CENTRAL INTELLIGENCE BULLETIN - 1958/02/08

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03188697
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 17
• Document Creation Date: January 27, 2020
• Document Release Date: January 30, 2020
• Publication Date: February 8, 1958

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8 February 1958
SC No. 01022/58 i
Copy No. 13?
CENTRAL
INTELLIGENCE
BULLETIN
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8 FEBRUARY 1958
I. THE COMMUNIST BLOC
Peiping proposes to negotiate
withdrawal of Chinese troops from
North Korea.
USSR - LRAF Arctic tartieal Pxered e
Probably under way.
II. ASIA-AFRICA
Foreign Secretary Lloyd flying to
Athens in effort to avert Cyprus
violence.
Syrian Communists preparing to
go underground.
Israelis apparently easing pressure
along Syrian border.
Stepped-up campaign against British
in Aden Protectorate likely to result
from Yemeni federation with Egyptian-
Syrian union.
Tunisia - President Bourguiba makes
bid for more liberal economic aid.
e
Spain's West African offensive apparently
not to begin before mid-February.
Afghanistan has used one third of Soviet
bloc economic credits.
THE WEST
French Government again faces
critical period as assembly
considers constitutional reforms.
West German cabinet concerned
over relations with Britain.
Haiti - Army Chief of Staff Kebreau
may take advantage of cabinet crisis
to oust President Duvalier.
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CENTRAL INTELLIGENCE BULLETIN
8 February 1958
DAILY BRIEF
I. THE COMMUNIST BLOC
Korea: Peiping has announced that it proposes to
"brea�trie deadlock" in Korea by negotiating the with-
drawal of Chinese troops with the North Korean regime.
The declaration, which calls on the US and the UN simi-
larly to initiate the withdrawal of UN troops from South
Korea, has been sent to Britain and member governments
of the Neutral Nations Supervisory Commission. Chou
En-lai will head a government delegation to North Korea
the middle of this month. The Communists may at
that time announce an agreement whereby Chinese Com-
munist troops will be withdrawn from Korea, probably in
some phasing contingent upon parallel UN action.
(CONFIDENTIAL) (Page 1)
Soviet Arctic air activity: As a result of Soviet Air
Force operations on 6 and 7 February, at least 15 and pos-
sibly 18 BADGER jet medium bombers have deployed to
Arctic bases. Fifteen of the aircraft,from First Long
Range Air Army units based at Bobruysk and Gomel/
Pribytki,flew from Belaya to Tiksi. Three others, pos-
sibly, from Long Range units in northwestern USSR, were
noted landing at Ostrov/Gofmana in the Franz Josef group.
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Since late autumn there has been evidence thtt some type
of Soviet Long Range tactical exercise was being planned
in the Arctic area, and this movement is probably the
initial phase. See map)
II. ASIA-AFRICA
rus: Foreign Secretary Lloyd is flying to Athens
on 10 February in an apparent last-minute effort to reach
an interim agreement-with Greece regarding Cyprus and
thus to forestall renewed violence on the island. However,
despite efforts by Greek officials and Archbishop Makarios
to restrain EOKA, this underground organization has pub-
licly proclaimed that it must resume a violent struggle for
self-determination. (SECRET NOFORN)
Syrian Communists: The Syrian Communist party is
preparing to go underground, following the establishment
of Egyptian-Syrian union. Party leader Bakdash departed
with his family for Moscow on 6 February amid reports
that party members were criticizing his leadership. The
Syrian Communists have considerable experience in under-
ground operation; the party has been technically illegal
for several years and was suppressed by the Shishakli re-
gime. (SECRET NOFORN) (Page 2)
Israeli-Syrian border: Tension along thelsraeli-
Syrian border may ease temporarily since the Israeli
police wild troops in the vicinity of the northern demili-
tarized zone now appear to be less aggressively disposed.
Some Israeli artillery in the border area has been with-
drawn, and a reconnaissance of northern Israel has not
revealed concentrations of armor or personnel carriers
which usually have accompanied preparations for a retal-
iatory raid. However, an incident resulting in renewed
tension is possible at any time. (SECRET NOFORN)
8 Feb 58
DAILY BRIEF
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Yemen and Egyptian-Syrian union: Agreement between
Crown Prince Badr and Nasir on basic principles of federa-
tion of Yemen's monarchy with the Egyptian-Syrian union
will probably lead to a stepped-up campaign to drive the
British from the Aden Protectorate. Details of Yemen's ad-
herence, which would primarily involve cooperation in the
military and economic field, are being worked out by a highrankin Yemeni committee in Cairo.
