CURRENT INTELLIGENCE BULLETIN - 1956/12/19

• Document Type: SPECIALCOLLECTION
• Keywords: 2018 Sanitization
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03178388
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 12
• Document Creation Date: October 25, 2019
• Document Release Date: October 31, 2019
• Publication Date: December 19, 1956

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19 December 1956
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DATE. FEVIEWE:1:
114
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OFFICE OF CURRENT INTELLIGENCE
CENTRAL INTELLIGENCE AGENCY
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CONTENTS
1. HAMMARSKJOLD REJECTS BRITISH ULTIMATUM
(page 3).
2. EGYPT SUSPENDS SABOTAGE OUTSIDE ISRAEL
(page 4).
3. NASR SEEN LOSING GROUND WITH EGYPTIAN PUBLIC
(page 5).
4. SYRIAN CABINET CHANGE APPEARS IMMINENT
(page 6).
5. EGYPTIAN NEGOTIATIONS WITH CZECHOSLOVAKIA
(page 7).
6. DALAI LAMA STALLING DEPARTURE FROM INDIA
(page 8).
7. BRITAIN EXPECTED TO ASK MORE SUPPORT COSTS
FROM GERMANY (page 9).
8. PRAVDA ANSWERS YUGOSLAV ANALYSIS ON HUNGARY
(page 10).
9. THAI POLICE CHIEF REPORTED FEARFUL OF BEING
OUSTED ( (page 11):
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1. HAMMARSICJOLD REJECTS BRITISH ULTIMATUM
UN secretary general Hammarskjold has
rejected Britain's condition for the use
of its six salvage vessels in Suez Canal
clearance operations because of the risks
involved in keeping 162 British crew mem-
bers in the canal area. London had main-
tained that the UN could use the six salvage
vessels actually attached to wrecks they are
lifting only if their British crews remained.
Hammarskjold told the chief British UN del-
egate in a letter on 17 December that, if the
British condition is maintained, he would
consider it in the general interest to work
without the six vessels and take the "ensu-
ing minor loss of time."
Hammarskjold said he expected the British
government would follow through with its remaining limited
clearing operations at Port Said, as he had proposed earlier.
The 25-vessel British salvage fleet was to complete clearing
the main channel at Port Said, after which the British salvage
force would be phased out and replaced by a UN fleet.
Lt. General Wheeler, chief of UN salvage
operations, told the American embassy in Cairo on 15 Decem-
ber that the question is not the extent to which use of British
equipment would expedite clearance but the extent to which such
equipment can in fact be used. He has maintained that the UN
salvage fleet can clear the canal without British or French equip-
ment
As of 16 December a main channel, 25 feet
deep and 240 feet wide at its narrowest Doint, had been cleared
by the British at Port Said,
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2. EGYPT SUSPENDS SABOTAGE OU1SIDE ISRAEL
Egypt has directed that commando opera-
tions inside Israel continue, but that
sabotage and destruction in the Arab coun-
tries be terminated,
Cairo's directive to curtail sabotage in
Arab countries may indicate belated aware-
ness that such activity is alarming local
authorities.
Egyptian-directed terrorists from Jordan
have continued operations inside Israel on a limited scale in
recent weeks, with sabotage of rail lines, water and POL in-
stallations. and the planting of mines
planned future op-
erations include sabotage in the Haifa area, in Jerusalem,
sabotage of oil facilities, and murder of an Israeli intelligence
officer. Approximately 800 Egyptian commandos, who escaped
across Israel to Jordan during the recent hostilities, are to be
based in Syria.
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.....akreiTt, I
3. NASR SEEN LOSING GROUND WITH EGYPTIAN PUBLIC
The Egyptian public is becoming increas-
ingly cool and uncertain in its attitude
toward the Nasr regime as it realizes the
extent of the problems which have resulted
from nationalization of the Suez Canal,
Expressions of opposition from in-
dividuals are growing, and there is some indication that small
dissident groups are forming, although the public still fears the
regime's security forces and tends to avoid any serious risks.
The informed public appears to believe that the period imme-
diately after the evacuation of the Anglo-French forces will be
critical for the regime.
in this situation the
government apparently has no over-all policy, and Nasr him-
self has spent the past two weeks in semiseclusion, conducting
a policy review.
Comment With the withdrawal of the Anglo-French
forces, Nasr seems likely to be faced
again with the problem of establishing some new policy line
which will serve to capture the imagination of the Egyptian
public and distract it from Egypt's present problems. Failing
an opening in the domestic field, he may seek some spectacu-
lar new initiative in foreign affairs or play up an existing one,
such as the demand for compensation from Britain, France
and Israel. In a recent conversation with Ambassador Hare,
Nasr made it clear that he does not expect at this time to en-
ter into serious negotiations with any of his antagonists.
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1%wo,
4. SYRIAN CABINET CHANGE APPEARS IMMINENT
Prime Minister Asali's announcement to
the press on 17 December that he would
form a "more active and harmonious" gov-
ernment within the next few days suggests
that the leftists have been able to overcome
the reported opposition of President Quwatli
to the formation of a new and broader cabi-
net.
