CENTRAL INTELLIGENCE BULLETIN - 1959/08/25

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 02989914
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 12
• Document Creation Date: February 25, 2020
• Document Release Date: February 27, 2020
• Publication Date: August 25, 1959

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�TOP�SECRET� 3.5(c)
3.3(h)(2)
25 August 1959
Copy No. C (i�i
CENTRAL
IYTELLIGENCE
BULLETIN
DOCUMENT NO.
NO CHANGE IN CLASS
I DECLASSIFIED
CLASS. CHANGED TO: IS S�C
NEX1 REVIEW DATE. 20L
IN;jAT144/H iStIREVIEWER
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NIS
25 AUGUST 1959
I. THE COMMUNIST BLOC
IL ASIA-AFRICA
Laos--French and British repre-
sentatives in Laos now believe
situation critical; Hammarskjold
suggests mediation formula to
Nehru.
Yemen-- The Imam's purge con-
tinues; Cairo considering with-
drawal of some experts in its train-
ing mission.
III. THE WEST
French schedule further reconnais-
sance flights over Libya.
Brazil�Riots over economic condi-
tions a possibility in Sao Paulo.
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DAILY BRIEF
I. THE COMMUNIST BLOC
II. ASIA-AFRICA
Laos: ie French military attach�n Laos has revised
his previous optimistic estimate of the military situation in
northeastern Laos and now believes the situation is critical.
The British ambassador too believes the situation has turned
critical during the past two weeks. Secretary General Hammar-
skjold, meanwhile, has sent a letter to Nehru suggesting that
the latter approach both Hanoi and Vientiane to work out a
formula calling for a "mediator who would be from a neutral
and non-Asian country!
(Page 1)
Yemen: The Imam is continuing his purge of dissident
and reformist elements, both civilian and military. The
Imam's attitude toward the UAR training mission is uncertain,
and Cairo is considering the withdrawal of some of its ex-
perts.
The American Legation in Taiz reports widespread dis-
may among Rules followers, and a number of Yemeni officials
have stated openly that there is "little hope for improvement of
the country as long as the Imam lives." (Page 3)
III. THE WEST
France-Libya: khe French Ministry of Defense has noti-
fied the US air attach�f plans for additional French Air Force
'V. reconnaissance flights over Libya to observe suspected Algerini
CENTRAL INTELLIGENCE BULLETIN
25 August 1959
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Ethel activity. The overflights, set for 26 August and 2
September, are to follow the same routes as those of 29
July and 5 August which apparently went unnoticed by the
Libyan Government-)
Brazif: Riots protesting the shortage of basic foods
and tle�co:Titinuing increase in the cost of living may erupt
In the industrial Sao Paulo area. The illegal Communist
Li party is probably ready to participate actively in any public
(br- disturbances. State police would have difficulty in control-
ling any large-scale riots and might have to summon army
help. (Page 4)
25 Aug 59
DAILY BRIEF
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I. THE COMMUNIST BLOC
IL ASIA-AFRICA
Situation in Laos
[The French military attache in Laos says that he has re-
vised his earlier optimistic appraisal of military developments
in northeastern Laos and now feels the situation is critical. The
British ambassador believes the situation in Sam Neua Province
turned critical during the past two weeks and that Communist
dissidence is expanding to the point where it is doubtful whether
the government can hold the provinces.
Pro-Communist refugees in northeastern Thailand are re-
ported to have crossed into Laos in small bands totaling several
hundred. These refugees may be used to foment unrest among
the more than 14,000 Vietnamese already estimated to be living
in southern Laos.
Press stories of "panic" in the royal capital of Luang Prabang
as a result of reports that rebels had probed to within 30 miles of
that city probably are greatly exaggerated. There have been re-
cent reports of some small-scale Communist activity in the east-
ern part of the province of Luang Prabang, and rumors of this
activity may have stimulated a few inhabitants of Luang Prabang
to flee the city.
25 Aug 59
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CENTRAL INTELLIGENCE BULLETIN
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If, as expected, the USSR turns down the British plan to
send a UN observer to Laos, London may suggest a joint UK-
Soviet proposal to the Laotian Government to recall the ICC.
