CURRENT INTELLIGENCE BULLETIN - 1957/06/13

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03153700
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 12
• Document Creation Date: December 12, 2019
• Document Release Date: December 20, 2019
• Publication Date: June 13, 1957

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CURRENT
INTELLIGENCE
BULLETIN
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DOCUMENT NO.
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NEX,T REVIEW DATE: ----
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DAI
13 June 1957
Copy No.
OFFICE OF CURRENT INTELLIGENCE
CENTRAL INTELLIGENCE AGENCY
TOP SECRET
LI3.5(c)
3.3(h)(2)
vte
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CEdt.d/ILEd I
NommoV
`4,000"
CONTENTS
NEW FRENCH CABINET
04). NEW CRISIS EXPECTED IN HAITI
(page 3).
(page 4).
p i 3. KING SAUD PLANNING EFFORT TO SPLIT SYRIA FROM
EGYPT (page 5).
Az, 4. SUKA.RNO'S PROPOSED NATIONAL COUNCIL WEIGHTED
WITH NATIONALISTS AND LEFTISTS
(page 6).
C1
5. AFGHANS MAY ACCEPT WEST GERMAN OFFERS FOR
ECONOMIC DEVELOPMENT (page 7).
6, SUHR.AWARDYr1710 AFGHANISTAN APPARENTLY
SUCCESSFUL (page 8).
13 June 57
THE TAIWAN STRAIT
(page 9')
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1lall/ VI. AJL/1.:il .1 1.11.114
1. THE NEW FRENCH CABINET
Comment on:
Maurice Bourges-Maunoury's cabinet,
invested on 12 June, contains many im-
portant holdovers from Mollet's govern-
ment and is expected to carry out essen-
tially the same policies. It is vulnerable
on such issues as finances and Algeria,
but it may last until autumn.
The retention of Robert Lacoste as min-
ister residing in Algeria and the elimination of his opponents
in the former cabinet probably indicate an intensified pacifi-
cation effort, but Bourges-Maunoury has indicated that he in-
tends to take a "new initiative" on Algeria. Administrative
reform in Algeria, including the suppression of the office of
governor general and decentralization of power, according to
Bourges-Maunoury's statement to the assembly, will be fol-
lowed by political reform aimed at the progressive establish-
ment of regional political units. A debate on Algerian policy
is likely within the next ten days when the government is ex-
pected to go before the assembly to request an extension of
the extraordinary powers held by Mollet.
BourgesrMaunoury warned the assembly
that he would seek new taxes�an issue which brought down
the Mollet government--request another advance from the Bank
of France, and dip into France's gold reserves at the end of
June. Independent Party opposition to his financial program
and Socialist Party demands for social progress, which Bourges-
Maunoury has also promised, could hamstring efforts to assure
early adoption of any effectual fiscal measures. This, in turn,
could delay assembly approval of the EURATOM and Common
Market treaties, which the new premier told the assembly he
intends to seek before the summer recess.
13 June 57 Current Intelligence Bulletin
Page 3
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lall.Ce
a. NEW CRISIS EXPECTED IN HAITI
Army chief of staff Brigadier General
Antoine Kebreau is planning to oust
Haiti's self-proclaimed provisional
president, Daniel Fignole, before 16
June, This plan is
believed to have arisen from conflict between Kebreau and
Fignole over control of the army and from a widespread be-
lief that Fignole intends to proclaim himself permanent pres-
ident on or before 16 June, the date most recently set for
national elections.
If the planned coup is successful -
the most likely suc-
cessor government would be a military junta led by Kebreau
or a civilian junta in which he wields power.
Comment
Although Fignole, who is feared by the
conservatives as a demagogue, has so far
acted with moderation, his ouster has been freely predicted
since he seized power on 26 May.
Any attempt by Kebreau to oust Fignole
is likely to cause rioting on the part of Fignole's street mobs
and possibly army enlisted men, the majority of whom are be-
lieved to be supporters of Fignole. Rioting could also be sparked
by Fignole's opponents if he proclaims himself president.
