(SANITIZED)POLITICAL AND ECONOMIC SUMMARY(SANITIZED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80T00246A046200750001-6
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 22
• Document Creation Date: December 22, 2016
• Document Release Date: June 18, 2010
• Sequence Number: 1
• Publication Date: January 6, 1959
• Content Type: REPORT

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CENTRAL INTELLIGENCE AGENCY
8 U 8 O. eeca. 7~i aad~794~the~transmieelon orT revelation M which is fanY dm~aer to sn unsuthorlaed person ~P ~bited by l~we
DATE OF
INFO.
PL~-CE &
DATE ACQ.
REPORT
litical and Economic DATE DISTR.
NO. PAGES 1
REFERENCES RD
~ JAN 1959
SOURCE EVALUATIONS ARE DEFINITIVE. APPRAISAL OF CONTENT IS TENTATIVE.
STATE ARhfY X NAVY Art ~
(No/e: Washington distribution indicated by "X": i?isW distribution by "#??~
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A.~~, Political-Economic -
' Situation,: x Be~Iia
1. At 1900 on 10 November 195$. the press department
of the Prime Minister had invited a number of
editors and correspondents to Whom Albert Nordsa
read Bhrushche~''a speech verbatim aad_ezeerpts from
Gomulka's speech in Moscow. Those present were
surprised to the point of speeahlesaness. Questions.
which finally cam? up only reluctantly, concerned
exclusively possible results of the speech:
2. Summarizing, Albert Norden said that Khruehchev's
speech was a "statement of utlaoat importance" which;
however; aas far trom,being an announcement of
facts. Ae addsd that ~rushchev, "in a refreshingly
bloat frankness".had done away kith the "fog of
diplomatic talks" and journalistic phantasms by
stating that
a. the GDR was not aa.ob3ect of barter but an
integrant part of the camp of peace-lovii}g
nations;
b. the agreement on Berlin's Four-porre'r status ass
not meant to last for aver but, meanwhile, had
become sv questionable. a paper that,~.~ the near
future; it ~rould be declared non-existent on
the side of"the USSR;
c. this statement would be Wade neither today ,nor
tomorrow . but the ~Iestern Po~~ers would be
clever to give serious thought to a "new status"
of -Berlin; ~ ~...
d. neither the IISSR nor~ths GDR ware thinking of a
forced.solutioa but, should the tdestsrn Powers
answer with force "peaceful measures" by the
GDR, this would mean the casus belli, since
every act of violence against the GDR must be
interpreted as aggression directed against the
Warsaw Pact, with all its consequences;
?. measures which would result in a 100 peraeat
blockade of ;lest Berlin could be expected on
the-side of the GDR regardless of the further
de~elopmeat of the inevitable cohflict between
the GDR and the Western Powers;
f. the USSR, in any case, expected Khrushahev's
speech to result in an excbange of opinion and,
finally, summit meetings.
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Xorden added that .technical preparations for a
cloaing?off of ~~est Berlin had been under way for
a prolonged period and pertinent measures could
be put,into effect "oust night".
Subsequentlyt Norden mentioned possibilitisa
and/or commented on the possible further development
as follows:
a. Transfer to the GDR of all sovereign rights
and rllthdranal from ,seat Berlin of Sori.et
occupation forces.
b. Joint declaration of the OSSR and GDR, that the
legal situation of 47est Berlin had become so
confused that negotiations. with the aim' of nec~
agreements with the GDR had become necessary.
c. It is up to the discretion of the GDR to which
~~extent and when Allied or,Z7.ost-Berlin. privileges
arising from the Four-poorer status will be
annulled. ,
ae A possible ettrort of the German Federal~_Republic
to make the Soviet declaration an occasion far
the integration of ::eat Berlin into the Federiil
Republic could represent an aggressive act
against the GDR~with alI its consequences.
e. The GDR does not necessarily want to annex
:-7eat Berlin, although' upon abrogation of previous
agreements. this would be erithin the realm~oi
possibility.
f. It appears more appropriate to create a new,
more realistic special statue for 'Asst Berlin
tlhich would have to be guaranteed by tY~e GDR as
well as :lest Germany.
