INDICATIONS OF DOMESTIC VULNERABILITIES

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CIA-RDP80-00809A000500730244-7
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November 11, 1998
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REPORT
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Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CLASSIFICATION CONFIDENTIAL CONFIDENTIAL CENTRAL INTELLIGENCE AGENCY INFORMATION REPORT COUNTRY SOVIET SATELLITES SUBJECT INDICATIONS OF DOMESTIC VULNERABILITIES PLACE ACQUIRED DATE ACQUIRED THIS DOCUMENT CUM TAWS INPONIIATIOM AFFECTING rM[ NATIONAL DEFENSE OF TAD UMITCD STATES 1YITNIM 111[ MEANING OF INN ESPIOMADI OCT 50 U. S. C. 31 AND 11. AS AM CN0c0. ITS TMAMSNISSION ON 1119 REVELATION OF ITS CO MTIMIS IN ANT MANNER TO AN UIIAUTIIOAIIID PERSON IS PMO- MIDITID IT LAT.. NIPMODUCTION Or THIS FORM IS PRONIMITI D. DATE DISTR. 2LfOCTOBER 1951 NO. OF ENCLS. (LISTED BELOW) SUPPLEMENT TO REPORT NO. (Covering Broadcasts Monitored Between 21 August and 16 September) RETURN TO RECORDS CENTER IMMEDIATELY AFTER USE JOBS 3?''' BOX 95' Poland . . . . . . . . . . . . . . . . . . . . . . p. 2 Czechoslovakia . . . . . . . . . . . . . . . . . . p.11 Hungary . . . . . . . . I. . . . . . . . . . . . . P . 21 SUMMARY: There were admissions of economic dislocations of varying intensity from all threeof the satellite countries covered in this report. In Poland, the difficulty was a serious meat shortage caused, it was claimed, by Anglo-American war propaganda which had influenced peasants to begin a mass slaughter of live-stock during the summer. In Czechoslovakia, the difficulties were on both the industrial and agricultural front, and a radical shakeup of the Party and Governmental machinery was the result. In Hungry, there was "deliberate sabotage" of agricultural deliveries and it was evident that some sectors of heavy industry--'Ind mining--were behind plan. The Polish radio was concerned to keep alive "an atmosphere of hatred" against the speculators and profiteers !allegedly responsible for the country's acute meat shortage. But an exceptional harvest was claimed and a vigorous campaign urged peasants to breed and deliver pigs to the State. There were further references to the Gomulka 'IdevIption" but no hint as to the fate of this formerly prominent Party official. The anniversary of the ]iberation of Warsaw1brought pro-Soviet propaganda and diatribes against the leaders of the Home Army responsible for the premature revolt in the capital. Industrial news dealt largely with expansion of strategic plants, chiefly in the Testern'Serritories. A drive to recruit miners indicated that the coal supply is fall- ing behind demand. SchoollIpening ceremonies featured the customary bows to Soviet pedagogy. *This is one of a series of periodic reports of domestic difficulties within countries in the Soviet orbit. Other reports in the series describe difficulties within theIVISSR. CLASSIIFICATION CONFIDENTIAL CONME. IAL STATE >( NAVY JNSRB DISTRIBUTION ARMY AIR FBI __J Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL DONFIDENTI7 The most arresting development from Czechoslovakia was the announcement of a thorough shakeup in the Communist Party and the Government. A regular Politburo was established in the Party and a number of significant changes in the membership of the political hierarchy were announced.. It was evident front the volume of Prague's exhortations and admonitions that there were difficulties ii,' persuading the peasantry to deliver as much grain and other agricultural produce as planned. On the industrial front there were continuing troubles with the manpower situatior.. Another move to raise production--the upward revision of labor norms--appeared to proceed. The importance of proper political training of the Army was emphasized and Minister of D,-?fense Cepicka admitted that the situation in the Army had "at times threotened to ;et out. of hand" fter the discovery of the Sling - Svermova-Clementds conspiracy. The Hurtga: !an radio admitted a number of shortcomings in heavy industry and minin;?, and severe measures were taken to tighten ind strial discipline. A go-d harvest was claimed but "deliberate sabotage' was said to be slowing up deliveries in some quarters. It was evident that over-officiousness on the part of local authorities was responsible for some of thee Trouble. POLAND Party Affairs, deology and internal Propaganda: Major propaganda task undertaken by the Polish radio during the period under review was the whipping up of hatred against kulaks, speculators and illegal slaughterers allegedly responsible for the acute meat shortage now plaguing the country. Advantage was also taken of the situation to encourage hostility toward the Anglo-Americans whose war propaganda was said to have inspired the mass killing of farm animals. Great publicity was given to the Govern- ment's ruthless steps to stem the illegal meat trade and the public was constantly reassured that the shortage was only temporary. Another propaganda device was the emphasis placed. again and again on the unsanitary conditions in the illegal slaughter houses, and broadcasts cited a number of cases of poisoning from tainted meat. The line for this propaganda campaign was set on 23 August by Warsaw commentator Kaden, who urged the creation of "an atmosphere of hatred" against the illegal slaughterers. But it was not until a week later that the Warsaw propagandists really widened the front: by claiming that the meat shortage was due to "the lies broadcast by the Anglo-Saxon radio whose rumors of immnent war had induced Polish farmers to kill their sows last summer? This, said an -nonymous speaker on 30 August, was a lesson to those who thought the warnings against rumors were exaggerated. Even now, he said, rumors were being spread by hostile gents in meat queues and elsewhere and they must be silenced. The class warfare program was expanded through the emphasis placed on the fact that the majority of captured speculators were large land holders, former capitalists and the like. !A Warsaw broadcast of 2 September, for example, said that the campaign against profiteers had exposed the class enem who was trying to disorganize markets and injure the working class. There was little reference to the Tatar trial of former Army officers, heavily stressed earlier in August, until 3 September, when a TRYBUNA LUDU editorial noted the third anniversary of Bierut's exposure ofl the "right wing and nationalist deviation" of the Gomulka group. Gomulka, said the editorial, had tried to impose on the party a line hostile to Leninism, that is, abandonment of a militant class approach to internal and international affairs, and his policy was a combination of right wing opportunism and bourgeois nationalism and hostility to the USSR. The Tatar case proved that the nationalist deviatlion had undermined national independence by giving foreign spies and diversionists access to responsible posts in administration ENTIAL CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 25X1 r ?:. 7 17,7 T. off IIENT1 AL - 3 - The Talnr 6,-fer.lants mere :'.mon: other thin ::. tire-maturely ordered ,?h an uprisi rP to free Warsaw c the Germans n ?',, ch tlnn..^'i!',c's of patriots Here killed. Much use mn !e of this theme in propaganda drnli n nnniver^ary of the 1. l.i:ra' `1- Warsaw 'li `:tri ^ f '`O Pi-,!Ys. At the dads n ',i, r, -~f a plaque unveiled on 1::y r i o 'luszkowsk"se., where '.he 'c' Polish infantry riv'ision ;':j`-ported by Scv'r?+ f---aft nrci artillery landed seven years T,rc>_i. ugly. the secretary If the iii nrs'w nom'-'y rnT!r'!!i+.tee. Morski, o er:-ed that "the leaders or the Home army idly watche0 rlnod; battle fought by trooi s entrenched on the "-parpie. The Home Army lender would not. plan loin' action a^eir_st the Ne'{s .... The t.rcMors of the Lonreon t'nje Well. Street brand p-ferred to surrender P!?rsaw and the detachments i:nder th^i- -send rather than help the S--.!let Army and the Polish people to triumph r nOci.:gym." (Warsaw, 15 ^epterber.) A TRYPP!' A '. "M' editorial quoted the same day said that t.hn ? c t,os~,ynski and Tatar trials ci'-nrly exposed the aims of t}'e people who started the Warsaw rising and thus condemrcc? the ^it.y to destruction. The Polish people, the editorial said, rejected with di~^ e anr hatred the trei+.ors, a-ents of Anglo-?n:erican imperialism, who had collabora+od with the Nazis, invited the destruction of the e`ty and caused the deaths of h'ndrrds of innocent beings. The anno,,n^?-went of an official decree confirming owner4bip of land in the ?.' astern territories yens also publicized. A TRYBUINA LUDU editorial. broadcast 13 September. affir'ted t.;ni? the regained territnvies, acquired with the blo:.d of Soviet and Palish soldier7 and rehabilitated by a colossal national effort, were the pride of^cilnnd's sociaiirl drive. The majestic economic achievements there, said the paper, were consoli-iatin1, F?,>ace on the Odra-Nysa line, which has become the "frontier o peace ." Th e paper mentioned as ex=unples of these economic achievements the great Kendzierzyn, the power station at Dycho,s?, the synthetic yarn factory at r;cr cw', the sulfuric acid plant at Vlizow and the electrical engineerin? wcrk.a at ,q..n-n", The mu:drr e' at least eight Polish officials vas admitted, and that of Stefan star t y k es ^ heavily exploited for pro,,.aganda purposes. Martyka, one of the I first producers of the anti-imperialist "Pala 49" (wavelength 49) radio program, was reported cr. 11 September to have been "murdered by fascist bandits." The announce- ment clai.mea that "the foreign imperialists behind this crime had tried to.silence the voice of truth by murdering Martyka," and a statement by Producer JerzyWasowski. a "non-party man," broadcast the same day asserted that the enemy had miscalculated if he hoped to frighten the broadcasting staff. A curious propaganda tactic concerning the murder was used the following day when a broadcast stressed that the assassins had succeeded "because in the last six years we have become used to living in a climate of law, security and peace." There is no need, the broadcast said, "for anyone to distrust a passer-by in the street or the man who rings the bell or who works in the office next door."I The hand which murdered Martyka, the broadcast added, is "murdering Korean children and rearming the Wehrmacht." Martyka's funeral was held 13 September and was attended by Deputy Minister Sikorski and by Polish radio representative Ziebicki, who spoke. The Knights Cross of Polonia Restituta, which decorated his coffin, was given to his widow, the actress 2ofia Lindorf. On the day of Martyka's internment, Warsaw radio announced that two terrorists, described as "fascist bandits," had been executed for murdering seven party officials and members of the armed forces. The names were not clearly heard and it was not stated that there was any link between them and the Martyka murderers. They had. been sentenced by the Regional Military Court at Cracow and their appeal to Bierut for clemency had been rejected. The next day it was reported that the Warsaw Regional Military Tribunal had sentenced to death three more "fascist criminals," members of terrorist bands operating in Warsaw Province. The President refused clemency. CONFIDENTIAL CON IPE V3 l ~?~ Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 25X1 CONFIDENTIAL CONFIDENTIAL Other propaganda points of interest included: A speech by Vice Premier C ,elchcnvski at the opening of the Grudziadz bridge warning workers that "it is our task to protect industrial objects from the enemy" especially ac "the American imperialists are trying through their agents and traitors to hamper the tempo of our work," and; The fact that at the harvest festival at Poznan, attended by President Bierut, Premier Cyr arkiewicz and Marshal R okosscwski, the crowd sang the Polish Socialist Workers Revolutionary Song (n ^'.esc Warn Panowie Magnaci), not heard from the Polish radio since the merger of the Socialist and Communist Parties. Government and Civil Affairs: A new development Jr the Polish Government during the period under review was the setting up of Commissions for Combatting vrofiteering and Trade Abuses at District, Municipal and Parish National Councils. Ear}, such commission, set up to combat the tv-,,te meat shortage Includes a member of the Pr-sidium of the National Cour_:ii concerned, a representative of the Public Prosecutor's Office, employees of the State Trade InsrA'torate and representatives of sociel organizations, the last to be appointed by the Presidium of the National Council. The Public Prosecutor's Office' is charged wit,n coordinating all measures, in particular with the Citizens' Militia and the State Trade Inspectorate. The Commissions are given extraordinary powers of search and seizure. (Warsaw. 24 Au,'ust) Industry! Broadcasts continued to report progress in the d,ivelopment of heavy industrial constructions, mostly in the Regrained Territories and mostly of prime strategic importance. There were no monitored references to industrial shortcomings. Agriculture! Despite the admittedly grave meat situation, the Polish radio claimed great agricultural successes and record grain deliveries. The Government's campaign for the signing of pig delivery contracts in the coming year, an offshoot of the campaign against illegal meat sales. was heavily emphasized. While the advantages or coopernf.iv= farming were publicized, there appeared to be no undue pressure for collectiviza-'ion. The Government took steps to regularize the holding of land in the western territories, confirming titles up to a certain acreage and permitti.n;: inheritance of such land. "The tempo of the planned grain purchase is increasing daily. Not gust hundreds hilt thousands of tons of grain are being supplied by peasants to the cooperative Fur^hasing centers." Thus Warsaw radio on 22 August set the tone for its subsequent harvest propaganda. The same day PAP reported that the State Farms were making goc.d progress in sheep breeding, Flocks had increased 60 percent in a year and were nearly two and a half times as large as in 1949. Sixty percent more wool would be produced than in 1949. Harvest festivals were held throughout Pcland on 26 August and the radio reported that everywhere the peasants promised to implement the -rain purchase plan. as well as the pig contract plans and to perform autumn sowing better than in the past. There was considerable stress in harvest festival propaganda on the close links between the peasantry and the Army, representatives of which were conspicuous at many festivals. Rokossowski himself emphasized this point at the Poznan festival on 9 September. The campaign for the bulk purchase of potatoes through cooperatives be,-en 10 September. Warsaw announced that peasants will get 1.8.75 zlotys per hundredweight for freely marketable potatoes in all provinces except Katowice, Opole, Wroclaw and Cracow, where the price will be 20.25 zlotys. For potatoes delivered under contract between 10-20 September growers will get a 15 percent premium; 10 percent between 21 September and 10 October; and 5 percent between 11-22 October. CONFIOENTI,4I. Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 25X1 CONE INNT1Al CONFIDENTIAL Simultaneously with the campaign against ill.e=*al meat slaughterintg, the Go?,ernment pressed a drive for the signing cf pi,, lelivery contract.: in the next 12 months. Contracts will be placed between 1 September 1951 and 1 feptember 1.952 for 5,100,000 porkers and for 6,100,000 bacon pies. Contracts will be made with all individual areeders, without exception. Had irrespecti'v'e of the size of farms, and with producers cooperatives. A Council of M nisters decree broadcast 22 August stressed that purchase ,,as guaranteed at fixed and prof table prices, 5 percent above those for non-contract pigs. Regis-,.rants will be eli?ible for coal and skimmed milk, free purchase Moans and relief from the land tax, Speaking on August, ;arkowski said that the ,-:overnment was planning to purchase 6,800,000 pigs in 1952 and he annocnr_ed tliat the signing of contracts was to begin 3 September ?-fe said that the terns were particularly advantageous this year and that peasants on si;,*rung could cla-tm a case advance for which 21,250,000.000 zlotys had been _- aside by th Signatories were eligible for interest-free loans, ^ut in ti,E.iT -rain delivery quotas, reductions in the land tax, coal grants and cheap < r inory ce ^vlx: e ? said that every sensible peasant would sign the contracts .rrth n the nex~~'few days, since a simple calculation would make breeders "turn their backs o' specul -tors and on those who spread stupid rumors in our villages." On 4 ?c?_ - W announced that tho',sand:- of peasants in all parts of the country were sibnin`; :,antract,s and That noony had decided to breed and deliver more P=gs in. 11*:'? *1p.n ever before? Further pro;,ress was reported on 6 September, when i t Has that innoculat i or.s against swine fever were due soon. The price for con., *cci ~^'mal would bc. ', .50 zlotys as compared "i.th O?00 zlotys for non- contract pigs, No specific figures on the numbers of those signing contracts were en ry i September, however. It ac arr.o,n ed on 5 September tnat 1,000,000 peasants had signed sugar beet delivery con :_ae'; t?hic }ear. :gagers have already recei':ed 40 percent more sugar in return for their . _np than last year. The Minis.*e- ofAg-*riculture on 1 1'eptenber asked peasants to begin preparing- soil ..oz the -nd to use only hggrnde seeds, These could be obtained on favorable terms from .3*.ate, farms, cooperatives and seed centers at. a rate of 110 kilograms of veragc seed for 100 kilograms of high grade seed. High grade seeds, he said, were also availarlP for peasants whose crops had been destroyed by natural causes. Another brt -ad -tart t i h e s a m e day said that cooperative machine centers would help small. and rnedn,mm '~olde: s iy the fall sowing and that same 38, 600 machines would be used on ^16',00'; ne:,tares, A TR,1TS'R-r. TIT,!' editorial, mazlting the 3e1?enth anniversary of the land reform, asserted that the wcrt;ing peasant is highly patriotic and understands his duty to the State. The peasarts, said the editorial, profoundly hate the imperialists who are striving for war and the!Irevival of capitalist privilege. Increased productivity and the develop?rent of producer cooperatives, be editorial concluded, point the way to general prosperity. President ,emphasized in a Harvest Festival speech at Poznan on 9 September that. "the de""elopment of a-ricultural cooperatives, cf collective work in farming, is a for the conscious and voluntary decision of peasants. Only by enlighten- ment and by steady persuasion, supported by ex"rnples illustrating the advantages of collective farming, can results be obtained.' The State, he said, had a high respect for every hard-working peasant, whether private or a collective member, but State a=d for modernization and mechanization is possible only through produc?? tion coope,ntiveis. He said that the demand for agricultural produce was expanding faster than production and that, although Poland now !.as nine million pigs as compared with tour million in 1929, there were "tempor!:ry difficulties" in the supply of meat because the population, although smaller than in prewar years, is consuming more. CONFIPE T!O:- Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 0NEIBENT!AI Warsaw rad a broadcast on 11 September the text of a decree regularizing the property rights of settlers in the 11/estern Territories. It confirms full-rights of ownership on se.t1e7c who possessed farms but had not yet got leg 1 ownership. The new rights guaranteed ownership, however, of no more than 15 hectares of land--20 for cattle breeders--ard such buildings and equipment as were necessary. In special cases, the Ministry of Agriculture could increase the size of the holding. The District Land Commissiorers will issue deeds of property which will constitute proc'f of ownership. The followinT day, a Warsaw commentary said that 500,000 peasants had received 3,-00,000 hectares in the Western Territories, adding that the land ownership decree had removed "some doubts and irregularities concerning property deeds." The talk pointed out that Article 7, whirr, lays down that once a deed is issued the . bounda: i-s of '.he? Carm could not be altered, makes it quite clear that the new property,' ri;aits are complete and inviolable. The Lecreel also provides that the fare s, b~."!,i_ ng;s and ^hat,tels .can be bequeathed withir the owners family). The decree r:-,!id'-r t; penalty of three years' imprisonment for those who seek to obstruct Mir_ir, g, ',rn limber-. An indication that Polish coal supplies are falling behind demand ,has ic~,n by a PAP campaign to entice recruits into the mining industry by descril,ing trderground work as a pleasant and lucrative occupation. An item on 2ci Aug,si. pointed out that the Mine.rs" Charter provides (special privileges for miners, 2,1 said that, "hundre^:s of new flats are bei 3 built and old ones being recondi'_r:e ' for miners. Production is being steadily) mechanized "at great expense" and thl. -'!- ?)r miners is becoming "easier and pleasanter." On the following; r.ay, PAP raper, tad tns1. a "vigoro?.is _ampaign for recruitment of fresh labor for the mines is be-in ? vageti b?,' Provincial and Dir rict National Councils, The item stressed -,,he "excelienr wowing conditions, good wages and extensive social and health facilities" available t.o miners. PAP said that starting wages are 500 zlotys and that a beginner, after three months, could be employed as a loader on piece rates, earning up to 720 zlotys. Another PAP item described the holiday scheme for miners' families, that 46,000 benefitted from it last year. it Power and Transportation: Early warning was given to railroadmen to get prepared for heavy frTti when large cargoes of grain, beet and foodstuffs must be carried to the tors. Leon Gehorsam, Director General in the Ministry of Railways, said on 24 August 7_h:> the number of cars to be moved in October I end November would be 20 percent a?.,ove the average figure for the rest of the year; 13.3 percent more than t ,e same period last year. He said that all preparations had been made by the Ministry but that these ao_'ld be useless without the cooperation of institutions and enter- prises. The f,a:ilure to report carriage plans well ahead lof tin, made it impossible for the -csilroads to put the available rolling stock to the best use. Only if tote strictest transportation discipline were shown and a great organizing effort made, could the a_:_ttia?2n transportation plan be successfully implemented. nn 3 September the Cer_-tsal hoard of the Railroad Workers Union met to discups the increased traffic for the i?all. To meet the planned increase of 17 percent, the unioni.stsidecided to make use of all. reserves and to carry out minor repairs on cars without withdraw'n` them from circulation. On 26 P.-must, a now road and rail bridge over the Vistula at Grudziadz wals opened, tao months ahead of schedule. The bridge shortens the rail distance between Grudziadz rind Dydgoszcz by two hours, and it links the Swiecie and Tuchola districts with Grudziadz rind the right bank of the river. Several steps were taken to improve the output of electrical power. W.rsiaw broadcast on 25 f,tv'ust that a vast darn on the Vistula and a water works at Goczalkowice are under construe ti nr . The new waterworks will supply twice the quantities now consumed by the entire Silesian area. Another huge water works is under construction near Ncwa Gora, arcording to the same broadcast. Three days later it was announced that "a modern giant, power station which will satisfy the growing electrical demands of Silesian industry" is rapidly being; built at Miechowice, Katowice Province. 00N F ENTIM. I Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL !S Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL CONFIDENTIAL A broadcast on 29 August stated that by mid-1952 all electrical suburban trains in the Warsaw area are to be equipped with heating. Two model trolleybuses of a series ordered from E.is-t Germany are to arrive soon. Each will carry 60 passengers. (Warsaw, 11 September) Education, ultureYouth and Sport: Major development under this heading was the school openin? ceremonies observed at the end of August. School slogans for the coming year, according to Warsaw radio, were as follows: "The struggle for better results in learning and education is our contribution to the fight for peacF and the Six-Year Plan." "We welcome to our schools the children born in the people's Poland." "Not one child outside the school." A broadcast on 25 August said that there would be no difficulties abcut textbooks this year: 23 million copies are available., Earlier it was announced that during the 1951-52 academic year special departments for two year preparatory studies will be organized at 12 schools of university standing to enable young workers and peasants without secondary education to study at the universities. (21 August) Nine modern well-equipped schools were to be opened in Warsaw on 1 September, according to n broadcast of 29 August. These will accommodate 3,360 pupils "per shift." Seven new nursery schools, accommodating: 1,392, are also to be opened. In Lodz, five huge new schools are nearing completion, and a new training establishment for the building industry is to be opened soon in Szczecin. Minister Jaro Sinski, according to PAP, urged teachers to improve their ideological consciousness and to avail themselves of Soviet experience. He wanted the youn generation to be brought up to understs,3 and serve socialism, and he urged the young to be on their guard against rumor-mongers. (31 August) Warsaw claimed that since the beginning of the anti-illiteracy campaign some 757,000 people had been taught to read and write. The campaign would be intensified this fall and winter. (22 August) A late- broadcast said that more than 100,000 workers and peasants would be attending adult evening classes on the elementary and secondary school level. (24 August) A decree on the reorganization of the Ministry of Culture and Art said that the new Department of Cultural Policy would, among other things, supervise theater programs. A Central Arts Board would control art galleries and exhibitions; and the Directorate General of the Polish Film Industry would be converted on 1 January to the Central Office of Cinematography. A separate department would take charge of rural libraries and houses of culture. (3 September) Speaking at the opening of the Al] Polish Snorts Festival in Warsaw, Cyrankiewicz stressed that the Gavernment and P arty are doing their best to encourage sport because it serves -o multiply the country's constructive forces and to educate the masses in the spirit of international solidarity, The aim was to produce a generation of happy, healthy and brave Poles, staunch champions of socialism and peace. H- said that the number of clubs attached to fe.ctories and other work places would exceed 3,700 by the end of the year, with a membership totalling 300,000. Polish sportsmen. he said, must fight for peace by becoming more responsible citizens, streng,thenin. the country's defenses and drawing on the experience of "the beat sportsmen of all the world--those of the USSR." (Warsaw, 9 September) Church-State Affairs: There was no broadcast reference to friction between Church and State. It was announced that Catholic priests in the Bydgoszcz Province of Warsaw have responded to an appeal issued by the Priests Committee attached to the Peace Partisans Association and are taking a prominent part in the building of Warsaw Natio::al Council for distinguished work In the peace campaign. These included Father Jan Czuj--Commander's Cross of the Order of Polonia Restituta; Father Henryk Werjnski--Officer's Cross; seven others--Gold Crosses of Merit; and 11 Silver Crosses. CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 COItFIDENT~ Army rnd Civilian Defense: Only two significant developments were noted- the celebration of Polish Air Force day on 2~ August and the issuance on Ceptember of a decree extending the rights and privileges of the members of the armed forces. An Order o' the Day, signed by Lt. Can, Wladys'law Korczyc. Chief of Staff of the Polish arsr,_n forces and Deputy Defense Minister, issued in honor n' Air F,r:e Day. Said that Polish airmen were constantly improving their flying skill and their modern aviation technique. T`,.e airmen, he said, would honor the day by "new achievements "n the consolide~,icn of conscious discipline, in military and political trainim.? and in mastering modern flying techniques." Lt. Gen, Jan Turkiel, Commander-in-Chief of the Air Force, asserted that help of the Soviet instructors. Who had introduced Polish fliers to "the principles of Stalinist war strategy, the strategy of victory," had played an importan' part in the trainini' of new cadres of officers and Instructors. He also singl0 c" t Rokcssowski for special praise, as dirt a speech by Br*,-.. Gen. Ka;fnzanow;^r, C'iief c.' Air Staff. (all Warsaw, 26 August) The following day riotous were gi"en of the models on display at the Air F rce Day show. These included Zuch-l, 7,uch-2 and Yak-18 types which performed acrobatics. They were followed by "7,ukhuruzhni1," planes towing "Kaczka" gliders, the "Junak" trainer, the "Ni.etoperzti I 'lyi.n,, win,, the Polish-made "Mis" passenger plane and by nine "near sonic'! Jet aircraft of' "various models." Five UT-2 planes gave a display of formation flying. On 5 September, Warsaw broadcast a decree extending the rights and privileges of members of the armed forces. Free medical care and mother and child welfare were' made available to soldiers and their families. The decree forbids the removal of soldiers from their homes. Where exceptional public interests require such action, alternative accommodation must be found. From 12 January, soldiers' families with farms will. enjoy special advantages in the payment of land tax and compulsory deliveries, as well as special priority in the supply of materials and financial aid for thr1 reconstruction and extension of farms. Reservists returni.nf, must ,,et their old Jobs and they can claim promotion on grounds of the greater skill, higher cualificatioos and improved political knowledge gained in the forces. Comment on the decree 1-oadcast the followir.