THE PRESIDENT'S DAILY BRIEF 23 SEPTEMBER 1974

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0006007823
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 9
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: September 23, 1974

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The President's Daily Brief
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September 23, 1974
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To ecret
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Exempt from general
declassification schedule of E.O. 11652
exemption category 51E1( 11,(2)d3)
declassified only on approval of
the Director of Central Intelligence
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r,
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FOR THE PRESIDENT ONLY
September 23, 1974
Table of Contents
? Arab States - PLO: Egypt has made a significant
concession to the PLO by recognizing it as
the "only legitimate representative of the
Palestinian people." (Page 1)
Cyprus: Agreement to begin releasing prisoners
this week may bring movement on the larger
question of population transfers. (Page 2)
Cambodia: Government economic reforms enacted a
week ago have drawn strong criticism. (Page 4)
Note: Cuba (Page 5)
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ARAB STATES - PLO
Egypt made a significant concession
to the Palestine Liberation Organization
on Saturday when it publicly stated its
support for the PLO as the "only legiti-
mate representative of the Palestinian
people." The statement came at the end
of two days of talks in Cairo between
Egyptian, Syrian, and Palestinian offi-
cials.
Egyptian President Sadat almost certainly modi-
fied his stand to ease strained relations with PLO
leader Yasir Arafat, and to reduce the likelihood
that the Palestinians will attempt to subvert fur-
ther progress in Middle East negotiations. In July,
Sadat had joined Jordan's King Husayn in declaring
that the PLO represented only Palestinians residing
outside the Kingdom of Jordan.
Arafat will interpret the Egyptian move as a
major gain, but he is likely to remain dubious about
the ?extent of Egyptian support. The Cairo communi-
que did not call for a Palestinian role in negotiat-
ing an Israeli withdrawal from the occupied West
Bank, an omission suggesting that Cairo continues
to see that as Amman's right.
Jordan reacted to Egypt's repudiation of its
earlier pro-Jordan stand by issuing a government
statement yesterday that said Jordan has "frozen"
its position until the Arab summit--now set for late
October--and will not participate in further nego-
tiating activities.
The Jordanians also refuse to meet with Egypt,
Syria, and the PLO to work out a common Arab policy.
Syrian Foreign Minister Khaddam had invited the
Jordanians to a larger meeting when he stopped on
his way home to brief Husayn on the results of the
tripartite meeting.
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CYPRUS
Agreement to begin a general release
of prisoners this week indicates that act-
ing Cypriot President Clerides may be will-
ing to compromise on the larger question
of population transfers.
Last Friday, Clerides agreed with Turkish Cyp-
riot leader Denktash that Turkish Cypriot prisoners
will be permitted to travel to the Turkish-controlled
sector in the north. Clerides also reportedly
agreed to permit the UN Peace Force to transfer
Turkish Cypriots out of the Larnaca area on the
southeast coast to the Turkish-controlled area.
Clerides and Denktash meet the question of
population transfers head on next Friday when they
discuss family reunification. The Greek Cypriot
leader probably hopes that by letting some Turkish
Cypriots move north, the Turks will be more flexi-
ble on the return of Greek Cypriot refugees to
their homes.
Soviet Involvement
Soviet Deputy Foreign Minister Ilichev's visit
to Ankara, Athens, and Nicosia kept alive Moscow's
Cyprus proposal, but achieved minimal substantive
results.
Ilichev was most warmly received in Nicosia.
After his initial meeting with acting President
Clerides last Wednesday, the two sides noted their
"identity of views" and called for the withdrawal
of "all foreign forces" from the island. They also
stressed the need to find new ways to guarantee
Cyprus' independence.
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Turkish Cypriot leader Denktash was much less
enthusiastic and said after his meeting with Ilichev
that he still opposed Soviet efforts to arrange a
broader peace conference.
During his earlier stop in Ankara, Ilichev went
out of his way to avoid offending the Turks. He
offered explicit Soviet approval of a federated
state. In a further attempt to keep bilateral rela-
tions on the right track, Ilichev promised that the
Turkish finance minister would have a "most fruit-
ful" visit to Moscow in October.
Politics in the Fatherlands
Press reports from Athens claim that several
cabinet ministers, including Foreign Minister Mavros,
will resign to campaign for elections. Prime Min-
ister Karamanlis has not set a date, but the press
says elections will probably be held on November 24.
In Ankara, Prime Minister Ecevit is meeting
strong opposition to his effort to call new elec-
tions this year. Leaders of the Justice Party and
the Republican Reliance Party oppose him. The Dem-
ocratic Party, with whom Ecevit is seeking to form
a coalition, has opposed early elections, but appar-
ently is reconsidering the question.
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CAMBODIA
Government economic reforms enacted
a week ago have drawn strong criticism.
The reforms were prompted by the country's
rampant inflation and the prospect of a substantial
cut in US economic aid. In order to bring domestic
prices more in line with world levels, prices for
both domestic and imported rice were greatly in-
creased. The reforms also provided for steep price
increases for petroleum products and for a major
devaluation of Cambodia's currency.
The stiff commodity price increases have not,
however, been matched by promised salary increases
for civilian government and military personnel.
President Lon Nol is worried that the situation
may already be getting out of hand. He fears there
may be more pillaging of food stocks such as gov-
ernment troops carried out in markets near Phnom
Penh and in the Kompong Som area this past weekend.
The President is also concerned that serious
unrest may occur when non-combat garrison troops
in Phnom Penh and in provincial capitals learn
that their pay increases will be substantially
lower than those for combat troops and government
functionaries. Teachers, students, and leftist
dissidents could well try to exploit such a situa-
tion.
The President's troublemaking younger brother,
Brigadier General Lon Non, has returned to Cambodia
after more than a year in exile. It is doubtful
that Lon Non would have come home without his
brother's acquiescence. Some political backlash
could result if the controversial general prolongs
his stay. Political squabbling that could be
generated by Lon Non's return would only harm Cam-
bodia's cause in the UN during the critical creden-
tials debate.
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NOTE
Cuba: Less than 24 hours after the Organiza-
tion of American States unanimously voted to study
lifting its sanctions, Cuban President Dorticos
made a speech espousing liberation movements in what
appeared to be a deliberate effort to disrupt OAS
action. The Castro regime would prefer a sharp
split in the OAS on the question of sanctions in
hopes of damaging the organization. During cere-
monies in Havana on Saturday honoring visiting
Tanzanian President Nyerere, Dorticos also had
kind words for Venezuela that were obviously in-
tended to encourage the Perez administration to
restore ties with Cuba unilaterally.
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Top Secret
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