(Page 3)
Tunisia: Tunisian President Bourguiba hinted in a
radio speech on 6 February tlitt his government was again
reassessing its pro-Western orientation in light of its in-
ability to obtain essential economic aid. In an obtrious bid
for more liberal economic aid from the West, he contrasted
the recent Soviet offer at Cairo to give underdeveloped coun-
tries aid "without strings" with problems created by the sus-
pension of French credits.
Tunisia arid the USSR may soon exchange ambassadors.
(CONFIDENTIAL) (Page 4)
Spanish West Africa:: New clashes between Spanish troops
and Army of Liberation irregulars have occurred in Ifni, but
the planned Spanish offensive to destroy guerrilla concentra-
tions throughout Spanish West Africa will apparently' not be-
gin before mid-February. (SECRET NOFORN)
Bloc aid to Afghanistan: Afghanistan has received $158, -
191,000 in credits from the Soviet bloc since 1954, according
to an official Afghan listing. Kabul has used about one third
of the total to date. It has used the $32,391,000 in arms aid
supplied by the USSR and Czechoslovakia, and has spent about
$20,000,000 in economic assistance. (CONFIDENTIAL)
(Page 5)
8 Feb 58 DAILY BRIEF iii
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III. THE WEST
France: Premier Gaillard faces his most serious
threat of overthrow to date when the National Assembly
takes up his constitutional reform proposals on 11 Feb-
ruary. With the Algerian statute and foreign financial
aid issues out of the way, the deputies will probably be
more inclined than previously toward an all-out attack on
his plan to strengthen the executive at the expense of as-
sembly prerogatives. Gaillard may not survive if he
maintains an inflexible position on his reform proposals.
(CONFIDENTIAL)
West Germany - Britain: The West German cabinet
devoted most of its 5 February meeting to discussing the
state of Anglo-German relations, expressing particular
concern over the effects of the French-German-Italian
weapons production agreements on these relations. The
cabinet agreed to continue efforts to cooperate with Lon-
don on the projected free trade area.
(Page 6)
Haiti: Army Chief of Staff ICebreau has for some time
been working to undermine President Duvalier and may take
advantage of an impending cabinet crisis to oust him. The
breaking point for Duvalier's government may be the threat-
ened resignation next week of the interior minister, who is
also defense minister. He is accused of implication, in
an alleged plot against Kebreau by several high army of-
ficers recently arrested. (SECRET)
8 Feb 58
DAILY BRIEF lv
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CONF IAL
I. THE COMMUNIST BLOC
Communists Renew Bids for Korean Settlement
Peiping has announced its readiness to "break the
deadlock" in Korea by negotiating the withdrawal of
Chinese troops with the North Korean regime, and has
announced that Chou En-lai will head a government dele-
gation to North Korea in the middle of this month. Chou
and the North Koreans may announce an agreement on
Chinese withdrawal in a formulation made contingent on
parallel departure of UN forces.
In an effort to develop international support for Com-
munist proposals on Korea, Peiping transmitted its an
in notes to the UK and member governments
of the :Nedtral Nations Supervisory Commission. The
Chinese have asked the British to forward the 'note to
other governments which have provided troops for the
UN forces in Korea.
Peiping and Pyongyang have criticized recent moves
to strengthen UN forces in South Korea but have refrained
from statements suggesting an ultimatum. The senior bloc
delegate to the Military Armistice Commission noted on 1
February that the armistice is still maintained "thanks to
the unstinted efforts" of the Communist side, and that US
maneuvers cannot "alarm the Korean people."
On 5 February, Pyongyang issued a formal statement
which repeated standard Communist proposals including
simultaneous withdrawal of all foreign troops from Korea
grid unification elections supervised by a "neutral" nations
body. The Communists remain adamant against UN-super-
vised Korean elections. (CONFIDENTIAL)
8 Feb 58
CON
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IL ASIA-AFRICA
Syrian Communist Party Planning to Go Underground
The Syrian Communist party, rent with dissension
over the position to be taken toward the Syrian-Egyptian
union, is preparing to go underground out of fear of sup-
pression by Nasir. Long-time party leader Bakdash, who
absented himself from the Syrian Parliament's vote for
union with Egypt, left for Moscow with his family, on 5
February, probably for a long stay. Some Syrian Commu-
nists have asserted that Bakdash is no longer the party's
spokesman, criticizing his leadership and attitude, spe-
cifically his earlier endorsement of the union and the de-
cision to go underground.
