CENTRAL INTELLIGENCE BULLETIN - 1959/02/07

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03023220
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 14
• Document Creation Date: February 25, 2020
• Document Release Date: February 27, 2020
• Publication Date: February 7, 1959

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7 February 1959
Copy No. C 63
CENTRAL
INTELLIGENCE
BULLETIN
DOCUMENT NO.
NO CHANGE IN CLASS
DECLASSi:=IED
Ct_Af>3. C; IANGED TO
NtA iREVIEW DATE: . fAcp 2
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DATE11- REVIEWER:
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7 FEBRUARY 1959
I. THE COMMUNIST BLOC
Chinese Communist deputy foreign
minister will head delegation to
Cairo on mission which UAR am-
bassador describes as "very im-
portant."
Iraqi delegation scheduled to visit
Moscow to hold further talks on eco-
nomic and technical cooperation.
II. ASIA-AFRICA
Iraq - Qasim
prepared to accept resignations of
four ministers and readarnei a
Communist to cabinet.
Official silence in Tehran on nego-
tiations with USSR.
1
417 A i\
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4
0 Saudi director of petroleum affairs
hints at strong measures in cam-
paign to extract more revenue from
ARAMCO.
� Ruler of Kuwait cracks down on lead-
ers of local reform and n,ationalist
movements.
0 Laos - Government considering de-
nunciation of Geneva agreement.
T-OP-SE�RET
III. THE WEST
Colombia - Supporters of ex-dictator
Rojas reported to be planning disor-
ders for 7 February.
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CENTRAL INTELLIGENCE BULLETIN
7 February 1959
DAILY BRIEF
L THE COMMUNIST BLOC
Communist China - UAR: A Chinese Communist For-
eign Ministry delegation headed by a vice minister will leave
on 9 February for a visit to Cairo, with stops in Rangoon
and New Delhi. The UAR ambassador in Peiping assessed
the visit as "very important," and one which would probably
affect Peiping's policy toward Cairo.
(Page 1)
USSR-Iraq: An Iraqi delegation is schedulea to visit
the Soviet Union shortly to hold further talks on economic
and technical cooperation. The Soviet economic and techni-
cal assistance mission, which since early January had been
discussing Soviet participation in Iraq's new development
program, has now left Baghdad for Moscow. The Soviet mis-
sion reportedly has quotedoffers to 1aghdad below Western
bids on certain projects. (Page 2)
II. ASIA -AFRICA
Iraq: Prime Minister Qasim may be prepared to accept
the resignation of the four anti-Communist cabinet ministers.
There are rumors in Baghdad that Qasim has refused to AP-
cept the resignations
Qasim is contem-
ent oi at leastone Communist to the cab-
inet. He is also reported to be considering the appointment of
two divisional commanders to cabinet ppsts7-one Qasim sup-
porter, the other an anti-Communist. Kamil Chadirchi, leftist
leader of the National Democratic ,party and Qasim's close ad-
viser, is expected to agree to the cabinet changes. This may
precipitate attion by anti-Qasim elements in the army to fore-
stall such a move.
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Iran-USSR: The silence surrounding official circles in
Tehran suggests that the Soviet-Iranian treaty negotiations are
rtnfiniiincr rinQnitra rpnnrts that a hrpairanwn was imminent
Saudi Arabia: (The Saudi director of petroleum affairs,
Abdullah Tariki, has made his strongest criticism of ARAMCO
to date. In his campaign to extract larger profits from
ARAMCO, Tariki hints that Saudi Arabia will conclude more
favorable concession agreements with other companies and
is thinking of such measures as "closing" ARAMCO for a month
in order to dramatize Saudi demands. Tariki hinted
to the American Embassy that Saudi action against
ARAMCO must await other developments, notably a substan-
tial improvement in the Saudi Government's financial position:I
(Page 3)
Kuwait: Following antimonarchical speeches and anti-
Iraq demonstrations during the 1 February holiday celebrat-
ing the founding of the UAR, the Ruler of Kuwait has moved to
curb reformist and nationalist elements by suspending two local
journals and closing down four of the leading political "clubs."
Leading nationalists have had their passports taken up; some
have been discharged from government jobs; and at least one
has been arrested. These actions are in contrast to recent in-
dications that he intended to appease radical Arab nationalism.
