WEEKLY SUMMARY

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CIA-RDP79-00927A005300090001-6
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Approved For Release 2008/03/31 CIA-RDP79-00927A005300090001-6 1 July 1966 OCI No. 0296/66 ARMY review(s): completed.:' State Dept. review completed Copy NO. 4 9 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31 : CIA-RDP79-00927AO05300090001-6 SECRET C O N T E N T S (Information as of noon EDT) 30 June 1966) VIETNAM Political activity in Saigon this week generally cen- tered on preparations for September's elections and on forthcoming cabinet changes. Government differences with the Buddhists subsided somewhat in importance. The scene of major fighting shifted from South Vietnam's western highlands to the northern and central coastal plain. US aircraft bombed North Vietnamese POL storage facilities estimated to comprise 70 percent of the DRV's bulk petroleum storage capacity. INDONESIAN CONGRESS NEARS ADJOURNMENT Having endorsed Suharto's mandate and named General Nasution as its chairman, it has probably completed the major action expected of it. SHAKE-UP IN CHINA'S SECOND-ECHELON LEADERSHIP Thirty-one of the 73 officials who filled key party and military posts on 1 April, when politburo member Peng Chen fell, have not since appeared in public. CHOU EN-LAPS VISIT TO RUMANIA ENDS IN DISPUTE The Chinese Communist premier not only achieved no substantive agreement, but openly clashed with his hosts. Europe WARSAW DEMONSTRATIONS HIGHLIGHT CHURCH-STATE STALEMATE 8 The antiregime, prochurch demonstrations in Warsaw last weekend have sharpened the dilemma both sides face-- how to maintain their basic positions without generat- ing a full confrontation on the popular level. SECRET Page i WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET FRENCH NON-COMMUNIST LEFT MOVES TOWARD COOPERATION WITH 9 COMMUNISTS However, overtures to this end by erstwhile presidential candidate Francois Mitterrand are not being enthusiastical- ly welcomed by the Communists, who fear they may be used in the upcoming legislative election campaign and then discarded afterward. NATO DEVELOPMENTS France now says it will "subordinate" its forces to NATO in wartime but insists that the details are for the military--not the politicians--to work out. There is also doubt as to how the French will react to Bonn's declaration offering an interim arrangement to allow French troops to remain in Germany. Middle East - Africa POLITICAL DEVELOPMENTS IN YEMN Recent conferences among Yemeni republican tribal groups may lead to a governmental reshuffle with anti-Egyptian overtones. Cairo seems content to stand by for the moment, possibly while gauging the progress of the Kuwaiti mediation effort. BRAZZAVILLE REGIME AND ARMY ELEMENTS IN SHOWDOWN Army officers had been increasingly dissatisfied over the radical regime's persistent downgrading of their influence. KENYA GETTING TOUGH TOWARD SOMALIA Nairobi appears determined to stamp out dissident activity by Somali insurgents in northeastern Kenya. A political crisis in Mogadiscio will keep pressure high for firmness toward Kenya. SECRET Page ii WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET Western Hemisphere ARGENTINE GENERALS OUST PRESIDENT ILLIA The generals, who believe Illia was leading the coun- try toward anarchy and economic disaster, ousted him in a bloodless coup BRITISH HONDURANS PROTEST TERMS OF INDEPENDENCE AGREEMENT 15 Rioters are demonstrating against what they consider a sellout to Guatemala, which has long asserted a claim to the colony and is negotiating with the British on the terms for its independence. GUATEMALA RETURNS TO CONSTITUTIONAL RULE President Mendez, who will be inaugurated on 1 July, will have a difficult term at best, inasmuch as reforms which might alleviate the country's economic and social problems would cost him armed forces support. DOMINICAN PRESIDENT BALAGUER TO BE I14AUJGURATED Security forces, anticipating extremist efforts to up- set the 1 July ceremony, are taking precautions to pro- tect inaugural participants--including Vice President Humphrey. Balaguer's inaugural speech and his cabinet appointments remain well-kept secrets. BOLIVIAN ELECTIONS STILL ON Continued incidents of violence are probable, but at this late date only a chaotic situation or the assas- sination of assured presidential victor Barrientos would be likely to cause cancellation of the 3 July voting. CHILEAN AND COLOMBIAN LEADERS PRESS HEMISPHERE ECONOMIC TIES 19 Recent remarks by Chile's President:Frei.and visiting Colombian President-elect Lleras indicate that they intend to press for Latin American economic unity and closer economic cooperation with the US. FIDEL CASTRO RESUMES NORMAL ACTIVITIES On 29 June Castro delivered his first speech since 1 May. His speaking manner and over-all demeanor were characteristic of his public appearances over the past seven years. SECRET Page iii WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET Far East V I ETNAM Political activity in Saigon this week generally centered on preparations for the September elections and on forthcoming gov- ernmental changes. Differences between the government and the Bud- dhist Institute subsided somewhat in immediate importance. The government has begun to brief provincial officials on the application of the recently promul- gated law under which a constitu- ent assembly will be elected in September. It is not yet clear whether any military officers will be candidates, although a military member of the Directorate has been put in charge of political activ- ity for the armed forces. Polit- ical and religious groups appear to be organizing for the elections along traditional lines, with no significant new alliances evident thus far. Government leaders rec- ognize that the Buddhist Institute and some Catholic factions oppose the elections, but are hoping that indirect persuasion will change the attitude