CURRENT INTELLIGENCE BULLETIN - 1956/06/29

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03015170
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 15
• Document Creation Date: October 25, 2019
• Document Release Date: October 31, 2019
• Publication Date: June 29, 1956

/Approved Tfoor RpelesasEe:C20R19E/10T/21
Fr,
CURRENT
INTELLIGENCE
BULLETIN
29 June 1956
Copy No. i 3
3.5(c)
3.3(h)(2)
DOCUNIENT f
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OFFICE OF CURRENT INTELLIGENCE
CENTRAL INTELLIGENCE AGENCY
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CONTENTS
1. RIOTS IN POLAND (page 3).
2. TITO REITERATES CRITICISM OF CERTAIN SATELLITE
LEADERS (page 4).
3. SHEPILOV'S TALKS WITH THE LEBANESE
(page 5).
4. CHOU EN-LAI MAKES NEW OFFER TO NEGOTIATE WITH
NATIONALISTS (page 6).
5. BURMESE RESENTMENT TOWARD PEIPING STIRRED BY
CHOU EN-LAI THREAT (page 7).
6. MAGSAYSAY MAKES PUBLIC STATEMENT ON AMERICAN
BASES (page 8).
7. STRONG TURKISH OPPOSITION HALTS NEW BRITISH PLAN
FOR CYPRUS SETTLEMENT
(page 9).
8. POST-ELECTION COMPLICATIONS IN ICELAND
(page 10).
9. THE SITUATION IN GUATEMALA
10, DEVELOPMENTS IN PERU
(page 11).
(page 12).
11. REVOLUTION MA y BE BREWING IN EL SALVADOR
(page 13).
29 June 56
THE ARAB-ISRAELI SITUATION
(page 14)
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'441.9`
1. RIOTS RIOTS IN POLAND
Press reports of rioting which paralyzed
the Polish city of Poznan throughout 28
June have been confirmed by a Polish
government broadcast which states in part
that "Enemy agents succeeded today (28 June)
in provoking street riots. Certain public
buildings were attacked and this led to
casualties." There has been no confirma-
tion of rumors that similar riots have brok-
en out in other Polish cities.
The disturbances in Poznan apparently
started early in the morning on a limited scale as a protest
by factory workers against low wages, lack of food, and poor
working conditions. _According to eyewitnesses, a mass demon-
stration rapidly developed and took on political overtones when
the headquarters of the Polish United Workers (Communist)
Party was attacked. Soviet flags were torn down, and the crowds
began calling for the Russians to leave Poland.
The workers probably were stimulated to
demonstrate at this time by the fact that the 25th International
Trade Fair is now being held in Poznan. They shouted in Ger-
man and French to visiting foreigners: "Tell the outside world
what you have seen. We want things to become better, and we
want the Soviets to disappear."
The regime has stated that order has been re-
stored. According to eyewitness reports, the armed forces, in-
cluding tank units, were used to curb the demonstration. Local
police are reported to have stood by passively until the arrival
of the armed forces.
Despite the current liberalization program in
Poland, it seems likely that the regime will carry out its threat to
punish those responsible "with all the severity of the law" and will
use whatever force is necessary to keep the riots from spreading.
The demonstrations will be considered by the Communist leaders
an example of the dangers of proceeding too rapidly with the liber-
alization program. The liberal forces within the Polish party are
probably alarmed by the demonstrations and will be more cautious
than in the past in pressing their view that further reforms are
desirable.
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2. TITO REITERATES CRITICISM OF CERTAIN
SATELLITE LEADERS
President Tito in a speech on his return
to Belgrade on 27 June said further self-
criticism on the part of "individual lead-
ers" in some of the East European countries was necessary
before Yugoslavia could conclude agreements similar to those
signed with the USSR and Rumania. He alluded in particular
to a "certain reserve" on the part of the individual Eastern
European leaders, who "find it hard to say what must be said
and who think that their prestige will su,ffer if they say it."
Comment
Tito's remarks are presumably directed at
the Communist leaders of Hungary, Bulgaria
and Albania who, in the Yugoslav view, still have not made ade-
quate accommodation to Belgrade's new relationship with Moscow.
