CURRENT INTELLIGENCE DIGEST

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T01146A001000030001-8
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 13
• Document Creation Date: December 9, 2016
• Document Release Date: June 8, 2001
• Sequence Number: 1
• Publication Date: May 15, 1952
• Content Type: REPORT

Approved F Release 2001/09/04: CIA-RDP79TO144SA001000030001-8
SECRET
SECURITY INFORMATION
US OFFICIALS ONLY
15 May 1952
OCINo.5181
Copy No. 267
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.
State Dept. declassification & release instructions on file
SECRET
SECURITY INFORMATION
Approved For Release 2001/09/04: CIA-RDP79T01146AO01000030001-8
 Approved For Lase 2001/09/04: CIA-RDP79T01146AD01000030001-8
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.
1. Embassy comments on Soviet religious conference: In his
first comment from Moscow, Ambassador Kennan points out that
Soviet religious leaders, under the threat of renewed police
persecution and of the curtailment of their recent relative
freedom, are being driven steadily deeper into becoming
spokesmen for the regime. Kennan describes the conference
of all Soviet churches at Zagorsk, which ended on 12 May, as
"peculiarly cynical and sadistic" in its driving together of
religious denominations which are not naturally compatible and
which probably distrust one another because of police pene-
tration and provocation. (C Moscow 1814, 13 May 52)
2. US Legation in Budapest reports on Sulzberger article
in Times: The Legation in Budapest confirmed the presence
othe defects in Hungary's economy allegedly described in
a report referred to by Sulzberger in the New York Times of
5 May. The Embassy was unable, however, to verify the ex-
istence of the report. A series of moves since March to
overcome the defects, following the return of planning chief
Zoltan Vas from Moscow, emanate from Soviet pressure. (C
Budapest 846, 13 May 52)
Comment: The Sulzberger article reported that the
Hungarian government was in trouble with the Soviet-run
Council for Mutual Economic Assistance for inadequate pro-
duction and falsification of statistics. A Soviet investigat-
ing committee reportedly spent several weeks in Hungary. A
copy of a special report made by the committee was alleged
to have slipped out. Sulzberger attributed recent measures
tightening the Hungarian system to Soviet pressure following
the report.
1 15 May 52
Approved For Release 2001/09/04: CIA-RDP79T01146AO01000030001-8
 Approved For Fhase 2001/09/04: CIA-RDP79T01146A 1000030001-8
3. Polish Government's resettling plan meeting with limited
success- The Embassy in Warsaw reports that there Is no
great--"land rush" as yet by the Polish population to move to
the former German territories now under Polish administration
despite the attractive financial inducements offered by the
government to encourage settlement there.
Uncertainty surrounding the government's future agri-
cultural policies insofar as they affect the individual
farmer, poor homes to move into, the unsatisfactory physical
layout of the farms available, and ineffective enforcement
of law and order in the area have tended to offset the value
of the government's inducements. (C Warsaw Desp 434, 15 Apr 52)
Comment: Press reports concerning the progress of the
resettlement have notably declined from their first full
flush of enthusiasm following announcement in March of the
resettlement program. These press stories, while picturing
the program's progress as various groups of farmers arrived,
suggested by implication that the number of resettlers
represented by such groups was insignificant compared to the
government's desires.
2 15 May 52
Approved For Release 2001/09/04: CIA-RDP79TO1 146AO01 000030001-8
 Approved For I(ease 2001/09/04: CIA-RDP79T01146AAd 1000030001-8
SECRET
4. Japan rejects Soviet barter trade offer: The Japanese
Foreign Office has rejected a trade deal un er which Japan
would repair six Soviet vessels in exchange for about 120,000
tons of Russian coal. The agreement was negotiated between
the Soviet Mission and the Naigai Trading Company, and would
ha been valued at 600 million yen ($1,666,666). (R FBIS
JIJI, 13 May 52)
Comment: The price, equivalent to almost 14 dollars per
ton, is considerably higher than previous alleged Soviet offers.
at ten dollars. The fact that there are no international or
domestic legal barriers to this deal and its rejection by the
Foreign Office, however, suggest that it was banned on politi-
cal rather than economic grounds.
5. Japanese fishing boats reportedly seized by Russians:
Two Japanese s ing boats were seized on 10 May By Soviet
patrol boats seven miles off Rausu, on the eastern coast of
Hokkaido, according to the Japanese press. This makes five
boats confiscated in this area by the Russians since 7 May.
(R FBIS, _ 13 May 52)
Comment: If the seizures actually occurred at the point
indicated tie boats would have been in the Japanese side of
the channel, but within ten miles of the Kuriles. Thus it
is not clear whether the seizures occurred because of violation.
of Soviet-claimed territorial waters, or violation of the
MacArthur line, defunct since the peace treaty's effectivation,
which lies three miles off the Hokkaido coast.
