CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A006300100001-0
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 13
• Document Creation Date: December 14, 2016
• Document Release Date: March 13, 2003
• Sequence Number: 1
• Publication Date: March 30, 1962
• Content Type: REPORT

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30 March 1962
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30 March 1962
CENTRAL INTELLIGENCE BULLETIN
CONTENTS
1. USSR-Berlin: Soviets schedule eight flights in central air
corridor for today. (Page i)
j 2. Congo: UN to threaten drastic political and economic sanc-
tions.if Adoula- Tshombd talks appear on verge of collapse.
(Page i)
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3. Laos: Souvanna and Souphannouvong say they will continue
support for coalition cabinet which would include Phoumi.
(Page ii)
5. France: De Gaulle reportedly postpones nuclear tests.
(Page iii)
6. Afghanistan- Pakistan: Kabul continues to reject any com-
promise in border dispute with Pakistan. (Page it i)
7. Common Market - Africa: Common Market to offer large
number of African countries preferential arrangement for
association with free trade area. (Page i v)
8. Brazil: Subsidiary of US-owned firm threatened with sei-
zure in Rio Grande do Sul. (Page v)
9. Argentina. (Page v)
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CENTRAL INTELLIGENCE BULLETIN
30 March 1962
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3,500 to 6,500 feet.
*USSR-Berlin: Eight Soviet transport flights have been
scheduled'for today in the central air corridor. The flights
are to take place between 1100 and 1515 EST at altitudes from
*Congo: (he UN Command in the Congo has been author-
ized by UN headquarters in New York to threaten Tshombd
with drastic political and economic sanctions should the cur-
rent Adoula-Tshombd talks appear on the verge of collapse.
UN representative Gardiner apparently plans in such a con-
tingency to warn Tshombd that the UN is prepared to assert
the central government's authority in Katanga, and to collect
on Leopoldville's behalf the mining revenues which hitherto
have been paid to Tshombd. Gardiner told Ambassador Gul-
lion that if Tshombd returns to Elisabethville, the UN plans
to arrest him and his ministers and to cut off Katanga's com-
munications with the outside
he threat of such a move appears unlikely to soften Tsho -
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I.
as accused Tshombd of stalemating the talks, the Katangan
leader has shown no disposition to breakAff the talks and ap-
bd's intransigence, and it might trigger action by Katangan
forces in Elisabethville, where relations between. the. UN Com-
mand and Tshombd's lieutenants continue strained. While Adoula
h
pears prepared for protracted negotiation
LORI
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to Laos "at the appropriate time.
C
ouvanna confirmed that he is leaving for Paris. on 3 April
for medical treatment and rest, but said he had no intention
of relinquishing his "mandate" :a d would be prepared to return
with strong counterattac
Laos: /ouvanna and Souphannouvong told the British am-
bassacdor dir28 March, that they would continue their support
for the formation of a.coalition cabinet which would include
Phoumi and other members of. the Vientiane faction. Observ-
ing that it might take "two or three months" before. Western
pressures could bring Phoumi to accept such a solution, the
two princes agreed that military provocations should be
avoided during such a waiting periods . Souphannouvong stated,
however, that if Phoumi1's forces attacked, he would retaliate
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France: a Gaulle has. decided to postpone the French
undergroun clear tests in the Sahara previously scheduled
for about I May,
De Gaul e s decision was taken as. a resu
of the intervention of Foreign Minister Couve de Murville.
There is. no known. technical reason which would have prevent-
ed the French from conducting a test on schedule. If the
French follow the past practice of not testing during the sum-
mer months because of weather conditions.i,the Sahara, the
to aT ?77111 L,., . L - - - . .
