(UNTITLED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T01762A000400020002-1
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 3
• Document Creation Date: December 12, 2016
• Document Release Date: September 5, 2000
• Sequence Number: 2
• Publication Date: January 1, 1950
• Content Type: REPORT

Approved For Release 2000/09/12 : CIA-RD6AT01762A000400020002-1
4RO20 TOP SECRET
GENERAL
1. US concerned over lessened German cooperation--The
Department of State has expressed to US High Commis-
ioner McCloy its concern over indications from several
sources that the Germans have recently taken a less co-
operative attitude in negotiations on the Schuman Plan,
probably because they feel their position has been strength-
ened by the apparent eagerness of the Western Powers to
sue for German military support. The Department suggests,
in view of the great importance of the German attitude during
this period while the Western allies are attempting to reach
agreement of German participation in a common defense, as
well as the long-range importance of the outcome of the
Schuman Plan, that McCloy may wish to point out to West
German Chancellor Adenauer that this feeling of decreased
German cooperation exists generally among the Western
nations. The Department considers that current discussions
of drawing Germany into a common defense arrangement, far
from lessening the need for European economic cooperation,
make it more imperative that the negotiations on the Schuman
Plan, to whose success the US attaches great importance, be
concluded rapidly and satisfactorily.
FAR EAST
2. Possible Chinese Communist interYQflt14n in Kor ..---US
Ambassador. Kirk has received reports from his British
and Dutch colleagues in Moscow that Chinese Communist
leaders in Peiping favor Chinese military intervention in
the Korean war if UN forces cross the 38th Parallel. Ac-
cording to Kirk's information, reports concerning the exist-
ence of this sentiment among Chinese Communists have come
from the Dutch charge and the Indian ambassador in Peiping.
The Indian representative is reported to have told his govern-
ment that a Chinese Communist decision on intervention has
TOP SECRET
J.4I
Approved For Release 2000/09/12 : CIA-RDP79T01762A000400020002-1
 Approved For Release 2000/09/12 : CIA-RDP79T01762A000400020002-1
TOP SECRET
crystallized since mid-September and is based on the conviction
that the entering of US forces into North Korea would indicate
a basic US aim to carry the war to Manchuria and China in
order to return Chiang Kai'-shek to power in China. In com-
menting on this information, Kirk says he-finds it difficult
to accept these reports as authoritative analyses of Chinese
Communist plans. He takes the line that the logical moment
for Communist armed intervention came when the UN forces
were desperately defending a small area in southern Korea and
when the influx of an overwhelming number of Chinese ground
forces would have proved a decisive factor. He warns that
prudence is indicated in this situation but expresses his view
that the Chinese Communists, through press propaganda and
through personal contacts with foreign diplomatic personnel,
have taken a strong line since the Inchon landing in the hope
of bluffing the UN on the 38th Parallel issue.
3. INDONESIA. Army faces tense situation with Ambonese--
An Indonesian army officer has disclos.ed to US Consul Mill
in Surabaya that the Indonesian. army is on stand-by orders
in that area as a consequence of increasing tension with
Ambonese armed units which were members of the Dutch
colonial forces prior to the granting of Indonesian independence.
According to Mill's informant, the Ambonese are well armed
and very bitter against the Indonesian army. He regards the
situation as potentially very serious.
TOP SECRET
Approved For Release 2000/09/12 : CIA-RDP79T01762A000400020002-1
 TOP SECRET
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