CENTRAL INTELLIGENCE BULLETIN - 1959/06/06

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03191542
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RIPPUB
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U
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13
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February 25, 2020
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February 27, 2020
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June 6, 1959
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WA/ pproved for Release: 2020/02/21 C03191542 TOP SECRET Noe 3.5(c) 3.3(h)(2) 6 June 1959 Copy No. C CENTRAL 62 INTELLIGENCE BULLETIN DOCUMENT NO. NO CHANGE IN CLASS. HFCLASSnE.D ULAS3. CHANGLO '10: NEXF HhVIEW DATE. ADtAjTIY: INVOREVIEWER: 10 TOP SECRET jir, et, ,,/ WApproved for Release: 2020/02/21 C 03191542,7ZZ IZZZAWZM Approved for Release: 2020/02/21 C03191542 Now, *ewe ernes r ran cm-1r Approved for Release: 2020/02/21 C03191542 Approved for Release: 2020/02/21 C03191542 6 JUNE 1959 I. THE COMMUNIST BLOC East German delegation to visit Mos- cow on 8 June. IL ASIA-AFRICA Chiang Kai-shek seeks understand- ing with Dalai Lama concerning Tibetan independence. New political party formed in India to oppose Nehru's policies. 0 0 0 0 IIL THE WEST Greece rejects Klumshchev's threats. West Germany-- CDu confirms Adenauer's decision to remain as chancellor; new presidential can- didate to be named on 11 June. � Cuba�Opposition to Fidel Castro growing. � Argentina-- Frondizi planning strong- er police measures against Commu- nist-Peronista agitation. SECRET Approved for Release: 2020/02/21 C03191542 ;IV) A / K(�%% 'Approved for Release: 2020/02/21 C03191542 CENTRAL INTELLIGENCE BULLETIN 6 June 1959 DAILY BRIEF I. THE COMMUNIST BLOC East Germany - USSR: The East German state-party del- egation including Premier Grotewohl and party leader Ulbricht will visit Moscow beginning 8 June to return Khrushchev's 4 through 12 March visit to East Germany. It is likely that plans for Soviet economic assistance to raise East Germany's standard of living will be discussed. The USSR's attitude in the Geneva Conference does not suggest that the Soviet leaders contemplate signing a separate peace treaty with East Germany during this visit, although this subject will certainly be raised in discussion and in public pronouncements. (Page 1) II. ASIA-AFRICA Nationalist China - Tibet: Chiang Kai-shek has proposed, through a personal representative, to the Dalai Lama's brother and chief adviser., Gyalo Thondup� that a Tibetan representa- tive come to Taiwan to sign an agreement which might be the basis for eventual Nationalist recognition of Tibetan "independ- ence" and a free Tibet government. The Dalai Lama, who has, been under pressure from Nehru to postpone his declaration of a "free Tibet," probably will maintain a cautious attitude toward overtures from Taiwan.) (Page 2) India: Efforts to organize a new conservative party to op- pose Nehru% "totalitarian" and "socialist" policies culminated on 4 June with the formation in Madras of the Swatantra party. Led by elder statesman C. Ftajagopalachari, the group repre- sents conservative political and business interests in several dian states. The new party will gather some support in its op- osition to the Congress party's cooperative farming and language SECRET , .1�(7 Approved for Release: 2020/02/21 C03191542V , / Approved for Release: Aase: 2020/02/21 C03191542 .1-; . .. -/.. 42,;- - - / -,,:;/�. --..y�,-,. .,o policies and nay obstruct the implementation of Nehru's pro- gram. A group of this type is likely to have only limited popular appeal, however, and probably will not seriously threaten the ruling party's, position. (Page 3) III. THE WEST Greece-USSR: Athens, in a strongly worded reply to the Soviet aideo-memoire of 14 May, has charged the USSR with at- tempted intervention in Greek affairs and criticized Moscow for increasing international tensions and insecurity by its atomic - rocket threats. (Page 4) West Germany: In his letter to the Christian Democratic Union parliamentary faction explaining his reasons for retain- ing the chancellorship, Adenauer proposed that Finance Min- ister Franz Etzel replace him as the party's nominee for the presidency. The party unanimously confirmed Adenauer's deci sion to continue as chancellor. Adenauer's tactics have led to considerable irritation which may be directed against Etzers presidential candidacy. The new presidential candidate is to be named on 11 June.) Cuba: Counterrevolutionary plotting against Fidel Castro's regiffiFfi apparently increasing among numerous independent groups in Cuba and in exile. While it is unlikely that any attempt to overthrow Castro would be successful at this time, outbreaks of violence may occur soon. The Agrarian Reform Law, which was officially published on 5 June, is arousing increasingly bitter opposition, especially among large landowners. (Page 5) Argentina: President FrOndizi is planning drastic police measures in an attempt to end the almost daily labor demonstra- tions carried out in defiance of state-of-siege regulations. He /0 .1)elieves June will be an especially critical month in the violence- marked struggle between his government and Communist-Peron- 4, ista agitators. (Page 6) Ntlit://6 June 59 )(r7 Ii �.