he 18 March Evian accords give France the right t
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the facilities at In Eker and Reggane and at. the Colomb-B char-
Hamaguir complex for five years--sites w e France has pre- 25X1
viou 1 conducted nuclear and missile tests
*Afghanistan-Pakistan: he Afghan Government has reaf-
firmed its -ecision to reje any compromise solution of the
impasse in its relations. with Pakistan until Pakistani leaders
agree. to restore the status quo existing before the diplomatic
break and border closure last September. Foreign Minister
Naim told Ambassador Steeves on 28 March that the minimum
basis on which Kabul would be willing to restore relations with
Pakistan and remove restrictions on border transit would be
re-establishment of the Afghan consular and trade offices in
Pakistan. These offices were closed on demand of the Pak-
istani Government in September on grounds, that they served as
bases for Afghan subversive activities in Pakistan?s Pushtoon
.tribal territory, a move which prompted Kl to break rela-
t'
5~e two-month period during which Afghan authorities had
reopened .the border for transit of US aid shipments expired on
29 March; presumably the border has been closed, leaving the
positions of the, two government as far apart as. ever. Naim, it
ions. and close its frontier to normal traffic
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ressing the value of US good offices and expressing the hope
Cat they would not be abandoned, probably hopes that further
US pressure on Pakistan will. produce more than the limited
concessions which Rawalpindi has indicated a willingness to
make. President Ayub has repeatedly made clear, however,
that he will not accept a return to the status. quo. ante, appar-
ently convinced that a tough policy will.in time force Kabul to
give up its demands relating to the pm" nistan dispu
ated with the. Common Marke
Common Market - Africa: A high official of the French
mission. to the Common Marke EC) anticipates that the
EEC will agree, within the next few weeks, to offer a large
number of African countries a five-year, preferential arrange-
ment for association with the free trade area. Such an ar-
rangement would replace the 1957 association convention, which
expires this year. Under the new convention the level of EEC
preferences to be accorded African exports would be reduced,
but the number of African countries. receiving such preferences
would almost certainly be increased. The French official says
he now is preparing a paper. for Paris: on the problems of asso-
ciating an independent Algeria with the Common Market. More-
over, Britain is asking that, as a condition for its membership
in the EEC, the African members-of the. Commonwealth be ac-
corded equal treatment withA rican countries already associ-
A Dutch official, who shares US concern lest the preferen-
tial`&rrangement raise major problems for. underdeveloped areas
not associated with the EEC, believes that unless the US "exerts
heavy pressure in the next few weeks, it wilLD-e too late to in-
.fluence the shape of the association ementpf F_
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*Brazil: Governor Leonel Brizola of Rio Grande do Sul State
plans to seize the Pelotas subsidiary of the US-owned American
and Foreign Power as soon as legal formalities at the central
government level are completed, a Rio Grande do Sul official an-
nounced today. Brizola has long been. in the forefront of the grow-
ing number of Brazilians favoring the takeover of foreign-owned
utilities, and on 27 February went so far as to advocate publicly
the expropriation of all foreign enterprises, including banks. Ear-
lier in February he had taken over a subsidiary of the International
Telephone and Telegraph Corporation, and in May 1959 he seized
the American and Foreign Power outlet in Porto Alegre.
Brizola, who has hopes of being elected a federal deputy. in
October, and of then becoming prime minister, is seeking to build
his, national reputation by exploiting the foreign-ownership issue.
The timing of yesterday's announcement- -essentially a repetition
of an earlier threat against the same firm- -suggests an intent to
embarrass President Goulart, his political rival as well as brother-
in-law, on the eve of Goulart's visit to the US beginning 3 April.
fulart has already stated he intends to discuss in Washington the
'iTuestion. of US-owned utilities and the matter of adequate compen-
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*Argentina: (information as of 0430 EST) Senate President
Jose Maria. Guido, following an agreement between him and the
military leaders who deposed President Frondizi, is to be for-
mally installed as President of Argentina at noon today. Prior to
the official announcement late last night of these plans, Guido re-
portedly agreed to military approval of his cabinet appointments
and to several strong anti-Peronista measures, including annul-
ment of the Peronista electoral victories of 18 March.
Guido has said that his cabinet, as yet only partially formed,
will be a "national and nonpartisan" one, and he has resigned his
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 longstanding membership in Frondizi's Intransigent Radical
party (UCRI). He reportedly plans to call new elections within
three months. The 51-year-old Guido is a lawyer from Rio
Negro Province and seems favorably disposed toward the United
States.
Guido ' whose Position as Senate President made him the
constitutional successor to Frondizi, had earlier refused the
military's request that he accept the presidency. Yesterday
afternoon, however, after consulting UCRI leaders, including
Frondizi, who is in military custody on San V&rtin Island 30
miles. from Buenos Aires, Guido had himself sworn in as presi-
dent at the. Supreme Court in an unpublicized ceremony without
notifying the armed forces leaders beforehand. This almost
led to a break between him and the military, who reportedly were
again threatening to take over the government.