- day stressed that it had been warmly welcomed by soldiers and civilians alike. Sovietization and Relations with Neighbors: The anniversary of the liberation of Warsaw, wcs fully exploited to impress on the Polish people the need for gratitude toward the USSR. A Belgrade broadcast in Polish marked another anniversary -the Soviet-German agreement on the partition of Poland, a subject understandably r -lected by the Polish radio. Preparations were made for the forthcoming celebration of Soviet-Polish friendship month, and one broadcast said that the central task would be "to *rform the broadest masses of our population of the importance of the peaceful policy of the Soviet Union." The celebrations will include demonstrations of the work methods of Soviet stakhanovites and collective farmers. (23 August) The Cracow Provincial Peace Couanittee, it was announced, has opened an essay contest under the title, "This is how I see Germany." The purpose, it was stated, is to deepen the Polish peoples' understanding of the profound ideological chap, es taking place in the peace-loving German Democratic Republic. (13 September) Consumer Supply, Social Services And Housings As already indicated, the major development in Poland was the admission that a serious meat shortage had been in existence for some time. Even if it had not been frankly admitted, the gravity and duration of the meat supply crisis could be inferred from the ruthless efficiency of the legal and propaganda forces mobilized to combat it. Obviously, the official machinery to meet the crisis was carefully prepared and it may be concluded there- fore that the difficulties are of longer standing than officially admitted. However, despite the heavy judicial and propaganda attack, the supply situation does not appear to have materially improved by 16 September, the end of the period covered by this report. CONFIDENTIAL gLApproved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CCIIFIDENTIAL CONFIDENTIAL First official indication of the difficulty came in a late night bulletin on 22 August which said that the authorities were taking strong measures against profiteers engaged in the illegal slaughtering of pigs and cattle. It said that a number of "economic saboteurs" had recently been sentenced by the courts, and cited three cases, where prison or labor camp sentences had been imposed. The follrrwing day Warsaw commentator Gustav Kaden admitted that for several week- the uLrb^.n population had been suffering from a serious shortage of meat due to a "tempor.iry" shortage of livestock for slaughter. He assured his listeners that the Government was taking all necessary measures and drew et.tent.ion to a decree on pig breedin. "But every sensible person realizes that a ra~ical improvement cannot take pl..ce between one day and the next. Patience must be exercised." There is no doubt, he ridded, th?t illegal slaughtering and the ille,cl trade in meat "has recently assumed serious proportions and that large quant.it,es of meat are being; diverted from the proper channels." He stressed the denser to health of buying illegal prat and cited the recent Piotrkow case where five had died of food po`'sowing. He also stressed that the illegal traffic had "a definite political aspect" sin-e it was organized by enemies of the peoples state, particularly former capitalists and exploiterc. "Anyone who listens to such blandishments acts as an enemy agent and harms t.:ns: community and the peoples state," he said. He premised that the guilty would be justly and severely punished. "An atmosphere of s,'clh hatred must be created around she 'hyenas preying on our difficulties that they not, dare show themselves ...n the t^"eete or in our homes." H'\'ing r. .is wet up an ideological strategy for the campaign, Warsaw next 'outlined the le:g7~1 measures to be employed. At 0630 on 24 August, Warsaw broadcast the text of an off'tciai decree authorizing the setting up of Commissions for Combatting Profi,,cring and Trade Abuses at National Councils at all levels. By early after- noon it vi,~s said that this action was meeting with universal acclaim from "the broadest masses." By nightfall, the conunissions had been set up and had caught, tried and sentenced a number of speculators. The 2200 Cdu1T bulletin told of two cases where labor camp sentences of one-two years had been imposed. On ?_5 August it was apparent that the judicial machinery was in full swing. The heaviest of 12 sentences announced was given to a butcher who got. six years. The broadcast stressed the unsanitary condition of his premises. Every day from then on the radio reported sentences of varying severity. A 27 August b;-oadcast said that individual racketeers as well as organized gangs were being ";yr,ematically rounded up," and that the courts and c ecial commissions were "mercilessly meting out justice." A "class warfare" case was reported on 29 August, when it was announced that the trial was to start soon of e pang of racketeers, led by "the owner of several houses in Lodz, a big estate and coal business owner." The gang, it was claimed, had bought pigs "known to be diseased or to have died of disease." On 29 August it was also announced that a conference of activists of the Warsaw National Council had decided to appoint special civic investigators, equipped with warrants to "carry out investigations, to ensure that scarce article are properly distributed, that correct prices are charged, that correct weight is given and tha* srnitary conditions in shops and feeding centers are up to standard." The following day the Government's measures were lauded by the Central Trade Union Council as "an expression of the peoples' regime's solicitude for the working messes. A similar message was sent by the Peasants Mutual Aid Union. Broadcasts heard from 31 August through 2 September told of a number of further sentences, mostly ranging from one to two years. It was said that the drive was already showing results as was demonstrated by the increased sale of cattle in the markets. On 4 September it was claimed that several organized gangs operating in the Cracow region had been discovered and liquidated. A severer than usual sentence was announced on 6 September when it was said that Jan Taran, manager of No. 17 Cooperative Food Store in Warsaw, had been given six years and three years' loss of civic rights for economic sabotage. He had sold a ton of sugar to a so-called peasant who was really a profiteer. CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL CONFIDENTIAL Despite Warsaw's warnings, cases of food poisoning continued to crop up. At Chrzanov the lives of 17 persons were saved -)nly th-rough timely medical intervention. (6 September) The campaign continued with each day bringing- new news of prosecutions and sentences and with no promises being made as to a resumption of normal meat supplies. Other consumers and associated developments included: The announcement on 26 August that from the following day the retail price of potatoes would be 60 groszy per kilogram and the price of best grade tomatoes 2.30 zlotys. The text of a government decree "regulating the principles of potato distribution this year" was broadcast 26 August. Employees of socialized undertakings are entitle(! to buy 300 kilograms on the installment plan, provided their wages do not exceed 600 zlotys per month. In Katowice and Wroclaw provinces persons not earning more than 750 zlotys per month are entitled to buy 100 kilograms for each member of their family. Employees of the coal and steel industry are given similar facilities without -the qualifying wage limit. An order by the Minister of Internal Trade introduced special privile::es for workers in "important" establishments in "certain indu.6r,al areas." (Warsaw, 30 August) The establishments are authorized to issue priority cards to staff members ent,tlinr them to purchase "a definite quantity" of meat, meat products and pork fat, in specially appointed shops. This arrangement is for September only and may be terminated earlier if the suppl; situation improves sufficiently. (It had not, been terminated at the time of the writing of this report.) There were several developments on the health front. Due to "the increased number of polio cases throughout the country this year," the Ministry of Health issued special instructions on the fight against the disease. Special hospital teams and centers are to be organized for polio "prevention and treatment." (28 August) Later it vans announced that Soviet experts on polio had arrived in Poland and it was said that the Ministry of Health had received and distributed adequate supplies of "Gibasol.," a new drug used for treating polio. (15 September) The Polish Red Cross is to tour the country with a mobile exhibition and to give talks, film shows and lantern lectures on the fight against epidemics, venereal disease and alcoholism. (27 August) Nearly 700 people attended the annual anti-TB conference held at Rokitnica Bytom. (29 August) Unions and Labor: Acting on the advice of the Central Trade Union Council, the Presidium f the Council of Ministers has set up arbitration committees in certain industrial enterprises. The object, according to a Warsaw broadcast of 15 September, is "to effect prompt and efficient settlement of possible disputes between personnel and administration in accordance with the interests of the workers and the national economy." ThL committees are of a temporary nature and will decide on such matters as the termination of employment, application of wage systems, calculations of earn- ings and deductions from wages. Members are to be appointed in equal numbers from works councils and by management. CONFIDENTIAL CONFIDENTIAL 1e,. Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL CONFIDENT - 11 - Most striking development durin,- the period under review was the announcement nn 7 September of a shakeup of the upper echelons of the Czechoslovak Communist Party, described in a subsequent RUDE PRAVO editorial as "necessary to strengthen the unity of the political and organizational leadership of the Party." The trial of a grcur of alleged German war criminals provided an opportunity for familiar propaganda about the machinations of German and Western imperialism against Czechoslovakia, and the opening of a museum devoted to the historical novelist Jirasek enabled P arty agitators to again claim that Communism is a present day manifestation of the Hus,;ite spirit, There were attacks on~Benes and Masaryk for allowing the Western Powers to dominate Czechoslovakia after World War I, and the anniversary of T. G. Mesaryk's death went unnoticed. The alleged 'ikidnappinr" of' a Czechoslovak train was exploited as en example of American hatred for Czechoslovakia. party Affairs. Ideo].o,QZand Internal Propaganda: The decision on the reor?ani-ation of the Czechoslovak Communist Party was reached at a meeting of the Central Committee on 6 September, and it was announced to the public early the following morning. An explanation of the Party's actions was given the following day in a RUDE PR.AVO editorial written by Minister of Information ICopecky. "The Central Committee in Its former composition no longer met the needs of the day and it was necessary to strengthen the unity of the political and organizational leadership of the Party," he said. The Organizational Secretariat of the Central Committee, he added, would have t)?c task of watching carefully over the life of the Party and of safeguardinf the execution of Party tasks as well as checking on its work. The Central C mmittee he continued, expectsthat "similar basic changes In the methods of Party work. especially with respect to the or^ani7ntional. policy" would be carried out by regional and district 'Party organ i.zati: ns . There was no further broadcast comment on the Party changes, and it was not apparent during the period under review that the district and regional organizations had under- taken the "similar basic' changes" in their organization mentioned by Kopecky. RUDE PRAVO took up another Party matter in an editorial broadcast 28 August, complaining that in many regions Party officialo failed to make use of meetings to enlighten the public about international and domestic topics. Ten villages in the Cesky-Brod district, the paper said, had had no public meetings at all. Such a situation, the paper added, is apt to affect adversely the close links between the party and the people. The usual amount of anti-imperialist propaganda was extracted from the trial of five high German Army and SS officers which opened in Prague on 22 August. The prosecutor's summing-up speech contained more invective against the Americans and the "treacherous Czechoslovak emigres"Ithan attacks against the defendants. The alleged "kidnapping"!of a Czechoslovak train on 11 September was also exploited for anti-American propaganda. The official line, broadcast 15 September, was that "a terrorist group, supplied with money and weapons and led by an American agent" was responsible. A considerable effort was again made by propagandists to claim that the Czechoslovak Communist Party is the legitimate inheritor of the Hussite spirit. This was me(], possible by the opening in Hvezda Castle near Prague of a museum devoted to Alois Jirasek, a non-Communist author who specialized in historical novels of the Hussite period. Premier Zapotocky said at the opening of the Jirasek Museum on 2 September: "This is the lesson we can learn from the Hussite period: Our nation can win true happiness, freedom and contentment only by ridding itself of exploiters at home, foreign invaders, ecclesiastical obscurantism and domination by a reactionary Church hierarchy." II Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 rr, - - - - Approved For Release 2008/03/03: CIA-RDP8O-00809AO00500730244-7 CONFIDENTIAL C 0 IC F I D E N T 1111 L - 12 - It was apparent, however, that Jirasek's work in its original form was not entirely suitable to the Party propagandists. It was announced on 23 August that a 32?