CENTRAL INTELLIGENCE BULLETIN - 1959/08/08

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03015527
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 16
• Document Creation Date: February 25, 2020
• Document Release Date: February 27, 2020
• Publication Date: August 8, 1959

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' NoW
3.5(c)
3.3(h)(2)
8 August 1959
copy Bo. '-
CENTRAL
INTELLIGENCE
BULLETIN
D3CUMENT NO
NO CHANGE IN CLASS.
DECLASSIFIED
CLASS. CHANGED T
NEXT REViEW DATE: _
REVIEWER:
ALITH Th
DATE.
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8 AUGUST 1959
I. THE COMMUNIST BLOC
Moscow advises Indian Communists
to follow moderate course despite
events in Kerala.
Chinese Communists warn against
exaggerating economic difficulties
and call for intensified effort.
IL ASIA-AFRICA
Laos--Military situation remains
quiet; but Communist bloc propaganda
becomes more intense.
Afghan Army delegation to witness
Soviet atomic warfare exercises.
Algeria--Algerian rebel command
orders sabotage of French oil in-
stallations.
_f
0
II L THE WEST
0 France ceases anti-Nasir broad-
casts.
0 Argentina brings pressure on Do-
minican Republic to stop Peron's
direction of anti-Frondizi activities.
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CENTRAL INTELLIGENCE BULLETIN
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8 August 1959
DAILY BRIEF
L THE COMMUNIST BLOC
USSR-India: 'The Soviet Communist party has advised
the Indian party:
-not to scrap its policy of seek-
ing power by "parliamentary means" in favor of violent tac-
tics. Moscow's response to the developments in Kerala
reflects the desire of Soviet leaders to avoid strains in their
relations with New Delhi. Unlike Peiping, whose radio has
broadcast detailed, slanted accounts of the crisis, the USSR
has barely mentioned the subje.
(Page 1)
Communist China: In an editorial which may reflect a
recent reassessment of China's economic outlook by the party
leadership, the official People's Daily points to the tremendous
strides made in the first half of the year and asserts that the
situation is "extremely favorable" to the fulfillment of this year's
plan to press on with the leap forward. All that is required, the
daily says, is to overcome the budding conservative tendency of
exaggerating difficulties and "activate" the masses to a new up-
surge of effort. The editorial may be the opening gun of an ef-
fort to regain some of the momentum which has been lost over
the past few months Page 2)
II. ASIA-AFRICA
Laos: KVhile there has been little or no military action in
northern Laos over the past few days, possibly due to heavy
rains, Communist bloc propaganda on the situation has become
steadily more strident.]
fLIN Secretary General Hammarskjold has reacted favorably
to a proposal advanced by the British, subject to Moscow's-1
V/Z
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FRENCH
EQUATORIAL
AFRICA
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a reement as 1954 Geneva conference cochairman, that Ham-
marskjold be asked to appoint a neutral fact finder and mediator
(Page 3)
Afghanistan-USSR: The Afghan Army delegation, which is
to attend military exercises in the USSR within a month, appar-
ently will view "atomic maneuvers." These presumably would
include demonstrations of military tactics under conditions of
simulated atomic warfare. An invitation to witness such a dis-
play probably would be intended to reinforce the Afghan Govern-
ent's feeling that it must strengthen relations with its power-
iul neighbor. (Page 5)
Algeria: The Algerian rebel command has issued urgent
orders for the sabotage of French oil installations in Algeria.
Statin that "oil must not oass through Bougie and Philippe-
cited three locations as suit-
able for "immediate" action. The rebel order may have been
prompted by an announcement that President de Gaulle will
inaugurate the 24-inch Hassi Messaoud - Bougie pipeline in
October. While efforts at sabotage may be accelerated, past
rebel attempts against oil installations have not been notably
successful.
III. THE WEST
France-UAR: The anti-Nasir clandestine "Voice of Free
Egypt" broadcasts originating in France have been off the air
since 30 July in what may be a French move to meet UAR con-
ditions for implementing the economic and cultural agreement
negotiated last August. UAR support of the Algerian rebels
and French sales of military goods to Israel still stand in the
rmal resumption of diplomatic relations.
(Page 6)
8 Aug 59
DAILY BRIEF
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Argentina: President Frondizi believes Peronista and
Communist collaboration in strikes and electoral activity is
due in part to continuing instructions from Peron in the
Dominican Republic. Argentina is making further representa-
tions to Trujillo to cut off Peron's communications, and, if
these fail, Frondizi is prepared to break diplomatic relations.