North Korean Ministry of State Inspection reorganized:
The Nor Korean Uo-vernment announced on May the formation
of the "People's Inspection Committee" which will supersede
the Ministry of State Inspection. The new bureau was organi-
zed, according to Pyongyang, "for the purpose of consolidating
the inspection of the implementation of government decisions
and directives as well as auditing of State property." Yi
Sungyop, secretary of the Central Committee of the Korean Labor
Party, will become chairman of the new inspection committee.
(R FBIS, 12 May 52)
Comment: The Ministry of State Inspection had jurisdic-
tion on y over government agencies whereas a Central Inspection
SECRET
3 15 May 52
Approved For Release 2001/09/04: CIA-RDP79TO1 146AO01 000030001-8
 Approved For Rase 2001/09/04: CIA-RDP79T01146AQPI000030001-8
SECRET
Committee controlled and inspected industrial production. The
apparent consolidation of these two functions, plus the appoint-
ment of a high Labor Party official with cabinet experience
indicates a tightening up of the regime's instruments of control.
It is probable, moreover, that the new organ will have authority
over agricultural production where some loss of control at local
levels has been reported,
7. French official warns Cambodians against sympathy for
rebels: Letourneau, Minister-Resident in Indochina, toTT-TSe
Cam o ian King and his Prime Minister that France's contract
to defend the country would be "reconsidered" if the active
support which certain Cambodian officials have accorded Nation-
alist rebel elements were not discontinued. Letourneau later
told the American Minister that the present Cambodian consti-
tution enabling the Democratic Party to dominate the King is
"not applicable to the state of political development of
Cambodia," As a remedial measure, he said that the King might
dissolve the National Assembly and draft a new constitution
"more in accordance with political realities." (C Saigon 2241,
13 May 52)
Comment: The collaboration between Cambodian officials
and armedre el elements, to which Letourneau referred, is
largely attributable to the Cambodians' dissatisfaction with
their present degree of control over their own affairs.
Letourneau appears to be advocating even less popular control.
A French threat to reconsider its commitment to Cambodia could
not be dismissed lightly by the Cambodian King.
8.
25X1 C
Burmese Communist leader believed ordered to work for
25X1C Than Tun, chief of the Burma
Communist Party, had been ordered by the Chinese Communists to
25X1A "work for peace."
Comment: The Burmese Communists and their sympathizers
have recently extended a number of peace feelers to the Bur-
mese Government. While it is not yet clear whether these
Communist proposals are an indication of weakness or merely
a tactical maneuver, the government thus far has not been
receptive.
9, Indonesian UN delegate hopes US will not surrender on
POW issue: Palar, the Chief Indonesian Representative at e
UNoTd-an American official that he hoped the United States
SECRET
Approved For Release 2001/09/04: CIA-RDP79T01146A001000030001 8 May 52
 Approved For Rase 2001/09/04: CIA-RDP79T01146AQW1000030001-8
does not surrender on the demand for forced repatriation of
prisoners of war because "if you give in, it would be a great
blow to the prestige of the UN and the United States through-
out the Far East. Palar said he believed "most" of his
colleagues would agree with him, (C New York 809, 13 May 52)
Comment: Palar's comment must be considered primarily
a personal opinion. The Korean deadlock has attracted little
attention in Indonesia. The American Ambassador commented
recently that the Indonesian Government has no policy on Korea
and it is not faced with pressure to form one.
10, Prime Minister Nehru announces the new Indian cabinet:
Prime Minister Nehru announced a number of cabinet changes on
13 May. There are six new members in the cabinet while several
of the older ones have shifted positions. (R FBIS, 13 May;
New York Times, 14 May 52)
Comment: These cabinet changes suggest that somewhat
abler ex~ceutlves have been placed in certain key posts, but
the changes apparently do not foreshadow major revisions of
Indian domestic or foreign policies. All but two of the min-
isters appear to be completely loyal to Nehru.
Home Minister Katju is a respected, long-standing Congress
Party member, friendly to the United States. Defense Minister 25X6
25X6 Ayyangar
He may be expected to reflect the
Prime Minister's views on defense. Kidwai probably brings
greater administrative ability to his post as Food Minister
than his predecessor, but there is little reason to believe
that he will be more successful.
Krishnamachari, the new Commerce Minister, has a realis-
tic view of India's need for economic development and has
stressed the fact that India should help itself. As Labor
Minister, V. V. Giri, former High Commissioner for India in
Ceylon and a man with first-hand experience in the labor
field, should materially improve the government's relations
with Indian labor.