�/ AApproved for Release: 2020/02/21 C03191542v DAILY BRIEF -SECRET- Approved for Release: 2020/02/21 C03191542 -eM414-11/brt-thit- New I. THE COMMUNIST BLOC Impending Visit of East German Leaders to USSR A large East German state and party delegation headed by party First Secretary Ulbricht and Premier Grotewohl will pay a "friendship visit" to the USSR from 8 to about 20 June. During the course of the visit, the Soviet leaders will probably take up East t Germany's role during the remainder of the talks at Geneva and map out future strategy relative to a summit meet- ing. The general Soviet line at Geneva suggests that the USSR probably will not jeopardize the possiblity of a summit confer- ence by signing a separate peace treaty with East Germany at this time, although there may be renewed threats to do so un- less the West demonstrates a willingness to make concessions on the status of West Berlin. The delegation to Moscow includes leaders of the puppet East German parties, apparently to demonstrate the united sup- port of the East German people for the Communist proposals on Berlin and Germany. Since the delegation also includes State Planning Commission Chairman Bruno Leuse:ner and representa- tives of industry and agriculture, there probably will be Gilberts- sions of ways and means of implementing existing plans for So- viet economic assistance aimed at raising East Germany's standard of living to a level approaching that of West Germany, CONFIDENTIAL 6 June 59 Approved nfor.117-2a6/0-2/27C63-1-91i42 Page 1 Approved for Release: 2020/02/21 C03191542 I N.ae v.Ipe IL ASIA-AFRICA Cliinese Nationalist Offer to Dalai Lama Chiang Kai-shek has requested the Dalai Lama to send his pe sonal representative to Taiwan to sign an agreement on the basis of which the Nationalists then would recognize Tibetan "independence" and a "free Tibet" government. The message was transmitted on 27 May through Gyalo Thondup, a brother of the Dalai Lama, Thondup agreed to see to it that the Nationalists get an answer in the near futures) Chinese Nationalists regard Tibet as an integral part of the China mainland, and it seems unlikely that Chiang would be willing to court the disfavor of his followers by offering an outright grant of independence. It is possible, however, that he is prepared to elaborate on his public pledge of last March to permit self-determination for Tibet. The formula might be worded to imply independence without stating it directly) The Dalai Lama shares a general Tibetan antipathy toward Chinese and has shown a reluctance to associate himself with the Chinese Nationalists. While he has recently appeared de- termined to lead a struggle for a "free Tibet," the Dalai Lama probably will continue to maintain a polite but cautibus attitude toward overtures from Taiwan for joint action 6 June 59 r.r.h....rrk A I IA 11.r111 V 10.41. II rh ii. 1.11k. I 'Approved for Release: 2020/02/21 C03191542 Page 2 � Approved for Release: 2020/02/21 C03191542 WINI" ILIGIN I =Noe New Opposition Party Formed by Conservative Leaders in India The formation of a new organization--to be known as the Swatantra party--to oppose Prime Minister Nehru's policies on a national scale was announced in Madras on 4 June. The group, representing conservative political and business interests in sev- eral sections of India, is led by elder statesman C. Rajagopalachari, a former governor general and Congress party leader. Rajagopalachari stated that the sponsors are some 50 prominent persons from various Indian states. Its first objective is to re- move "the pervading totalitarian atmosphere." It will stand for "freedom of the farm and family" in opposition to Nehru's "so- cialist slogans." Efforts to organize a new grouping of conservatives have been under way since the convention of the Congress party in January, when the controversial program for agrarian reorganization was announced. This scheme, which calls for ceilings on land holdings and preparing the rural society for eventual cooperative farming on a broad scale, has met strong opposition from elements in- side and outside the Congress party. Conservative leaders view the proposals as a threat to property rights and as a first step toward collectivization of farming, a charge firmly denied by the Congress high command. There have been several unsuccessful attempts in recent years to organize a broad-based conservative party in India. Such groups, generally representing the interests of certain upper- and middle-class elements only, have limited appeal to the mass of the Indian electorate. The Swatantra party will receive substantial support in its stand against the Congress party's program and na- tional language policy, and can also exploit growing dissatisfac- tion with the Congress party. It is likely to run into stiff competi- tion, however, from other opposition groups appealing to the peo- ple on either a communal or radically socialist platform. I CONFIDENTIAL 6 June 59 rr.b. rrn A I ik rri-1 I 1k se.r. ni 11 r-rn. 