DAILY DIGEST

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T01146A000300340001-2
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 15
• Document Creation Date: December 20, 2016
• Document Release Date: August 9, 2005
• Sequence Number: 1
• Publication Date: August 7, 1951
• Content Type: SUMMARY

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TOP SECRET
7..:August 1951
CIA No. 49295
Copy No.
5c)
DAILY DIGEST
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
This summary of significant reports has been prepared primarily
for the internal use of the Office of Current Intelligence. It does
not represent a complete coverage of all current reports in CIA
or in the Office of Current Intelligence. Comments represent the
immediate views of the Office of Current Intelligence.
DIA and DOS review(s) completed.
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SECTION 1 (SOVIET)
1, USSR4 So_ iet Aube?sador to Peijing enroute to Moscow Na' V. Roshchin,
Soviet Ambassador to the Chinese People's Republic, left by plane on
August for Moscow, according to Radio Peiping. 25X1
Qmmentd As far as is known, this is Roshchints first visit to Moscow
since he returned to Peiping in March 1950, In view of current negotiations
in Korea and the impending conference on the Japanese peace treaty, it is
likely that his return is for consultation on these questions, Moreover,
RoshchinQs presence in Moscow at this time lends significance. to the recent
return and continued stay there of high-level Soviet diplomats from
2. EASTERN EUROPE. HUNGARY. Heavy indua i o n t_ekin -place. The US Military
Attache in Budapest reports unusual Hungarian induction activity during the
past several days, The inductee groups, in mufti and numbering 60 each,
appear to range in age to the class of 1921. The MA comments that the call
up is possibly connected with a series of refresher training courses which
have been underway since the registration of males last January. Another
report from Southeastern Hungary states that heavy call ups for a three
months' period are occurring in that area. The MA believes that the com-
pletion of the harvest may account for the call ups at this time. He adds
that the Hungarian army has probably set October as the culmination date of
its maneuvers thus includin the Eroups unl-IT going the three months train-
ing. 25X1
Comments The registration of Hungarian males back to the class of 1910
was reported early this year. In February, the US Military Attache in
Budapest reported that an unknown number of those registered were being
called to duty for periods ranging from six weeks to three months, with
others deferred to later dates. The MA has also reported that university
students undergoing ROTC type training were to receive one month of military
field training effective 1 August, Extensive short term training of re-
servists and civilians, as well as the rapid growth of the army during the
past year, are evidence of Hungary?s efforts to make up for lost time in
building an effective military force.
3e RUMANIA. Government repacesTMini.sez Cults, The Rumanian Government
on 22 June removed from office the Minister of Cults and appointed Vasili
Pogaceanu to the post, a shift which the US Legation attributes to the
'overumentBs failure to implement nationalisation of the Roman Catholic
Church. Although all bishops in Rumania have been imprisoned, none as yet
has been won over to the government side, The legation. notes that the
government must have the cooperation of at least one duly consecrated
bishop who can continue the strictly pro firma ritual of the Church
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including the consecrat' of other bishops loyal to the government
1 11 .
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Comment.' Although the Communist governments of Eastern Europe have
succeeded in securing ranking Eastern Orthodox dignitaries completely sub-
servient to the regimes, no Vatican-appointed Roman Catholic bishop has as
yet capitulated to the extant of agreeing to head a schismatic Church.
As in Czechoslovakia, Poland and Hungary, the Government of Rumania will
probably have to content itself with the subversion of a few local Catholic
parish priests who can be sufficiently intimidated to srepresentv, the Church'.
4. YUGOSLAVIA. Goyernmen ose evi ion o ltajL%n eacetreatya According
to Assistant Foreign Minister Mates, the Yugoslav Government is presently
opposed to a revision of the Italian peace treaty because it believes that
Italy may be more interested in obtaining territorial concessions through
such revision rather than in amending, the military provisions. Mates claims
that the Italian Foreign Office has sent a circular telegram to its foreign
missions emphasizing this aspect, According to Mates, the Yugoslav Government
believes that an attempt should be made by Italy and Yugoslavia through bi-
lateral negotiations to reach a settlement on Trieste and other outstanding
issues, The Yugoslav Government might then inform the NATO countries that it
had. no objection to a. revision of the military provisions of the peace treaty.