Meanwhile, Frondizi is seeking legal means of further curtail-
ing Communist activity. (Page 7)
8 Aug 59
DAILY BRIEF iii
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New' Noe
I. THE COMMUNIST BLOC
Moscow Again Cautions Indian Communists to Ayola violence a
The Soviet Communist party,
cautioned
Lne incuan party nut Lu unaelLaKe vtutent LAC,L,L�b L ward the
government or the Congress party in response to develop-
ments in Kerala. Apparently anticipating the dismissal of
the Kerala Communist regime,
predicted that growing Communist strength will provoke anti-
Communist elements into using vi01ence:1
Calcutta area Communist leaders canceled preparations for
a general strike, and demonstrations in other major centers
have been carefully controlled. Former Kerala Chief Minis-
ter Namboodiripad, in New Delhi for the 6-7 August meeting
of the Communist central executive, told the press his party
would bontinue to seek power only through constitutional means,
despite its experience in Kerala:\
formulating their 'advice," Soviet leaders probably took
into account the traditional Indian antipathy toward violence,
but Moscow's desire--which has been especially noticeable over
the past six months�to avoid frictions in dealings with New
Delhi seems to have been an even -greater consideration. So-
viet propaganda organs, with the exception of a brief reference
in a 31 July news program to the dismissal of the Kerala govern-
ment, has avoided any mention of the crisis. This is in con-
trast with Peiping whose radio has broadcast detailed, slanted
reports on Kerala:2
8 Aug 59
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New'
Peiping Calls for Greater Economic Efforts
Two recent editorials in the official People's Daily may
reflect a reassessment of Communist ChinaTs�e-diinomic outlook
by the party leadership. The editorials appear to be a strong
reaffirmation of the correctness of the general approach to eco-
nomic development taken byMao Tse-tung and the most influen-
tial group of his lieutenants led by Liu Shao-chi.
The paper asserts that "tremendous strides" were made
in the first half of the year and that the present situation is "ex-
tremely favorable" to the fulfillment of this year's plan for press-
ing ahead with the regime's "leap forward" economic policies.
All that is needed, the daily says, is to eliminate the "rightist
conservative tendency" of exaggerating difficulties and "activate"
all manpower to a new upsurge of hard work.
Both editorials are directed to local party officials, who
are enjoined once again to "let politics take command"--a key
slogan in the leap last year but which had been soft-pedaled over
the past few months. The cadres are told to use methods of mass
exhortation which were claimed to be successful last year and
thus spur the Chinese workers to new efforts, especially over
the next two months. The regime clearly attaches great impor-
tance to being in a position to greet its tenth anniversary on 1 Oc-
tober with appropriate "spectacular achievement."
The leadership apparently believes that a renewed reliance
on exhortation�plug the harvest already in hand, which could be
used to provide more in the way of direct incentives to the work-
ers--will enable the 1959 "leap" to regain some of the momentum
lost in recent months. The party leaders may have redefined
this year's goals in terms less extravagant than the ones formu-
lated last December, but there is no hint of such a shift in the
editorials.
CONFIDENTIAL
8 Aug 59
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'vase
IL ASIA-AFRICA
Situation in Laos
While there has been little or no military action in north-
ern Laos during the past few days, possibly because of heavy
rains, Communist bloc propaganda on the situation has become
steadily more strident. Izvestia,on 7 August, described the
events in Laos as "fraught with the danger of grave military
clashes" which may spread, "engulfing a whole line of South-
east Asian countries." The paper added "it is still not too late"
to stop the fighting in Laos if calls for the return of the ICC
are heeded. Moscow, maintaining its pressure on London, has
stated that any constructive contribution to a peaceful settle-
ment is "impossible" without the participation of Britain, co-
chairman with the USSR of the Indochina armistice settlement.
LUN Secretary General Hammarskjold is continuing his ef-
forts to bring India and Laos into agreement on some way of
using the ICC to ease the tension. He has reacted favorably to
a proposal advanced by the British,. subject to Moscow's agree-
ment as 1954 Geneva conference cochairman, that Hammar-
skjold be asked to appoint a neutral fact-finder mediator. The
British believe the Secretary General would select Indian Com-
monwealth Secretary M. J. Desai, former ICC chairman for
Vietnam,for the assignment, which would entail seeking infor-
mation on conditions in the Laos - North Vietnam frontier area
and making recommendations to reduce the tension. Nehru now
seems ready to accept some mediatory action outside the ICC on
condition that it remains within the framework of the Geneva
agreements. The USSR, however, probably would reject the
proposal on the ground that it is a Western effort to avoid re-
activation of the ICC.]
With respect to the Chinese Communists, there is an unveritiect
8 Aug 59
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report that unusual troop movements took place in July in II,Laan
Province north of Laos.
in July the amount of fuel shipped to Chinese Commu-
nist army units in Yunnan showed a large increase,
Reports persist of a guerrilla force) composed of former
Pathet Lao and Kha tribesmen being assembled in North Viet-
nam near the Laotian frontier under Major ICayson, ex- Pathet
Lao Battalion commander,
the existence of such a force is a strong pos-
sibility. However) its reported size of 3)000 seems greatly ex-
aggerated and information on its exact location is vague.