29 June 56
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3. SHEPILOV'S TALKS WITH THE LEBANESE
The talks between Lerganese leaders and
Soviet foreign minister Shepilov, who
ended his visit to the Arab states on 28
June, apparently were inconclusive and
reports suggest some disagreement.
Possibly to strengthen their hand in turn-
ing down Soviet offers, Lebanese officials
made a big issue out of Shepilov's unwilling-
ness to come out for Arab demands regarding Palestine. A
formal note to Shepilov from the parliament asked clarifica-
tion of the Soviet position on Palestine. The Lebanese press
noted that the USSR recognized and helped establish Israel
and urged Shepilov to state whether the USSR still adhered
to a Palestine settlement "on a mutually acceptable basis."
Shepilov made no statement on Palestine.
Shepilov,
made generous offers of economic aia, arms ana mcreasea
trade and pressed for a Soviet-Lebanese cultural agreement.
However, none of the offers was specific. Lebanese officials,
bolstered by the recent announcement of American aid, adopted
oncommittal attitude and agreed only to study the proposals.
29 June 56
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4. CHOU EN-LAI MAKES NEW OFFER TO NEGOTIATE
WITH NATIONALISTS
Chou En-lal, in a speech to the Commu-
nist Chinese National People's Congress
on 28 June, reaffirmed Peiping's posi-
tion that Taiwan must be "liberated" and claimed that the
possibility of a peaceful solution "is increasinr
Expanding on his offer of July 1955 to
negotiate with the "Taiwan authorities," Chou invited the
Nationalists to name the time and place for talks about "spe-
cific steps and conditions" for "peaceful liberation." He re-
peated earlier promises of good treatment for "meritorious"
Nationalists.
Chou's appeal is unlikely to influence the
Nationalist government, which has vigorously rejected pre-
vious Communist overtures, but his mild tone will probably
draw a favorable reaction from neutralist countries, many of
which already support Peiping's claims to Taiwan.
29 June 56
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5. BURMESE RESENTMENT TOWARD PEIPING STIRRED
BY CHOU EN-LAI THREAT
Feeling against the Chinese Commu-
nists, which has been growing among
Burmese officials in the last few
months, will undoubtedly be intensi-
fied as a result of a threat by Chou
En-lai to link the Sino-Burma border problem with the con-
tinued presence of Chinese Nationalist forces in Burma.
As long as the Chinese Communists
delay settlement of such troublesome matters as the undemar-
cated border, Chinese Communist harboring of Burmese ren-
egades, and the citizenship of Overseas Chinese, Peiping will
have an increasingly difficult time in convincing the Burmese
of its "friendly" intentions.
Fear of Chinese Communist interven-
tion to eliminate the Nationalist troops has, ,for a number of
years, led Rangoon to deploy large military forces against
the Nationalists at the expense of the effort to suppress in-
digenous Communist insurgents.
29 June 56
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MAGSAYSAY MAKES PUBLIC STATEMENT ON
AMERICAN BASES
Philippine president Magsaysay com-
mented to the press on 26 June that
he personally favored expansion of
American bases in the Philippines be-
cause "more bases, more radar sta-
tions, more naval installations normally would mean better
security for our country." He added, however, that any de-
cision on expansion of the bases must await resolution of
the fundamental questions of ownership, delimitation, and
jurisdiction.
Comment Magsaysay's remarks are probably aimed
at obtaining Philippine congressional ap-
proval for the furnishing of additional base lands during the
coming negotiations with the United States. At the same time,
he is pointing up the view that Philippine ownership of the
bases must be recognized prior to renegotiation of the pres-
ent base agreement.
While there is some Philippine congres-
sional support for expanding the present base lands, Magsay-
say's remarks may be expected to draw fire from extremists
like Senator Recto, whose apparent aim is to reduce the num-
ber and size of the bases to a minimum.
29 June 56
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7. STRONG TURKISH OPPOSITION HALTS NEW BRITISH
PLAN FOR CYPRUS SETTLEMENT
British plans to announce a new pro-
posal for settling the Cyprus dispute,
providing for a decision by NATO on
self-determination ten years hence,
have been halted by Turkish represen-
tations to London.
In a demarche to British foreign secre-
tary Selwyn Lloyd on 18 June, Ankara
opposed reopening negotiations with the
Cypriots and rejected any suggestion of eventual self-determi-
nation for Cyprus which it believes would lead to Greek annex-
ation. Ankara warned that it would issue a "vehement answer"
to the alleged British plan which, in its view, indicated London's
willingness to sacrifice Turkey in favor a Greece.
