CURRENT INTELLIGENCE DIGEST

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T01146A000900190001-3
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 15
• Document Creation Date: December 12, 2016
• Document Release Date: February 19, 2002
• Sequence Number: 1
• Publication Date: April 25, 1952
• Content Type: SUMMARY

,e2 /
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SECURITY INFORMATION
25 April 1952
US OFFICIALS ONLY OCI No. 5167
Copy No.
266
CURRENT INTELLIGENCE DIGEST
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
This digest of significant reports has been prepared primarily
for the internal use of the Central Intelligence Agency. It does
not represent a complete coverage of all current reports re-
ceived. Comments represent the immediate views of the Office
of Current Intelligence.
*Army and State Dept. reviews completed*
RETURN TO ARCHIVES Et RECORDS CENTER SECRET
SECURITY INFORMATION
IMMEDIATELY AFTER USE proved For Release 2002/05/20: CIA-RDP79T01146A0009'f( 9101-3
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THIS MATERIAL CONTAINS INFORMATION AFFECTING THE NATIONAL
DEFENSE OF THE UNITED STATES WITHIN THE MEANING OF THE
ESPIONAGE LAWS, TITLE 18, TSC, SECS. 793 AND 7949 THE
TRANSMISSION OR REVELATION OF WHICH IN ANY MANNER TO AN
UNAUTHORIZED PERSON IS PROHIBITED BY LAW.
GENERAL
TASS den" al of Stalin four-power talk offer-
?____
t
n
on
proposal for a four-power meeting would presumably con-
tribute to the Soviet "peace" campaign, Moscow's official
denial is suprising. There have been other signs that the
Kremlin does not want to give the impression that it is
eeting with the West. Stalin's
l
m
soliciting such a genera
reply to the American editors on 1 April gave only a guarded
answer concerning a big power meeting and the subsequent
Stalin-Radhakrishnan conversation received no play in Soviet
media. The USSR apparently wishes to remain free to choose
the time, terms and subject matter for any four-power meet-
ing. (Factual data based on R Moscow 17229 23 Apr 52)
2. Soviet Union reportedly protests use of material in
Afghan press- Informal Soviet represents ions ave een
made to the Afghan Embassy in Moscow and to the government
in Kabul against the extent of Afghan press use of pub-
lications material supplied by American and British sources.
The British Embassy in Kabul has also been reliably informed
of Soviet protests against the increasing use of American
economic aid9which was claimed to be endangering Afghanistan's
neutral position. (C Kabul 428, 17 Apr 52)
Comment- Such a protest by the USSR against American
informat on activities may result in their curtailment.
However, due to Af ghanistaia's fear of provoking the USSR it
is unlikely that effective steps would be taken against the
pro-Communist articles in the Afghan press. In fact, the
Afghan press seems to be printing somewhat more pro-Communist
material, but the government appears to take no notice of
the trend.
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tiara barter agreement reportedly biased to
S, Soviet-Egyp a recent cot on-wlea
eases n -,
f avor o erta n c
en the USSR and Egypt
t
we
bar er agreement be
the Egyptian Government at adisadvantagepquality of wheat
25X1C the USSR ruling on disputes are to
is to be binding on both parties, and any t specifies
be subject only to Moscow's decision. The contrac
that at least some of the wheattimmpoorrtsalbexpaiiddginwlreeleave tot 25X1 sterling.
the USSR with a considerab a sum of free sterling.
25X1A
Comment, Moscow hasot~eniduentoadvantageous
Egyptian?cotton
to bar er w th Egypt for c Egyptian
surplus, the drop in world prices, and growing financial difficulties. When p~ic~srfexr? cottonewereare-
announced in mid?Februaryarently, established a favorable
vealed , and the USSR app
balance at that time.
The if this report is accurate, is a good
negotiations ,
example of the Soviet practice of exporrtsting as h wheat atli aan.d gaain-
ing
ing in exchange needed hard currency lied the practice
is probably the first time Moscow settlement of disputes
of binding clauses on quality
outside the Soviet Orbit.
EASTERN EUROPE
ldiers officers and
25X1
25X1A
25X1 4. Increased number of oviAent ncrease 9num er o ussian
observed in Prague
25X1 trucks o serve in ag
ucks were be-
t
r
ers o icers an
tween 1 and 17 April,
Comment, There onVebeen r beenrstationed in
Sovie mi pry mission, believed to have It is also poin
Karlovy Vary, moved to Prague in February.
ble that Russian military forces are in Prague in preparation
for the Czechoslovak Liberation Day parade on 6 May.