It would ask these countries, however, to consider the effect which any in-
crease in the Italian military establishment would rod?^ 'ugoslavia?s
position vis-a-vis the Cominforma 25X1
Comment. Yugoslav officials have previously expressed opposition to the
revision of the military provisions of the Italian peace treaty on the grounds
that such revision would provide the USSR with an opportunity to justify the
Satellites? military build-up in violation of their peace treaties, As indi-
cated by MatesO remarks, however, the basic reason for Tugoslavia0s opposi-
tion is its fear that an Increase in Italian military strength will improve
Italy~s ability to press its claim for the return of all the Free Territory
5. Tolav~ ~?~n~ members h J xaIa rr
b~. a~sqso Yugoslav Det
Foreign Minister Ve jvoda has confidentially informed hat 25X1
Yugoslavia still considers itself a member of the Danube Commission despite
its withdrawal from the fourth session of the Commission in early June?
According to Vejvoda, the USSR has made no attempt to press its demands that
extra-territorial rights be granted Soviet commissions investigating acci-
dents on the Danube and that through-traffic be given priority over tributary
traffic. The Yugoslavs for their part have taken no new measures against
Soviet-Satellite traffic since these ld only work to Yugoslavia"s dis-
advantage
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Cormmentt The Yugoslav delegation walked out of the June session of
the Danube Commission because the USSR and Satellite members proceeded. to
amend the Danube Convention over Yu.,,oslav objections and rejected all
Yugoslav proposals. The Yugoslavs particularly objected to a new regulation
forbidding authorities controlling the banks where accidents occurred to
inspect the ships involved.
6. YUGOSLAVIA/E.UNGARYJRUMANIAO _ p r o ions.,
Hungary and Rumania have been accused by Yugoslavia of a hostile and aggressive
policy in similar notes delivered to the Cominform Embassies in Belgrade.
The Yugoslav Government protested against alleged violations and provocations
on her frontiers and warned her two neighbors of the consequences. The note
to Rumania said.fifty-three border incidents had taken place between 27 May
and 26 June. The Hungarians were charged with thirty-eight provocations be-
tween 28 May and lL July. 25X1
Comment,- Previous accusations by the Yugoslavs disclosed an average of
20 incidents a month on the Rumanian border until may. The fifty-three
violations referred to in the current note support other Yugoslav statements
that the number of incidents on the Rumanian and Bulgarian frontiers have
increased since May. Despite the increase, these incidents remain minor
7. USSR. Commenton Pepoluti_on :of Supreme,- ov et Presidium of _t tae USSR! The
Soviet answer to the US Congressional resolution transmitted 7 July follows
the standard argumentation of Soviet propaganda and contains no indication
of any forthcoming Soviet concessions to add substance to the''peace"campaign.
The Soviet resolution contributes to the recently stepped-up campaign to
portray the USSR as cooperative and non-aggressive, but the stereotyped
nature of the proposals suggest that the resolution sprang primarily from a
necessity to refute the previous9 well-publicised. US communication.
The denunciation of US policy9 already well-established in Soviet
propaganda, centers on allegedly discriminatory practices such. as the export
control system but contains only relatively mild criticisms of US initiated
policies; such as the creation of the NAT system and rearmament. The con-
trasting "peace" policy of the USSR is buttressed with references to pro-
posals such as the Five-Power pact twice proposed in the UN since 1949, al-
though the UN is not mentioned by name, This evasion may result from a Soviet
wish to identify objectives such as disarmament with Communist .,-peace.,-
organizations rather than with the UN, which has rejected Soviet proposals
for prohibition of atomic weapons9 arms limitation and a Five-Power pact,.
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SECTION 2 (EASTERN)
2. INDIA, Iran expresses concern over the Kashmir case: The Iranian Embassy in
New Delhi has issued a press note stating that the ranian Ambassador had
conveyed to the Indian government Iran's "sincere anxiety" over the differ-
ences between India and Pakistan on Kashmir and other problems, which Iran
hopes can be "fairly and peacefully resolved," 25X1
Comment: Burma and Indonesia have already offered their good offices
toward easing the tension between India and Pakistan. Expressions of con-
cern from a number of Asian countries might have a stronger effect on India
than those from the US, UK and Australia. To date, however, India has
given no sign that it will modify its present intransigence.
3e National elections again op stoned: The Chief Election Commissioner
has announced that, at the request of more than five major states, general
elections in India have been postponed until the first week in January 1952.