The leftists' principal weapon has been the
parliamentary petition calling for the estab-
lishment of a "sound and harmonious" re-
gime to defend Syria's independence, increase its military
strength, suppress "imperialist plots;' and resist the "divi-
sive" Baghdad pact. According to the press, the petition has
been signed by about 70 of the 142 deputies.
Asali has not revealed the names of the
members of his proposed new cabinet,
Former prime
minister Khalid al-Azm, the anti-Western leader of the "in-
dependent bloc" in the Syrian parliament, will reportedly be
foreign minister. Akram Hawrani, leader of the leftist pro-
Egyptian Arab Socialist Party, and a sponsor. with Azm of the
ary petition, may become minister of defense.
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5. EGYPTIAN NEGOTIATIONS WITH CZECHOSLOV
discus-
sions concerning Czech equipment and
specialists for military maintenance de-
pots would take place in Czechoslovakia
next February. This timing suggests that no great urgency is
attached to the new arms negotiations between Egypt and the
Soviet bloc. Egypt submitted a list of military requirements
to the Soviet military attache in Cairo a month ago, but there
has been little information on further negotiations.
Cairo was requested to send two repre.-
sentatives to inspect "mobile workshops" which would be ex-
hibited on 2 January in Prague. These representatives would
then return to Egypt with Czech specialists to inspect repair
and maintenance facilities for aircraft, tanks, vehicles and ar-
tillery. Egypt would not order additional workshops until these
inspections had been completed.
Egypt is apparently implementing its plan
to Procure Czech
personnel for ren r and maintenance depots.
Egypt intended to use Czechs as the key per-
sonnel in its military training programs.
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6, DALAI LAMA STALLING DEPARTURE FROM INDIA
The Dalai Lama asked permission on
13 December to remain in India a few
months longer to visit Buddhist shrines
and attend to other religious duties,
As of 15 December, the Indian govern-
ment had not replied to this request, but Nehru has invited
the Dalai Lama to his home in January for further talks.
The Chinese Communists are continuing
their pressure on the Dalai Lama to accompany Chou En-lai
to NepaL The Dalai Lama's advisers are urging him not to
go, for fear that the Nepalese government is too weak to
keep the Communists from forcing him back to Tibet. The
advisers consider that the Dalai Lama's refusal to make the
trip would probably lead to his breaking with the Communists.
Comment
the Dalai
Lama planned to seeic asylum while in India.
Nehru's reaction would be a key factor in the Dalai Lama's
final decision. Nehru would not wish to offend Peiping by
granting formal asylum, but he could hardly refuse to an
extension of stay on religious grounds. He might also at-
tempt to avoid embarrassment by urging the Dalai Lama to
seek asylum in some other country.
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7. BRITAIN EXPECTED TO ASK MORE SUPPORT COSTS
The economic minister of the British
embassy in Bonn has stated that he ex-
pects Britain to ask the Federal Republic
to pay the entire deutschemark costs of
maintaining British troops in Germany. He told the French
embassy that London feels Bonn should pay support costs on
the basis of each nation's present needs, rather than by the
old percentages established for the occupation.
The British official is instructed to open
bilateral negotiations with the Germans on 7 January.
Comment Under the current agreement, Britain is
receiving the equivalent of $94,000,000
from Germany, or 27 percent of all Bonn's payments for Al-
lied forces, toward the local costs of maintaining its four
army divisions and one tactical air force there. The total
deutschemark costs for the British forces in Germany are
estimated at $180,000,000 for the fiscal year which ends on
31 March.
France, which is receiving $66,000,000
in support costs, may be expected to claim equally compel-
ling economic reasons for payments on a scale comparable
to Britain's.
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8. PRAVDA ANSWERS YUGOSLAV ANALYSIS ON HUNGARY
Despite its general condemnation of
Yugoslav vice president Kardelys views
as "revisionist," Pravda on 18 Decem-
ber indicated that the Soviet Union is
trying to keep its dispute with Yugoslavia
within the bounds of a high-level ideolog-
ical discussion. The arguments presented are essentially an
orthodox restatement of Soviet views. They indicate the Krem-
lin has no intention of recognizing that the Hungarian crisis was
in any part a result of failings in the political system in Hun-
gary; it stemmed, according to Pravda only from the errors
of individual Communist leaders.
The Soviet leaders are probably pleased
to be able to direct their fire at Kardelj rather than Tito, who
has recently appeared more willing than Kardelj to work with
the Soviet leaders. This does not necessarily mean, however,
that Moscow is trvina to create a sort in the top level of the
Yugoslav party.
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9. THAI POLICE CHIEF E'EARFUL OF
BEING OUSTED
Police Director General Phao was
warned on 11 December by a high-rank-
ing subordinate that army chief of staff Sarit
is plotting to remove him from power,
Phao reportedly a-
greed that such an attempt was possible and admitted that he
was "very worried" about Sarit. The police chief is alleged
to have stated that he would not fight since he would have no
chance against the army.
Comment Phao and Sarit are long-time rivals in
the triumvirate headed by Premier Phibun
which rules Thailand. While relations between them had ap-
peared to improve during the past year, there have been some
indications of increasing resentfuhiess on the part of Sarit over
what he considered the favoritism with which Phibun treated
Phao.
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