CENTRAL INTELLIGENCE BULLETIN - 1960/06/15

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03189336
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 15
• Document Creation Date: March 17, 2020
• Document Release Date: March 26, 2020
• Publication Date: June 15, 1960

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15 June 1960
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15 JUNE 1960
I. THE COMMUNIST BLOC
Pravda articles of 12 and 13 June strong-
ly condemn Peiping's policies and provide
good evidence of Khrushchev's strong po-
sition in Moscow. 0
Movements of Sibir-class ships suggest
preparation for new Soviet missile shots
to extended ranges.
II. ASIA-AFRICA
Japan--Major political parties may call
a truce and support plans for welcoming
President Eisenhower, but Communists
planning to incite violence.
High Cambodian official hints that dis-
putes with Saigon may lead his govern-
ment to accept North Vietnamese diplo-
matic representation.
Pakistani-Indian negotiations on division
of Indus waters hit last-minute snag.
Iraq--Coup rumors circulate as revolu-
tion's second anniversary approaches;
military support for regime is strong. 0
�Saudi Arabia--Struggle between King and
crown prince for control of government
continues.
ArN irt nr,
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TOP SECRET
CENTRAL INTELLIGENCE BULLETIN
15 June 1960
o Ye.
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DAILY BRIEF
I. THE COMMUNIST BLOC
USSR-China: The 'continuing Sib-Soviet polemic over the
proper tactics to be pursued toward the United States has
brought forth from the Soviet side the most sweeping and ex-
plicit condemnation to date of Chinese internal and foreign pol-
icies. Pravda's strongly worded affirmation of Khrushchev s
pre- surEEIFFilicies on 12 andl3June will make it clear to the
Chinese leaders that they must now choose between increas-
ing condemnation from Moscow and adjustment to Soviet posi-
tions. Publication of these authoritative statements is the best
recent evidence that Ithrustichev is firmly in control in Moscow
and serves notice to any critics at home or in the satellites that
support fnr thin ninrch inrria ssive Chinese line will not be tol-
erated. (Page 1)
USSR: The departure on 12 June of the Sibir-class instru-
menratiori ships from Petropavlovsk suggests preparations for
a new group of Soviet missile shots to extended ranges. Early
on 14 June three of the ships were located some 500 nautical
miles south-southeast of Petropavlovsk.
the differently configured fourth
snip eitner naa already departed or would soon depart from
Petropavlovsk.
The ships spent several days at sea and took part in at
least two practice exercises prior to the first valid launch at-
tempt in the previous two groups of launchings, last October and
January. There is no indication yet of the area to which the ships
are going or of the timing of any, forthcoming event involving them
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II. ASIA-AFRICA
Japan: There is a possibility, that the major political par-
ties may call a truce and support plans for an enthusiastic
welcome for President Eisenhower. Extreme left-wing ele-
ments led by the Communists, however, are planning to incite
students and labor unionists to acts of violence when the Pres-
ident arrives. The Japanese police are engaged in rounding up
many of the radical leaders and agitators, and are making elab-
orate preuarations for safeguarding the President
Luarnaoma: A trignivatimodian oItica1 ha S hinted that his
government might accept North Vietnamese diplomatic repre-
sentation as a result of its disputes with South Vietnam, in par-
ticular those over several small islands in the Gulf of Siam. A
semi-official Phnom Penh newspaper states that Saigon's latest
note on this matter clearly reveals its "policy of expansion" and
warns of the "incalculable conseauences" of any attack on Cam-
bodian soil. (Page 3)
CPakistan-India: Negotiations on the division of waters in the
Indus River basin appear to have hit a last-minute snag. Pak-
istani and Indian representatives cannot agree on how much water
India is to supply Pakistan while diversionary canals are being
built. It now seems unnkely that the long-awaited treaty will be
signed in late June as had been hoped; both sides, however, con-
tinue to regard a settlement as essential to their development
plans, and a solution will probably be reached.
(Page 4)J
Iraq: Party rivalries are increasing and Communist com-
plaints of discrimination by the regime continue. Military sup-
port for Qasim appears to be strong. Rumors of trouble, or even
a coup, on 14 July�the second anniversary of the revolution�are
circulating in Baghdad much as they did a year ago.