. At last, Norden wed the press to hold off with
regard to the discu$aion of possibilities,. $e said
"let the big stoae~firat make-its waves"
~~Comment. Norden's~statemente clearly retleot
Moscow's and Pankow's desire to force direct talks
between Pankow on the one-side and the Nesters
Powers and Bonn on the other-aids. ?ioscow'e initiative
moat, however, also be seen in atill_aaotber
oonaection.
Sinoe about September 1958, available reports tended.
' to indicate that Peking is making efforts to convince
tiosaow of the favorable possibilities which crould
lie in an aggravation of existing tensions and the
crQation of nett conflicts on the entire front from
the Far East over Near and Biddle East as far as
Europe, is order to split'up political as.vell as
military defense forces of the tJest.
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-3?
Peking's and Moscocv?s common interest in such a
procedure ~ is obvious for Moscow, ~it eoould mesa
the auditonal advantage of avoiding too one-Bided
a commitment is the Far east.
~lith regard to .Berlin, it can be assumed that all
priparationa for a possible new blockade of tTest
Berlin have advanced to such a dint that it might
be started agytime. a
.scheduled beginning sot afar than mid-959?
a military
cos eseace a age y een he d under direction
?oi Marshal drechko in Soeni~sberg in late September.
Tie conference; which had been attended by Stoph
and high-ranking NVA ottiaers, had dealt with-
nertiaeat.militar~r auestioas.
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B. Armed Forces
I. USSR and "United" Forces~(+arsag~ Pa~cti:
In :1ov 1958, Gen Georgi Ivanovich Khetagurov,
Fiero of the UaSR, c~as confirmed as Commander
Northern Group of~Soviet Forces in Poland (press).
Comment. Khetagurov was mentioned in the
folloc~ing positions: Mar 1943, F1a~ Gen and Chief-
of-Staff Third Gds Army; Jan 1944, Chief-of-Staff
first Gda Army; Aug_1944, Commander 82nd Gds Rifle
Div; flay 1945, suvorov Order First Class; Jul 1945,
promoted to the rank of Lt Gen; Apr 1948-~tov 1949,
allegedly Commander XXIX Gds Mtz Rifle Corps in
Nau~burg; Mar 1958, as Gen of the Arty elected into
the "National Council" in a ailitary election
district; Jul 1958, for .the first time mentioned
as Commander Northern Group of Soviet Forces.
The appointment of Gen Fiodor Lisitsin to the
position of Commander Northern Group of Forces
(May 1958) has thus not been confirmed
It is possible that this
a een a emporary a~si~;nnent only.
IX. GDR
......
Recruitingand Replacement-Administration
The individual Kreis Kgmmandos a~'e in charge of
induction and shipment to post of training units
of reservists. Upon completion of reservist training
courses, the reservists are again subordinated to
the Kreis Kommandos, either .as Reserve I or II,
according to age group
III. Czechoslovakia
Recruiting and Replacement Administration
According to official notification of the tTinistry
of National Defense (tdNO) of 8 Aug 1958, all 1958-
inductees excluding those crho had been granted a
deferment had to report for military service bet~'reen
28 and 30 Oct .{Czech Gazette, 8 Aug 1958)?
Comment. According to bar 11 (1) of the
amending lati7 of 16 Apr 1958 to the Czech Compulsory
Service Law of 23 2-iar 1949, the obligation to register
for the draft starts on 1 January of the year in
v~iiich the prospective draftees will complete their
18th year. According to par 33 (1), draftees who have
not been granted ~ deferment Will be inducted during
the year of their registration or in the follov~ing
year; dates of beginning of service will be annually
published in the MNO gazette (Par 33 (2)).
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IV, Bulgaria
Recruiting and Replacement Administration
..~_
By order No 312, dated Sep. 1958.. of the Idinister of
Defense, all sergeaats and EM of the Armed Forces
crho have completed their term of servi.ca will bs
discharged and turned over to the. reserve. It is.
simultaneously, ordered that all members of the nevi
age class subject to military service be drafted
except for those rho are 7:egally entitled to a
deferment (Bulgariaa Press).
