RESEARCH INSTITUTES IN IRON AND METAL INDUSTRIES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00810A008600160003-0
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 2
• Document Creation Date: December 21, 2016
• Document Release Date: May 13, 2008
• Sequence Number: 3
• Publication Date: December 20, 1955
• Content Type: REPORT

Approved For Release 2008/05/13: CIA-RDP80-0081 OA008600160003-0
r ? r r r ? r . . r r
CENTRAL INTELLIGENCE AGENCY
This material contains information affecting the National Defense of the United States within the meaning of the Espionage Laws, Title
18, U.S.C. Secs. 793 and 794, the transmission or revelation of which in any manner to an unauthorized person is prohibited by law.
COUNTRY Hungary
DATE OF INFO.
PLACE ACQUIRED
DATE ACQUIRED
Research Institutes in Iron
and Metal Industries
REPORT
DATE DISTR.
NO. OF PAGES
20 December 1955
2
REQUIREMENT NO. RD
25X1
1. In the Hungarian iron and metal industries there are two main research
institutes:
A. Iron Industry- Research InstitutR
which is divided into the Theoretical Research Institute, and
the Machine Tool Testing Institute, which is under the direction
of Ferenc Biro, the former General Manager of the Rakosi Matyas
Works and a close relative of Matyas Rakosi.
B. The Metal Industry Research Institute
is under the direction of Professor Laszlo Gillemot.
2. These institutes are located in a large block of buildings on
Fehervari Ut in Budapest, beyond the former Standard factory. They are
equipped with first class modern equipment and machinery, and employ
a large number of high-grade technical experts.
3. Before the second world war metallurgical research was decentralized,
being carried out in the individual works, factories and foundries.
After the war, when the Communist Party seized power, a propaganda drive
was launched against "old school" engineers and specialists, with the
result that the workers demanded the removal of the men on whose research
and control work the quality of products depended. This led to a rapid
deterioration of quality throughout the metal industry.
STATE X ARMY X NAVY X AIR X FBI-1 I AEC
WFORMATION REPORT INFORMATION REPORT
Approved For Release 2008/05/13: CIA-RDP80-0081 OA008600160003-0
 Approved For Release 2008/05/13: CIA-RDP80-0081 OA008600160003-0
4.
To meet this situation the Communist Government did not reemploy the
technicians in the foundries and factories, but adopted the alternative
solution of founding a central Iron Industry Research Institute. Some
eighteen months later it decided to establish a Metal Research Institute
as well.
5. Initially Professor Laszlo Gillemot was entrusted with the direction of
both Institutes. He was given a free hand in the selection of his
assistants. As the new generation of technical experts fell far short
of the standard of the older school, he chose his men mainly from those
engineers who one or two years previously had been dismissed from the
factories as politically unreliable. These experts are currently
entrusted with highly confidential work. As an outstanding example of
the reinstatement of so-called politically unreliable elements, Professor
Jozsef Varga has been entrusted. with the direction of the recently
founded Heavy Chemical Research Institute, although two years previously
he was violently attacked as a reactionary and barely succeeded in
retaining his position at the University.
6. In addition to his initial direction of the two Institutes, Professor
Gil.lemot lectured at Budapest Univeristy on "the Science of Materials".
When later he was ap ointed Rector of Section I (Machinery, Chemistry
and Electro-tec1nics) of Budapest Technical University, he found his
commitments too great and proposed that another director should be
found for the Iron Industry Institute. Ferenc Biro has been appointed
director of the Machine Tool Testing Institute, but the Direction of the
Theoretical Research Institute has been retained by Professor Gillemot.
Approved For Release 2008/05/13: CIA-RDP80-0081 OA008600160003-0