CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A017000120001-9
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 14
• Document Creation Date: December 15, 2016
• Document Release Date: February 11, 2004
• Sequence Number: 1
• Publication Date: September 3, 1970
• Content Type: REPORT

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DIRECTORATE OF
INTELLIGENCE
Central Intelligence Bulletin
Secret
- 50
State Department review completed
3 September 1970
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No. 0211/70
3 September 1970
Central .Intelligence Bulletin
CONTENTS
Laos: Souvanna Phouma has proposed a meeting with
Souphanouvong in Paris. (Page 5)
Chile: The race among the three candidates in the
pres dential election tomorrow is close. (Page 6)
Bolivia: The government and Gu:Lf Oil representatives
have orked out a compensation agreement. (Page 7)
Mexico-Cuba: Diaz Ordaz has sharply criticized Cuba.
(Page 8)
Spain: Labor demonstrations are tentatively set for
Moday. (Page 9)
Jordan: Cease-fire (Page 10)
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The Military Situation
The struggle for Srang continued yesterday,
as government forces, with air and artillery sup-
port, again were unable to make any headway in
their effort to retake the town. A Cambodian Army
spokesman in Phnom Penh claimed that the arrival
of additional enemy reinforcements had prevented
Srang's recapture. East of Srang, government forces
at Tram Khnar apparently were still almost com-
pletely surrounded by Communist troops, according
to press reports.
(continued)
3 Sep 70
Central Intelligence Bulletin
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CAMBODIA: Current Situation
uS teen
keep'
Komppn9
T11r~5
Princ'pal city (10,000 or over)
Population over 125 per sq. mi.
Cornmunist-controlled area
"t. Komporr.
Chhnanp
Enemy captures rice convoy;
Kornpong{Bonn.,
(Sihanoukville)
Phnom7l
Penh
1 $fa~
Fighting contini sI ,..i,..
Sway:
illeng
Saigon
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The Communists in the past two days also have
harassed scattered government positions and units
in Kompong Cham, Prey Veng, Svay Rieng, and Kompong
Chhnang provinces. In one incident the enemy cap-
tured a ten-truck rice convoy on Route 5 south of
Kompong Chhnang city, on 31 August.
3 Sep 70
Central Intelligence Bulletin
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Muspng P LAIN
Saul
Bouaa
Lone
an N
a'
lk_.---N1G a r tilt
ThaTanq x progress
BIeung
Laos: Current Military Situation
o"ng
L
Tien,
? ) Governme nt held location-)
?(comrnunist-held locatio,
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Laos: Prime Minister Souvanna Phouma, accord-
ing to press reports, has proposed to Communist
leader Souphanouvong that they meet in Paris this
month to discuss the prospects for peace talks.
Souvanna's invitation, issued shortly before
his departure for a two-month trip abroad, was in
response to Souphanouvong's urgent request on 1 Sep-
tember that the Prime Minister appoint a plenipoten-
tiary to meet with his representative at Khang Khay.
Souvanna had appointed an 18-man delegation to rep-
resent the "government side" if the talks at Khang
Khay materialized in his absence. But the Pathet
Lao, apparently, are strongly opposed to meeting
with a large group which includes rightists, and
are insisting that Souvanna appoint an individual
to represent him personally rather than the govern-
ment.
This disagreement over representation could
cause at least a temporary breakdown in the dialogue
between Vientiane and the Communists. It seems most
unlikely
brother's
Souvanna
that Souphanouvong will accept his half-
invitation to meet with him in Paris.
appears to be equally unwilling to send a
personal
representative to Khang Khay.
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has reported that he ask
the Prime Minister recently if the head of the gov-
ernment delegation, Pheng Phongsavan, would go to
Khang Khay as his plenipotentiary. Souvanna is
said to have replied, "No, not for the moment."
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On the military front, government troops have
still made no progress in their extended effort to
take Ban Na. But 15 miles to the north, on the
western approaches to the Plaine des Jarres, an ir-
regular force of 300 men is reported to have reached
the vicinity of Muong Soui without significant op-
position. Muong Soui is an important storage and
trans-shipment point on Route 7 that has been in
Communist hands since June 1969. Still uncommitted
enemy forces in the area can be expected to react
sharply to the government's foray in the near future.
3 Sep 70
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Chile: The race among the three candidates in
the presidential election tomorrow is close.
Some three million Chileans will go to the polls,
but it probably will be the 200-member congress that
actually will elect Chile's next president. If, as
expected, none of the three candidates--Marxist Sal-
vador Allende, Christian Democrat Radomiro Tomic,
and independent conservative Jorge Alessandri--re-
ceives an absolute majority, congress must choose
between the top two. This congressional vote would
not come before 24 October; the new president is to
be inaugurated on 4 November.