Comment. Army geraonnel to be discharged are
believed to b le ong t0 the 1937.-age .class, r~hile
members of the 1939-age class and deferred members
of the 1938-ale class are due for induction ~
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1. Order of.Battle (Hungary)
a. On 2$ October 1958, the follocritg was
observed:
Gyoer and Dorag (10 km S of Eszter~om):
Soviet motor vehicle traffic and Soviet
soldiers;
Piliscsaba (20 km SSE of Esztergom);
Soviet occupation of both barracks o~z the
eastern exit of the toti~n, of the so-c~.lled
Northern Camp (I3eri-Balogh-Kaserne) and. of
the so-called Southern Camp (Perc:zel-t~or-
Kaserne). Shatts crere shipped to the Southern
Camp and unloaded there; intensive activit3.es
and hammering indicated a further extension
of the Camp.
Budapest:
Sov?.et occupation of the Nagy-Antal-Kaserae.
b. According to various information it appears
possible that
(1) the new quartering area of the 2nd Gds
24ecz Div includes the area E of Budapest
as far as Lhe Jaszbereny-Hatvan lice;
(2) during Sep sad Oct, the 35th Gda 2?tecz
Div extended its quartering area
northcrard 3a the Kecakemet area; the Div
Hq may have been transferred to Kecskemet.
(3) .the u/i Div S of Lake Balaton extended its
,quartering area on the eastern bank of the
.Danube River in the Kalocsa-Kiskoeroes
area, vrhich, so far, had been occupied by
the 35th Gds t?Zecz Div:
Other information indicates that an exercise
was held in the area of the tad Gds Mecz Div
between 8 and" 10 Oct.
meantime
The remaining headquarter unity (?) of the
u/i Tank Div,vrhich had returned to the USSR
in July, had last been confirmed in Komarom
on $ Sep,; they may have been withdrawn in the
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Comment. Observations made in Gyoer,
orog and Piliscsaba confiayn the reoccupation
of this area by elms/2nd Gds :?iecz Div. In
Apr, "the Southern Camp in Piliscsaba had
still been occupied by Hungarian troops,
:chile the occupation of the Northern Camp by
Soviet troops has already been reported since
1957.
The inforMation on the change of the
quartering ~ areas of the 3rj th Gds I~iecz Div and
the-u/i Div
2. irainin ,. (~.._GDR
'Until ant: during the first meek of November,
training was confined to the barracks area at
most of the posts; advanced creapons training of
the. trained personnel anu sub-leaders teas
continued in addition to nasic traiain~ of nerdy
arrived recruits. Several filing details of arty
and tank units transferred to training grounds'
for short-term practices. On 7 Novo celebrations
~rere held at the posts on occasion of .the 41st
anniversary of the October Revolution.
The following was observed:
22 Oct, firing details/9th Gds Tank, Div.
.returned to Neustrelitz from 1'littatock
training grounds
29 Oct, arty unit?/12th Gds Tan$ Div from
Neurunpin transferred for firing
practices, possibly to Altengrabor~
31 Oct, elms presumably Tank Tng Bn/8th Gds Mecz
Div returned to Leipzig from firing
practices held at a traiaing,grouad~
1_Nov, arty units/6th Gds P4ecz Div from
Frankfurt/Oder transferred to a
training grounds
Comment. Activities of Soviet units in
e GDR at h end s~f the 1958 training year are
normal.
II. P1GDR-r
..r,~
1. Order of Battle
a. On 24 and 25 Oct, elms/16th Arty Regt
transferred by rail from Prora to Ragte~k
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.,3 ..
Arty Regt tb 24tz Rifle~~i~ly which had-
repeatedly been announced can ba rer*grd~a
~Qlt~r r~id~1958, .the. 2Zad Tank Re$$~~/94h Tank
~
Div and
the. mta rifle iegimeats/Sth t4tz
Rifle D~.R were`eghipped with up to 6 SU-57/2s
LCornmg .: After the AAA Regt/Tank Div
.had previously bQen e,quippsd with then
~~weapons' 'up as tfie reauirefl stren~th~
lead some
so~p'~7 .eve - een.. setve : wst~~ AAAP.egt/
idtz Rifia'.Dv, the .tank and mt~ rifle:
regiments h~ave~ been- recetv~n~ SH-g712s a1,`nce
mid-X958:.. At'.about `the `same tied 'it~ becarieb
-known aith sums/4th and 8th 24th RitYe Div
that, is the. fntu~re, these ~ two divisions grill
get, priority-suppl~.es ~ of wea~ions, ~ due. to
their etatiaun~ is the vicinity of the
border.
