CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A016900010001-3
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 12
• Document Creation Date: December 15, 2016
• Document Release Date: August 7, 2003
• Sequence Number: 1
• Publication Date: August 7, 1970
• Content Type: REPORT

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DIRECTORATE OF
INTELLIGENCE
Central Intelligence Bulletin
Secret
5
7 August 1970
DIA review(s) completed.
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No. 0188/70
7 August 1970
Central Intelligence Bulletin
CONTENTS
South Vietnam: New demonstrations by veterans'
groups have flared. (Page 1)
Israel - Arab States: Israeli aircraft have contin-
ued daily attacks against Egyptian targets. (Page 2)
It~aly~ The center-left coalition is alive, but un-
ed.-dying tension remains. (Page 3)
Cuba - Latin America: Castro believes recent develop-
ments in Chile an Peru are favorable. (Page 4)
Ur= uguay: The Papal Nuncio has had no success in open-
ing a channel for communication with the kidnapers.
(Page 5)
Cambodia: Military situation (Page 6)
Lebanon:. Presidential election (Page 6)
Cyprus: Shooting (Page 6)
Panama: National Guard changes (Page 7)
Chile: Denial of flights (Page 7)
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South Vietnam: New demonstrations by veterans'
groups have flared in two of South Vietnam's major
cities.
War veterans, to whom the government is partic-
ularly sensitive, went on a rampage around Saigon on
6 August when they heard of government plans to tear
down several thousand of their shanty-town dwellings,
even though they knew the government intends to re-
place them. According to the press, the veterans
destroyed a provincial chief's office and held an
all-day sit-in in front of the presidential palace.
The demonstration broke up only after government of-
ficials promised to leave the veterans' shacks intact
and to negotiate further with them.
This incident in Saigon followed even more vio-
lent veterans' demonstrations in Nha Trang city on
4-5 August. The veteran-government confrontation
there began when police demolished shacks being
built by the veterans. A subsequent march was broken
up when a guard force fired shots over the demonstra-
tors' heads. Later in the evening
the veterans reta i.-
ate by seizing and beating policed The next day
they began to harass traffic on one of Nha Trang's
major roads. The province chief intervened and ne-
gotiated the release of seized policemen, but he ap-
parently is still trying to placate the demonstrators.
The Saigon government is extremely reluctant to
use harsh tactics against the veterans because of
the sympathy they enjoy in the army. Police have
complained that they are responsible for containing
unrest but receive little backing from the top lead-
ership. President Thieu and his government have been
able with a mixture of firmness and conciliatory
measures to prevent earlier demonstrations of this
nature from getting too far out of hand. The more
militant veteran factions, however, remain unappeased
and seem determined to instigate further violence.
7 Aug 70 Central Intelligence Bulletin
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Israel - Arab States: Pending a cease-fire,
Israeli aircraft have continued daily attacks against
Egyptian targets on the west bank of the Suez Canal.
The Israelis have not lost any aircraft to So-
viet-Egyptian missiles since 3 August, when one Phan-
tom was downed and another was damaged. Total Is-
raeli casualties for the week--16 soldiers and ci-
vilians wounded but none killed--remained in line
with the sharp reduction, registered last month.
During July, 13 soldiers and civilians were killed
and 82 were wounded; in June, the totals had been
43 killed and 165 wounded.
Meanwhile, Israeli officials have stated pub-
licly that they expect Arab guerrillas to step up
their attacks along the borders in an effort to un-
dermine a cease-fire. So far, however, the fedayeen
seem more concerned with recent political develop-
ments than with military activity. Some fedayeen
attacks continue from both Lebanon and Jordan, but
there is no evidence of an concerted increase as
yet.
7 Aug 70
Central Intelligence Bulletin
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Italy: Emilio Colombo's negotiating skill in
forming a new government has kept the center-left
alive, but underlying tension remains.
A prime factor in the fall of the previous cab-
inet was the disagreement between the militantly
anti-Communist Unitary Socialists (PSU) and the or-
thodox Socialists (PSI) over the limits of coopera-
tion with the Italian Communist Party. Colombo
placated the PSU by providing in his political plat-
form that no center-left party should be denied par-
ticipation in a center-left provincial or local co-
alition, and that preference should be given to the
formation of such an administration where possible.
He pleased the PSI, however, with the provision
that Socialist participation in coalitions with the
Communists below the national level is not to be
taken as a break with the center-left commitment.
This permits the PSI to join with the Communists in
local or provincial administrations where the four
center-left parties do not have the votes to form
a government. The PSU had strenuously objected to
this.