[The Laotian secretary of state for defense on 7 August stated
he had received a report to the effect that enemy forces were re-
grouping for a two-pronged attack against the town of Sam Neua.
The vague origin of the report prevents an assessment of its
validity ]
8 Aug 59
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valor
Afghan Mission May Witness "Atomic Maneuvers" in USSR
The delegation of Afghan Army officers scheduled to ob-
serve military exercises later this summer in the USSR is to
view "atomic maneuvers,"
The Afghans have been invited to observe
maneuvers in the Turkman SSR in late August and the first
part of September,
The visiting officers will probably be shown a demonstra-
tion involving atomic weapons under conditions of simulated
warfare. It is doubtful that the Afghans would see an actual
nuclear explosion, since the USSR has in the past restricted
such demonstrations to bloc observers and is unlikely to ex-
plode a nuclear weapon while test-ban talks are continuing in
Geneva.
Such a display probably would be intended to impress on the
Afghans the idea that the USSR could win any future major war,
thereby encouraging Kabul's inclination to strengthen relations
with its powerful neighbor.
8 Aug 59
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Ire I I I. THE WEST Nop,
France and UAR Seen Moving Toward Rapprochement
The clandestine radio "Voice of Free Egypt;' which� follow-
ing the 1956 Suez Canal episode, has broadcast Arabic-language
attacks on UAR President Nasir from a station located in France;
has, been off the air since 30 July. The interruption does not ap-
pear to be due to technical difficulties, and it probably represents
a French move to meet UAR conditions for implementation of the
economic and cultural agreement negotiated last August. Cairo
has already taken some steps under the agreement to return or
pay for French property sequestered at the time of the Suez
crisis, but the reopening of French schools in the UAR and the
operation of payments and credits agreements have been held up.
/meeting in Geneva in May between French Foreign Minis-
ter Couve de Murville and UAR Minister of National Guidance
Ukasha reportedly resulted in an agreement for an immediate in
formal exchange of commercial and cultural attaches and for an
early cultural exchange contingent on the termination of the "Voice
of Free Egypt" broadcas,tA
Cairo is wary of re-establishing formal diplomatic relations
with France as long as the Algerian war continues. [fiowever, a
high Italian Foreign Ministry official noted a "new moderation"
on the Algerian question on the part of the UAR delegation which
stopped in Rome en route to the Monrovia conference of independ-
ent African 5tates-3
France, on the other hand, still maintains close ties with
Israel. Since the advent of De Gaulle, however, French ship-
ments of military goods to Israel have fallen off. Although some
high French officials, notably Deputy Premier Soustelle, continue
to push the Israeli alliance, the government's position appears to
be shifting toward improving relations with the Arab states and
with the UAR in particular.
8 Aug 59
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Argentina Asking Trujillo to Curtail Peron's Subversive
Instructions
Argentine President Frondizi believes Peronista and
Communist collaboration in strikes and electoral activity is
due in part to continuing instructions from Peron in the
Dominican Republic, and that such strikes will create seri-
ous political and social problems during the coming months.
In Frondizi's view, Trujillo is convinced Peron will return
to Argentina and for that reason is permitting him to con-
tinue sending subversive recordings and other messages.
Argentina does not intend to introduce this matter at the
OAS meeting in Santiago,but will discuss it privately with the
Dominican foreign minister at that time. If these representa-
tions fail, Frondizi is prepared to break diplomatic relations.
Relations were resumed in October 1958, having been broken
in April 1957 by the provisional Aramburu government over
Peron's asylum in the Dominican Republic.
Meanwhile, the government--disturbed by Peronista sup-
port of Communist candidates in the recent municipal elec-
tions in Santa Fe Province--is considering means of barring
the Communist party from participating in future elections.
Frondizi does not believe the executive could order this and
thinks the congress would balk at it, but he hopes for success-
ful judiciary action on such a ban before the February 1960
congressional elections.
Although Frondizi issued a decree on 27 April banning all
Communist party political activity, there is no federal law at
present superseding the provinces' control over their electoral
processes and recognition of political parties. The federal
government is apparently trying to persuade the provinces to
cooperate in anti-Communist action. On 5 August it issued
another communiqu�xplaining reasons behind the 27 April
decree and pointing out the involvement of foreign Communist
agents in terrorist activities.
8 Aug 59
CENTRAL INTELLIGENCE BULLETIN
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� /A I 1� � � � �A a���
Noe Nue
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
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 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
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
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
CONFIDENTIAL
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