(Page 5)
Laos The Laotian Government is favorably considering
a denunciation of the 1954 Geneva Agreement, primarily be-
cause of the restrictive military provision which prevents ac-
ceptance of American military training facilities. North
Vietnam would regard such a step as a potential threat to its
security as well as a danger to the Laotian Communist move-
ment, and would probably react with strong propaganda and
official protests and possibly increased military pressure on
the border."1
CI
7 Feb 59
DAILY BRIEF ii
II
VA
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III. THE WEST
Colombia: Disorders, including assassinations of gov-
ernment officials, are reportedly planned by supporters of
ousted dictator Rojas for 7 February. Assistant Secretary
Rubottom is to arrive in Bogota on that day. Recent disturb-
ances have often included an anti-American theme.
(Page 6)
7 Feb 59
DAILY BRIEF iii
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I. THE COMMUNIST BLOC
Peiping Vice Foreign Minister to Cairo
A Chinese Communist Foreign Ministry delegation headed
by a vice foreign minister, Chang Han-fu, will leave Peiping on
9 February for a visit to Cairo. stamina. in Rangoon and NAW
Delhi on the way.
UAR ambassador in Peiping assessed the visit as "very im-
portant because we have observed indications of changes in their
relations with us recently and I expect China's policy vis-a-vis
the UAR will be defined as a result of this visit."
In the past few months there have been some signs of cool-
ness in Peiping's attitude toward the UAR. These include recent
opposition to the UAR's invitation of Yugoslavia to the Afro-Asian
Youth Conference and the rebroadcast in December of a speech
by Syrian Communist leader Khalid Bakdash critical of Nasir's
regime.
While Peiping's early January reporting of Nasir's anti-Com-
munist campaign contained subtle criticism of the program, no
Chinese Communist leader has thus far made remarks as strong
as the comments of Khrushchev and several other speakers at the
Soviet party congress. This silence may be intended to establish
a favorable climate within which Chang could attempt to preclude
any serious Sino-UAR discord resulting from Moscow's harder
line toward Cairo.
Part of Chang's assignment probably includes an effort to
offset any anti-Chinese opinions expressed by Tito on his exten-
sive tour. Chang's brief stops in Rangoon and New Delhi may
be intended to reassure his hosts of Peiping's continued interest
in finding a solution to unresolved border problems.
7 Feb 59
TOP-SfeRET
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Soviet-Iraqi Economic Aid Talks
An official Iraqi delegation is to visit Moscow shortly
to hold further talks with Soviet authorities on economic
and technical cooperation. This suggests that Baghdad has
decided to accept the preliminary offers of Soviet assist-
ance. The Sovietieconomic mission, which recently re-
turned to Moscow, after several weeks of exploratory talks
in Baghdad, apparently offeted to implement 20 of the 50
projects in the new Iraqi development plan, possibly includ-
ing a steel plant and a tire factory. It also reportedly of-
fered to drill for oil in Iraq's offshore areas.
The Soviet bids were reported to average 20 percent
less than Western bids to make up for the fact that Soviet
delivery schedules for material will take up to a year longer
than those proposed by Western firms. Recent conditions
imposed by Iraq on contractors bidding for development
projects are makini increaingly difficult for Western
firms to compete.