of these recalcitrant groups before September. Government Changes The government hopes to an- nounce its new cabinet on 1 July. One significant realignment, which stresses the importance of rural pacification, will elevate Revo- lutionary Development chief Gen- eral Thang to the status of a "su- perminister," responsible for the ministries of interior, public works, and agriculture. One cab- inet minister with close ties to the Buddhist Institute is ex- pected to be removed. Meanwhile, "watchful waiting" and some uneasiness continue to characterize public reaction to devaluation and other economic re- form measures announced on 18 June. As expected, some adverse reaction has developed including a strike by construction workers in the Sai- gon area, but no definitive trends relating to the over-all success or failure of the reforms are yet evident. Moderate and militant Bud- dhist leaders within the Buddhist Institute apparently remain un- able to resolve their differences over continuing opposition to the Ky government. After raiding the institute compound last week, the government made some conciliatory moves toward the moderates, but no accord has yet been reached. Military Situation The scene of major fighting shifted during the past week from South Vietnam's western highlands to the northern and central coastal plain. Northwest of Hue, in Thua Then Province, two US Marine bat- talions conducting search-and-de- stroy Operation JAY trapped battal- ion-sized or larger elements of the 6th North Vietnamese Army (PAVN) Regiment against an inlet on the South China Sea. Supported by heavy SECRET WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 SECRET NORTHg ~..' VIETAThi' "-, f ~-S V,et 1,i*.. Sac Gang ---. BURY s 0UTr41u,Hoa kVIETNAM. CAPITAL MILITARY REC, The Indochina -South China Area( NW 11 CORPS PiS6' II SECRET Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET tactical air strikes, artillery, and naval gunfire, US forces killed 92 Communists while sustaining only moderate casualties. In Phu Yen Province, eight US battalions continued to press Op- eration NATHAN HALE against two PAVN regiments near the provincial capital of Tuy Hoa. The 12-day ground sweep has thus far taken more than 400 Communist lives and has seriously disrupted enemy plans--gleaned from captured docu- ments--for a major regimental as- sault against a nearby US/Vietnam- ese Special Forces camp. South Vietnamese forces en- joyed mixed success during the con- duct of two large-scale search-and- destroy operations in the Mekong Delta. Southwest of Saigon, gov- ernment regulars lost 30 killed and 72 wounded in two days (26-27 June) of heavy fighting in Dinh Tuong Province, but rallied on 28 June by killing 82 Viet Cong during a one-day sweep in southernmost An Xuyen Province. The two major Communist- launched attacks this week were notably unsuccessful. A 29 June battalion-sized ambush against a Vietnamese Marine battalion in convoy along coastal Route 1, north- west of Hue, was beaten off, with enemy losses of 202 killed, versus 50 government troops killed and 84 wounded. A regimental-strength attack the next day against ele- ments of the US lst Infantry Divi- sion conducting EL PASO II north of 'Saigon in Binh Long Province was also repulsed with only moderate 'Friendly losses, against more than :300 Viet Cong killed. Air Strikes on North's POL Dumps US Air Force and Navy aircraft conducted several coordinated strikes against major North Vietnam- ese POL storage facilities begin- ning on 29 June. Pilots reported that heavy damage was inflicted on the installations at Hanoi, Hai- phong, Do Son, Bac Giang, and Viet 711ri. No definitive assessment could be made from the initial bomb damage photography, however, because of heavy smoke and flame rising from the targets. These facilities were estimated to com- prise some 70 percent of North Vietnam's bulk petroleum storage capacity. Two US aircraft were lost to ground fire during the attacks. At ].east five other air force aircraft were damaged--three by flak and two in an aerial engagement with four North Vietnamese MIG-17 fighters-- but all these returned safely to their bases. One of the DRV fighters was shot down. Hanoi's initial propaganda reaction to the strikes stressed that the attack provided a great victory for the North Vietnamese air defense which, Hanoi claimed, shot down seven US aircraft dur- ing the raid. DRV Airfield Construction Analysis of low-level photog- raphy confirms 25X1 SECRET Page 3 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31 : CIA-RDP79-00927AO05300090001-6 SECRET that construction previously ob- served at Yen Bai in northwest North Vietnam is an airfield. The area of grading and leveling now is about 10,500 feet long. If con- struction continues at the present rate, this airfield will probably be ready for use by the end of the year. More Soviet Helicopters to DRV Four more MI-6 Hook helicop- ters have arrived in Hai hon I I North Vietnam now ias six or these heavy-duty helicopters--the first two arrived in early March and have since been operating from Hanoi/Gia Lam Air- field. These helicopters could play a significant role in logis- tic operations or in the tacti- cal deployment of weapons systems such as surface-to-air missiles. The Hook is capable of moving more than 70 troops or 17,000 pounds of cargo for a distance of over 300 miles. There is no evidence at present, however, to indicate what use the North Viet- namese might make of these new aircraft. The latest report on infiltra- tion from MACV provides further evidence that movement of North Vietnamese into the South reached a new high of some 24,275 during the first five months of 1966. Of this number, MACV lists 10,300 as confirmed and the remainder as either probable or possible. By comparison, MACV estimates that about 22,000 men infiltra Vietnam in all o INDONESIAN CONGRESS NEARS ADJOURNMENT The Indonesian congress (MPRS), the