If no candidate takes a substantial lead tomor-
row, the political situation in Chile may become
quite tense. Allende's supporters fear that extrem-
ists plan to provoke violence during and after the
election, regardless of the outcome. His backers,
particularly the Communist Party, are publicly at-
tacking plans of the Movement of the Revolutionary
Left, claiming that violence will trigger repressive
reaction from the right.
There are various rumors of sentiment within
the military to seize power in the event of an Al-
lende victory or a breakdown in public order. There
are, however, no reports of coordinated contingency
planning. The shortness of time between the congres-
sional decision and the inauguration in any event
might hamper such a move. Military forces, as well
as the efficient carabineros (national police), will
be on alert tomorrow to prevent interference with
the election process.
3 Sep 70
Central Intelligence Bulletin 6
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Bolivia: The Ovando government and representa-
tives of Gulf Oil Company have worked out an agree-
ment for compensation for the company's property ex-
propriated last October.
The company will receive $79.5 million compen-
sation for the lost property at no interest plus
$14-15 million in debts owed by Bolivian agencies.
The company will be paid 30 percent of the export
proceeds from Bolivian petroleum until the sum of
$79.5 million is reached. The method of payment for
the debts is still undecided.
President
Ovan o, the cabinet, and the military high command
have approved the arrangement and an announcement
will be made soon, possibly today. Some details re-
main to be worked out, such as who will serve as an
intermediary between Gulf and the government in get-
ting the oil fields into production again.
3 Sep 70 Central Intelligence Bulletin
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Mexico-Cuba: President Diaz Ordaz made his
sharpest criticism of Cuba to date in his state of
the union message this week.
Attacking Cuba for refusing to extradite air-
craft hijackers, Diaz Ordaz called it "absurd and
seriously criminal" to risk passengers' lives for
the personal motives of air pirates. Mexico last
month moved to end the bilateral. air treaty that
provides Cuba with its only regularly scheduled air
link in the western hemisphere. In the absence of
a Cuban request to renew the treaty, air transport
between the two countries will cease on 11 August
1971.
The strained relations were reflected last week
when a Cubana Airline plane in Mexico City was the
alleged target of a bomb threat. Mexican officials
rejected Cuban demands that their embassy personnel
search the aircraft and allowed only a Mexican se-
curity team to board the plane.
In an interview with Chileans in early August,
Cuban Prime Minister Fidel Castro took several swipes
at Mexico. He stated that Mexico's cancellation of
the air treaty could not be used as "blackmail" to
force extradition of hijackers and condemned Mexico's
inaction against a former press attache in the
Mexican Embassy, Havana, who the Cubans allege was
a US agent. Castro several times indicated that
Chile is a better friend of Cuba than Mexico, even
though Mexico is the only Latin American county
with which Cuba has diplomatic relations.
3 Sep 70 Central Intelligence Bulletin 8
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Spain: Leaders of the illegal workers' com-
mittees are using labor grievances to promote
countrywide demonstrations, probably next Monday,
but the police are taking steps to limit the turn-
out.
The main effort is concentrated among the con-
struction workers, angered by the fatal shooting of
three of their colleagues in Granada on 21 July,
when police fired on demonstrators protesting the
slowness of collective bargaining negotiations. Com-
mittee leaders are also using a rumor, that the
Chrysler Corporation affiliate in Spain intends to
lay off some 2,000 workers in the near future, to
incite fear of similar treatment among workers at
other automotive factories and in dependent industries.
Madrid subway workers, who on 29 July began a strike
that the government suppressed after one day, are
also encouraged to participate.
Steadily rising prices and the slowness with
which the cumbersome official syndicate system is
moving to renegotiate some 4,000 bargaining agree-
ments expiring this year have led to increased
militancy among workers who want higher wages. The
government is under pressure to exceed. its announced
guidelines of an eight-percent increase to avoid
labor unrest.
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3 Sep 70
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C Jordan: The cease-fire established between
Jordanian and fedayeen forces on the evening of
1 September generally seems to :be holding up.
The Jordanian cabinet met yesterday to discuss the
situation. According to Amman radio, the govern-
ment adopted "effective" measures to restore order
and strengthen the "ties of fraternity" between the
army and the fedayeen--an indication that the govern-
ment probably hopes to avoid the use of force. A
Baghdad-based commando radio station said that the
military committee of the Palestine resistance move-
ment met under Yasir Arafat and made "important de-
cisions" involving the fedayeen militia and military
forces. No details were given, but the fact that both
sides seem to prefer talking to shooting suggests that
the moderates may succeed. in averting an all-out
clash.
3 Sep 70 Central Intelligence Bulletin 10
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Secret
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