-volume edition of Jirasek's work is in publication under the general editorship of Minister Nejedly. His task, a broadcast said, includes "restoration of the original wording of certain works the manuscripts of -hich have gone astray or have been spoiled by the adaptations of commercial editors." Prague's Evening Newsreel program on 12 September quoted from a KVETY article by Jiri Zak attacking Benes and Mararyk for permitting the Western imperialists to dominate the country after the First World War. The 14 September anniversary of T. G. Masaryk's' death in 1937 went unnoticed. Scant attention was paid to the 110th anniversary of the birth of the composer Anton Dvorak. One monitored talk failed to mention the composer's long stay in the United States. Rome Radio's Slovak transmission gave on 12 September an example of a joke said to be circulating in the "Czechoslovak underground movement." The quoted example said that USSR Amba-?sador Zorin, "the Soviet governor in Prague." inspecting the Skoda works, was greatly impressed by a luxury car. Thereupon the factory manager offered the car to Zorin as a present. However, the Scviet ambassador insisted on paying for it. Pressed to name a price, the manager decided to ask for a nominal one crown. Zorin then handed the manager a two-crown piece. On being given change of one crown, Zorin refused to accept it. Finally, when the manager insisted on returning the change, Zorin said: "All right, I'll take another car and then we shall be even." Government and Civil Affairs. Simultaneously with the announcement of a major shakeup in the Party hierarchy, the Czechoslovak radio told of an impressive reorganization of the Governmental machinery "to overcome the difficulties caused by the rapid development of production and by the international scene," according to Minister Dolansky, head of the State Planning Office. The consequent tightening of direct Government control over industrial production, the creation of a new Ministry of State Control and of a Ministry of Manpower indicate that there are indeed many such difficulties. To overcome them a high degree of personal responsibility has been given the new Ministries and the factory maneCements. Dolansky claimed that the reorganization would result in an eventual reduction of administrative staffs by 39 percent, an important contribution to the manpower shortage. Although both Vice Premier General Ludvik Svoboda and Evzen Erbax., Minister of Labor and Social Welfare, have been relieved of their posts in the Government, the fact that Svoboda is not in complete disgrace was indicated by a Prague broadcask, on 11 September describing the Tatra Car Rally. It said that the "General Svoboda prize" had been awarded to a Polish team. Minister Dolansky explained the reasons for the Government shakeup in a broadcast from Prague on 8 September. The guiding principle, he said, had been to replace big and unwieldy departments by smaller and more specialized units which would make possible a more',"operational" management of production. The abolition of General and Regional directorates would do away with superfluous authorities standing between the government and the industries. Industrial enterprises would no longer have to deal with a multitude of directives--frequently opposed to each other. Managements of factories, he continued, would carry more responsibility with more authority. The reorganization would put an end to rigid centralization and give more authority to those who were directly connected with the "creative initiative of the workers." The principles of this reorganization would also be applied to the Ministries of Building, Food Industry, Agriculture and Internal Trade, not directly affected by the Government's decision. The new Ministries would have direct responsibility for the fulfillment of production plans. In the past, factory manage- ments had to deal with too many officials and the old system had resulted in a constant expansion of bureaucratic methods which produced floods of instructions and directives, CONFIDENTIAL 0 w IhEM I AL Approved For Release 2008/03/03: CIA-RDP8O-00809AO00500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL frequently holding up production. The reorganization, based on the experiences of the Soviet Union, would reduce administrative staffs by 39 percent, despite the fact that a number of new ministries were being set up. Industry. Diffic'ulties facing Czechoslovak industry are indicated by the radical reformation of the Governmental machinery regulating production. The Czechoslovak radio continued to exert heavy pressure on behalf of two other reforms--the transfer of redundant administrative staff to productive work in industry and the revision of labor norms to raise output at lower cost. The norms revision program. it would appear, went forward with greater speed than the administrative transfer. There were constant complaints from the radio and from the officials concerned about the slow rate of progress of the campaign to transfer 75,000 bureaucrats from their desks to work benches by the end of the year. It was evident that administrative departments were reluctant to part with personnel and that factory managements were unwilling to accept large numbers of former white collar employees. There were constant complaints that some departments were not transferring any employees at all or that they were sending the aged and ill or women with children to the factories. Josef Kaminek, chairman of the Government Committee on the Transfer of Unproductive Staff, made the above accusations in a Prague broadcast on 21 August. He said that offices which had transferred the ailing or aged and women with children would have to release others in their stead and he pointed out that it was not permissible to transfer persons now undergoing military training. It was inevitable, he stated, that single persons or childless married couples should be given posts outside the Prague area to enable married couples with children and, above all, mothers with children to remain there. The labor exchanges, he charged, are failing to operate the scheme in a flexible manner and there is no day-to-day checkup of the actual labor demands of the individual factories. Doctors and civil engineers, he added, would be allowed to resume their former professions, but they would have to go where they are most needed. A broadcast on 23 August pointed out that the Supreme Administrative C-uncil still had not transferred a single employee. Six days later a commentator said that the transfer had revealed numerous examples of red tape in the administration of nationalized industries. The Prague nationalized dairy concern, for example, employed two persons in its administrative offices to every three workers. A broadcast on 30 August reported that the transfer was proceeding satisfactorily and that the number had risen from 4 to 10 percent of those scheduled to go. Following a close checkup by the commission a number of examples of incorrect applica- tion of the Government directive had been corzected. But on 2 September, Vojtech Dolejsi claimed that the old and sick were still being transferred. This was inexcusable because they could still do useful work in administration whereas in production they would only swell the lilt of disability pensioners. He criticized the Prague Central National Committee foi% pensioning its workers at 60, even when they asked to continue at their jobs. On 13 September it was announced that 20,322 employees had been sent to new produc- tion jobs. Best record was set by the Minister of Internal Trade which had released 37.5 percent of those scheduled to go. The Ministry of Agriculture was lagging behind other Government departments with only 7.1.8 percent. (Since the transfer campaign has been on for 11 weeks, it is quite apparent that it will have to be stepped up considerably if the balance of 55,000 employees is to be switched to the factories in the 15 weeks remaining in the year.) CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Few hard details were contained in a speech made by Revai at ceremonies marking the opening in Budapest on 18 August of a Five-Year Plan Exhibition in honor of Constitution Day. Revai found it necessary to deny that Hungary is being turned into a Soviet colony. If such schemes as the great Dunapentele, Inota, Barcika and Tizaloek projects were a symptom of colonization, he said, why do the inperialists not have their like in Persia, Egypt, Malays. Morocco. Italy or France? There the only construction permitted is that of barracks for American troops. Revai called for more labor discipline, sacrifices and a more resolute effort to overcome difficulties. "Hungary is part and parcel of the USSR's and Stalin's peace front." he concluded. In connection with Constitution Day, it was reported that the Post Office was to issue stamps featuring the results of the first year of the Five-Year-Plan. It was not suggested that these accomplishments were of as smell dimensions as the stamps. Discussing the drafting of production plans for 1952 which are now in progress, SZABAD NEP said that a new system had been introduced whereby factories will. draw up their own suggestions to improve production. Every factory, the paper said, will have a "plan brigade" to prepare "Bolshevik plans for 1952." (18 August) Constitution Day was marked at Dioegyoer by the opening of a new Martin blast furnace, completed in 53 days instead of the normal ten and a half months. No reference is made to the durability of structure built so rapidly. (20 August) Agriculture.- Propaganda pressure was maintained to compel fulfillment of compulsory grain delivery quotas, but it was evident that no county had met its target by 20 August. The ehi'f difficulty appeared to be the popular practice of keeping beck a portion of the crop for later "black" threshing. The collection drive was spurred by a :,7.ABAD NRP editorial ceiling for a more intense grain delivery and rural collectivization drive, but making clear that the former has priority. The paper said that, although the collection drive was gaining impetus, not even the leading counties had reached their targets. The Party organizations were told to appeal to the peasants' patriotic feelings and to tighten their control over the village councils. (3 August) The same day SZA; ,'i FOELD demanded increased vigilance in the countryside. Kulaks, in adr,ition to sabotaging their own deliveries, were trying to create "on atmosphere hc:;tile to the grain delivery scheme," trying to convince people that the ,;- harvest was worse than it really was. In some villages, they had misled threshing supervisors, and some local councils, tricked by the enemy, had sent in false returns, reporting average yields as lower then they really were. By this method, the enemy had striven to prevent large surplus deliveries ugai.nst "C" coupons, depriving peasants of the 20 forint premium on "C" tickets, free milling facilities and special allocations of industrial products. SZABAD FOELT) went on to state than in some villages there were more and more cases of illegal threshing, which could not occur without the collusion of the threshing supervisors. In Baktonya and other villages, the enemy had spread the rumor that wheat prices would be doubled before December and that therefore it was senseless to rush deliveries. Such rumors had proved unfounded last year and they were equally untrue this year, the paper stressed. On 4 August an object lesson was provided through the sentencing to 12 years' imprisonment of a woman "kulak"--she actually appeared to bee shop,ceeper--for hoarding and refusing to sell to villagers of Matraszele in Nvg,au County quantities of footwear, textiles, soap, tobacco, coffee and so forth. She had withheld her stock and let it deteriorate "to incite the poor working people against the regime." On 10 August it was announ^Ad that the county of Somogy was so for behind in grain deliveries that it lad been punished by a ban on open markst operations L1 farm rmod uce. Althoutzh a 12 August - - --ment claimed that the number of working peasants who had surrendered double their compulsory quota had risen to 19,406 in the previous week, it was admitted that the counties of Komarom, Csongrad, Tolna, Zala and Nograd were lagging behind sadly; here hal!dly five percent of the peasantry had met obligations so far. Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL CONFIDENTIAL - 14 - An anonymous commentator on 6 September complained of the waste of paper in administrative offices due to red tap He said that some 750,000 persons were employed on adrinistrative and office work and that 11 percent of the bud;;et was spent on administration as compared to 3.2 percent in the Soviet Union. He gave various examples of the waste due to paper work: in one factory the ordering of a spare part required filling out formslweighing more than the part; to order a load of sand costing kcs. 300 required 34 different forms, bringing the price of the sand to kcs. 600; 27 printed forms were required to call a meeting of a National Committee. The norms revision campaign was apparently more successful than the administrative transfer. Josef Kaminek said on 11 September that the revision had been completed in a majority of factories and that norms had been tightened by an average of 8-10 percent. He called on the laggards to complete the task as soon as possible, and he said that some factories had not understood that the purpose of the revision was to eliminate obsolete methods and not to reduce wages. The revision must mark the beginning of a struggle to make the working methods practiced by the best workers general throughout industry. The results must be assessed in every factory and workshop and all necessary changes completed by the end of the year. New factory contracts must be drafted and must incorporate the new stiffer norms for 1952, as well as the management's production pledges. A RUDE PRAVO editorial, broadcast the same day, said that the norms revision was more successful than that of last year due to "better political understanding in the factories." The editorial mentioned the CKD Stalingrad works as having achieved particularly good results. These good results were not achieved without a certain amount of "enlightenment" and pressure from the party's propagandists. A broadcast on 23 August criticized the management of the finishing shop at the RUDE PRAVO paper mill for its "failure to explain the importance of the norms revision to all employees." Prague's Evening Newsreel on 24 August cited ---a' cases of factory foremen who failed to cooperate in the norms revision. Some technicians, the broadcast said, were also considering the norms revision as "a side issue,~''thus displaying an entirely wrong attitude toward production problems. An anonymous speaker on 28 August complained that workers who were paid by the old "soft" norms were earning more than those under the new "stiffened" norms. This was wrong for the high wages were not justified by output and the wages of workers using the old norms thus were being subsidized by those producing more under the new norms. This anomaly, said the speaker, must be liquidated as soon as possible, wages. TheeeventualerethAt sultlwould bet the purpose o of the norms higher wages all around. Agriculture. The harvest was accompanied by a steady chorus of exhortation, admonition and threats from the Prague and Bratislava radios. No overall figures on results were broadcast by the end of the period under review but it was apparent that much work remained to be done if production was to reach planned figures. Harvesting developments in chronological order were as follows: On 23 August, Prague radio stated that "not in a single district have the state tractor stations fulfilled their plans." The best results were in the Brno region, which had completed 90 percent of its grain cutting and 33 percent of its stubble plowing. The Kocice region was worst with only 30.7 percent of its grain cut and only 11.7 percent of its stubble plowed. The radio added that "a number of other districts are just as bad." CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL CONFIDENTIAL .. 