However, voters in some of the mountainous regions will go to the polls in
October 1951 because of danger of snow later. The Commissioner anticipates
that the counting of votes will be completed by the middle of February.
The election of a president will take place in March or early April, and
the new Parliament is likely to meet about May 1952. 1 -1 25X1
25X1
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Comment: The national elections were originally scheduled for April
1951 but were postponed until Novembers They have now been postponed for
the second time.
4, INDONESIA. Socialists visit "iron curtainn' countries: Two leaders of the
Indonesian Socialist Party, Sjahrir and Sudjatmoko, reportedly are visiting
"iron curtain" countries. Sjahrir, leader of the party, is believed to be
in or en route to Poland. Sudjatmoko, former Counselor of the Indonesian
Embassy in the US. plans to visit Poland, Czechoslovakia and Hungary.
Co m . .: Sjahrir has been honeymooning in Egypt and the Mediterranean
and may be extending his vacation to include a "fact-finding" tour in
Eastern Europe. Sudjatmoko is not known to have Communist sympathies.
Sjahrir himself is decidedly anti-Communi.st. - e was
the first an one o the few Indonesians who publicly labeled the invasion
of South Korea as Communist aggression. Under Sjahrir?s guidance, the
Socialist Party has achieved an influence in the Indonesian Government far
greater than would be expected from its small parliamentary representation.
5. INDOCHINA. French move closer to agreement on repatriation of Chinese
Nationalist, troops: French officials in Saigon responsible for Chinese
affairs have informed the US Legation that General de Lattre has been given
full discretion in the matte' of possible repatriation of the 30,000 Chinese
Nationalists interned in Indochina. The same officials, who advise the
General on such matters, state that they have long favored the repatriation
of these internees to Formosa.
Meanwhile, the Chinese Nationalist Consul General has informed the
Legation that de Lattre?s concern with the Chinese Communist threat has
decreased in proportion as his Tonkin delta fortifications have approached
completion, and that the internee question could probably be disposed of on
de Lattre?s return from his Paris and Washington trips.
25X1
25X1
25X1
25X1
Comment' The French apparently have become increasingly disposed toward
repatriation--which will have the advantage, among others, of relieving them
of annual internment costs of 70 million piasters--but will continue to be
concerned with the possibility that Chinese Nationalist sources will publicize
repatriation in such a way as to provoke the Chinese Communists, The Chinese
Nationalists would prefer repatriation of the internees to South China as an
armed anti-Communist guerrilla force, The French Ministry for Relations with
the Associated States found it necessary to deny current rumors, presumably
circulated by Nationalist sources, that arrangements along these lines had
already been made.
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Hints re negotiations in Indochina continue: At the Kremlin-sponsored
World Peace Conf erence of 20 July, French delegate and fellow-traveler
Joliot-Curie was quoted by Tass as stating that in view of the Korean truce
talks it is important that "negotiations to end the war in Vietnam be
started," Meanwhile, the Soviet Ambassador to France, replying to a journ-
alist's question, stated he saw a "good chance" for an acceptable armistice
in Indochina provided that negotiations were'undertaken on "definite points."
The same question put to Letourneau, Minister for Relations with the As-
sociated'States, elicited the reply that it was "not impossible" that the
solution in Korea might basis for a solution of the problem of
civil war in Vietnamo
Coma nt: It is doubtful that either side has a genuine intent to nego-
tiateMere talk of peace does, however, have at least one important re-
sult in Indochina--the arousing of fears among non-Communist Vietnamese
that the French may take the easy way out of the Indochina impasse and leave
them, the Vietnamese, to face a victorious and vengeful Ho Chi Minh.
25X1
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10, JAPAN. Government announces a second list of depureesb The Japanese
Government on 6 August announced its second official list of depurgees,
numbering 6,975 civilians and 6.,929 former members of the armed forces,
Prominent on the list of nnmpq is that of Ichiro Hatoyama
I I
Comment, The depurging of Hatoyama, Premier Yoshida's predecessor
as President of the Liberal Party,, probably will provoke a new round of ru-
mors in Japan regarding rivalry between the two men for the party chief-
tainship. Hatoyamavs recent serious illness, however, may preclude his
energetic entry into Japanese politics,
The purge issue has become increasingly unpopular with the general
public. The early restoration to full civil life of the large majority
of the remaining purgees may be anticipated shortly after the peace
treaty.