The Syrian Communists have had considerable ex-
perience with underground operations, since the party
is already technically illegal and has undergone active
suppression by previous Syrian regimes. The party's
strength is estimated at 10,000, but by Western stanth.
ards its organization is weak. Bakdash has been the
only strong leader, and his absence at this time may
weaken the party's influence in Syria. (SECRET NO-
FORN)
8 Feb 58
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Yemeni Affiliation With Nasir's New State Presages
Stepped-up Drive on British in Aden Protectorate
Agreement between Crown Prince Badr and Nasir
on basic principles of confederation of Yemen's monarchy
with the proposed Egyptian-Syrian union willi..robaply le d to
a stepped-up Yemeni campaign against the British in Aden
Protectorate. The Imam has already proposed: following
an unsuccessful attack on a British force on 10 January,
to invoke the 1956 defense pact with Egypt. Syria. and
Saudi Arabia. movement
of reinforcements to tnree Key points along the Aden Pro-
tectorate frontier indicate that Yemen intends to step up
its campaign of intimidation and subversion among the pro-
tectorate tribes. Since Saud's influence over the Imam is
fading rapidly, and he is wary of risking military involve-
ment with the British, the field would be virtually open to
Egyptian and Soviet bloc exploitation.
A major consideration for Nasir may be his desire to -
block any extension of Soviet influence in Yemen which
could threaten his own ultimate ascendancy there. Yemen,
on the other hand, appears primarily seeking merely to
obtain a variety of free services and to involve Egypt in its
growing hostilities with the British in Aden.
8 Feb 58
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CON TIAL
Tunisian President Hints He May Seek Soviet Economic
Assistance
Tunisian President Bourguiba hinted in a radio address
on 6 February that his government was again assessing its
pro-Western orientation in light of its inability, to obtain
adequate economic aid. In an obvious bid for more liberal
economic assistance from the West, he contrasted the re-
cent Soviet offer of aid "without strings" made at the Afro-
Asian Solidarity Conference in Cairo in December with the
prolonged suspension of French credits.
Other Tunisian officials state that the government is in
a desperate financial plight and faces a crucial unemployment
situation involving one third of the country's labor force. They
feel the limited American aid, designed to supplement French
economic assistance, is inadequate to meet the situation.
Austerity measures were imposed nine months ago when prom-
ised French assistance was suspended; only a trickle of French
aid has since been released.
Two Soviet trade representatives are now in Tunis and may
be able to exploit the atmosphere of desperation prevailing in
Tunisian aovartirintit circles.
a perma-
nent Soviet trade delegation would probably be established in
Tunis and that it as "not beyond the bounds of possibility that
before long the Soviet and Tunisian governments would exchange
ambassadors."
CONF1B1INTIAL
8 Feb 58
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CONFJ13E1VTIAL
Afghanistan Reveals Foreign Debt Obligations
The Afghan Government officially informed the US Em-
bassy in Kabul on 2 February that Afghanistan has received
$213, 058,000 in foreign loans, of which $158, 191,000 was ex-
tended by the Soiriet bloc and the remainder by the West. The
government stated that the total included 1956 arms agreements
with, the USSR and Czechoslovakia for $25,000,000 and $7, 391, -
000 respectively, and that the whole amount of these loans has
been expended.
An estimated $20,000,000 of the Soviet bloc economic
credit has already been utilized. Kabul has stated that it
intends to use the remainder of these loans during its Five-
Year Plan (1956-61), but admits that present foreign com-
mitments will permit it to implement only two thirds of the
plan. According to the Afghan Government, annual principal
and interest payments will rise in six years from $7, 500,000
in the current fiscal year to $16, 300,000. Afghanistan will
find it difficult to meet the increased payments from its for-
eign exchange 'earnings unless it implements its economic
development program more rapidly than appears likely.
(CONFIDENTIAL)
AL
8 Feb 58
t^ELITD AU MATE' I inobar-0 DI II I C7116.1 Page 5
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SECRET
THE WEST
Bonn Cabinet Disturbed Over Anglo-German Relations
The cabinet expressed particu-
lar concern over effects on Britain of the French-German-
Italian weapons production agreements, which the Defense
Ministry, representative defended on the ground that Lon-
don's disregard for Anglo-German arms cooperation pro-
posals had left no alternative. The cabinet agreed to con-
tinue efforts to cooperate with London on the projected
free trade area.