nation's highest policymaking body, is still in session but has probably completed the major ac- tion expected of it. Having en- dorsed President Sukarno's 11 March transfer of executive power to General Suharto and having unan- imously named General Nasution as MPRS chairman, the members have gone into committee sessions and will probably adjourn on 4 July. General Suharto apparently feels that the MPRS action both af- firmed and strengthened his mandate and gave the army all the authority it needs for the time being. In a press interview on 27 June, Suharto made clear that he plans no imme- diate action to strip Sukarno of titular authority. He will prob- ably continue, however, to counte- nance anti-Sukarno propaganda de- signed to reduce the President's prestige and discredit his policies. SECRET Page 4 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 SECRET Although the MPRS clearly is being stage-managed by the military leadership, speech-making and dis- cussion sessions from 22 to 26 June indicated that some differences of opinion are permitted. The National Party (PNI) took a generally pro-Su- karno line; the opportunistic Moslem Nahdatul Ulama (NU)--the only other large recognized party--moved away from the pro-Sukarno line it has been taking for the past few weeks toward the strongly anti-Sukarno pos- ture of the minor parties. Now that his authority has been confirmed by the MPRS, Suharto probably hopes to move against left- ist military and civilian elements in East and Central Java. He has re- placed the army commanders in both provinces, where pro-Sukarno senti- ment has been vigorously expressed in recent weeks and where an effec- tive Communist underground could de- velop unless remedial steps are taken. Suharto has appointed one of his closest and most trusted ad- visers, Major General Sumitro, to the East Java post and a strong anti- Communist personality, lr~leneral, Surono, to Central Java. SHAKE-UP IN CHINA'S SECOND-ECHELON LEADERSHIP There are mounting signs that the political turmoil in Peking has produced 4 massive shake-up of key officials just below politburo rank. A host of officials dropped out of public view before or about the time of the fall of politburo member Peng Chen in March or April. While failure to make public ap- pearances is not an infallible guide to a leader's standing, it is usually a good one. Appearances enhance a leader's stature and serve to remind subordinates, who are often kept in the dark about such things, that he still exercises authority. Of the 73 officials who filled key party and military posts before 1 April, about the time that Peng Chen fell, 31 are now out of view (see chart). On 1 Jan- Page 5 uary 1966, only 15 of the 73 had one unreported for as much as three months. The recent unsettled political scene has produced considerably more pressure than usual for a leader to do what he can to establish that he is in good standing. The Peking press has been adding to these pres- sures by demanding that responsible officials "personally" take charge of the current ideological purifica- tion drives in their own domains. Such demands could foreshadow charges of malfeasance against officials who can be represented as not complying. '.Phis was the technique used to bring down Peng Chen. It would seem to establish the general proposition that, when political shortcomings are publicized in a leader's domain SECRET WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET Possible Shake-Up of Key Party and Military Groupings in Communist China This chart considers the status of only those men who ;t>peored to ions the active power structure in March 1966, j .,t before the foil of politburo member Peng Chen. Some, :.fro hold multiple posts, ara counted in more than one groping. PARTY Politburo Secretariat MMtr,bars Still In Good Standing Members who May Be in Trouble Heads of Central Committee Dept- Level Organs Regional Bureau Chiefs Provincial First Secretaries Military Affairs Committee of the Central Committee Chief and Deputy Chiefs of Staff Minister and Vice Ministers of National Defense Heads of Major Service. and he is not represented as engag- ing in the necessary clean-up ac- tion, he is in trouble. At the moment, at least eight provincial leaders and two department heads in the central committee have been implicated by this type of indirect attack. In all these cases the of- ficial concerned has been out of sight for months. An indication that the fate of such men has not been entirely settled was provided by Peoples Daily on 24 June. It urged leading officials who are under criticism not to lose heart if the "masses post a few big-character posters" (i.e. make public accusations), but to try to clear themselves. Since Peoples Daily had attempted unsuc- ces sfully earlier this year to de- fend Peng Chen, its presentadvice may not be very reassuring to those under attack. Moreover, only a few days earlier the Peking press had applauded the use of such post- ers as "detectors of monsters" who will "turn pale with fear and break into a cold sweat at the sight of them." Description of the "freaks and monsters" under attack indicate that they, like Peng Chen, may be accused of harboring bourgeois re- visionist sentiments and of working against the party and Mao Tse-tung. This does not fit well with the background of the men involved. Almost to a man, those whose status is now in question are hard-line men with an unswerving record of devotion to Mao and his dogmatic policies. Little is known about new ap- pointments. Peng Chen was replaced in early June as first secretary of the Peking city party organization by a man believed to be a protege of party general secretary Teng Hsiao- ping. The only key appointment an- nounced since then is a new deputy director of the general political department (the party's control ap- paratus in the army). This man served under Teng Hsiao-ping in Southwest China in the early 