1 - Commissioner for Trar' Lr, olt? s:., ^ c .? r sot `o a 28 Aug':s 1. Prague broadcast, asked members of National Cottrmittees to improve the or,raniration of the bulk buying scheme for farm produce. He said that t.hic year's bulk buyin* figures were behind these of last year and he suggested that farriers who had completed their threshing but not their delivery ditties should be visited and the "method of political persursion should be applied." In the case of kulaks, "all legal means' should be used t:' make them comply with their delivery obligations. Every farmer who.lhad completed thresh- ing and who had not delivered his grain should be reported immedi.etely to the authorities. A day later, ?,sates, chairmen of the Central Commit'~ee for AEri.cultural Work, said that almost one-fifth of the harvest was still =.n.1be f'elns, some of it not yet cut. Ho particularly urged the conclusion of the f] x harvest. (A Rome broadcast in 'lovnk said that t.'ue emphasis on the flax hervest.wa:t due to the effect of the American decision not to ship raw material. for the Czecho-Slovak textile industry.) Several districts censured in c, 30 August broadcas'. or legging behind in their grain deli""eri": Plzen had return' only 30 percent of its quota and large quantities of grail, were cutstandinf* in t. e Karlovy Vary, 7,no jmo, Ceske Budejovice, Liberec, Usti and Hradec i:ralov regions. ftubhlp plowing was far behind, reaching only 3.2 percent of plan in the entire republic. The Government Issued or, l August a resolution on the rumai.nina harvest operations, bulk delivery of grain and potatoes and fell field work.. It s^.i1 that this year's crops were good and that planned yields had been reaches and wen exceeded. On 24 August 3.4, percent of the grain harvest r;as uncut, 19.44 percent unsorted and 46.5 percent unthreshed. better use must b made of threshing 'irchinery and the crops delivered to the marketing cooperatives as speedily as possible. In autumn field work better use must be riade of agricultural machinery end more care taken _n its maintenance. By 10 September a full. checkup of the con(-; of machines should be completed. All able-bodied villagers must help in the potato harvest and by 15 November all deliveries of p 1 etocs and winter vegetables must. be completrsci. The decree asked National Committees to supervise all field work, espec_Elly t.:-:at of kulaks and it urged cooperatives to adopt hir;her forms of organization and to set. 'Lip permanent teams of workers who e!oul.d be responsible for ".be fields all:,cated to them. (The Soviet "brigade" s;;s'cem, perhaps?) Mates reported in a broadcast on ^.ep~etnber that only 1 p, roent of the rain harvest was uncut, 8 percent unsorted and 30 percent unthreshed. Flax harvest-'., in Ceech lands was 23 percent behind schedule, but in Slo?; ok a it exceeded plan by nearly 4 percent. Mates urged fnrr.:;-rs to bring in the flax ns speedily as poss'[:ae and to complete the sowing plan for race and to make thorough plans for autumn field work. Bratislava said the same day that in clovakia the bulk delivery 'f ;;rain had reached 72 percent of target. Regions such '' Bratislava and Banska Byrer-;ca had shoem good results "thanks to efficient roliticel 'cork" but the Kosice, Kiline and ?rc:sov regions "'ere short of targets. Prague .simultaneously retorted that the bulk deli-ery goal had been met in the Prague region, and said that farmers had Promised to barn", over an additional 10 percent. An g September broadcast from Bratislava stated that the Myjava district was the most backward in the Bratislava district. It had met. ;ts grain delivery obligations by only 68 percent although both the socialized ant' private sectors had had a good harvest. Farmers of more than 10 hectc:res Were particularly behind in deliveries, and bulk buying and local Administration off?ici.sls were censured for the failure to assure the success of the delivery campaign. CO FIPENTLAI CONFIDENTIAL -.J Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Ift uOri'IU R 1 IML Considerable propaganda use was made of various cases of alleged misdeeds by kulaks during the entire period. An example cited was the case of 18 "village rich" at Plastovice near Vodnany who "refused to sign delivery contracts or carry out thresh- ing." So the threshing was organized on their land by local authorities and all grain except the amount allowed to self suppliers was sold to the cooperative. Bratislava then reported about Oldrich Hrdina, an Agrarian Party deputy in the pre- Munich Parliament, accused of sabotaging public supplies. The holder of 49 hectares and, a ruthless exploiter of labor before the war, he had systematically sabotaged the' country's economy, according to the broadcast. During the first half of 1951 he was, 3,196 liters behind in his milk delivery quota. He is to be tried by a workers court "shortly." (24 August) Jiri Lukas said on 27 August that there were still disturbing elements among the fnrming population--kulaks who were sabotaging, agricultural deliveries. Some kulaks were leaving part of their grain unthreshed; others were illegally threshing it or carting it to private lofts for concealment. In one case the responsible National Committee officials and party functionaries had turned a blind eye to such malpractice. "But the village rich shall not be &lowed to sabotage the food supply of the working people. We shall strike hard and ruthlessly at all such attempts of theirs. The kulaks must fulfill their duty to the state." The most serious case of kulak misconduct reported by the Czechoslovak radio was that of Karel Krousky, resident of a village in the Doxy district. He had collaborated with the Germans and had failed to deliver thousands of liters of milk and large quantities of meat. A search of his premises revealed "carefully hidden automatic weapons, ammunition and illegal leaflets." He admitted that he was acting on instruc- tions from "inciting foreign broadcasts." His property was confiscated and he and his aides tried and sentenced by a people's court, but no details were given. (Prague, 30 August) Tb^ campaign to exterminate the "American beetle" was pressed. A Prague broadcast on 21 August said that in some districts eggs and larvae had been overlooked and that the insects were about to hatch. In the Gottwaldov area special searches had been organized with the help of schoolchildren. A broadcast from Prague on 5 September sharply reprimanded members of the State Farm at Zdar for neglecting the fight against the beetle. During the previous week three liters of the insect were found in 10 hr,etares of potatoes, proving negligence last spring. But even now the farmers were doing nothing. Bratislava appealed on 7 September for increased vigilance against the beetle. The second generation was about to hatch In Slovakia and the danger of a third must not be overlooked. Searching must continue In all areas and search days have been set for 9 September and subsequent Sundays. As the harvest progressed, party officials began to make preparations for the guidance of fall sowing work. Directives issued by the Slovak Commissioner of Agriculture on 27 August were said to have been designed to eliminate shortcomings which had been observed in the spring and they were chiefly concerned with the machine tractor stations and the repair of agricultural machinery. L bor for field work must be drawn from local sources and detailed plans must be drawn up for every locality and farm. At a combine operators conference at Karlovy Vary, the chairman of the Agricultural and Forestry Workers Union, Stupka, drew attention to shortcomings in the work of some tractor stations where drivers were unable to handle their machines properly. He stressed the importance of proper maintenance. A RUDE PRAVO article by Mates, broadcast on 5 September, asked local government authorities to make sure that all necessary agricultural machinery was made available to cooperatives and farmers in time for the fall work. This autumn, he said, there would be make available more tractors, fertilizer and high grade seed. A week later he complained that, although enough high grade seed was on hand, some sorting stations were slow in cleaning and distribution of the seed. CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 ,~ Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 rtOffIWENTIAI The drive for the collectivization of agriculture was not neglected during the period under review. A Prague broadcast said that more than 2,500 new members had been gained by cooperatives in the Prague region. (5 September) A CTK bulletin on 11 September stated that in many cooperatives of the type where individual field boundaries had been retained, farmers were now realizing the advantages of large field culti.vation and asking for removal of the boun'aries. Bratislava said that over 3,000 small and medium farmers had Joined cooperatives in the Nitra region; there are now 319 cooperatives there, twice the 1950 total. (].2 September) Later Bratislava added that more than 5,000 people in Slovakia had joined co peratives; their average yield per hectare of wheat exceeded target figures by six quintals and rye by two. (15 September) The ideological case for cooperative farming was given by Jiri Lukas in a Prague broadcast on 3 September. He said that the voluntary consent of the maJority of small and medium farmers must be gained before any basic decisions, such as plowing up field boundaries or joint cultivation, were taken by cooperatives. Majorities must not be created "mechanically" and consent must not be presumed merely because a farmer was absent from a meeting. In questions connected with cooperative farming, no notice should be taken of the opinion of the village rich. In allocating land' for tillage, the most inferior fields and those farthest from the village sho'fld Bad news for beer drinkers is implied in a 23 August Prague broadcast which charged that the recruitment of hop pickers had been badly organized, especially in the Brno region. The broadcast said that the National Committees had failed to give this. matter sufficient attention. Mining. Oil and Timber. In connection with the celebration in September of Miners Day it was revealed that Czechoslovak pits had fallen short of target, thus explaining earlier measures to increase output. Secretary General of the Miners Union Kohout said at a meeting in Banska Stiavnica that the production plan, includin,z the super plan, had been ful- filled to 99.. percent in 1950. In the first eigb+ months of 1951, soft coal production reached 101.5 percent; hard coal 92.9; and ores, including oil, 89.8 percent. The main reason for the failure to fulfill the plan in every branch is' the inadequate organization of work in the mines. We must apply the experience of Soviet miners and introduce the most up-to-date technical arrangements, administra- tion and methods of work." (Prague, 7 September) Earlier it was stated that the Ostrava-Karvinne coal basis was 500,000 tons short in the first six months of 1951. This was due to the fact that only 45 seams in 17 pits had adopted "progressive" mining methods, while 67 seams were using old, outmoded procedures. Where new methods were used, production per man shift had risen from 3.9 tons to 4.7 and earnings had risen correspondingly. (Prague, 30 August) Power and Transport. Prague. announced on 26 August the completion four months ahead of schedule of the Palacky bridge spanning the Vltava river in the southern part of Prague. The bridge has been widened by one third to carry both streetcars and motor cars. A 5 September broadcast said that the transfer of administrative employees to the Avis aircraft plant in Letnany will make possible the introduction of a third shift. So far only two shifts had been worked and machinery was not fully utilized. Education, Culture, Youth and Sport. The opening of the new school term in Czechoslovakia, as in other satellite countries, was considerably publicized. Depty Minister of Education Smida announced on 29 August that a number of new technical schools would be opened this year to relieve the shortage of technicians and foremen. Pupils would be drafted from 15-year-old: graduates of the lower and secondary schools on the recommendation of the examining boards. CONFIDENTIAL CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL CONFIDENTIAL - 16 - CTK announced on 31 August that five million new textbooks conforming with the Party's 16 June directive had been printed for primary and secondary schools to help educate youth "in tre socialist spirit." The Czechoslovak Youth League, the item reported, asked youth "to contribute to the success of the socialist State by exemplary work, in the same way as shockworkers in industry." A PRACE editorial, broadcast 1 September, said that the new schocl year would be "a landmark in our school system, a year of determined struggle against all remnants of bourgeois education still existing in our schools." Minister Nejedly, speaking before a q^n?erence of teachers, urged them to inspire a spirit of "socialist self confidence" instead of the "small nation" conception invented to make the people pliant tolFrench and British orders. So far, he said, the schools had not been very successful in educating the ycung to be "socialist and proletarian patriots," and he spoke of new methods whereby pupils would be given more freedom, mainly in the field of school discipline. To a great extent these methods had proved a failure because of the unsuitable "old Austrian" attitude which allowed good beginnings to peter out. Thus "prompting," suppressed for a short time, had reappeared again. There should be more perseverence which would prevent children from relapsing into old ways, and teachers should see to it that their instructions, once issued, were respected. (Prai;ue, F~ September) Deputy Vy1nalek, secretary general of the SOKOL, said in a broadcast on 24 August that the whole of the country's physical training and sports organization must serve the purpose of training the people in military efficiency. He said that competitions for the "Military Efficiency Badge" were underway in Liberec region and that the competition would include shooting, crossing of rivers in full dress with arms, and training in open terrain. Church-State Affairs. There was no broadcast evidence of continuing friction between Church and State. Quite the contrary. A 23 August broadcast reporteP that the National Peace Committee of the Catholic clergy had met under the chairmanship of Health Minister Plojher and had decided to convene a National Peace Congress of Catholic priests on 27 September. Dr. Gustav Eicher, chief rabbi of Bohemia and Moravia, consecrated a new synagogue in Usti on the Elbe. Goldberg, chairman of the Jewish congregation, thanked the Govern- ment for helping build the church, another proof of the freedom of religion guaranteed by the Kosice program and the Constitution. ,Prague, 26 August) At a conference in Central Moravia to commemorate Jan Milic, a medieval religious reformer, Professor Hromadka stressed the duty of Czechoslovak Protestants to help build the new state and to give all their strength to the fight for peace. Vice President Fierlinger expressed his satisfaction that Protestant leaders were in the front ranks of the peace fighters. (Prague, 30 August) A Vatican broadcast in Slovak on 13 September noted that the Orthodox Church is the most favored religious body in Czechoslovakia although it has the fewest communicants. This, it said, is because it is the State church of the USSR and because its officials are dependent upon the Communist regime. Every encouragement is given to the fight against the Greek Catholic Church and many of its priests have been arrested and sent to Hlohovec prison camp. But its members are remaining faithful, boycotting scripture lessons being given by renegade Greek Catholic priests. Army and Civilian Defense. Some emphasis was placed on the necessity for proper rolitical training; in the Army, and it was claimed that the Czechoslovak Armed Forces are now ready to repel anyone who dares1to cross the frontier. C0NFIDE T9"AL CONFIDENTIAL L;,... Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 G0KFIDENTIAI. 25X1 Minister Cepicka, addressing graduates of the Josef Haker. Political Training Center, which included women for the first time, said that the men and women entrusted with political work in the Army must be "devoted to the Communist Party, Gottwald and the just cause of the working class." Political officers were expected to cor,perete closely with commanding officers and it was their duty to strengthen the commander's authority. They must never lose sight of the fact that they are subordinated to the commanding officer and that it was the letter's duty to supervise and control their work. There must. never be a clash between the authority of the commanding officer and the political. officers. Criticism and self-criticism, Cepicka added, were the most important parts of a political officer's education. However, not every kind of criticism was helpful enr healthy, ^ften it was a iisguised means of stirring up trouble by "leftist de" ation- ists" aiming at undermining milit,.ry discipline and the commanding- officer's qut.hority. On the other hand, one must not go as far as the other extreme of total suppression of criticism as war, advocated by the "traitors Ra.cin, Kopold and other supporters of the Sling-,vermove-;;iementis conspiracy." After the removal of this group from the Army, Cepicka said, there had suddenly been a flow of criticism which "at. times threatened to get out of hand." The fundamental principle was that criticism could only be exercised within the Party. "Irresponsible gossip outside the party is not criticism." In the Army everything could be criticized except the commending officer's orders. However, since the commanding officer was above criticism, the Party was justified In demanding from him the highest possible standards. (Prague, 4 September) Earlier, Cepicka addressed a meeting of political education officers in Prague. He said that these officers should propagate the revolutionary traditions of the Hussite era and should popularize the heroic deeds of the soldiers. Instruction in the ideas of Marxism-Leninism should be carried out on a large scale. The chief cause of short- comings in Army political work, he claimed, was the "shortar'e of cadres, inadequate attention to the selection of political officers and even less care in their training." The 1951-52 training year must see substantial improvement in this field. Political enlightenment must be permeated by the spirit of "no compromise with bourgeois ideas and with capitalist thinking." (Prague, 30 August) At an air display at Plzen on 9 September, Cepicka spoke of government measures taken to assure precise fulfillment of the augumented production targets. But further successes, he said, could not be assured without a struggle. The enemy was not idle and was out to weaken the nation, although he had recently suffered many defeats, in- cluding "the failure of the recent leaflet drive led by the 'Crusade for Freedom." He attacked Zenkl, Ripka, Lettrich and Mayer whom he said had always fought for the exploiters and foreign interests. A drive to increase knowledge of the Rusr-Tan language among Czechoslovaks was pressed. At a conference of organizers and teachers of Russian held in Bratislava on 25 August., Deputy Komznla said that to know Russian, that wonderful language," was a necessity and a duty of every cultured person. "The Russian classes must reflect the tremendous love for the Soviet Union harbored by all honest Czechs and. Slovaks, by every -enuine patriot." He said that 300,000 perscns would attend the new courses. On 11 September the Minister of Public Works announced that the Russian language courses would include special classes to give "tuition in technical terms" which would enable workers to read "highly specialized Soviet technical literature." The following day Prague radio announced that the first issue of. ENGINEERING, published by the Czechoslovak-Soviet Institute, was on sale. It describes Soviet experience in construction. technology, mechanization and organization of production and also contains a report on the Moscow conference on the mechanization of engineering. Soviet book week will be held 12-19 November when a drive will be made tc gain new subscriptions to Soviet publications, according to a broadcast on 16 September. CONFIDENTIAL CONFIPENRI. Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 25X1 ('0 FIPENTIAL Deputy David, Vice ,pecker c Pai,li urer' and depu:!?y cr airman of the C:echoslovek-Soviet. Friendship Society, di~cusr..periences ir '-. belittle o^iet technical e_xper;rn-rc." Labor and Unions,: Publicity v:as given +o the ccm' n ^].eci i on of trade union and emphasis was placed on the necessity of cho sing ccnl 1.date.n of ruaranteerl lcyRlty to the regime. A circular letter issued by th- praes i d i um of the Trade Union r me i l quoted in a broadcast frc'm Prague on 715 Au lust, spoke of shortecrnin;?s in the r. rk -f trade union organizations. Persrnrsinn end oolitieni eduenticn were still. net r?oply task of trade union officials enrl ynrir.y trade anion works or;'en':sat` n^, ne i~c .'d political. ;.'crk among foremen an '.nr?,hririans. In the F'lections the letter sn'.? the candidates must, be persons who hod ?ro,,erl the-T, r t.i"' rtt+it-" t,- the p n.1 democracy and who were rdoi.ntl exemplary work in r~'uc ion. A PPIACi: ed't:orinl, quoted 12 `.,epternber, also called for the careful. selection of' enndidates, The secret 1,rillnt system must be extended to the election of slio stewards, thus applying trade un' ^n democracy i_n the widest possible i.el.d. The candidates should be Judged by their work for the community, by their attitude towards the peoples democratic order and the building of socialism, and by their response to the call for peace. At a meeting of the C1',D works trade union branch in Pra Sue , the cond. t. Ions of production and labor organization in the plant were severely erit.iciccd, accorrli.n: to P. broadcast of 13 September. The trade unionists complained that because ut' tn^ lack of cooperation between workers .and technicians many deficiencies in the output departments remained unchecked. The worker's initiative was not sufficiently appreciated and encouraged by trade union officials. Many shortcomings should be removed by more intensive political training and by the increased responsibility of all individuals. Zdenk Valouch, secretary of the Central Trade Union Council. discussed in a broadcast on 13 September the Importance of "counter-planning" and collective works agreements. He said that industry was about to make preparations for the augmented tasks of the fourth year of the Plan, although some sectors of heavy industry were lagging behind in the fulfillment of this year's task::. Fxperience had shown that the plan was not fulfilled in plants ':There the trade union movement, was not properly functioning. Therefore, it was the duty of the trade unions to organize the active participation of millions of trade unionists. CONFIDENTIAL COf,FILr''L-H TI Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 25X1 CONFIDENTIAL Party Affairs, Ideology and Internal Propaganda: Hungarian radio propagandists were chiefly concerned to stir up enthusiasm for the grain delivery drive, and the customary charge of "deliberate sabotage by enemy agents" was raised to explain deficiencies on the agricultural front. In the industrial field, broadcast highlighted the "Gazda" movement for the conservation of raw materials and to the tightening of discipline; absenteeism and other deficiencies were charged. Some preliminary publicity was given to the coming elections of Party officials and warnings were issued against repeating the errors of last year when various "compromisers and slackers" were elected. Monitored broadcasts did not mention the deportation of allegedly hostile elements from Budapest. The propaganda buildup for the coming Party elections, to be held in mid-October in the factories and in mid-November in the villages, was started early. A 29 August broadcast said that the Constitution Day production contests must be continued and intensified in honor of the elections. A SZABAD NEP editorial broadcast on 30 August called for thorough preparations for the elections. At meetings, Party functionaries must give an account of their stewardship, not forgetting to mention their shortcomings. Last year's election, the paper said, strengthened the local executives but unreliable and hostile elements had found their way into them in some cases. Compromisers, slackers, people who regarded the implementation of directives as unimportant, and officials who proved incompetent in the production drives had been returned. Other officials had "fallen victim to traitors and discipline breakers." "Utmost vigilance" must be the watchword of cadres and the rank and file alike. There was no reference to the Budapest deportations. An Israeli broadcast in Hungarian on 24 August said that a wave of suicides had broken out as the result of the deporta- tions. In the previous week two former senior officials of the Joint Distribution Committee and the widow of a well-known writer took their lives. MTI reported on 4 September that the women's organization, MNDSZ, now has 750,000 members. Secretary General Mme. Istavan Vass said that the subscription drive for the aid of Korean women and children had raised 23 million forints and that this would make it possible to send a third "gift train" to Korea. SZABAD NEP argued that the Government's ration concessions, raising the bread supplies of miners, heavy industrial workers and children, were proof of solicitude for the future generation and for Hungary's hard working miners. It said that the concessions were made possible by this year's good harvest and it contrasted the food increase with rationing reductions in the West. (Budapest, 28 August) Government and Civil Affairs: The only important developments were in the field of public finance. In an announcement broadcast 1 September, the Ministry of Finance officially denied that banknotes bearing the "Kossuth crest" would be withdrawn. People spreading rumors to the contrary were furthering the enemy's attempts to spread confusion. Considerable publicity was given to the Five-Year Plan loan premium draw, held 6 September. NEPSZAVA announced earlier that 30 million forints in premiums were to be distributed, and that a drawing for the repayment of "redeemable ordinary bonds" worth 41 million forints would be held. (4 September) On the day of the draw, NE'SZAVA said that the success of the loan provided an adequate reply to the "lies of the rumor mongers who wanted by whispering propaganda to destroy faith in the loan from its very inception, and who are now furiously angry over their failure." The names of the premium winners were not announced but if usual practice is followed they will be stakhanovites and other "desirable" persons. Deputy Finance minister Antos announced that the first draw of the Peace Loan bonds would begin 30 September and that the next Five-Year Plan loan premium would be drawn in March 1952. CONFIDENT! ..% CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL Industry: There were a number of admissions of production shortcomings, particularly in the heavy industrial and building sectors, before the announcement on 6 September of a stern corrective meature--the issuance of a Government decree "on the reinforce- ment of labor discipline." Under this decree, wo'rkers who leave their jobs "arbitrarily" cannot be employed without the intermediary of a labor exchange for six months. Workers terminating their employ- ment must stay on the job until the end of their period of notice. Should they refuse, they must be dismissed immediately and will have their wages (but not their travel expenses, family allowances and innovator's bonuses) cut by 20 percent during the first three months in their new employment. Workers can appeal against the findings of disciplinary committees within 15 days. Decisive action was demanded in a SZABAD NEP editorial broadcast 31 August. Under the title "The Success of the Plan--a Militant Task," the editorial said that wherever there was a failure to understand the militant aspect of the plan, "grave mistakes" arose. Discounting physical obstacles to fulfillment of schedules, the editorial charged that the cause of the trouble was always the inadequacy of personal effort. It recommended a relentless battle against "capitalist legacies in the ways of think- ing" and against negligence and lack of discipline. The plan, the paper said, was the "supreme order, the inviolable law." The successes so far achieved had inspired the enemy to "desperate fury." Serious blows had been inflicted against him this year: rightwing Social Democrat wage swindlers and norm Blackeners had been expelled from the factories in large numbers and the Groesz gang had been crushed. But the enemy was still trying to undermine work discipline. The need was not for slogans but for practical steps. Criticism from below must be given more scope. The real fighter for production must never forget the presence of capitalism and he must be eternally on the lookout for enemy attempts to do harm. A later SZABAD NEP editorial demanded that the "The Foundries Must Fulfill the Plan," and pointed out that'the success of the Five Year Plan as a whole depended on the execution of the plans of the foundries. They were behind schedule because they had not introduced Soviet methods--the methods of the world's most advanced industry--on an adequate scale, and had not made good use of equipment. They must also introduce better labor organization, stricter personal responsibility and more socialist contests. Late in August SZABAD NEP recalled that Hungarian factories had not quite completed their quotas in the second quarter of the year. Several important branches--coal, building materials, steel and some branches of engineering--had failed, and there was no improvement in July. The paper reminded all concerned that the Plan is law. The trade union paper NEPSZAVA looked forward to next year. Discussing the drafting of production plans, the paper said: "We must fight against conservatives who see only the reasons why the plan cannot be carried out, against opportunists who resign them- selves to difficulties, and against bureaucrats for whom the plan is nothing but a skeleton." (5 September) There was some specific information about shortcomings. On 22 August a spokesman. for the Lang Works, a winner of an "ace enterprise" award, said that the Constitution Day competition in his factory had been disappointing. Lang workers had grown complacent and the management had "also fallen asleep." The factory was badly behind schedule and might not complete the plan for the third quarter. A 27 