SECRET
8 Feb 58
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C.4115.1. TA" I I AZ11.1.4
DISTRIBUTION
THE THE PRESIDENT
The Vice President
Executive Offices of the White House
Special Assistant for National Security Affairs
Scientific Adviser to the President
Director of the Budget
Office of Defense Mobilization
Special Assistant for Security Operations Coordination
Operations Coordinating Board
Board of Consultants on Foreign Intelligence Activities
Special Assistant for Foreign Economic Policy
The Treasury Department
The Secretary of the Treasury
The Department of State
The Secretary of State
The Under Secretary of State
The Deputy Under Secretary for Political Affairs
The Deputy Under Secretary for Administration
The Deputy Under Secretary for Economic Affairs
The Counselor
Director, International Cooperation Administration
Director of Intelligence and Research
The Department of Defense
The Secretary of Defense
The Deputy Secretary of Defense
The Secretary of the Army
The Secretary of the Navy
The Secretary of the Air Force
The Chairman, The Joint Chiefs of Staff
Commandant, United States Marine Corps
The Director, The Joint Staff
Chief of Staff, United States Army
Chief of Naval Operations, United States Navy
Chief of Staff, United States Air Force
Assistant to Secretary of Defense for Special Operations
Deputy Director for Intelligence, The Joint Staff
Assistant Chief of Staff, Intelligence, Department of the Army
Director of Naval Intelligence, Department of the Navy
Assistant Chief of Staff, Intelligence, Department of the Air Force
Supreme Allied Commander, Europe
Commander in Chief, Pacific
Federal Bureau of Investigation
The Director
Atomic Energy Commission
The Chairman
National Security Agency
The Director
National Indications Center
The Director
United States Information Agency
The Director
Pflit7 WITT A T
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I** TOP RET EIDER w
CENTRAL INTELLIGENCE BULLETIN
8 February 1958
DAILY BRIEF
I. THE COMMUNIST BLOC
Korea: Peiping has announced that it proposes to
"break TE deadlock" in Korea by negotiating the with-
drawal of Chinese troops with the North Korean regime.
The declaration, which calls on the US and the UN simi-
larly to initiate the withdrawal of UN troops from South
Korea, has been sent to Britain and member governments
of the Neutral Nations Supervisory Commission. Chou
En-lai will head a government delegation to North Korea
the middle of this month. The Communists may at
that time announce an agreement whereby Chinese Com-
munist troops will be withdrawn from Korea, probably in
some phasing contingent upon parallel UN action.
(CONFIDENTIAL) (Page 1)
Soviet Arctic air activity: As a result of Soviet Air
Force operations on 6 and 7 February, at least 15 and pos-
sibly 18 BADGER jet medium bombers have deployed to
Arctic bases. Fifteen of the aircraft,from First Long
Range Air Army units based at Bobruysk and Gomel/
Pribytki, flew from Belaya to Tiksi. Three others, pos-
sibly, from Long Range units in northwestern USSR, were
noted landing at Ostrov/Gofmana in the Franz Josef group.
Since late autumn there has been evidence mkt some type
of Soviet Long Range tactical exercise was being planned
In the Arctic area, and this movement is probably the
Initial phase.
Bloc aid to Afghanistan: Afghanistan has received $158, -
191,000 in credits from the Soviet bloc since 1954, according
to an official Afghan listing. Kabul has used about one third
of the total to date. It has used the $32,391,000 in arms aid
supplied by the USSR and Czechoslovakia, and has spent about
$20,000,000 in economic assistance. (CONFIDENTIAL)
(Page 51
France: Premier Gaillard faces his most serious
threat of overthrow to date when the National Assembly
takes up his constitutional reform proposals on 11 Feb-
ruary. With the Algerian statute and foreign financial
aid issues out of the way, the deputies will probably be
more inclined than previously toward an all-out attack on
his plan to strengthen the executive at the expense of as-
sembly prerogatives. Gaillard may not survive if he
maintains an inflexible position on his reform proposals.
(CONFIDENTIAL)
\,
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Haiti: Army Chief of Staff Kebreau has for some time '1�
been working to undermine President Duvalier and may take \\\N
advantage of an impending cabinet crisis to oust him. The
breaking point for Duvalier government may be the threat-
ened resipation next week of the interior minister who is
\st.
also defense minister. He is accused of implication in
7 -
an alleged plot against Kebreau by several high army of-
ficers recently
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