Traini~
a. In the. morning of 23 ,.Oct, trro columns,
' presumably belonL*ing to the train of maneuver
waits, rested in Dresden along the
Koeni~sb~uecker road-under rrar-like conditions.
,One column, th4 vehicles ot~which wens marked
' crith g sanil red.aross, included about? 10
b. Ia the afternoon of 24 Oct, tank asaembiies
and about 50 camouflaged and parked trucks
,were observed in the ~7oods oa.both sides of
of_coaverted boxcars
c.~ During the night of 24/25 Oct, tank units
passed- trough to~xns :~ ~ of S rembe n a
southwestern direction
d. In the afternoon of 27 Oct, shipment, which-
left Grimma railroad station in the direction
of Leipzig, included numerous trucks, several
~76-mm guns and 3?-mm AA guns. and an u/i number
the Spremberg~Harnischadorf road
in T~Iuehlhausen returned from the maneuver
e. Oa 28 Oct, the;NVA quarters in Zittau rlere
almost-occupied to capacity; hortly before,
persona aded at the railroad
station
i. In the afternoon o! 28 Oct, the units stationed
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om_?_ment. The above information is ua>
doubts y still connected crith the exercise
held is the P?iuehlber~/Elbe - Rie
sa/N area
the ?th Tank Div participated
with all troop units as the strongest. unit.
According to other information, the enemy
aas, among other units., re7resented by the
4t:~ and' 11th ~24tz Rifle Div at an u/i. level.
The fact that units/Z2nd l~itz Ritls Regt returned
to Muehlhausea on 28 Oct and that shipments
went is the direction of Leipzig on 2? Oct
confir~aa the participation is the exercise
o! units/4th and 11th 2~tz Rifle Div.
The Elbe River crossi of the th T
a ?
According to other intormationi tanks ait~
snorkels crossed the river ender aster.. A
similar exercise could be observed during an
unconfirmed training demonstration in the
area Ot the Ht~t Mt2 Ri41e I}iv hwtelrsan JA nrri
31. oct
(~en,.~era1
rt aas reported from Oranienburg post that the
fall discharges sill not bQ held until 16 IJov
because of~the elections for the People's Chamber
omment. The date which falls a little
later than in 195? uas presumably not chpsen for
security reasons but to avoid coincidence between
discharges from .the Army and the elections for
the People's Chamber.
.III. Czechoslovakia
Tra~g
From Apr to Sep, the tank unit from Saaz (Zatec) was
stationed at Duppau training grounds.?
In Oct; the barracks E of Saaz aas occupied by tank
?units at an a:sproximate strength of 1,000 men,
nearing red-bordere3 black epaulets and tank in a;
2 T-$4s and about 30 trucks sere observed
Comment. The 21st Tank Regt/5th Mecz Div is
a a oned.in aaz. The tanks observed confirm the
assumption that the regiment is being equipped aSth
T-54s. First indication on a transfer of the tank
.regiment to a training grounds.
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D. Air Force
~...~.rlr~..~+..
I. DSSR
1. Order of Battle
a. Bomber Regiment Finow
On'26 October 1958, 20 to 25 IL?28s were
observed at the edge of FiaoN airfield,
while 8 Z~Ii?1s and 4 Yak-12s sere counted
at the southern edge of the airfield.
Between 2$ and 31 October 1958, no air
activity was conducted by IL-28s, chile
Mi?1s and Yak?12s conducted air activity
oa?28 October 1958
Commence Finow airfield is still
occupied by Bomber Regiment?Finocr and
courier uaf.t/Twentieth Army.
b. Fighter Relent Jueterboa_/Target
Representation Group Soh
On 24 October 1958., Jueterbog airfield was
occupied as follows:
(1) 3g 2?iiG-17s, r~ith their noses pointing
in the direction of the ruac~ayr parked
in frost of hangars 4 through 7; at the
top, the nose