ASoviet attacker :
Yugoslav UN delegate sees less danger of
a y s
5
$
.
e
The Yugos av e ega e o t e
e
has informed American ?ihas lessened, plargelyias afresult
Russian or Satellite attack
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nations behind Yugoslav inde-
of the solidarity rf many
Beblerfelt that various stateression
pendencee Moreover, Moscow against agg
by responsible Americans warning
have also had a beneficial effect. formally approach
According to Bebler, Yugoslavia will effort to get them to agree
all neighboring Satellites in an
formation of mixed border d ommnssconcerand ningothehere
coon the
Bebler states that
tothe General Assembly's recommen
re-establishment of normal relations
his government expects negative ro pliecv
but tha idence s toosupportst these would at least p
future Yugoslav protest should this be found necessary-
any 23 Apr 52)
(S New York 734, rejected
Hungarian Government has already re
Comment The suggesting the
a Yugos av n tedelieddboon 18 February
rder commission to settle the
establishment of a
mix delineate the boundaries.
Mura Island dispute and
Yugoslav propaganda organs thevsuccess inresented the as UN aGeneral
significant diplomatic vi tory
ctory stath ?x tension in t
Assembly Of the Yugoslav resolution which expressed con- he
cehe
tern over the existence of a serious and called for the normalization of Sovjet-Satellite
Balkans
relations with Yugoslavia
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FAR EAST
t Army in central Korea
i
s
Relief of 'Chinese Commun
6. a ar as omman repor a on pri the
capture-,-in the 26th Army
cptca e e sector in central Korea, of a Chinese Communist soldier from the 15th Army. The prisoner
said that his unit
relieved elements of line previously Division,
and n
26th Army.
reand lieftafethet26ththis
FECOM comments thththatcapture
prisoner strongly indicate
Chinese Communist Army Pendinofg
of further confirmation,
relieving force cannot be firmly established. (S CINCFE
Telecon 5771, 23 Apr 52)
Comment: Recent prisoners taken from thein26thAprilArmy
have n icaed that
Previous reports have suggested that the 60th Chinese
Communist Army might be the relieving force.
7. Polish vessel to load Ceylonesea rubber for China: tTThe
Polish verse 1 ins i is expec e 0 MOO /au ZLIJJL.Ll
beentheopenedAmerin
load rubber for China. C~e~O~stonshave
to cover the purchase of
Consul in Calambi eVe(CtColambos593ra23YAprs52)s
available for sh Pment
612 gross tons) carried a
Comment: The Kilinski (?,
deck cargo of 300 tons of f rubber to China arfullecargoiof
March, and is apparently planning
rubber this trip. Rubber shipments to China from Ceylon
have totaled less than
primarily due to a
Indonesia may propose breaking embargo on rubber sales
8. __-- ~, asst' n Ja ar a as learned
d
a el
~
r-
rom a reliable source that imme
departure of the Indonesian delegationeionthefOttawasRubber
Conference, to be held in May, the sidering breaking the embargo on rubber sales to China.
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In addition, Prime Minister Wilopo has been publicly
quoted as stating that the Indonesian Government. is in con-
tact with India, Ceylon and Singapore for presentation at
Ottawa of a united stand obbeiseas?yet undetIron
countries. This stand, however,
(C Djakarta 1547, 22 Apr 52)
Comment: Indonesia has complained that the UN-
sponsorecU-Tan on rubber exports to China, to which
Indonesia reluctantly adhered, depressed rubber prices.
During the past two montke~ forulowegradeparubberihaveand
a seriously shrunken mar ahaon of
created a general demand in Indonesia for an exp
exports.
installed on 3 April,
The new Indonesian Cabinet,
appears to be committed to a stricter interpretatasioitsn
Indonesia's "independent foreign policy than w
predecessor.
g, Burmese official to Visit Indochina: The ican
Embassy n ang?on rep or s premier Nu to visit
U Chan Htoon has been commissioned by com Indochina and study there. perments~
that Chan Htoon will be
sonally to obtain information on Indochina and that his
report may "influence future Burmese policy
French Union and Associated States." (C Rangoon 1028,
23 Apr 52)
Comment: Although Burmese authorritiesati have
recently
indices a awareness of the Communist
the Bao Dai regime as
Vietminh, they. have not accepted
independent.
spof the Burmese
Chan Htoon was one of the chief authors
constitution and his opinions are highly
NEAR EAST - AFRICA
10. Iraq resentful of British role in providing military
resen s any imp ca on t a
fitter y
equipment: raq
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to-Iraqi Treaty of 1930,
possesses, under the Ang it with military
Britain sibility for providing
exclusive respon has
Moreover, it is with the it small
equipment. uality has
quantity and the inferior q S Bagdad
on ~ Iraq
recently received. In line with this auilment.
several oasions sought American eq
901, 21 Apr 52)
of widespread suspicion of
comment: There are reports ranch intentions in the Near only East as well er
Western pow
gritis an
conviction that the nit ydmattes is the
military
which can supply
's resentment may make it moie
Britain to renegotiate the Anglo-Iraq
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WESTERN EUROPE
11.