The other points in Colombo's platform as pub-
licly reported give him flexibility in formulating
his program and in dealing with the economic and la-
bor problems facing Italy. His experience as treas-
ury minister in eight previous cabinets will stand
him in good stead.
7 Aug 70 Central Intelligence Bulletin 3
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Cuba - Latin America: Fidel Castro believes
that recent developments in Chile and Peru are fa-
vorable from Cuba's point of view.
During a recent interview with a Chilean dele-
gation, Castro commented that Chile offered a ready
opportunity for socialism to achieve power through
elections. Castro said that Cuba was more interested
in opening relations with Chile than with any other
Latin American country. He added, however, that
renewal of ties with Chile prior to the elections in
September could be construed as "interference," a
situation that he indicated he wanted to avoid. In
a possible attempt to drive a wedge between Chile
and the OAS, Castro stated that the Chileans had ex-
pressed disagreement with the OAS resolution that
forced the break with Cuba.
Concerning Peru, Castro commented that he was
not particularly interested in establishing relations
because this would interfere with its "revolutionary
process." He rejected, however, the possibility of
ever agreeing to re-establish ties with Brazil and
other "dictatorships," in which category he put Uru-
guay.
Although Castro did. not renounce the need for
armed struggle in the hemisphere, his comments to
the Chileans suggest that he regards other forms of
revolutionary change as more promising for some coun-
tries.
7 Aug 70 Central Intelligence Bulletin
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C Uruguay: The Papal Nuncio as yet has had no
success in opening a channel for communication be-
tween the government and the kidnapers.
President Pacheco has not wavered in his refusal
to negotiate, although the Tupamaros have threatened
to "pronounce sentence" on their US and Brazilian
hostages unless the government agrees by today to
release all political prisoners. Should the govern-
ment accede to the terrorists' demands, the ultimatum
states that the political prisoners must be freed no
later than midnight Tuesday and allowed to leave the
country. Presumably the hostages would then be re-
leased.
The foreign minister and some influential leg-
islators have indicated a willingness to discuss
terms with the terrorists. The US defense attache,
however, reports that the military almost unan-
imously against such action.
7 Aug 70 Central Intelligence Bulletin 5
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NOTES
Cambodia: No major new Communist attack has
been reported in the past 24 hours. The only sig-
nificant fighting during this period was near Skoun
in Kompong Cham Province. Despite heavy air
strikes, enemy forces in the small crossroads town
yesterday were still holding off government forces.
Three battalions of Khmer Krom troops from Phnom
Penh had several sharp encounters with Communist
elements less than two miles west of Skoun, but were
initially unable to clear enemy roadblocks. East of
Skoun, however, government forces fought their way
back into the small town of Prey Totung on Route 7.
Communist pressure against Kompong Thom has subsided,
with the enemy putting only intermittent harassing
fire on the city during the night of 5 August.
Lebanon: Ex-president Shihab's public with-
drawal of his candidacy has thrown the presidential
election wide open. Parliament will probably vote
some time during the next three weeks, and Shihab's
supporters are trying to select a stand-in candidate.
Their success is doubtful, however, because many of
the parliamentary deputies were committed to Shihab
personally and will not automatically transfer their
support to another Shihabist candidate. With the
Chamounist opposition also unable to agree on a
candidate, the prospects of various "compromise
candidates" have been given a boost.
Cyprus: One Turkish Cypriot was shot to death
and two others wounded by a Greek Cypriot National
Guard sentry during the night of 5 August. The
shooting, the most serious intercommunal incident
in several years, has evoked a sharp reaction in
Turkish Cypriot quarters. If nothing else, it
creates yet another difficulty for the negotiations,
now in their third year, to reach a peaceful settle-
ment between the is and's estranged communities.
(continued)
7 Aug 70
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Panama: General Torrijos has further strength-
ened hies personal position by making extensive
changes in the top ranks of the National Guard.
Subservience to Torrijos appears to have been the
key criterion in the new assignments. Major Manuel
Noriega, the Zone commander who facilitated Tor-
rijos' return to Panama during the coup attempt
last December, was promoted and appointed to the
general. staff. At the same time another general
staff officer, who had stood up to Torrijos on
questions of fiscal responsibility, was retired.
Chile: The head of the government-owned air-
line LAN denied on 3 August that flights to Cuba
were under consideration. Foreign Minister Valdes?,
Cuba's most ardent official apologist in Chile, had
earlier told the press that LAN might establish com-
mercial flights to Havana. He now claims that a
conservative daily misquoted him. This disagreement
is symptomatic of the public contradictions among
Christian Democrats that are damagin the party and
its chances of continuing in power.
(continued)
7 Aug 70
Central Intelligence Bulletin
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