1950s. SECRET Page 6 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET CHOU EN-LAI'S VISIT TO RUMANIA ENDS IN DISPUTE Chinese Communist Premier Chou En-lai's eight-day visit to Rumania exposed the flimsiness of the two countries' claim to a close relationship. It achieved little or no agreement on sub- stantive issues and ended in an open clash with Rumanian party boss Ceasescu. Chou, however, fared better in Albania and Pak- istan, the other two stops on his tour. Rumania has used its rela- tionship with China to underscore its neutrality in the Sino-Soviet rivalry and thus to advance its independence of Moscow. China has encouraged Rumanian inde- pendence as a tactic in its strug- gle with Moscow, and cited ties with Bucharest to counter asser- tions that Albania is its only friend in Eastern Europe. The usefulness of these tactics for both Rumania and China was re- duced by Chou's visit. There was little effort to hide the differences between Chou and Ceasescu as the 16-24 June visit came to an end. In- stead of the customary communi- que, brief unilateral statements were issued from Bucharest and Peking which mentioned no sin- gle item of agreement. In his farewell remarks, Chou. described the talks merely as "useful" and "frank," a clear indication of their unsatisfactory nature. Rumania's refusal to allow Chou to use Bucharest as a plat- Page 7 form for an attack on Soviet "revisionism" combined with Chi- nese intransigence on Vietnam, apparently triggered the dispute. Discord became public when the two leaders arrived over two hours late at a friendship rally which had been billed as the climax of the visit. Disagree- ment was apparently so sharp that prepared speeches had to be discarded and innocuous extem- poraneous remarks substituted. The Albanian portion of Chou's trip, 24 to 28 June, was more congenial. Although it was uneventful, it shed light on the difficulties in Bucharest. In a speech honoring Chou, Albania's Premier Shehu clearly referred to the Rumanians when he charged that "certain people consider themselves neutral in this life and death struggle.... Neutrality ...merely favors modern revi- sionism." The key to Sino-Pakistani relations is shared enmity toward India. During Chou's two-day stop in Rawalpindi, en route home, he probably sought assur- ances that recent Pakistani for- eign policy developments do not portend a major shift toward the West. The Chinese are un- doubtedly concerned over the re- cent ouster of pro-Chinese for- eign minister Bhutto, and a re- sumption of large-scale American economic assistance, particularly Pakistan. since the Chinese have begun a sizable military aid program to SECRET WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET Europe WARSAW DEMONSTRATIONS HIGHLIGHT CHURCH-STATE STALEMATE The antiregime, prochurch demonstrations in Warsaw last weekend have sharpened the di- lemma both sides face--how to maintain their basic positions without generating a full con- frontation on the popular level. The church cannot trans- late its manifest popular sup- port into political action be- cause the regime would not hesi- tate to use force to restrain it. The government, however, fears that overly repressive methods would touch off extensive rioting and that direct action against Cardinal Wyszynski would make a martyr of him. There are indications of rising concern in the Roman Catholic hierarchy and among party and nonparty elements alike that both sides have mis- handled the situation and that on occasion they have engaged in unnecessary provocations. Both sides realize that Polish national interests dic- tate an eventual settlement, possibly with a new church- state agreement, but the imme- diate situation may worsen as each side probes the other's de- termination. The regime may im- pose additional restrictions on the church millennium celebra- heighten tension and could lead to worse popular outbursts. SE ''RET 1 July 66 25X6 25X1 25X1 25X1 25X1 25X1 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET FRENCH NON-COMMUNIST LEFT MOVES TOWARD COOPERATION WITH COMMUNISTS Francois Mitterrand, lately a candidate for the French pres- idency, is moving his non-Commu- nist Federation of the Democratic and Socialist Left toward closer cooperation with the French Com- munist Party (PCF). Mitterrand's immediate goal is to strengthen the federation for the legisla- tive elections which must be held by next March but could take place sooner. Mitterrand'has publicly em- phasized that "nothing comes ahead of the union of the left, which evidently includes the Com- munist Party." His present "shadow cabinet" includes no Com- munists but he has opened the way for PCF representation in a government of the "left" by say- ing "we will not contest elec- tions with the support of popu- lar forces in order to form a majority the next day without them." Mitterrand's movement to the left has been endorsed by Guy Mollet and Rene Billeres, the leaders of the Socialist and Radical Socialist parties which make up most of the Mitterrand federation. The PCF's reaction has been wary, and it is going ahead with plans to run its own candidates in the first round of the elec- tions. The PCF argues that the left must agree on electoral tactics and a program before a true alliance is possible. Never- theless, the PCF has welcomed the opportunity to cooperate with the federation and has sought to facilitate cooperation by playing down doctrinal dif- ferences. Gaullist attempts to get votes from the left electorate, which will surely be stepped up with De Gaulle's trip to the So- viet Union, have also encouraged the PCF and the federation toward cooperation. Leaders of both groups acknowledge this common threat. Some elements of Mitter- rand's federation--notably,So- cialist leader Gaston Defferre do not favor his move to the left, and Jean Lecanuet, leader of the non-Gaullist center group- ing, has extended the welcome mat to