UAR support of anti-Com-
munist groups in Iraq continues at a low level; there is no indica-
tion that Cairo is planning to sunnort a mo e against Qasim in the
immediate future. (Page 5)
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Saudi Arabia: King Saud and Crown Prince Faysal continue
to maneuver for dominance of the government. Faysal, who three
0
weeks ago called off a trip for medical treatment abroad when the
King refused to accept his recommendations for an interim admin-
istration, now is reported to be determined to remain in Saudi
3 Arabia. The struggle may seriously weaken the position of the
� dynasty. Officials of the Arabian-American Oil Company are con-
, ;
cerned that continuation of the quarrel may result in new, unreal-
istic demands on the company. (Page 6)
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DAILY BRIEF iii
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CONFIDENTIAL
Vir
Pravda Counters Peiping's Criticisms
Pravda's strongly worded reaffirmations of Khrushchev's
policies of "peaceful coexistence," summit meetings, and tac-
tical compromises with the West, published on 12 and 13 June,
are sharp, if oblique, attacks on Chinese foreign and internal
policies. The 12 June article, ostensibly a review of Lenin's
book "Left-Wing Communism, an Infantile Disorder" on the 40th
anniversary of its publication, is the most sweeping condemnation
to date of "leftist secretarians"--in context a thinly veiled epi-
thet for the Chinese leadership. The 13 June editorial, address-
ing itself to Moscow's disarmament proposals, rebuts Peiping's
reservations on this question by reiterating as the basis of Soviet
foreign policy Khrushchev's formulation that war is no longer in-
evitable and asserting that only shortsighted people who have
lost all sense of reality can fail to believe in the possibility of
realizing total disarmament.
The articles seem designed to dispel any idea that the U-2 in-
cident and the summit collapse might necessitate a reassessment
of the premises of Khrushchev's pre-summit policy. Khrushchev's
speeches after the summit breakup appeared to be defensive state-
ments designed to demonstrate the consistency of his policy, while
anticipating and deflecting further criticism. The Chinese, after
a brief period in which they pointed out that they had been right all
along in their assessment of US intentions, renewed the attack in
People's Daily and in virulent speeches at the recently concluded
WFTU meetings in Peiping.
The present articles are a continuation of the discussion which
began in April when presidium member Kuusinen, in his speech on
the anniversary of Lenin's birth, replied to the criticism of Soviet
ideological positions contained in two April editions of Red Flag,
the Chinese theoretical journal. The differences of opinion are
much more explicitly stated now, however, and the strong reaf-
firmation of Khrushchev's policies will make it clear to the Chinese
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leaders that they must now choose between increasing condemna-
tion from Moscow and adjustment to the Soviet position.
Publication of these authoritative statements fully supporting
Khrushchev's policies is the best recent evidence that he is firmly
in control in Moscow. The articles themselves were probably in-
tended as an implicit warning to any critics at home and in the
satellites that STort fin' the more ggressive Chinese line will
not be tolerated.
-CHONFIDENTTAT-
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CON
Cambodia May Be Considering New Gestures Toward
North Vietnam
The Foreign Ministry secretary general has hinted to an
American official that Cambodia might accept North Vietnamese
diplomatic representation as a result of its bitter disputes with
South Vietnam. Cambodia regards South Vietnam with extreme
suspicion and believes the Diem government has "insatiable ter-
ritorial ambitions," which now are centered on several small
islands in the Gulf of Siam. The American Embassy in Phnom
Penh believes South Vietnam's persistence in pressing its terri-
torial claims is likely, to put further strain on US-Cambodian
relations, as Phnom Penh feels the United States has long sup-
ported the Diem government in its anti-Cambodian activities.
tfilhanouk is reported to be in a depressed and troubled mood,
"intensely displeased" with his neighbors--South Vietnam and
Thailand�as well as the major Western powers. In such a mood
he might be inclined to strike out at his "imperialist" enemies by
accepting political representatives from North Vietnam.
CONFIDENTIAL
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CONFIDENTIAL
Pakistani-Indian Negotiations Reach Last-Minute Impasse
(Pakistani-Indian negotiations on the division of waters in
the Indus Basin appear to have hit a last-minute snag. Accord-
ing to Pakistani President Ayub, the two countries' represent-
atives have failed to agree on how much water India is to supply
Pakistan while the necessary new diversionary canals are being
built. Indian officials have complained that Pakistan has raised
its original demands. Ayub, on the other hand, told Ambassador
Rountree on 11 June that Pakistan is willing to submit the ques-
tion for arbitration by the World Bank but that India refuses.
I. The Indus waters dispute and Kashmir are the two most im-
portant disputes between Pakistan and India. Both governments
have worked for a waters agreement, regarding it as the top-
priority target in their efforts over the past year and a half to
improve relations. Nehru has been planning to visit Ayub in
Rawalpindi to sign the treaty.