In response to the protest, Lloyd tried
to assure the Turks that the British plan merely attempted to
suspend the Cyprus issue and "was not in fact sell-determina-
tion," as any vote in NATO even ten years hence would support
the British position.
As a result of this demarche, the For-
eign Office has apparently postponed announcement of its plan
while it investigates ways of making the proposals acceptable
to Turkey. Ankara's inflexible attitude will make it difficult
for London to make any progress on this subject.
29 June 56
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8. POST-ELECTION COMPLICATIONS IN ICELAND
The inconclusive outcome of the
Icelandic parliamentary elections
of 24 June has resulted in a "chaotic"
political situation and negotiations
ernment are likely to be protracted,
according to the American embassy in Reykjavik. A
situation could arise in which new elections might become
necessary.
The embassy believes that Herman
Jonasson, chairman of the Progressive Party, one of the
groups which campaigned against the American-manned
NATO base at Keflavik, will probably try to form a new
government. If he is unable to reach agreement with the
Conservatives, he may content himself with a minority
government of the Progressives and their election allies,
the Social Democrats. In such a situation, the life of the
government would depend on either Conservative or Com-
munist parliamentary support.
A new complicating factor is the possi-
bility that the Conservatives may challenge in parliament
the legality of four seats gained by the Social Democrats in
their election alliance with the Progressives. If successful,
this move might necessitate new elections and raise some
question as to the competence of an interim government to
negotiate a revision of the 1951 defense agreement with the
United States in the talks scheduled to begin on 1 August.
29 June 56
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9. THE SITUATION IN GUATEMALA
even ng
By 28 June the Guatemalan government
with army support appeared to have the
situation in the country under control.
No serious disorders
since the students' demonstration on the
ve been reported.
The major threat to Castillo's regime
continues to be possible disaffection on the part of his rightist
support. The government, however, continues to stress the
theme that students who caused the recent disturbances were
acting on behalf of Communism. It seems unlikely that this
support will shift unless a general revulsion is brought about
by a repetition of such stern repressive measures as the shoot-
ing of students.
29 June 56
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10. DEVELOPMENTS IN PERU
The Peruvian government on 27 June
arrested Ramiro Priale, leader of the
outlawed leftist but non-Communist
APRA party. The move may have been
provoked by a post-election announce-
ment of the apparently victorious presi-
dential candidate, Manuel Prado, that
Ile planned to give APRA legal status.
The government also for the first time
in several months has failed to support
workers' demands0 it urged
American petroleum company officials not
to grant wage rises to striking petroleum
workers and asrred the comoanv of firm Sinvort against the
wage demands. reported on 26
June that the government would allow the strikes to continue
for several days and then move against the strikers with armed
force.
The government's simultaneous action
against both labor and the popular APRA party is likely to
lead to further disturbances. The attach�elieves such dis-
turbances would provoke the military to take over the govern-
ment.
29 June 56
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4.11
Ire
11. REVOLUTION MAY BE BREWING IN EL SALVADOR
A plot is under way in El Salvador to
capture President Osorio as the first
stpn in a military revolt
a majority of military officials
desire a change and cannot endure the administration of the
incumbent Revolutionary Party of Democratic Unification.
Street rumors of a military uprising persist, and there is
some talk of a strike movement.
Comment
Any unrest in the country has probably been
heightened by the troubled atmosphere in neighboring Guatemala.
Elections are scheduled for 1 July for mayors and other officers
of about 260 municipalities. Disturbances may occur in con-
nection with the elections.
29 June 56
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THE ARAB-ISRAELI SITUATION
(Information as of 1700, 28 June)
The Israeli border police are pre rin
fnr in inerpasp in Jordanian-Israeli border incidents,Lj
e srae
thissffO�IdbtOttse carefully organized and augmented
border police units which would ambush and eliminate Jordanian
terrorist infiltrators. There would be no "retaliatory� action.
Even if this tactic is tried by the Israelis, the difficulty they
have met in the past in preventing terrorists from entering and
leaving the country suggests that Tel Aviv would fall back on
"retaliation" fairly soon if terrorist depredations were resumed
on a large scale.
29 June 56
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