Britain, anticipating Laos refusal, believes this move would
make clear that the only possible peaceful solution is through
the UN. As an alternative, London favors enlisting the "good
offices" of Nehru. UN Secretary General Hammarskjold wrote
to the Indian prime minister on 22 August suggesting that he
approach Hanoi and Vientiane in an effort to work out a formula
paving the way for the appointment of a "neutral" mediator who,
Hammarskjold feels, should probably not be Asian. Hammar-
skjoldis letter was the result of definite indications from the
Laotian emissary that discussions with Nehru would have more
chance of success than an approach through the Geneva cochair-
men.]
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25 Aug 59 CENTRAL INTELLIGENCE BULLETIN Page 2
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No,
Imam Continuing Purge in Yemen
The purge of dissident and reformist elements which the
Imam began immediately following his return from Italy ap-
pears to have developed into a sweeping roundup of the mil-
itary and civilians, including tribal elements and government
personnel. Many of these will probably be executed or at
least mutilated as the Imam threatened in his bloodthirsty
speech on 12 August. Some of the elements involved took part
in disturbances during the Imam's absence; some supported
the reformist program which was attempted by Crown Prince
Badr and which the Imam probably interprets as an attempt to
undercut his own authority.
The American Legation on 17 August reported rumors that
Wes followers are planning to flee the country. Yemeni of-
ficials are much concerned over possible changes by the Imam
and have openly stated that they have "little hope for improve-
ment of the country as long as the Imam lives." The government
machinery appears to be nearly at a standstill.
The Imam's attitude toward the UAR training mission is
uncertain, and Cairo is considering the withdrawal of some of
its experts.
25 Aug 59
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III. THE WEST
Brazilian Economic Unrest May Lead to Riots
Social unrest over the cost of living and shortages of staple
foods has mounted in the past week in industrial Sao Paulo and
could lead to strikes and riots which would probably be exploited
by the Communists, according to the American Consulate Gen-
eral. Sao Paulo states officials are concerned over the situation,
and the governor reportedly conferred with President Kubitschek
on 14 August about security measures,. The police would prob-
ably have difficulty controlling a mass demonstration and might
have to summon army reinforcements.
The cost of living in Sao Paulo increased over 17 percent
in the first five months of the year and probably rose even more
in July and August as a result of the food shortages. The fed-
eral government's emergency program to control prices and in-
crease food production, instituted last March, brought some
temporary relief but has not yet had a major impact on the sit-
uation.
A business recession in Sao Paulo and extensive unemploy-
ment in the construction industry are probably contributing to the
unrest. The American Embassy has reported growing public im-
patience in Rio de Janeiro with shortages and price increases, and
demonstrations have occurred in other cities.
The press has reported an announcement by the Brazilian
� Federal Price Control Agency that the government may take over
foreign-owned meat-packing firms in an effort to relieve the cur-
rent shortage of meat. This threat is probably intended partly to
divert attention from other more serious basic shortages, as well as
to force the meat-packing companies to resume operations under
government price controls.
Protests over the cost of living and the business recession
will probably reinforce President Kubitschek's reluctance to adopt
an austerity program as a basis for reopening loan t lks with the
International Monetary Fund. Brazil's dollar receipts were unex-
pectedly high in July, but a new foreign-exchange crisis is likely
within a few months.
25 Aug 59
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�SWAMI
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CORRECTION: In the Central Intelligence Bulletin of 22 Au-
gust 1959, change the last sentence of the first paragraph of
Item_1Pae1 "CIges in Soviet Closed Areas," as follows
The Arctic city of Vorkuta, notorious as a major forced-
labor camp during the Stalinist period, is the site of a
Soviet civil airfield suitable for some Long Range Air
Force use and is on the rail line to Polyarny Ural, a lo-
cation suspected of being associated with the program for
producing intercontinental ballistic missiles and earth
satellite vehicles.
25 Aug 59 CENTRAL INTELLIGENCE BULLETIN Page 5
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Noe 1110"'
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
If ice of Defense and Civilian Mobilization
Director, National Aeronautics and Space Administration
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 Army
Director of Naval Intelligence, Department of Navy
Assistant Chief of Staff, Intelligence, Department of the Air Force
Supreme Allied Commander, Europe
Commander in Chief, Pacific
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
CONFIDENTIA L
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