11e For Office thinks Japan will not lose sovereignty over Ryuk ups
and Bonineo Kyodo Press cn 5 Au ust credited Foreign Office officials
25X1
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with "opining" that Japan will not lose its sovereignty over Amami Oshima,
the Ryukyus and Bonin Islands by the signing of the peace treaty. The
Foreign Office apparently reasons that Article Two fails to specify these
territorities by name in the list of those to which Japan renounces all
title, and that while Japan will be required by the treaty to concur in
a US trusteeship, the islands will be returned to Japan after a certain
period if the residents so desire.,
Comments This Foreign Office opinion,may have been advanced as a
government measure to obtain public support for the treaty.
25X1
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SECTION 3 (WESTERN)
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lei
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FORM 26 UeE PREVIOUS EDITIONS. TOP SECRET (40)
8-73
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7 August. 1951
CIA No. 49295-A
Copy No.~,
TO THE DAILY DIGEST
Not for dissemination outside O/CI and O/NE.
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
This summary of significant reports has been prepared primarily
for the internal use of the Office of Current Intelligence. J t does
not represent a complete coverage of all current reports in CIA
or in the Office of Current Intelligence. Comments represent the
immediate views of the Office of Current Intelligence.
TOP SECRET
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SECTION 3 (W.FSTflU )
IT~IY Italian Government reluctant to face election
Ccamments There have be
v
of the (national) censuse11 whichdwill be?initiated following
Novemberconct the date it -o but the exact
at least six months, s are not used, the elections should be postponed for
preferably a year,. He pointed to the resurgence of
national feeling over the Peace Treaty in general and Trieste in
and said there is "growing suspicionFl that the Free Territs particular9
turned to Italy. De Gas
perJ said ry may not be re-
without injecting itself into thetTrieste ~ elections, , whicho ctivit stwou by
not be helpful in the relations with Yu oslavia. tl Furthermore, y "ia to
campaign would have a bad effect on the fall municipal elections the
The Cabinet has tentati
Itieste
1
ome that peen urging the US .Ambassadox^ i
l~, ed list
may postpone the fa en previous reports that the Italian Government
aeries of local elections rather than face
prestige for the Chri
ti
l
s
a
oss of
an Democrats, such as occurred in the spring voting
Suggestions for Postponement of the Trieste elections show similar concern for
the Christian Democratsvsho ng, The Italian Government may also be concerned
over apparently growing sentiment in Trieste favoring independence of the area,
a movement supported locally by both Italian Communists and a small group of
Slovene parties.
2, Restrictive Labor li~lation. faces obstaclo
will make a new effort to have l.o _ The Italian, Government
ed into law as part Of its ryewq vigorous ndca~ ~?pesale to regulate labor enact
In this effort, however, it faces the oppoeitjon ofgth.e Christian Democrat Party
dominated Confederation of Labor Unions (CISL), which has consistently a limitation on the right of state employees to strike. sugges-
tion s
by the tS Ambassador, Premier De Gasperi In reply to a willingness to has conceded his com romise with CISL but has emphasized the difficulty of..find
ing a formula.
~rnmen.ts The proposed l.abaar .la?~r
be?n intCcnneted he Parliaments , drafted almost a year ago, has never
to The government suspended action on it
May-June elections so as not to weaken its position at the prior
polls. Tis
observers in Rome states that De Gasp rj o s recent speech on the new goernm n u
program shows he is still urawil:ling to compromise on the labor law, t s
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3. VENEZUELA. Five more jet aircraft to be purchased from the UK.- The British
Ambassador in Caracas has informed the US Embassy that his government has
a peed to sell Venezuela five additional DO-H Vampire jet aircraft.
25X1
25X1
delivery will be within two months of the time the contract is signed,
and will include a two-yearns supply of spare parts, The Embassy comments that
only five months ago the British refused Venezuela's request for additional
V ampires on the ground that the British could not spare theme 25X1
25X1
Comment-, This purchase will bring the total number of Venezuelan jet
aircraft to 12 - all Vampires - and will further impede any efforts towards
arms standardization in the Western Hemisphere, In 1950x, it was reported that
Venezuela was interested in purchasing US F_801s, but according to a US Air
Attache report of 27 March 50, the conditions of sale and the personality of
the Lockheed salesman were such that the Chief of Staff became "quite angry".
At that time, the British reportedly offered Vampires "with no strings except
cash payment8' b.
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