13 June 57
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JL
"'Nino
3. KING SAUD PLANNING EFFORT TO SPLIT
SYRIA FROM EGYPT
Comment on:
f
King Saud intends to spend large sums
of money in Syria in order to bring about
a change in policy there and draw Syria
away from Nasr,
Saud reportedly considers that action in-
side Egypt to remove Nasr would not be
likely to succeed and that Syria is the
weak point on which to concentrate.
A serthus intra-Arab row has developed
as the Egyptian press and radio excoriate King Hussainand
accuse him of "treachery" to the Arab cause.
The pro-Egyptian Asali government in Syria
has joined in denouncing Jordan. Asali is reported to have
called an emergency cabinet session on 11 June to consider the
effects of the mounting dispute between Jordan and Egypt. These
events may encourage moderate Syrian opposition members of
the legislature to make a new attempt to bring about the fall of
the left-wing Asali cabinet.
13 June 57
Current Intelligence Bulletin Page 5
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antait.D-1-
144.09.
4. SUKARNO'S PROPOSED NATIONAL COUNCIL WEIGHTED
WITH NATIONALISTS AND LEFTISTS
Comment on:
The membership of Sukarno's 30-man
national council, recently submitted to
the Indonesian cabinet for approval, re=
portedly is heavily weighted with leftists;
including some suspected Communists,
two of 28 appointees so far named are
Moslem, and the four Christian appointees are under the con-
trol or influence of Sukarno. At least nine are strong leftists
or suspected Communists. The chiefs of staff of the three
armed forces and several persons whose affiliations are as
yet undetermined complete the list.
Sukarno reportedly selected the list in
consultation with Hanafi, pro-Communist head of the Ministry
for Rallying the People for Construction, who has been close
to Sukarno for well over a year.
Cabinet resistance to some of the appointees
can be expected. Although Sukarno has provided alternate choices
in a number of instances, it is probable that he will ignore any
such opposition and proceed to establish his council.
13 June 57
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ILItLT
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5. AFGHANS MAY ACCEPT WEST GERMAN OFFERS
FOR ECONOMIC DEVELOPMENT
During a recent trip to West Germany,
Afghan prime minister Daud discussed
with company officials the possibility of
the Siemens Company undertaking more
hydroelectric projects in Afghanistan,
Comment There have been numerous reports in
recent weeks that Afghan officials have
been dismayed by the prices asked by the USSR for the proj-
ects to be built under the $100,000,000 Soviet loan. Several
of the projects had been surveyed earlier by the Germans,
and the Afghans were shocked when the USSR charged several
times as much for resurveying the projects. Although the Af-
ghans were reluctant to object at first, they reportedly decided
to allow the USSR to construct only a part of the Kabul airport
when it asked nearly twice the price asked earlier by the Ger-
mans.
West Germany has been interested for some
time in resuming its prewar role in Afghanistan and concerned
about the Soviet economic drive there. It reportedly plans to
expand its technical assistance to $1,250,000 and offer a loan
of $15,000,000. Siemens has had extensive experience in Afghan-
istan and recently completed the Sarobi hydroelectric project
which more than doubled Afghanistan's generating capacity. While
the credit terms it reportedly has offered are not as attractive
as the Soviet terms, the Afghans may decide that this is more than
offset by lower prices charged.
13 June 57
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Erta
'vine
6. SUHRAWARDY VISIT TO AFGHANISTAN
APPARENTLY SUCCESSFUL
Prime Minister Suhrawardy's three-day
visit to Kabul appears to have been suc-
cessful, according to the American em-
bassy in Kabul. The two nations have
agreed to exchange ambassadors, which were 'withdrawn fol-
lowing the mob attack on the Pakistani embassy in Kabul in
March 1955, and to co-operate in the United Nations, which
Pakistan believes will result in Afghan support for Pakistan's
position on Kashmir. In addition, the countries agreed to
develop closer economic ties, and agreements on land and air
transit rights are to be negotiated in the near future.
In answer to Afghan prime minister Daud's
statement that Pushtoonistaxi is the only problem remaining
between the two countries, Suhrawardy pointed out that neither
he nor any pther Pakistani official could do anything about
Pushtoonistan until after the general elections tentatively
scheduled to be held in March 1958.