SECRET
7 Feb 59
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lanwe
II. ASIA-AFRICA
New Saudi P'ressure on ARAMCO Indicated
CT-he Saudi Arabian Government's difficulties in strengthen-
ing its finances by reducing allotments to the royal family are
likely to result in increased pressure on the Arabian-American
Oil Company (ARAMCO) to step up production to furnish addi-
tional revenues. Abdulla Tariki, the strongly nationalist direc-
tor of petroleum affairs, has already indicated a desire to
secure changes in the concession agreement, which he charged
was "rigged" to maximize profits for ARAMCO's four parent
companies in the United States which really make ARAMCO's
policies. Tariki also indicated that he was considering open-
ing discussions with German and Italian oil companies for con-
cessions in the highly promising preferential zone, implying
suspicion that ARAMCO's parent companies had discouraged
other American oil companies from showing interest in meet-
ing Saudi terms for concessions in this area. He added that
the results of Venezuelan efforts to extract better terms from
foreign oil companies would strongly influence the action of
Arab countries)
LTariki admitted that drastic Saudi action against ARAMCO
would not be possible until the country's finances had been fur-
ther strengthened, the international oil companies' virtual con-
trol of world oil markets broken, and sufficient Arab technicians
trained. He intimated, however, that ARAMCO must be induced
to relinquish vast unused areas of its concession for reassign-
ment to other companies. The Saudis seek new agreements
which will permit unrestricted sale of oil and give them a share
of the profits from its transportation and retail sale. While
Tariki has apparently rejected the idea of nationalization in
the near future, he did suggest that he was thinking of such
measures as "closing ARAMCO for a month" to dramatize
Saudi demands;)
-1�ariki's complimentary references to Crown Prince Faysal
during the discussion suggest that he believes Faysal is recep-
tive to the idea of applying pressure for changes in the concession--
SECRET
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vow
Cagreement. Saudi criticism of ARAMCO during the recent
budget crisis took note of the fact that during 1958 oil pro-
duction in Saudi Arabia increased only slightly, while the
output in other major oil-producing countries
ran significantly ahead of the previous yeaG
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Now
Kuwaiti Ruler Curbs Nationalist Activity
The Ruler of Kuwait has ordered a crackdown on reform-
ist/nationalist activity as a consequence of demonstrations
against the ruling family and a series of anti-Iraqi disorders
during the celebration of the first anniversary of Egyptian-
Syrian unity on 1 February. On 3 February the police were
ordered to suspend two local weekly newspapers and to close
the four most politically active Kuwaiti "clubs," which in the
absence of political parties or representative government are
the focus of reformist/nationalist activity. By the next day
passports had been withdrawn from the seven most influential
nationalist leaders, some of whom were discharged from gov-
ernment jobs and at least one of whom was arrested. These
sudden moves will probably intensify nationalist hostility toward
the Ruler. He has been trying to appease nationalist sentiment
by giving evidence of interest in association with the Egyptian-
dominated Arab League and Arab Development Bank and by
permiting a visit to Kuwait by the commander of the UAR First
Army.
The disturbances in Kuwait were made possible by pro-
UAR Deputy Ruler Abdulla Mubarak, who proclaimed 1 Feb-
ruaryvas aholiday in an apparent bid for reformist/nationalist
favor. The anti-Qasim tone of the celebrations, and similar
views in the nationalist press, strongly suggests Egyptian in-
spiration. A prominent Egyptian radio announcer, present at
the principal nationalist rally, bitterly criticized anti-Nasir
Arab leaders and addressed the crowd as the "owners" of
Kuwait.
CONPIDENTIA L
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III. THE WEST
Disorders in Colombia May Coincide With Assistant Secretary
Rubottom's Visit
Rioting, assassination attempts, and an explosive political
revelation may take place during Assistant Secretary Rubottom's
visit to Bogota which begins early on 7 February.
Followers of ousted dictator Rojas may attempt to cause dis-
orders in Bogota on 7 February, and top Colombian Government
officials have been warned of possible assassination efforts.
Coincidentally the Communist student organization has called
for a renewed protest demonstration against a bus-fare increase.
Recent demonstrations over bus fares have often included an anti-
Yankee theme.
During the same period Rojas, in his testimony before the
Senate, may try to prove that Laureano Gomez�currently Colom-
bia's most important political figure after President Lleras--was
behind the murder of Jorge Gaitan. The Gaitan murder sparked
the bloody Bogota riots of 1948 and, since Gaitan is still the hero
of Colombia's poor, evidence purporting to implicate a current
political leader would be explosive.
7 Fe' 59
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�004
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 and Civilian Mobilization
Special Assistant for Security Operations Coordination
.Board of Consultants on Foreign Intelligence Activities
Special Assistant for Foreign Economic Policy
Executive Secretary, National Security Council
The Treasury Department
The Secretary of the Treasury
The Department of State
The Secretary of State
The Under Secretary of State
The Under Secretary of State for Economic Affairs
The Deputy Under Secretary for Political Affairs
The Deputy Under Secretary for Administration
The Counselor
Director, International Cooperation Administration
The Director of Intelligence and Research
The Department of Defense
The Secretary of Defense
The Deputy Secretary of Defense
Assistant Secretary of Defense for International Security Affairs
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
Director for Intelligence, The Joint Staff
Assistant Chief of Staff for 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
The Department of the Interior
The Secretary of the Interior
The Department of Commerce
The Secretary of Commerce
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
CONFIDENTIAL
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