5 15 May 52
Approved For Release 2001/09/04: CIA-RDP79T01146AO01000030001-8
 Approved For Rase 2001/09/04: CIA-RDP79T01146AQ 1000030001-8
11, Ankara complains of anti-Turkish propaganda in Arab
states: The Turkish ore gn Minister on 9 May told m assador
McGhee emphatically that anti-Turkish propaganda in certain
Arab states was being inspired by "friends," presumably
British in the case of Iraq. He added that such action was
against the commoninterest, but that Turkey did not intend
to lodge a protest or to make it a public issue. (S Ankara
1239, 13 May 52)
Comment: Turkish Foreign Office officials have pre-
viously expressed dissatisfaction with the lack of cooperation
on Middle East defense planning from the British and particu-
larly from the French in Damascus. British and French offi-
cials in Syria have not favored a Turkish plan to train
Syrian officers in Turkey.
13. French Residency considers haphazard violence in Tunisia
"planned": a Security Officer in the French IFesidency
General elieves that there is a definite plan behind the new
outbreaks of violence in Tunisia. The French have not, how-
ever, been able to link the recent bomb explosions with the
Communists, Neo-Destours, Old Destours, or any particular
group. The apparently haphazard way bombs have been planted
makes motivation obscure. (C Tunis 5945, 13 May 52)
Approved For Release 2001/09/04: CIAU-RDP79TO1146A001000030001 B5 May 52
 Approved For ease 2001/09/04: CIA-RDP79T01146W1000030001-8
Comment: The resurgence of violence on-12 May after two
weeks of relative calm again emphasizes the unpopularity of the
pro-French cabinet and the Tunisians' dissatisfaction with the
proposed administrative changes. The reported house arrest
of the Bey, when he objected to the imposition of French secu-
rity controls over his palace, makes more sporadic outbreaks
of violence probable.
14. Malan stirs up issue of British protectorates in South
Africa: A presently rreconc lable i erence between t e pion
eUouth Africa and the United Kingdom has been aggravated by
Prime Minister Malan's assertion that a campaign issue of the
1953 South African general election will be a formal petition
to London to secure control of the native protectorates of
Bechuanaland, Swaziland, and Basutoland.
The ruling white South Africans of all parties cite
historical arguments in support of the transfer, but even the
Nationalist government until now had deferred taking any step
toward making a formal request. Important unofficial National-
ist circles have suggested applying economic pressure on the
protectorates if Britain fails to agree,
The British Government, however, is bound by its pledge,
supported by all parties, not to turn the territories over
to South Africa without consulting the inhabitants, and in
the Sudan it is currently demonstrating its request for such
a pledge to native peoples. All. informed native opinion in
the protectorates, according to the latest information, is
extremely hostile to incorporation into the tightly segregated
Union of South Africa. (Factual data from': U New York Times,
14 May 52; R Pretoria Desp 261, 25 Oct 51)
7 15 May 52
Approved For Release 2001/09/04: CIA-RDP79T01146A001000030001-8
 Approved For ease 2001/09/04: CIA-RDP79T01146h01000030001-8
WESTERN EUROPE
Europeans fear that United States may provoke new war:
15
.
The general uropea.n ear t at the United States might provoke
nd West
F
d i
rance a
n
a global war is especially pronounce
25X1C Germany,
'25X6
Comment: Many Europeans expect war to come when the
Unites 'States, after its military strength is built up, will
be tempted to take more positive action in the face of Soviet
provocation. Considerable anti-American feeling is develop-
ing among such Europeans who think themselves at the mercy
of forces over which they have no control.
Communists sponsor international conference against
German agreements: Communist-sponsored international con-
erence "for the peaceful solution of the German problem" is
scheduled to meet in Paris from 13 to 15 June. Representa-
tives from all Western European countries, including German
Pastor Niemoeller, and delegates from Poland and Czechoslovakia
are allegedly planning to attend.
The American Embassy in Paris believes that the pre-
ponderance of professors and theologians among the foreign
representatives suggests that many are not aware of the actual
nature of the conference. (C Paris 7017, 13 May 52)
Comment: This conference, which is being widely publi-
cized by t e French Communist press, undoubtedly will challenge
the legality of the contractual agreements scheduled to be
signed late this month between the Western powers and Germany.