13 June 57
Current Intelligence Bulletin Page 8
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'JUL/ %Am. a.m." s
Name
SUMMARY
8 May - 12 June 1957
4�77 THE TAIWAN STRAIT
Report of the .IAC Current Intelligence Group
for the Taiwan Strait Problem
1. Referring to increased artillery fire in the Quemoy area
in May and to their firing on an unidentified ship near Quemoy on
31 May, Chinese Nationalist officials have asserted that there is in-
creased tension in the Taiwan Strait area. However, neither the
artillery fire nor the reported naval action is believed to reflect an
actual increase of tension. The artillery fire in May is not regarded
as excessive and was usually initiated by the Nationalists. The
tionalists, moreover, habitually fire on shipping in the Quemoy and
Matsu area.
2. A flight of four US carrier aircraft was fired on by Chinese
Communist antiaircraft artillery in the vicinity of Swatow on 12 June.
Only slight damage occurred to one aircraft and no personnel were
injured. The Chinese Communist action is believed to represent no
more than a routine defensive measure against unidentified and pre-
sumably hostile aircraft in the Taiwan Strait area.
� 3. The Chinese Nationalists have been extremely critical of
the British decision to relax controls on trade with Communist China
and have warned American officials of the danger of an incident should
British shipping attempt to enter Amoy or Foochow. In a Taipei
broadcast of 7 June, the Chinese Nationalist foreign minister is quoted
as warning that the policy of port closure will be maintained whether
or not the British escort their ships with naval craft. Two and possi-
bly three British-flag ships were fired upon while attempting to enter
Amoy harbor in May, and six motor junks, which the Nationalists claim
were of dual British and Chinese Communist registry, were captured
near Swatow on 2 June. Further incidents of this type may be ex-
pected.
4. The Chinese Communists have confirmed earlier reports
that the railway to Foochow will not be completed this year. They
13 June 57
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+MEd L.411.1:4
Name' Nog,'
have announced that the line will be extended only 70 kilometers
from Nanping in 1957. This construction would bring the line to
a point below the rapids on the Min River and permit the easier
transloading of supplies from the railroad to inland water craft
for onward shipment to Foochow.
5. Chinese Communist propaganda exploited the 24 May
riots on Taiwan fully, although propaganda on this subject has sub-
sided since the end of May. Peiping asserts that the riots were
part of the "struggle against US aggression" which is fully sup-
ported by the people on the mainland.
13 June 57
Current Intelligence Bulletin Page 10
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-StreftET-
CHINESE COMMUNIST AIRFIELD LEGEND: 12 JUNE 1957
DESIGNATIONS
PRIMARY AIRFIELD
CONSIDERED MOST IMPORTANT IN
AREA WITH PREPARED RUNWAY
GENERALLY 5000 FEET OR LONGER.
SECONDARY AIRFIELD
AUXILIARY OR EMERGENCY BASES
OR FIELDS OF LESSER IMPORTANCE.
RUNWAYS GENERALLY LESS THAN
5000 FEET.
ACTIVE BASE FOR MILITARY & CIVILIAN AIR-
CRAFT. SOME BASES USED BY PISTON TYPES
MAY BE USABLE BY JETS
�
OPERATIONAL
INACTIVE BASES CAPABLE OF USE BY AIRCRAFT
SERVICEABLE
CURRENT STATUS UNDETERMINED
UNKNOWN
USABILITY
MIG-15
MIG-17
TU-4
11-28
TU-2,
IL-10
LA-9/11 0
LI-2
ETC.
* FIELDS NOT CONSIDERED CAPABLE
OF SUPPORTING SUSTAINED OPER-
ATIONS AT PRESENT.
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28 CHANGSHA
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Hong Kong
22 acao (GB.)
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(Pont.)
114 116 118
32
SHANGHAI
"G.". IS.
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HINHUA
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WENCHOW0
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MATSUS
22,000
53,000 a WNGTIEN
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IAN
lirk CHIN GYAN G
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QUEMOY
84,000
PENGHU
16,000
A
120
28
26-
4UNGSHAN
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TAIPEI
HSINCHU
*TAICHUNG
* ILAN
24-
I W AN
HIAYI 310,000
AINAN
rTUNG
22 �
122
NAUTICAL MILES
100 150
510
50
100 150
STATUTF MILES
Railroad
-t--i- f +- Under construction or projected
*NATIONALIST AIRFIELD
Primary roads
Secondary roads
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