dissatisfied federation leaders. It is doubtful many will accept his offer, however. Even Defferre has endorsed Mit- terrand as head of the federa- tion at least through the elec- tions. The long-term significance of Mitterrand's move is far from clear. He, Mollet, and its other backers undoubtedly see the move as a way of facilitating elec- toral alliances on the key sec- ond round of the assembly elec- tions when most of the seats will be filled. Even a united left is extremely unlikely to win an assembly majority, however, so the federation leadership can af- ford to be free with its promises of postelection cooperation. Continuing PCF concern that it will be used in the election and then discarded is probably the 25X1 best evidence that no irrevo- cable commitment to a "popular front" et exists SECRET 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 SE RE T NATO DEVELOPMENTS The formal withdrawal on 30 June of French personnel and mil- itary units from NATO assignment has underscored the continuing uncertainty over France's future military cooperation with the Alliance. At the meeting of the North Atlantic Council (NAC) on 28 June, the French representative said that France was willing to "subordinate" its forces to NATO command in wartime and to arrange a mission and role for these forces. He avoided, however, any specific details on such arrange- ments and reiterated the French position that these were pri- marily military matters to be ne- gotiated between SACEUR and the French chief of staff--not in the political forum of the NAC. The Germans on 30 June of- fered the French a declaration on a transitional arrangement for stationing French forces in Ger- many following French withdrawal from the NATO military structure. The text of the declaration was changed after the French indi- cated they would not accept it as originally worded. It now reads that a German "representa- tive" rather than a German general will be assigned to French headquarters in West Germany to represent the sovereignty of the Federal Republic. The Germans also toned down their statement on the mission of the French forces. There is still some doubt, however, how the French will re- act to the German statement. French officials still maintain that the 1954 London-Paris Agree- ments provide a legal basis for the stationing of French troops in Germany, and that the German declaration is unnecessary. In objecting to this German approach a French official said that it would not facilitate the ulti- mate solution of the French troop question. Meanwhile, the Netherlands Government appears to be moving toward formally accepting the Headquarters, Allied Forces Cen- tr-al Europe (AFCENT), on its ter- ritory. The Germans also have indicated a desire to have AFCENT. However, the appointment of Ger- man General von Kielmansegg to replace the French general as com- mander of AFCENT appears to make the Netherlands the more likely host for AFCENT inasmuch as the Dutch have said that they would accept a German general in that command only if it is located out- side German S +C.~RE T Page 10 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 25X1 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET Middle East - Africa POLITICAL DEVELOPMENTS IN YEMEN As Kuwaiti mediation efforts and Egyptian indecision have in- creasingly paralyzed all govern- ment action in Yemen, anti-Egyp- tian movements now developing among Yemeni republican groups may presage a new reshuffle of the present regime along more lib- eral lines. During the last three months a number of republican political movements have sprung up in the usual Yemeni garb of a conference of leaders. All these recent meetings have had certain aims in common: the removal of President Sallal, continuation of the gov- ernment's "republican" guise, es- tablishment of some kind of broadly based government, and the withdrawal of Egyptian troops. The republican conferences are largely gatherings of leaders from various tribes. In the most recent meeting an important tri- bal chief played a leading role. This course of events appears somewhat analogous to the tribal conference at Khamir in the spring of 1965, which led up to a brief period of more liberal rule. Party lines within the re- publican ranks are becoming con- fused. Ardently pro-Egyptian and cautiously anti-Egyptian lead- ers alike have become almost per- manent residents of Cairo, while seeking to gain Nasir's favor. Cairo in fact seems unde- cided on policy in Yemen. Al- though Nasir has publicly prom- ised substantial Egyptian troop reductions, the British decision to evacuate the Aden base by 1968 may be delaying the Egyp- tian withdrawal from Yemen. The Egyptians presumably hope to be able to bring maximum influence to bear on an independent South Arabia. The Kuwaiti mediation ef- forts in Yemen may account for further Egyptian hesitation. So far the mediation has not accomplished more than giving the Egyptians and the Saudi Arabians a channel to use with- out resuming direct negotia- tions. Neither Nasir nor Fay- sal appears to have softened his views substantially in the first round of exchanges. In- deed, the strong Egyptian press criticism of King Faysal's visit to the US will undoubtedly further complicate his relations 25X1 with Nasir and may spell an end to the entire mediation effort. SECRET Page 11 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31 : CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SSE ACRE T BRAZZAVILLE REGIME AND A long-developing showdown between the dominant political leadership of the radical Congo (Brazzaville) regime and impor- tant elements of the 1,700-man army came to a head this week. It is not yet clear whether army units supporting the mutiny which began on 27 June or the civilian leaders have the upper hand. Prime Minister Noumazalay's appeal to the army to turn in its weapons and return to camp has not been obeyed, and the loyalty of