August reportage from. Diosgyoer quoted a foreman there as saying that more and more shops were running to schedule but that further progress was impeded by the fact that the works' Martin furnace had been "marking time" since Constitution Day. As soon as this bottleneck was removed, he said, nothing could prevent Diosgyoer from beating Ozd in the production contest. CONFIDENTIAL CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 30M MMEENTIAL 25X1 CONFIDENTIAL - 23 The winners of the Constitution Day production contest were announced on 25 August. The miners of Kisterenye will get 60,000 forints;a group of building workers at Gyoengyoes 100,000 forints, and the staff of the Szfoed textile works 80,000 forints. A SZABAD NEP article broadcast the following day hailed the winners, reminding them that the country expected them to perform fresh feats. The progress of the Gyoengyoes building workers was especially significant since they had entered the contest nine weeks behind schedule. Shortcomings in the steel and building materials industry must be eliminated and the plan must be fuilfilled. NEPSZAVA said the same day that the way to overfulfill the plan was to improve leadership, citing Kisterenye as a case in point. What they did, others could do, because the conditions necessary for filling and over- fulfilling the plan were there. On 11 September MTI announced the formation of a mixed commission, including representatives of the Office of Raw Material Economy, the Trade Union Council, the Ministries of Light Industry, Heavy Industry, Agriculture and Internal Trade and the Office of Technical Development, to propagate the "Gazda" raw material conservation movement. NEPSZAVA correspondent Gyoergy Falus gave a talk on 13 September on the significance of the movement He said that millions of forints were being saved; at the flakosi Works alone waste had "practically ceased to exist." But the enemy was not idle and workers reported that their saving suggestions were rejected or shelved. At the aluminum works no more than 15 out of 75 suggestions had been accepted. At the Jenoe Landler vehicle repair works, the management's idea of economy was to withhold the "Ganda" innovators' awards. Managers and trade union officials who complained that they were snowed under by suggestions were "lagging behind the masses and helping the enemy." Managers must understand that the plan is law and to neglect the initiative of the workers is as bad as a breach of the law. He concluded with an appeal to "fight against enemy sabotage and bureaucratic indecision." Erno Geroe, Minister of State and President of the Peoples Economic Council, speaking at the opening of the new Iron and Metal Research Institute, said that Hungary would be transformed into "a country of machines, a completely industrialized country" under the augmented Five-Year Plan He claimed that the Institute is half again as large as the greatest research institute in prewar Germany and is the largest in Central Europe today. The new Institute must help to make better use of foundries, to give the country more pig iron, more high grade steel and more and better sheet steel. It must see that new developments are introduced into the factories and not filed away in the archives, as is too often the cage. Hungary is rich in bauxite and the institute must find ways to produce more alum at a lower cost and more and better aluminum. It must find a process for exploiting low grade bauxite deposits and for extracting other ores from bauxite, especially the iron ore which Hungary needs so badly. Agriculture: Although claims of a successful harvest were partly reinforced by the increase in the bread ration of certain categories of workers, it was admitted that some counties were lagging badly in the grain collection drive. In all cases the deficiency was blamed on "deliberate sabotage," poor leadership or excessive officiousness. As early as 22 August it was stated that Somogy County, which had delivered only half its quota, was the worst of the laggards. AII28 August broadcast said that the County was still lagging and that it had been discovered that the poor showing was due to "deliberate acts of sabotage by enemy agents in the People's Councils." One such enemy was Lajos Bognar, chief rapporteuriof the Nagyatad District Council. A magistrate under the old regime, he had been "engaged in agitation ever since the beginning of threshing operations, spreading stories about poor yields and wet grain." Because of him, no one noticed that the Felsoesegead Executive Council had failed to take any action at all about the grain collection drive for nine weeks. He was dismissed from his post, along with District Chairman Gyeorgi Igali, who had fallen under his influence. The enemy was also found onlthe Kaposvar District Council, from which Kalman Feher, another former district magistrate, and Janos Bardos, secretary of the Karad Council, have been suspended "for their hostile attitude." CONFIDENTIAL C O F 10 E T L Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 i CONFIDENTIAL CONFIDENTIAL In a statement broadcast 6 September, :'c,-d Ministry Imre Nagy attributed Somogy County's goer showing to lax leadership and to "a retreat from the enemy." Political work in tip-, county was badly neglected and the difficulties underestimated. Those responsible had failed to notice that the enemy was concentrating on an attempt to delay thy: delivery of produce and that medium peasants in the county were under strong kulak influence. He said that the lesson to be learned was that laxity must be eliminated, discipline tightened, the principle of personal responsibility more severely interpreted, and super?:ici.on and enforcement procedures improved. "We must f1,-ht. the enemy more resolutely then hitherto," he concluded. Budapest's Radio Journal on 7 September attacked the chairmen of several District Councils for allegedly "creating muddle and confusion" in connection with the grain delivery drive. One was Ealint Csikos, chairman of the Tiszaloek Council, who had decreed that no peasant co"?ld have a milling permit for more than one quintal of grain, no matter how much grain he had surrendered against "C" coupons. He had not been prompted by hostility or ill will, saying that his reason eras that local mills could not cope with ^o much "free grain." But the fact was that his decision faNorerl the enemy, delayed the delivery drive and injured the peasants, who were nnturally disinclined tc, r,urrender more grain than they could help. P. similar mistake Y!a' made by local authorities in Buedszentmihaly, where barely 49 percent of the del ivery drive had been complete-1 and practically no grain delivered against "C" tickets. The authorities thought that the drive could be speeded up by restricting milling but they overlooked the fact that one must drive home to the peasants by patient enlightenment that their interests and those of the state are identical. This, and not bullying, is the secret of success. Local authorities who ignore this simple truth, the broadcasts. concluded, deserve "the most severe punishment for Infringing state discipline." In a S!.APAD NEP ert.icle quoted 6 September, he secretary of the Veszprem Party organization dealt with the- reasons for his county's poor showing in the grain dnlilivery drive. Better political work, constant supervision and a ceaseless struggle against the enemy were needed. The Party's organizations must make a great effort to turn the county's drive into success, he said. A 9 September broadcast reported a decline in the fulfillment of collecting results in a number of places. Komarom, Gyoer, Soporcn and Vesyprem areas were singled out for comment. A NEFSZAVA editorial broadcast 30 August stressed the important role of cooperatives in the collection drive. It appealed to peasants to do their duty by surrendering their produce and said that peasants were turning away in disgust from those who sabotaged the collection, one of whom was a kulak priest who had surrendered nine quintals of weevil-infested grain as the output of his 15 yokes. People like him, said the paper, "deserved being visited by a supervision committee and called upon to answer for their deeds." A talk the next day repeated the appeal to the peasants end warned those who delayed .surrendering their crops "under various pretexts" that the State does not "ask for alms." Legal means, the broadcast said, would be found to r..ake laggards comply with their obligations. A Ministry of Agriculture appeal broadcast . September said that the collection drive must continue with growing intensity during the autumn period. A beginning must be made in the collection of this year's excellent maize crop as well as of sunflower seed, potatoes, sugar beet, live animals and wine. Deputy Minister of Agriculture Marczis later said that poor cooperation between machine tractor stations and producers groups, indifferent organization and indiscipline had marred agricultural, work in some places. The agricultural departments of local councils, he warned, must not let the direction of producers groups slip from their hands. (Budapest, 10 September) Deputy Minister of Agriculture Erdei said that the cotton crop had exceeded all expectations. The State Farms had completed sowing in time but were somewhat behind in tending seedlings. This "grave defect," he said, was often blamed on the shortage of labor. He admitted that there was a shortage but he said that the problem would have to be solved by better organization. CONFIDENTIAL CONFIDENTIAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 ?-,~,, Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL On 12 September NEPSZAVA reminded local councils of their duties in promoting the coining drive for the surrender of maize, sunflower seers, potatoes and live animals. Fulfilment of obligations to the state, the article said, "mu3t have priority over individual needs which can be met out of the abundant harvest." The same day the Ministry of Internal Trade warned peasants that each quintal of grain surrendered against "C" coupons after 25 September would make possible the purchase of only 50 forints worth of industrial.;;oods as compared with 75 forints 'before. Two days later, the radio said that the Government, by general request of the peasants, had made arrangements for the delivery of maize and potatoes under contract. Working peasants surrendering maize under "C" coupons were entitled to a 10 percent supplement per quintal. A 15 percent bonds or.er and above the "C" voucher rate would be paid on signing to peasants contracting to delivery potatoes. In addition to exhorting for the delivery of summer crops, the radio issued instructions for the autumn so,ring. A 26 August broadcast said that the two-year plant cultivation plan had been exceeded and that hi.gher targets had been set all around for next year. The over-all arable area must be expanded by 110,000 yokes and the irrigated area by 50,000 yokes. Thirty-five percent of the arable land must be sown to wheat and rye, the average yields of which must reach 9 quintals for wheat and 7.7 for rye. The area under fodder crops must be increased by 16 percent, cotton doubled, castor bean by two and a half times, and soya beans tenfold. A decree broadcast. 5 September lairs .'nvrn time limits for the various Al,tumn a:-'riculturai operations. It gave 30 September as the date by which onions, tobacco. lucerne, sunflower seed and soya beans must be gathered in. On the Great Plain harvesting- of seed hemp and maize, as well as potato lifting, must be completed by 30 October. Local councils must make sure that these dates are kept and that autumn plowing is begun in time. Manure must be carted to the fields before autumn plowing begins and is to be used primarily for root crops and industrial plants. Autumn barley, lucerne. rape and clover must be sown by 2.5 September; rape by 30 September, and wheat by 31 Oc',ober. Plowing must be at least 20 cm. and preferably 25-30 cm. deep. Dee; plowing of cotton must be completed by 15 October; industrial crops by 31 October, and other crops by 30 November. A Cabinet decree issued 14 September makes the state responsible for the control of an insect pest described as "Amerikel feher szoevoelepke" rAmerican white weaving, butterfly"). There was continued pressure for collectivization of at,-riculture. The virtues of kolkhoz life were publicized by members of a peasant delegation to the Soviet Union. Deputy Minister of Agriculture Keresztes said on 26 August that there are now 250 percent more collective farms than last year. A broadcast the next day said that more than one third of Baranya County's farminr' has been collectivized. It now has 50 cooperatives and 295 producers groups, embracing 17,636 families and 154.000 yokes. Several days later it was said that Hetvan, with 798 families in cooperatives, had become a "cooperative town." in Czegled, the 29 August broadcast said, 70 percent of the land now belongs to cooperative farmers. An organization known as the Hungarian Women's Cooperative Union was set up on 2 September. It has 400,000 members and its secretary is Mme. Kalman Szabo. On 4 September the new organization sent a telegram to Rakosi promising to "wage a relentless struggle against Kulaks and to set a good example in the ;rain delivery." Mining, Oil and Timber: Rationing concessions were given to Hungarian miners as an inducement to overcome the admittedly lagging output of coal. According to an official announcement the recruiting drive for 5,000 miners for the Tatabanya pits, one of the backward sections, was exceeded on 4 September by 840. A broadcast on 25 August announced that from 1 September the bacon ration of under- ground miners would be raised to 700 grams per month. Miners who had not missed a single shift in August and who had fulfilled their norms would get an additional 1,000 grams. The bread ration of miners, heavy workers, workers on export orders and children between 12 and 18 would be raised "owing to this years favorable harvest." From 1 September, underground miners would get '-i50 grams of bread daily; heavy and surface mine workers 550 grams; other manual workers 400. Persons 12 to 18 will receive 400 grams daily. P"ONT1BENT IAL Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL CONFIDENTIAL - 26 - The fact that these food concessions were related to production problems was indicated in a 1 September Miners Day speech by Sandor Czottner, Minister of Mines and Power. He said that11this year's target was 16 million tons and that the only month in which the industry1had worked to plan was February, when a special contest in honor of the Party Congress was held. He recommended the introduction of Soviet methods and more mechanization. Czottner also suggested that "hybrid" miners, that is, those with smallholdings to which they devoted part of their time, hould be "helped" to offer their land i,,, the 5~?