist assistance on the more general basic projects such as the
Aswan High Dam and Syrian river development. Egypt, in line
with Nasir's current policy of actively encouraging large-scale
Western participation, probably will increasingly contract with
the West for its needs for factories with modern industrial equip-
ment and technology.
TOP
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III. THE WEST
Cyprus Negotiations
as a result of the recent hardening in the attitude of
Archbishop Makarios, an imminent breakdown is possible
in the British-Cypriot negotiations designed to remove dif-
ferences which have prevented establishment of the Cypriot
Republic. Makarios apparently is relying on his "intuition"
that the British will eventually capitulate in the current test
of strengthj
/While Governor Foot has stated that London is prepared
to be "flexible," there is no evidence that the British will
significantly reduce their previous demand for British bases
covering 120 square miles. Makarios has refused to consid-
er more than 80 square miles and has stated that further
meetings are useless until his demands are met
C_A British warning that unless the problem is resolved
soon a new five-party conference--Britain, Greece, Turkey,
and Turkish and Greek Cypriots--will be called elicited a
reply from Makarios that he would not attend unless assured
that his minimum demands would be accepted. Failure of
such a conference could lead to denunciation of the 1959
Zurich-London agreements by one or more of the signatories7
Greek officials in Nicosia, who have expressed consider-
able support for the British position on the bases, have empha-
sized fear that Makarios will not budge from his present posi-
tion and may suddenly resign from the transitional government--
possibly on 1 April, fifth anniversary of the start of EOKA
terrorism. His resignation would be followed by that of other
Greek Cypriot members of the transitional cabinet and would
lead to confusion--if not chaos--in the government)
durkish Cypriots, aware that the repudiation of the Zurich-
London Accords would almost certainly not be to their ad-
vantage, are continuing to seek a solution on almost any basi2)
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/Turkish Cypriot leader Kuchuk has attempted to act as media-
tor in the past and may try again to secure an agreement on
100 square miles. A breakdown of the negotiations, followed
by failure of a new conference, would have serious repercus-
sions on intercommunal relations3
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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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