troops patrolling the streets is uncertain. Govern- ment leaders have taken refuge in a Brazzaville stadium, where they are being protected by the approximately 200 Cuban soldiers of the Presidential Guard. Loyal Cuban-encadred militia are also guarding the radio station. Neither of the opposing forces appears willing to test its strength by combat. ARMY ELEMENTS I N SHOWDOWN officers, but has not yet been able to assert his authority over one paracommando company, some other elements of the army and gendarmerie, and an undetermined number of civilians--apparently mostly northern fellow tribesmen of the disciplined officer. Army dissatisfaction with the government has mounted over the past several months. Army officers have been resentful of the MNR's persistent downgrading of army influence and the building up of paramilitary forces which oper- ate under party control. Certain army elements have strongly pro- tested the use of Cuban recruits in the Presidential Guard as well as the arming of the party youth wing and the urban militia. The National Assembly's approval last week of a decree establishing a collective army command and a polit- ical department in the army, as called for by the MNR central com- mittee last spring, probably also added to army hostility. The disturbances were sparked by army resentment over punitive action that the govern- ment had taken against a popular junior officer. The officer's tribal brothers in the military partially destroyed the head- quarters of the government party, the National Revolutionary Move- ment (MNR). Soldiers led by para- troopers seized Army Chief of Staff Mountsaka, some of his staff officers, and the head of the security police. Prime Min- ister Noumazalay has replaced the army high command with po- litically reliable junior President Massamba-Debat, who has in the past been the target of army criticism, returns this week to the country to face a situation which could snowball into a genuine military coup. Should the MNR hold its own against the generally mod- erate army, however, the militant extremists in the regime will be strengthened. A purge of the army and a further reduction in army influence would probably follow, causing the regime to rely more than ever on the Cuban- and Chinese Com- munist-trained paramilitary forces for its protection. SECRET Page 12 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 lw~ fIr SEGRE. KENYA GETTING TOUGH TOWARD SOMALIA The government of Kenya is adopting an increasingly belli- cose stance toward neighboring Somalia. With recent national as- sembly by-elections safely out of the way it plans tough measures to stamp out Somali insurgency in northeastern Kenya. Dissident activity has in- creased sharply there in the past two months as bands of Kenyan Somalis, trained and equipped by the Somali Army, have re-entered Kenya. Their demolition of bridges and attacks on military outposts have demonstrated an im- proved capability and greater ag- gressiveness. The Kenyatta government has been irritated further by Somali radiobroadcasts supporting former vice president Odinga's opposi- tion party in the by-elections. Last week Nairobi severed commer- cial relations with Somali and prohibited Somali citizens and airline flights from entering Kenya. Kenyan propaganda broad- casts to the border area have also been stepped up. Two weeks ago in a skirmish 200 miles inside the border Ken- yan tribesmen speared to death some 40 Somali guerrillas armed with guns. Nairobi now is begin- ning to train loyal tribesmen for maintaining security within Kenya and for possible guerrilla attacks against Somalia. DEMOCRATIC REPUBLIC OF THE CONGO Somalia, Ethiopia, and Kenya FR. S0M. ADDIS ABABA SOMALIA OGADISCIO Area inhabited by Somali people Indian Ocean The greater Somalia issue was one of the factors in a po- litical crisis in the Somali Re- public this week. Prime Minis- ter Abdirazak submitted his res- ignation, but withdrew it under pressure from President Aden, Abdirazak probably can win an early vote of confidence but may have to promise an even more militant stand against his neigh- cally. bors. He had already appeared to be bowing to pressure, some of it from the Soviet-trained and -equipped army, to support Somali minorities more energeti- SE C. 101. WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET Western Hemisphere ARGENTINE GENERALS OUST PRESIDENT I LLI A The Argentine Army, in a carefully planned and well-exe- cuted coup, removed President Illia on 27 June, ending three years of constitutional govern- ment. The overthrow was swift and bloodless and came after weeks of rumors and speculation that a coup was imminent. Argentina's new president, Lieutenant General Juan Carlos Ongania, who was inaugurated on 29 June, established his reputa- tion as a capable executive while commander in chief of the arm The gen- erals prdecided to move against Illiafbecause they con- cluded that he would not actually carry out the policy changes he promised in cabinet meetings earlier in June. The generals may also have been concerned that Illia was trying to promote dis- unity among the top generals through War Secretary Castro Sanchez. were constitutionalists opposed in principle to military involvement in government. How- ever, they had made it known that they considered the armed forces the final arbiter in national af- fairs and that they would not al- low the government to lead the country toward anarchy or eco- nomic disaster. Although Illia had made progress in solving some of Argentina's pressing economic problems, he was reluctant to take repressive actions against strik- ing workers or proscribe Peronist participation in national elec- tions. The military were concerned at the disruption of public serv- ices by strikes and the threat of a Peronist victory in important provincial elections that were scheduled for March 1967. The coup began late on 27 June after General Pistarini, the