25X1
25X1
East German defector describes unity campaign as tactical: 11 The current ov et unity campaign for Germany is on y a tactical
maneuver, according to Geroid,Rummier, personal relations officer
for East German Foreign Minister Dertingera Rummler, who fled
to West Berlin about two weeks ago, asserted that East German
politicians were worried by the prospect of all-German elections
until informed by Russian Ambassador Pushkin that the Soviet Union
did not contemplate "sacrificing" the East German regime in free
elections,
American observers in Berlin comment that the East German
tactics since the 9 April Soviet note support Rummler's state-
ments. (C Berlin 1236, 18 Apr 52)
Comment: Rummler later stated publicly that Dertinger does
have pans or all-German elections, but that his plans callth for
separate simultaneous elections in East and West Germany, w
the West German parties being excluded from East German election
lists.
This information may disillusion the one-third of the West
German populace which either supports the Soviet unity offer or
has not as yet been convinced of its insincerity.
East German Politburo charts action to culminate in May:
_..+ Pv m1 r
Grotewohi and his deputy, Walter Ulbricht, returned from Moscow
about 13 April and convened a meeting of the Socialist Unity
Party (SED) politburo to discuss action to be taken should West
Germany sign the contractual agreement prior to the holding of
a four-power conference.
The USSR will reportedly apply continuous pressure for a
four-power conference while the SED takes immediate steps to
mobilize the West German supports Through local action groups
the SED will try to swing the West German Socialist ocialistiParty yloover
to the side of resistance before 1 May.
Day demonstrations for unity along the interzonal border, where
large numbers of People's Police will be stationed,
The conference revealed that SED leaders believe the
ement will be signed by mid-May, whereas the
l
agre
contractua
USSR believes it is still possible to "hinder" the signing.
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25X1
Comment.- Grotewohl may have been in Moscow early this
month; on 3 April that he had
gone on two weeks? sick leave to recover from a. nervous break-
down?
13. East-West trade financed by Austrian Creditanstalt declines:
During t ast quarter o 1951, letters credit-Issued by the
nationalized Creditanstalt of Vienna for trade between Orbit
countries and various Western countries, including Austria,
declined to negligible proportions. Throughout 1950 and the
early months of 1951, such financing allegedly constituted an
important part of the bank's business.
The last remaining account of a Soviet-controlled enter-
prise in Austria was reportedly relinquished recently b the
Creditanstalt to the Soviet Military Bank in Vienna. 25X1A
25X1A
14.
Comment: The Soviet occupation authorities are believed
to be trans erring all USIA accounts to the Soviet Military Bank,
possibly in an effort to conserve schillings, to control more
closely the operations of Soviet-held enterprises in Austria,
and to tighten security controls over their economic activities.
The decline in Creditanstalt-financing of covert East-West trade,
therefore, does not of itself imply decreased efforts in seeking
to make such transactions. Nevertheless, the over-all volume
of rail shipments transiting Austria from the West to the Orbit
declined considerably during 1951.
25X6
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25X6
LATIN AMERICA
The
16. Bolivian unrest sterebe~.ieoeshtAatrtcen osta liviantrevolt was
Chilean work Min
the "joint t work of the NaYa.n9f~rr3?~~hsAmerieaommReistatesathat
was part of an overall p not in control: since he
President Paz Estenssoro is clearly
cannot persuade the "Communist" miners to surrender their arms.
there
The general belief of diplomats andtPeronista
must be an intensive investigation
threat to South America before Bolivia willgdeterminedtheat
the United States decision on recognition immediate political future of South America. (S Santiago 54 k
23 Apr 52)
Comment: Brazil also is not yet satissffiedCt that the Paz
Estensse?~ime is stable and a high Feign fice
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spread to their coon
.Spa.in and Guatemala are the only countries which have
recognized-the new Bolivian Government.
of an additional coup. Chile and
mentioned the possibility
Peru fear that any new disorders in Bolivia might eventually
tries
ek
an military coo redicted for this we -
Ecuadora
evolt.