Guido's acceptance of the presidency reflects a change in the
strategy of the UCRI, which had earlier threatened to withdraw
its majority from congress if Frondizi were ousted. The UCRI
may believe that it now stands a better chance of Peronista. sup-
port in the next elections in view of the military's ousting of Fron-
dizi and threats to suppress Peronista political activity. UCRI
leaders have expressed fear that political suppression of the
Peronistas may drive them into -cooperation with the Communists.
Some moderate Peronistas have also cited this possibility. A
Peronista, source informed the US Embassy yesterday that the
Communists had again approached Peronista leaders urging a
.united front in staging street demonstrations and riots. He said
.that this suggestion had thus far been refused, but that Peronista
leaders were determined to resist all government attempts to
nullify their election victory. Peronista leaders are now converg-
ing on Buenos Aires to discuss strategy.
Reaction elsewhere in Latin America to the ouster of Fron-
dizi has been extremely critical. Venezuela has recalled all of
its embassy personnel from Argentina.
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EEC Countries Near Agreement on New African
Association Convention
enewal of the 195.7 convention has been under discus-
or sion more than a year among the six Common Market
countries and between them and the 16 African countries
presently linked to the. EEC. The major difficulty has been
the insistence of France, supported by the Africans, on con-
tinued preferential access of exports of associated African
countries to the EEC. Until recently, both West Germany
and the Netherlands strongly resisted the French demands,
but Bonn has retreated, leaving the Dutch the only opponents
of continued EEC discrimination against Africa's economic
competitors --notably those in Latin America
EEC membership, there is no time to negotiate alternative
cri inatory than the old one, its adoption would nonetheless
mean EEC rejection for the time being at least of US proposals
for a world-wide, nonpreferential approach to the international
trading problems of the producers of the major tropical prod-
ucts. France has countered such proposals by asserting that the
Africans are not prepared to relinquish preferences, and that in
any case, with the 1957 convention expiring and the UK seeking
aid accorded the associated states under the 1957 conventio
7 Although..this new arrangement would thus be less dis-
five years. This would be a 40-percent increase in the EEC
Jh-e association plan which now seems likely of adoption
is a compromise of these conflicting points of view. The ma-
jor exports of the associated African states would continue to
enter the EEC tariff free, but the tariffs imposed on exports
of nonassociated countries would be reduced by possibly 50
percent. Any resulting loss of income suffered by the Afri-
cans would be compensated for by increased EEC developmen-
tal aid, probably to total nearly a billion dollars over the next
The prospective geographical enlargement of the African
are favored by the EEC will enhance the concern of other area
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hot so favored. In recent talks with Ambassador Butte
t
rwor
h,
`the deputy chief of the French mission to the EEC not only re-
ferred.to his study of Algerian association with the EEC, but
also mentioned Tunisia, Morocco, and Ghana. Moreover, in
a recent statement to Ambassador Bruce
a British Forei
n O
,
g
fice official said that the association conventitn now under EEC
consideration would make it easy to bring in the African Com
monwealth countries.
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 Approved For Releo
THE PRESIDENT
The Vice President
Executive Offices of the White House
Special Counsel to the President
Military Representative of the President
The Special Assistant for National Security Affairs
The Scientific Adviser to the President
The Director of the Budget
The Director, Office of Emergency Planning
The Director, National Aeronautics and Space Administration
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 Counselor and Chairman of the Policy Planning Council
The Director of Intelligence and Research
The Treasury Department
The Secretary of the Treasury
The Under Secretary of the Treasury
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 Assistant Secretary of Defense (International Security Affairs)
The Assistant Secretary of Defense
The Chairman, The Joint Chiefs of Staff
Chief of Naval Operations, United States Navy
Chief of Staff, United States Air Force
Chief of Staff, United States Army
Commandant, United States Marine Corps
U. S. Rep., Military Committee and Standing Group, NATO
Supreme Allied Commander, Europe
Commander in Chief, Pacific
The Director, Defense Intelligence Agency
The Director, The Joint Staff
The Director for Intelligence, The Joint Staff
The Assistant Chief of Staff for Intelligence, Department of Army
The Director of Naval Intelligence, Department of Navy
The Assistant Chief of Staff, Intelligence, Department of the Air Force
The Department of Justice
The Attorney General
The Federal Bureau of Investigation
The Director
The Atomic Energy Commission
The Chairman
The National Security Agency
The Director
The United States Information Agency
The Director
The National Indications Center
The Director
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