army commander in chief, had con- ferred with his staff and prob- ably with Ongania. Pistarini an- nounced the arrest of General Caro, Illia's only ally among the top generals, and repudiated the authority of Castro Sanchez. This left Illia with no military sup- port. The president's futile ef- fort to dismiss Pistarini was merely a gesture and did not pre- vent the generals from following their operations order. The coup brought no reaction from either the Peronists or Illia's own Radi- cal Party supporters. The new government has dis- missed the congress and taken over SECET Page 14 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 SECRET the provincial governments. It quickly appointed new judges to the Supreme Court but did not immediately name a new cabinet. No effort to hold elections is likely until the regime can pro- mulgate a new political party statute that will effectively control the threat of Peronism. Reaction to the coup in Latin America has been varied but relatively mild. Venezuela has condemned the coup and will break relations in accord with its Betancourt Doctrine--refusing to recognize governments that come to power through a coup. Several other nations while regretting the coup have indi- cated that they will await fur- ther developments before commit- tin themselves. BRITISH HONDURANS PROTEST TERMS OF INDEPENDENCE AGREEMENT Popular feeling has been aroused in British Honduras (Be- lize) by opposition leader Philip Goldson's premature disclosure of an agreement the UK is nego- tiating with Guatemala over in- dependence for the colony--to which Guatemala has long asserted a claim. Popular demonstrations which began a few weeks ago are becom- ing more violent. Demonstrators on the evening of 27 June mobbed the Guatemalan Consulate in Be- lize City and burned a consulate car. Later a group approached Premier George Price's house but was frightened off by police. Other groups caused damage to a cabinet minister's house and car. Radio Belize--the country's only station--was also attacked, sus- taining minor damage. About 300 demonstrators participated in rioting which was finally broken up by police using tear gas. This is the first such dis- order in Belize since 1918. Most off the violence can be attributed to Goldson's scare tactics. Dur- ing recent rallies he has ac- cused Price of selling Belize out to Guatemala. Goldson has buttressed his argument by point- ing to a stipulation in the agreement making Guatemala re- sponsible for Belize's defense after independence. He has also SECRET 'Page 15 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 SECRET British Honduras disclosed that Guatemalan citi- zens would have free entry to Belize. The agreement as it stands is not unfavorable to the Bel- zians, but Goldson and the op- position appear determined to sabotage it to prevent Price from being credited with achieving the country's independence. Price's reassuring statements do not seem to have allayed the ap- prehension and confusion caused by Goldson's disclosure, and the premier may even be losing the support of his own party on the issue. Guatemala has protested the incident of 27 June and has demanded that the United Kingdom provide guarantees for the con- sulate's safety. In the absence of such guarantees, the Guate- malan Government stated that it might be unable to continue with the mediation and would be forced to take measures for the consu- late's protection. Governor Stal- lard proclaimed a curfew on 28 June in order to try and stem the demonstrations. Although the agreement will probably be signed eventually, signature may well be delayed by the furor which Goldson has raised. BECK. T Page 16 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 SECRET GUATEMALA RETURNS TO CONSTITUTIONAL RULE Guatemala's long struggle to return to constitutional gov- ernment ends on 1 July with the inauguration of Julio Cesar Men- dez Montenegro and Clemente Mar- roquin Rojas as president and vice president respectively. Mendez' term will be difficult at best. The reforms needed to alleviate the country's serious economic and social problems would alienate the armed forces, which now support him. The inauguration will it- self be an achievement. Terror- ism from both ends of the politi- cal spectrum has challenged Men- dez' assumption of office. Commu- nist-led leftists, at first hop- ing for a champion in the new president, now believe the Rev- olutionary Party, which elected him, no longer represents their interests. They have concluded that his regime in effect can be no more than a continuation of the military government. They therefore promise to oppose it until it falls. Far rightists, on the other hand, fear that Mendez' assump- tion of power will signal a re- turn to Communism reminiscent of the The fears of neither ex- treme appear justified. Mendez is inexperienced in practical politics. His actions since his election suggest, however, that he will be moderate in his poli- cies, and more open to advice than was Colonel Peralta, the retiring chief of government. As a liberal, Mendez is not likely to be quite as rough on the Communists as the military government. He probably hopes to reduce their effectiveness by solving the problems that make Communism attractive. On the other hand, Mendez' cabinet has been chosen for the most part from elements acceptable to the military--the final arbiter in Guatemalan politics. Among the more pressing problems facing Mendez is the possibility of continued terror- ism. Six kidnapings in the past month and a half point up the ability of the FAR--the Commu- nist Party's action arm--to ter- rorize at will, although it is in no position to overthrow the government. SE CRE T Page 17 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927A005300090001-6 SECRET DOMINICAN PRESIDENT BALAGUER TO BE INAUGURATED Joaquin Balaguer will be inaugurated as Dominican presi- dent on 1 July in ceremonies to