Minister D a ? f ll wars re ortedl ha 25X1
revolt. 1 c
the was pianrlll~8 __---
i z Granados, who d lanned a counter-
controversial presiders
capital on 26 April.
Meanwhile, President Galo Plaza has announced the resi ?- 25X1
nation of his entire cabinet. get rid o e ense
S,? ,.A ~~ygationS to get AI-.. -M^V Ad
25X1
military dictatorship will be established in Ecuador be ore
tial candidate Velasco Ibarra visits the
18. Another leading Guatemalan labor un on secretary general
from om contr. - workers in Tiquisate,
I e un on on o Unite Fruit aymundo Company onza.lez, has
-
declared that his union should br?fkGuaway from the atemalan Woersm(CGTG) 52
controlled General Confederatio Rorkers9 21 G A pr )
"and be independent a?? (R FBIS STAT
Comment: This declaration, by the leader of Guatemala's largesn of agricultural workers, follows closely after a
workers' union (SAME)
strong faction within the powerful railway
demanded withdrawal from the CGTGeandacoo emnedeColmunistsnin
the union. Two agricultural conf
nounced their complete break with the CGTG,
election period, u and counterco
disturbances including a possible coup
desires to break
Comment- Velasco was originally sc a expected at that time.
on 22 April serious disturbances were to other reports, left-wing elements have been
According en street fighting
trying to provoke Velasco?s followeers into oo p a coup.
to provide an excuse for rep
The resignation of his cabinet will give the President an
this tense pre'
opportunity to strengthen the government-during
revent further
t will not necessarily p u
hdoled to reach Quito
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TOP SECRET
SECURITY INFORMATION
US OFFICIALS ONLY
TOP SECRET SUPPLEMENT
25 April 1952
CIA No. 49625
Copy go.
46
TO THE CURRENT INTELLIGENCE DIGEST
(including S/S Cables)
Not for dissemination outside O/CI and O/NE.
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
This digest 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.
TOP SECRET
SECURITYINFORMATION
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TOP SECRET
THIS MATERIAL CONTAINS INFORMATION AFFECTING THE NATIONAL
DEFENSE OF THE UNITED STATES WITHIN THE MEANING OF THE
ESPIONAGE LAWS, TITLE 18, USC, SECS. 793 AND 794, THE
TRANSMISSION OR REVELATION OF WHICH IN ANY MANNER TO AN
UNAUTHORIZED PERSON IS PROHIBITED BY LAW.
Future of Allied Council for Japan questioned by USSR:
The Soviet member o t e Allied ounci or Japan, at t he
meeting on 23 April, asked what effect the coming into force
of the "so-called peace treaty" would have on the future of
the ACJ. After criticizing the conduct of the occupation and
denouncing the United States view that the ACJ automatically
terminates on 28 April, the Soviet member stated that, since
the USSR has insisted upon the withdrawal of foreign forces
from Japan and the conclusion of a genuine peace settlement,
it "can bear no responsibility whatsoever for the situation
which has arisen." (C S/S Tokyo 2274, 23 Apr 52)
Comment: As far as is known, the Soviet Union has not
approachehe Japanese Government relative to the future sta-
tus of its mission, The Japanese have indicated that the Soviet
personnel attached to the ACJ will lose their diplomatic priv
ileges after 28 April, but will not be forcibly ejected.
It is considered likely that the Soviet Union, rather
than accept a restricted position, will propose that its mission
be considered as a trade agency. The Japanese have indicated,
however, that no privileges will be extended to the USSR with-
out reciprocal treatment,
It is noteworthy that the Chinese Nationalist member did
not support the Soviet position, as previously threatened in
the event the China-Japan treaty had not been concluded by the
time the San Francisco treaty became effective.
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NEAR EAST ? AFRICA
3. Turkish abstention in Tunisian case
cism: Turkish a stention in the UN Security Council vote on
the-Tunisian ? French dispute has been widely criticized in the
Turkish press. A Turkish Foreign Office spokesman told the
American Ambassador on 22 April that his country had taken this
action because it wished to maintain solidarity with the Western
powers9 and that it would have voted for consideration of'the
Tunisian case if the United States had done so, (S S/S Ankara
11609 22 Apr 52)
Comment: This is the first time that Turkish adherence
to Unitetates policy has aroused widespread criticism in the
press. Although the Turks have been uniformly critical of Egypt
and Iran in the disputes of those countries with Britain9 there
is apparently considerable belief in Turkey that the Tunisian
complaint is justified.
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