25X1 C
8 15 May 52
Approved For Release 2001/09/04: CIA-RDP79T01146AO01000030001-8
 Approved For lase 2001/09/04: CIA-RDP79T011461000030001-8
Austrians allegedly informed of future Polish trade
retaliation-7 An official of the trade policy section of the
Austrian ?reign Office has allegedly been warned by Polish
representatives in Vienna that Polish coal deliveries will
be cut next fall unless aluminum bars and semi-finished pro-
ducts are supplied by Austria. The Foreign Office reportedly
hopes that some compromise can be worked out between Polish
Comment: This report must be accepted with caution. The
Poles have recently appeared anxious to fulfil their coal
obligations and previous Austrian fears of Polish retaliation
have not been borne out. The Austrians, who are somewhat
restive under American restrictions in trade matters, may
not be averse to circulating rumors of impending Polish counter-
measureso On the other hand, the Poles may possibly anticipate
that Austria's currently favorable bargaining position arising
from US-coal shipments and Soviet-produced fuel oil supplies
will be changed by fa.llo
and American demands.
9 15 May 52
Approved For Release 2001/09/04: CIA-RDP79T01146A001000030001-8
 Approved For Fase 2001/09/04: CIA-RDP79T01146A NOV
000030001-8
TOP SECRET
SECURITY INFORMATION
US OFFICIALS ONLY
TOP SECRET SUPPLEMENT
15 May 1952
CIA No. 49649
Copy No. 4
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
SECURITY INFORMATION
Approved For Release 2001/09/04: CIA-RDP79T01146AO01000030001-8
 Approved For Release 2001/09/04: CIA-RDP79T01146AQ01000030001-8
TOP SECRET
THIS MATERIAL CONTAINS INFORMATION AFFECTING THE NATIONA
DEFENSE OF THE UNITED STATES WITHIN THE MEANING OF THE L
ESPIONAGE LAWSy TITLE 18
USC SECS OR REVELATIONOFpWHICH?IN9ANY AND X94' THE
UNAUTHORIZED PERSON IS PROHIBITED BY LAW. ANNER TO AN
GENERAL
1. 1
Italian role in Greek e
-Turkish?
rumore e er can assa Yugoslav defens Plannin
or
~
g
e French believe that the
n oj'med
in Athens e
recent G
i
.
r
nv
Turkjs
eek h tai
saged including Italy in th
talks on
e
_
Turkish Foreign He reports, however that the
T an g Minister has never , th
mentioned including the
any of his discussions with Embassy officials on Greek...
Turkish rapprochement with Yugoslavia and he believes i
likely that the Turks would have such an association in
(TS Rome 4884, 9 Ma 52 it un-
cif. mind.
Y ; TS Ankara 1231. 12 Ma
y
Since the ,-; .-.,-.
----~ between Italy and Yugoslavia;i~
that the French version is correct?
ltis doubtful
In view of the Turkish
desire for firm defense arrangements in the area, however,
the matter may have been proposed as a Possibility for
future, the
25X1 C
TOP SECRET
Approved For Release 2001/09/04: CIA-RDP79T01146A0010d00YM1 ,
 UN LASSIFlED whenA ~r V~ F hYEI @ a 'I f64T,R A9Rt '11~6tAl~I?~1Q3~?(>~04?1a~d or declassi-
fied when filled in for is etac a from control ocument.
CONTROL AND COVER SHEET FOR TOP SECRET DOCUMENT
DOCUMENT DESCRIPTION
REGISTRY
SOURCE
C
CIA CONTROL NO.
c
DOC
N
.
O.
DATE DOCUMENT RECEIVED
DOC. DATE
C
D
_
COPY NO.
LOGGED BY
NUMBER OF PAGES
NUMBER OF ATTACHMENTS
ATTENTION: This form will be placed on top of and attached to each Top Secret document received by the Central Intelligence Agency
or classified Top Secret within the CIA and will remain attached to the document until such time as it is downgraded, destroyed, or
transmitted outside of CIA. Access to Top Secret matter is limited to Top Secret Control personnel and those individuals whose official
duties relate to the matter. Top Secret Control Officers who receive and/or release the attached Top Secret material will sign this form
and indicate period of custody in the left-hand columns provided. Each individual who sees the Top Secret document will sign and
indicate the date of handling in the right-hand columns.
REFERRED TO
RECEIVED
RELEASED
SEEN BY
OFFICE
SIGNATURE
DATE
TIME
DATE
TIME
SIGNATURE
OFFICE/DIV.
DATE
NOTICE OF DETACHMENT: When this form is detached from Top Secret material it shall be completed in the appropriate spaces below
and transmitted to Central Top Secret Control for record.
DOWNGRADED
DESTROYED
DISPATCHED (OUTSIDE CIA)
TO
BY (Signature)
TO
BY (Signature)
WITNESSED BY (Signature)
BY (Signature)
OFFICE
DATE
roved For
OFFICE
Release 2001/09/04:
DATE
1A-RDP79T01
OFFICE
146A001000030001-8
DATE
FOR
8-73 26 M 26 u3E PREV1019 EDITIO$$.
TOP SECRET
TOP SECRET