CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A000300150001-1
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 10
• Document Creation Date: December 15, 2016
• Document Release Date: July 24, 2003
• Sequence Number: 1
• Publication Date: July 15, 1951
• Content Type: REPORT

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15 July 1951
Copy No. C -T-
CURRENT INTELLIGENCE BULLETIN
DOCUMENT NO.
NO CHANGE IN CLASS.
I ; DECLASSIFIED
CLASS.
DAAT : TS S
NEXT T R REVVIEW IEW
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AUTH010 1~~
DATE l'_~... REVIEWER:
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Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
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DOS review(s) completed.
TOP SECRET
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S' MMARY
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GENERAL
10 Further concessions to Philippines on Japanese reparations rejected
by US (page 3).
2. Pacific Pact issue may be revived by Philippines (page 3).,
3. i-German support of Allied stand in Berlin trade crisis -been weaken-
ing (page 4).
4. Comment on British seizure of Polish tankers (page 5)
FAR EAST
5. South Korean Prime Minister suggests that President Truman reassure
Korean people (page 5),
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l, it t)).
page
Burmese Comman *~-i hi ,nco
NEAR EAST-AFRICA
Iranian Prime Minister retains control of government despite rising
opposition - (page 7).
7.
10. Communists linked to conspiracy to overthrow Ethiopian Government
(page 8).
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 ,,, Approved
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GENERAL,
1. Further concessions to Philippines on Japanese reparations rejected
by US,4
Mr. John Foster Dulles has informed Ambas-
sador Cowen in.. Manila that the US has gorge
as far as is possible to meet the .Philippine
demands for revision of the Japanese ace
treaty. Painting out that five years of occupa-
tion experience .had firmly convinced the US
that Japan could not pay reparations, . Dulles
J states it was with great reluctance that the
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Pacific Pact issue may be revived by Philippines-
An emissary of President Quirino has informed
the US State De a:rtm nt that the Philippine
Government is seriously considering again
;Priing a Pacafi.c. Pact. The intermediary
US altered its position. on reparations to ease the position .of the Philippine
Government. He believes that that government is gravely at fault in not
having informed its public of the very considerable efforts made by the
US to accommodate Philippi". demandds.
Cowen subsequently informed Dulles that
after an unsatisfactory meeting with Foreign Secretary Rornulo and Pre-
sident Quirino's advisory committee on reparations at which Dulles''`,
views were presented, Romulo stated that Quirino was obdurate in his
refusal to sign"the treaty in, its present form.
said that President Sukarno of Didonesia had reacted favorably to the idea
during his recent visit to Manila and believes that Nehru could be persuaded
to participate in the proposed pact. The emissary revealed that Quirino
had dispatched unofficial emissaries to Indonesia, Burma and Thailand
to discuss the matter and had received favorable responses.
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..Comment-. At President Quirino's invitation,
representatives from most uth and .. outheast...As an countries met at
Baguio in the Philippines.a year ago) to discuss the possibility of a Pacific
Pact. The only tangible results were .agreements to consult with each
other on matters of mutual interest and to develop closer economic and
cultural relations.
India is interested in developing. regional
pacts in Asia, but its whole-hearted, participation will. be obtained only
if it is assured a.preeminert position, _P.aki.stan,. while concerned over
regional .security, recently has been promoting. a. ar Eastern Moslem
alliance. Indonesia,. Burma and Thailand would be receptive to a pact
proposal, while Japan,, when eligible, would be anxious to sign one.
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US officials in Berlin cite evidence of weaken-
ing local German support of the All position
in. the current Soviet restrictions which have
resulted in a choking off of much of West Ber-
'
1#0 s export trade. Certain large firms
and many smaller firms in West
Berlin, hard hit; by the restrictions, have been ignoring West German and
Allied directives and complying with Soviet demands.
The French Commandant in Berlin feels that
the West Berliners will not support,,the Allied position, and that no one has
been able to. indicate what the Allies will do if West Berlin trade is stopped
and Allied countermeasures, including the proposed move to hold up im-
plementation of the new interzonal trade pact between East and West. Cer
many,. fail, to cause the USSR to back down. He adds that the USSR could
afford one or two years delay in the East German Five Year Plan if its
objective to force the Allies out of Beritin1,s achieved,
Comments The dragging out of the current
Soviet restrictions appears to have succeeded in further dividing the Allies
and West Berliners on this issue. Shortly after initiating the restrictions,
the Soviet authorities encouraged West Berlin firms to by-pass Allied
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3. German support of Allied stand, in Berlin trade crisis seen weakening-
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 offices and deal directly with Soviet authorities. This is the first con-
crete evidence that large numbers of firms have felt the squeeze sufficient-