(Pakistani-Indian relations would probably become seriously
strained again if a real deadlock should develop in the final stages
of the Indus negotiations. However, while it now seems unlikely
that the long-awaited treaty will be signed in late June as had been
hoped, a solution will probably be worked out eventually.
CONFIDEN11AL
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The Iraqi Situal...bn TOrP-SIE efiLE
a move against Qasim in the foreseeable future.
The Iraqi Communist party remains split between the in-
effective Qasim-backed splinter group and the orthodox faction
which apparently has Moscow's backing. The split in the Na-
tional Democratic party (NDP) has widened and has sharply
decreased the party's effectiveness as a political force. Un-
til recently it had been regarded as the only party which seemed
capable of attracting the support of middle-of-the-road Iraqis
and which was making good progress against Communist influ-
ence among the peasants�
Communist complaints of discrimination and suppression
by the authorities in the provinces are continuing. The latest
appeal to Qasim is against the military commander in south-
ern Iraq for banning distribution of the party's paper in his
command until after 14 July.
Anti--Communist influence in the air force is increasing,
and Communist unit commanders have been replaced by na-
tionalist officers. Tension between nationalist and Communist
officers in the armed forces is said to be increasing.
While there apparently is some contingency planning by
anti-Communist army officers in case of Qasim's death,
there is no indication that an anti-Qasim coup is being planned.
However, a stand-by plan to seize power and rule by means
of a military junta exists.3 Street rumors of incidents, or even
a coup, on 14 July�the second anniversary of the revolution--
are circulating in Baghdad, much as they did prior to last year's
celebration.
UAtt support for Iraqi antiregime elements continues at a low
level and that rivalry exists between Baathists and nationalists
in Baghdad. Arms shipments to anti-Qasim elements appear
to be small. Nasir's prestige in Iraq has declined as a conse-
quence of his nationalization of the press in the UAR,
There is no indication that Cairo is actively planing to simonrt
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-SEeltEr
'IMP'
Struggle for Power Within Saudi Royal Family
King Saud and Crown Prince Faysal are engaged in further
maneuvers in their contest for dominance of the Saudi Gov-
ernment. Three weeks ago Faysal called off his planned trip
for medical attention in Europe, realizing that the King in-
tended to take over in his absence. Now the crown prince is
reported to be determined to remain in Saudi Arabia until
the crisis is resolved; he may send for foreign specialists to treat
him there.
On 1 June lung Saud, apparently without reference to Fay-
sal or other members of the Council of Ministers, granted
two of his sons a concession to build an oil refinery in Jidda,
with exclusive marketing rights in the western part of the coun-
try. On 5 June a Beirut newspaper carried a story, probably
planted by adherents of the King, which attacked Faysal's
economic and political policies and predicted that he would
soon be ousted. Saudi censors banned distribution of the paper
In. Saudi Arabia, and on 7 June Faysal countered by granting
an interview to a Saudi correspondent which was carried by
Mecca radio and received wide coverage in the Saudi press.
He defended his economic program and, stealing a plank from
the King's platform, stated that he was considering plans to
make the government more representative by giving more
influence to competent men outside the royal family. He
attacked Saudi merchants�many of whom have been support-
ing the King--for their "lust for profits," and announced that
the government soon would take over administration of the
port of Jidda from the merchant group which has been operat-
ing it.
(The King is competing with Faysal for the support of a
number of influential senior princes, and an important meet-
ing of the Council of Ministers scheduled for 11 June was re-
portedly postponed because of the extent of disagreement with-
in the royal family.j
Officials of the Arabian American Oil Company (Aramco)
are concerned about the exclusive oil marketing rights granted
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by the King in the refinery concession to his sons. The offi-
cials plan to follow up their initial unsuccessful protest to
Saud, but are anxious to avoid any move which might make
it appear that Arai= is taking sides and are apprehensive
that continuation of the royal quarrel might result in new,
unrealistic Saudi demands on the company.
In any case, the struggle may have the effect of weaken-
ing the position of the dynasty and reducing political stability.
The way might be opened to organized plotting by antiroyalist
groups in the bureaucracy, the merchant class, and the army.
-SECRET-
15 June 60 CENT"' '" """"
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Noire' NIIle
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
Director, Office of Civil and Defense Mobilization
Director, National. Aeronautics and Space Administration
Special Assistant for Security Operations Coordination
'Chairman, 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 Political Affairs
The Deputy Under Secretary of State for Political Affairs
The Deputy Under Secretary of State 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
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
Commandant, United States Marine Corps
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
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