'Approved for Release: 2020/02/21 C03191542 Page 3 Approved for Release: 2020/02/21 C03191542 z III. THE WEST Greece Rejects Soviet Warning as Intervention Greece has firmly rejected Moscow's warning, contained in a 14 May aide-memoire, against accepting missile, and nuclear bases on Greek soil. In a formal reply passed to Soviet Ambas- sador Sergeyev on 4 June and broadcast to the Greek people, Athens stressed that the question of such bases in Greece is within the "sole jurisdiction of the Greek Government" and that any foreign intervention to exert pressure is "unacceptable." Specifically cited as interference was the Soviet criticism of the Greek-American military agreement signed on 12 October 1953. The suggestion made by Khrushchev in his 28 May speech at Korce that Greece abandon the North Atlantic Treaty Organiza- tion was also rejected as contrary to the vital interests of the Greek nation. Athens also included several "constructive observations" concerning the Soviet memorandum. It noted that Greece is al- ready within the range of Soviet atomic and rocket bases, as repeatedly proclaimed in Soviet assertions that the USSR possess- es rtickets whose range covers the entire globe. Athens also rejected the Soviet-sponsored idea of a Balkan rocket-free zone as a "political trick aimed at limiting the defensive strength" of Greece and the West. The Greek Government's firmness in the face of Soviet pres- sure is widely supported in Greece where, according to the non- Communist press, the people are unimpressed by Khrushchev's warnings. @reek Government officials, however, have voiced concern over what they regard as increasing Soviet pres- sure) SECRET 6 June 59 (Approved for Release: 2020/02/21 C03191542 Page 4 Approved for Release: 2020/02/21 C03191542 Nue' Opposition to Castro Growing Increasingly frequent reports of plans for counterrevolu- tionary action against the Castro government in Cuba indicate that there may be some outbreak before the end of June. Groups within Cuba--allegedly including military personnel and dis- gruntled revolutionaries--are plotting, as are exiles in Mexico, the United States, and the Dominican Reputiic who may have ac- cess to substantial arms supplies. There is no evidence of unity or of the emergence of an ef- fective leader among the numerous opposition forces, none of whom admits to any ties with ousted President Batista. The most active and frequently mentioned plotter is General Jose Pedraza, a ruthless and energetic army and police officer under Batista. An attempt to oust Castro at this time would have little chance of success. However, the economic paralysis affecting Cuba and the bitter disillusionment and increasing ciDubts over the competence and political orientation of the government may help to crystallize the opposition, increasing chances of violence. Small incidents have already been reported in outlying areas. the rising tide of outspoken opposition to his controversial Agrarian Reform Law caused Castro to promulgate the law on 4 June, realizing that further delay in deference to the moderates would make promulga- tion impossible. Because of opposition by moderate ministers, Castro reportedly never put the law to a cabinet vote. The American Embassy in Havana doubts that the leftist director of the powerful Agrarian Institute will show any modera- tion in implementing the law. The associations of growers of tobacco, rice, sugar, and cattle--whose strong demands for modification of the law were ignored�may be attracted to active opposition forces in efforts to avoid expropriation of their in- terests. SECRET 6 June 59 p�11..1A t�rirk A mk ������� 11.011�Ak IA", rho II I 1 I I. I 'Approved for Release: 2020/02/21 C03191542 Page 5 Approved for Release: 2020/02/21 C03191542 ant.n.c. Noe *.sri Argentine President Expects Crisis This Month President Frondizi, whose year-old government has been plagued by increasingly serious Communist and Peronista- inspired strikes and riots, has said he expects this month to be an especially critical one. He has decided to order more drastic police measures, particularly against Communists, if strikes and demonstrations continue in defiance of last Novem- ber's state-of-siege regulations. In an apparent build-up for stronger repressive measures, Frondizi's'interior minister on 2 June released two letters show- ing that a Peronista liaison agent has been negotiating with the Argentine Communist party for joint action to bring about the fall of the government, it is hoped that the release of the letters will also cause some of the less extreme Peronistas to adopt a more cooperative attitude. The major target of Communist and Peronista labor agitation is the government's US-backed stabilization program which went into effect on 1 January. The pr gram has righted Argentina's trade b lance, but has not yet stabilized the cost of living, which has jumped nearly 50 percent since the beginning of the year. A further deterioration of real w ges is anticipated and with it in- creased labor discontent. Despite rising public apprehension over the political-economic situation, Frondizi appears determined to continue the stabiliza- tion program. On 3 June he issued a st tement calling for two more years of "hard sacrifice," acknowledging at the same time a need to make the purposes of the program clearer to the public. His cab- inet reorganization in mid-May was intended to improve the adminis- tration of the program and to strengthen military support for the government. SECRET 6 June 59 I. ������� A � IL ������� I �������1\ I������ ���� �I � �������11. � Approved for Release: 2020/02/21 C03191542 Page 6 tr. r 1-T It I'm, A I Approved for Release: 2020/02/21 C03191542 NusiO THE PRESIIIIINT 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 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 United States Information Agency The Director CONFIDENTIAL Approved for Release: 2020/02/21 C03191542 ./17/ � g