_ And end must be put to flu,tuations in the number of mineworkers. The next. day Minister Geroe spoke of the benefits conferred on the miners. He observed that a university for mining engineers might be opened and that hundreds of machines-- not all of them put. to the best use--h-+d been provIded. The transport of coal would be revised rldically. The target would be 27 million tons by 1954 and to reach it dozens of'z,e shafts must be sunk. It was the Government's turn to ask the miners to complete t7zeplan. Tatabanya was 170,000 tons in arrears, while 0roszlany owed 35,000. But if 0roszl.andy could exceed the August target by 7 percent, so could other pits. Tatabanya's 'two pits had reached their quotas by no more than 97 and 91 percent respectively, He called for pore discipline, less absenteeism, full utilization of working tile; use of the "cyclic hewing systeny" and "thousands of stakhenovites." A SZABAD NEP editorial quoted on 2 September said that it hoped miners would pause to consider why. they had fulfilled the plan no more than 96.6 percent in the first half of the year and would think of ways to improve their performance. The best methods, the paper^,uggested, were stronger discipline and more individual responsibility. A Belgrade broadcast in Hungarian, heard 25 August, said that the Hungarian mine recruiting campaign was made necessary because the mining industry had fallen percent sh r'' ^f its quota during the first quarter of the year. It recalled the failure ofo previous campaigns, one launched 20 February for 62,100 new workers b,,? June and the second opened 12 May to "mobilize women for industry." No final results had ever been published, the Hungarian people having frustrated the "non-pence-lovin;_ plans of tiejHungarian servants of Russian imperialism." Power and Transportation- The Ministry of Posts and Communications promised on 21 Augustthst the railway officials responsible for a crash near Szekesfehervar in which six pefisons were killed and six seriously injured wo+nid be subject to criminal proceedings,,but there vtips no subsequent report: Three days elapsed between the time of the accident and -6ne announcement by the Budapest radio. There were the usual appeals to railroadmen to exert themselves and to use their equipment',moe effectively in carrying the coming peak traffic. A NEPSZAVA article broadcast,291 August called on the railway men to concentrate on the Speedier turn aound of freight cars in view of the fact that traffic this Year will exceed that of ,110 percent. On 4 September, NEPSZAVA returned to this point, warning last year' f' that this year's increased volume of traffic will have to be carried by only slightly , than were available last year. The way to solve the problem, said the more cars' paper, is to make the available care do more work by cutting turn-around time, by raising the speed of trains and by eliminating late running. The Minist of Communications, according to a broadcast of 31 August, ordered a 15 percent cut it road freight charges from 1 September. This was sr.id to be the third rate reduction since nationalization. 1 Good progress was reported on the Budapest subway since its construction was decreed a year ago.!,~Most of the People's Stadium station is ready and several hundred yards of tunneling1between Gyoergy Dozsa road and Hungarian boulevard has been'eompleted. The Race Course station ventilation shaft and part of the tunnel have beeij, finished and the Baoss Square shaft lurk. (15 September) CONFIDENTIAL 'O FIDENTIA1 . i 14-L Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 r Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CONFIDENTIAL Education, Culti.ire, Youth and r.port_ '"':hen you see your fine schc 1, when you get your textbooks and when you learn how to play happily, remember you owe all this to the ;rent r:ar. w l+!, whose picture you are already familiar--the great Stalin." The abo?.e ~,:ctc ticn from a Budapest broadcast to Hungarian children on 3 September may be said ',o hc':e sell, the theme for Hun;-,aryls greatly publicized school opening ceremonies. Minister of Education Darvas told school teachers on 24 August that the social conpo?ition of the Hungarian student body was continuing to improve. The proportion o" students with work'ng class backgrounds (including peasants) was now 67 percent. T,nst year there had been 1,230,000 attendin- general and 95,000 attending secondary schools. Professional, technical and special schools accounted for another 13,000. Next near, he said, 50 new day schools would be built and 300 additional classrooms provided for general schools. "At least" 162 new district. 'eneral schools and 20 conrarl~ schools would be opened. The building of the Miskolc and Veszprem technical. universities would be completed and a beginning made on the planning of new universities far mechanical engineering, minim, and architecture. A new decree, soon to be pro.mv! -^'^ri; would promote the application of Soviet educational methods to Hungarian o~I,,: v. s. In a SZABAD NEP article on 29 August, Osrv :, said that there would be 36,000 first ye-r students in the secondary schools and 16,500 in the iniversities. The :overnment had spent 160 million forints on student welfare this year and would spend 200 million this year, when there will be 24,000 scholarship holders. One hundred and ninety million forints would be spent on new school and university buildings in 1951. Darvas said that this year the lack of discipline must be eradicated "and the disrespect toward teachers which was witnessed last year in many quarters" must be eliminated. Speaking at the opening of the Budapest Teachers' Training College on 1 September, the Minister of Education stated that the standard of teacher training must be improved. "The guidance of Soviet pedagogy," he said, would be much in evidence in the new text- books to be issued to the teachers colleges. New teachers' schools, he announced are to be opened during the year at Gyula, Balassagyarmat and Sarbogard. The new Szeged University of Communications and Technology, based on Soviet methods and housing 230 students, was to be opened 8 September, according to a broadcast in English monitored 26 August. A cabinet decree issued 7 September transformed the Faculty of Heavy Chemical Industry of Veszprem University into Veszprem University of Chemical Industry, and the new university was opened 8 September. The new Budapest University of Economic Sciences was opened 8 September in the rebuilt headquarters of the Customs Service. Speaking here, Zoltan Vas, head of the National Planning office, mentioned among other educational improvements the vast sums to be spent on the University of Transport Engineering at Szeged, the Academy of Foreign Languages, the Technical Teachers' Training College and the Goedoelloe University of Agrarian Sciences. Among new university appointments announced in a MTI dispatch on 9 September were the following: Istvan Saly, dean of Miskolc University of Heavy Industry; ImreWeroes, dean of the Budapest Technical University; Imre Trenesenyi Waldapfel, dean of Lorand Eoetvoes University, Gabor Fodor, dean of Szeged University; and Rezsoe Bognar, dean of Debrecen University. A SZABAD FOELD editorial on 3 September warned parents of general school children that it was compulsory for them to complete all eight grades of their course. It also warned against the crime of not sending children to school at all, but it did not say how widespread this practice might be. A SZABAD NEP article broadcast 13 September complained that the teaching of mathematics in general and secondary schools fell short of the needs of socialist construction. The method and spirit of mathematics teaching said the paper, was alien to Marxist ideology. There was too little contact with reality and too much soulless cramming of the sort practiced under the Horthy regime. All workers must be trained to tackle elementary problems and it was the duty of teachers to popularize mathematics. Minister Erdai, opening the academic year of the University of Agronomy on 16 September, asserted that one of the university's faults in the past was that it devoted no more than 39 percent of the syllabus to practical work. Following the advice of Soviet Professor Sobolev, the percentage would be raised to 51 percent. After the completion of their courses, students would be required to do six months' practical work before their diplomas were confirmed. COt~FIPENT L Al NFIDENTIAL ?' ? Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 25X1 COKFIDEHT!^~ There was at least one indication that the campaign against the "old intelligentsia" might have been overdone. A SZABAD NEP broadcast article on 8 September said that while the importance of capitalist experts in industry had been greatly overrated, as shown by the MAORT and "Standard" trials, the difficulty was that "compulsory vigilance" had been replaced by mistrust and suspicion of the old intelligentsia, with the result that oralified experts had been neglected "out of cowardly opportunism." The authorities concerned should fight against obsolete discrimination and make sure that the old intelligentsia were given their rightful place in the building of socialism. On 5 September an anonymous radio commentary expressed shocked surprise at the fact that the town crier of Dombovar had recently announced that the compulsory vaccination of dogs against rabies would be held in the House of Culture. The local council's explanation of this choice was that the House of Culture was "always empty in any case." The speaker admonished the offenders and reminded all councils of their cultural duties. An UJ VILAG article quoted on 3 September referred to the infiltration of the enemy into the ranks of (the youth organization) DISZ but said that this trouble had now been "dealt with." The paper said that last year's problem of absenteeism in the schools still remained to be tackled and it said that another task was to persuade parents to allow their children to complete their general school courses. It had been found that children attending senior classes were being "enticed away to jobs. A broadcast heard 4 September said that the DISZ Central Executive, yielding to the wishes of youth leaders and activists, had decided to publish a new monthly, UJ MARCIUS (NEW MARCH), on 1 October. Dezsoe Nemes told a Ministry of Enlightenment conference on 4 September that 2,948,000 Hungarians had gone to the theater last year. Factory libraries, he said, now have 200,000 subscribers and village libraries 120,000. Minister Revai said that local councils must interest themselves in every branch of culture, including films, music and the drama. The Party, he said, is "fighting for the complete victory of socialist ideology" and socialism cannot be built without importing the teachings of Marx, Engels, Lenin arid Stalin to the people. "This is the aim and essense of our endeavors in the field of enlightenment (nepneveles)," he said. Arthur Somlay was elected president and Ferenc Ladanyi secretary of the Theatrical and Film Association, according to a broadcast of 10 September. Earlier, Erdai announced the awarding of the first Jozsef Katona prizes for plays depicting "the building of the country." No first prize was awarded, but the second prize was divided between Otto Major and Ernoe Urban, each of whom got 5,000 forints. Other prizes were awarded to Tibor Barns, Laszlo Szabo and Gyula Bognar. (2 September) Church-State Affairs: On 3 September Budapest announced the suspension of Fatner Tstvan Holpert, rural dean of Vasvar, by Bishop Sandor Kovass of Szombatheley for infringing church discipline by refusing to obey his ecclesiastical superior. Father Holpert, the broadcast said, had opposed the Church-State agreement for some time and had continued to do so after the Bishops had taken the oath of loyalty. His actions had been calculated to deceive believers and to divert them from harvest work. The bishop has started canonical proceedings against. Father Holpert. Better cooperation from the clergy was reported in other broadcasts. The Czongrad County Catholic Priests Peace Committee urged the faithful to intensify their fight for peace and to promote the development of producers' cooperatives which "make the idea of brotherly cooperation a reality." A Budapest broadcast in English on 10 September announced the consecratiop of two Lutheran churches. The officiating bishop, according to the broadcast, thanked the State for its financial help and said that the Lutheran Church has "& serious responsibility in the defense of peace." Consumer Supply, Social Services and Housing: A decree broadcast 25 August said that in Budapest and other "favored towns" bread would be sold on the free market at "commercial" prices to be fixed by the Minister of Internal Trade. A 9 September broadcast said that the Cabinet had approved a resolution "on the development of food hygiene." No details were given. Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7 CORFIDENTI At 25X1 A hint of a shortage of textiles was given in broadcasts of 11 and 15 September. The first said that racketeers had taken to forming queues in front of textile shops in Budapest, buying up materials before the workers could obtain them. Three hundred meters had been found in the possession of one Jenoe Roz, a Budapest textile merchant. The cloth was confiscated and a punishment of three years imprisonment and 5,000 forints fine was imposed. The broadcast said that the State Prosecutor's Office had "sentenced" (sic) several other speculators. The latter said that the Budapest County Court on 14 September had sentenced 14 speculators to prison from'one to 10 years for illegal textile deals. The property of the accused was confiscated. A Belgrade broadcast in Hungarian quoted MEDJUNARODINA POLITIKA on the adverse effect of the rearmament drive on Hungarian living standards. It said that Geroe had clearly admitted that Hungary had been switched to a war economy when he announced at the Workers Party Second Congress that during the Five-Year Plan 37 billion forints would be invested in heavy industry and only three to four million in light industry. The Yugoslav radio said that the Hungarian organization known as "Machine Organization Bureau" (gepszervezes iroda) was engaged in the manufacture of aircraft parts. Air- craft equipment was also manufactured by the Gamma Precision Works, while the Lamp Works and the Danubia Watch Factory were making rifles, revolvers and other weapons. Other Hungarian factories, all with deceptively innocent names, were making guns and tanks. Five or six military airfields, a number of strategic roads, barracks, ammuni- tion depots and other military in-tallations were being built now. The result of all this, said Belgrade, is a shortage of consumers goods, a growing war psychosis, restlessness and mass dissatisfaction. These in turn caused absenteeism, lack of discipline, the production of defective articles and a high rate of wastage. While Russian experts--the real elite in Hungary--were getting 20-30,000 forints a month, the average Hungarian bureaucrat earned 3-8,000 and an ordinary worker 280 to 2, 500. The reintroduction of rationing, the requisitioning of motor vehicles, civil defense preparations and the evacuation of some of the War Ministry's departments to the provinces, the fierce propaganda against Yugoslavia and the psychological prepara- tion of the population. for war--all these things indicate the part assigned to Hungary in the USSR's aggressive plans, the 'broadcast concluded. CONFIDENTIAL togl~~H~I~'`~ Approved For Release 2008/03/03: CIA-RDP80-00809A000500730244-7