be attended by foreign digni- taries including Vice President Humphrey. Extreme leftists have been discussing the possi- bility of upsetting the inaugura- tion, but they do not appear to have firm plans for a large- scale, organized protest. Never- theless, some attempt to inter- fere with the ceremonies--per- haps by a terrorist act--or to embarrass Vice President Hum- phrey seems likely in view of charges that Balaguer was fraud- ulently elected and the intense anti-Americanism of Dominican extremists. Although the security forces are making preparations to en- sure the safety of inaugural participants, they are not fully capable of offering protection against all contingencies. statements of intention might have raised. In his farewell talks, provisional President Garcia Godoy has been sounding very much like a presidential candi- date in the next election. F_ He has praised his regime for dealing with a situation in which it was "asked to perform almost a miracle" and has expressed satisfaction over the accomplishment of his major task, the holding of peaceful elections and the orderly trans- fer of power. Garcia Godoy has claimed credit for what he feels to be the "rehabilitation" of the military--although it re- mains to be seen whether there has been any fundamental change in the attitude of the armed forces toward civilian power. Balaguer's inaugural speech and his cabinet appointments, to be announced afterward, will of- fer the first firm indication of the new regime's intentions. Both are well-kept secrets. Bal- aguer's silence has contributed to the preinaugural calm by pre- venting his opponents from capi- talizing on issues which any Garcia Godoy feels his po- litical stock received a further boost with the withdrawal of the first units of the Inter-Ameri- can Peace Force on 28 June. Un- der terms of an OAS resolution, the force is to be pulled out over a 90-day period with the exact timing to be determined by Balaguer and the OAS Commit- SECRET 1 July 66 25X1 Approved For Release 2008/03/31 : CIA-RDP79-00927A005300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 SECRET BOLIVIAN ELECTIONS STILL ON The national elections on 3 July will be held in an uneasy atmosphere. Incidents of vio- lence are probable before and on election day, but only a chaotic situation-or the assassination of the assured presidential vic- tor, Rene Barrientos, would be likely to cause cancellation of the voting at this late date. The army is on alert to guard against disorder. Barrientos' opponents have been unable to stir up demon- CHILEAN AND COLOMBIAN LEADERS Chilean President Eduardo Frei made a strong plea for Latin American economic integra- tion during a speech on 22 June in honor of visiting Colombian President-elect Carlos Lleras Restrepo. Presumably, Frei ex- pects Latin American chiefs of state who attend Lleras' inaug- uratioxl on 7 August to discuss details of integration in prepa- ration for the meeting of Western Hemisphere chiefs of state that has been proposed for late this year or early 1967. Frei suggested creation of a high-level study group to pro- pose policies covering regional investment, multinational proj- ects, and other matters of common concern. He proposed that in ad- dition to economic integration, the meeting of hemisphere leaders strations large enough to force EL cancellation. Some groups now urge abstention and blank voting to reduce Barrientos' margin of victory and undercut his claim to a popular mandate. As many as four of the six contending parties may pull out of the race at the last minute. The tradi- tional manipulation of ballots and voting irregularities, if un- usually extensive, would also cloud Barrientos' victory. F__~ 25X1 PRESS HEMISPHERE ECONOMIC TIES should discuss regional arms con- trol and agrarian reform. Lleras, in his response, agreed on these topics and added that study should be devoted to establishing a complementary eco- nomic relationship between the Latin American countries and the United States. The Colombian president- elect is on a tour of Venezuela, Chile, Peru, Ecuador, and Panama. In Venezuela he stressed Latin American economic integration in remarks closely paralleling those made later by Frei. The statements of the two leaders, as well as Frei's past initiatives, indicate that they intend to press for a unified approach to economic association in Latin America and for greater economic cooperation from the US.7--~ 25X1 SECRET WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31 : CIA-RDP79-00927AO05300090001-6 SE CRE T FIDEL CASTRO RESUMES NORMAL ACTIVITIES Castro apparently has de- cided to end his two-month period of withdrawal from the Cuban limelight. On 27 June, Castro boarded the ship returning Cuban athletes to the island from the Carrib- bean Games in Puerto Rico, al- though he did not participate in the formal welcoming cere- monies for the team. The Cuban Communist Party newspaper Granma prominently featured pictures of Castro congratulating the athletes in its 28 June edition; pictures of Castro had been un- characteristically absent from Cuban papers for about three weeks. Castro delivered his first speech since 1 May on the eve- ping of 29 June. He appeared very relaxed and self-assured during the 70-minute speech and the ceremonies preceding it, which were broadcast on island- wide radio and television. There was no sign of physi- cal illness; mental illness would not necessarily be obvious. Cas- tro's speaking manner, however, and over-all demeanor were char- acteristic of his public appear- ances over the past seven years. Castro concentrated on charg- ing the US with having harassed the Cuban athletes at the Carib- bean Games. He did not rebut the rumors circulating about his health and political position. SECRET Page 20 WEEKLY SUMMARY 1 July 66 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6 SECRET SECRET Approved For Release 2008/03/31: CIA-RDP79-00927AO05300090001-6