THE PRESIDENT'S DAILY BRIEF 17 FEBRUARY 1973

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0005993747
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 12
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: February 17, 1973

Declassified in Part - Sanitized Copy Approved for Release 2016/06/14 : CIA-RDP79T00936A011500010043-2
The President's Daily Brief
17 February 1973
45
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Exempt from general
declassification schedule of ED. 11652
exemption category 513(1).(2).(3)
declassified only on approval of
the Director of Central Intelligence
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FOR THE PRESIDENT ONLY
THE PRESIDENT'S DAILY BRIEF
17-February 1973
PRINCIPAL DEVELOPMENTS
A recent editorial in North Vietnam's official news-
paper has accused both the US and South Vietnam of
deliberately violating provisions of the Parisagree-
ment of 27 January. (Page 1)
In South Vietnam, both sides have brought reinforce-
ments into the strongly contested Sa Huynh area of
southern,Quang,Ngai Province. (Page 2)
Right-wing Lao cabinet ministers continue their
vehement opposition to Prime Minister Souvanna
Phoumes decision to divide portfolios in the new
coalition government equally with the Communists.
(Page 4)
Satisfaction over the dollar devaluation on the
part of European Community leaders is mingled with
considerable uncertainty, and even disarray over what
their next steps should be. (Page 5)
The dollar strengthened in Europe yesterday and was
slightly weaker in Tokyo as an air of calm began to
return to world money markets. (Page 6)
Dominican Republic troops claim to have killed three
of the eight guerrillas that invaded the country on
3 February. (Page 7)
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FOR THE PRESIDENT ONLY
NORTH VIETNAM
An editorial on 15 February in North Vietnam's
official newspaper has criticized both the US and
South Vietnam for deliberately violating the provi-
sions of the Paris agreement of 27 January. Although
the most vituperative sections are directed at the
South Vietnamese, the editorial accuses the US of
being unwilling to pressure Saigon into honoring the
provisions of the accord. Hanoi also charges the
US with needless delay in clearing the mines from
North Vietnamese waters, turning military bases over
to the South Vietnamese rather than dismantling them,
and not providing detailed plans on its troop with-
drawal program, as Hanoi claims is required by the
Paris agreement.
The North Vietnamese claim that Saigon committed
2,000 violations during the first 15 days of the
cease-fire and accuse the South Vietnamese of con-
ducting "nibbling operations" into Communist-held
territory in nearly all provinces of the country.
Hanoi also chides Saigon for not releasing "approx-
imately 10,000 military prisoners" as the agreement
calls for.
The editorial is the most extensive prop-
aganda criticism of the US by Hanoi since
the signing of the agreements The comments
on prisoner releases appear to be in re-
sponse to President Thieu's announcement
that a large number of former Communist
prisoners had asked to become ralliers.
1
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FOR THE PRESIDENT ONLY
VIETNAM
Both sides have brought reinforcements into the
Sa Huyilharea of Southern Quang Ngai Province. The
Communists, who still control the area, now have
more thantwo regiments there. This is the only
significant coastal territory in the central part of
the country held by the Communists.
Communist military units in some parts of the
country have been ordered to malwan inventory of
their holdings of weapons. According to intercepted
messages, Viet Cong units in Binh Dinh Province have
been instructed to locate and collect "all types" of
damaged weapons, "whether Communist or government
in Origin," so that they can be exchanged for new
weapons under terms of the cease-,fire agreement.
Such a comprehensive inventory is likely
to take some time. This may be oneof the
reasons the Communists did not designate
'within 15 days entry points for the re-
placement of war materiel as specified-in
the protocol on the Joint Military Commis-
sion
2
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USSR - VIETNAM CONFERENCE
FOR THE PRESIDENT ONLY
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25 50 Miles
VIETNAM
Mu Gia
Pass
Quang Khe
Ban Karai
ass
Dong Hoi
Demilifosized Zone
Quong Tri
avannlk
A Show
THAILAND
hong
Sedone
4.4) lrre ular
le r hiIIs?
aks
.
, Bolovens
? Plateau .1
/
.
VIETNAM
Kontum
CAMBODIA \
iem Pang
(4.
554152 2-73 CIA
?Goternment-held location ? Communist-held location
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FOR THE PRESIDENT ONLY
LAOS
Right-wing cabinet ministers continue their
vehement opposition to Prime Minister Souvanna
Phouma's decision to divide portfolios in a new
coalition government equally with the Communists.
They have now been joined by General Kouprasith,
deputy commander of the Lao Army, who says he will
cooperate with other army generals in opposing
Souvanna's concessions to the Communists.
Kouprasith, who Zed an abortive coup
against Souvanna in 1964, gave no indi-
cation of what pressure he believes
could be exerted on Souvanna. Faced
with firm US support of the Prime Minis-
ter, the rightists may have little
choice but to acknowledge the futility
of further opposition to the proposed
settlement.
The fighting has tapered off. Irregular
troops on the Bolovens Plateau have secured the
hills surrounding Paksong and are clearing small
pockets of enemy troops from the outskirts of the
town. Intercepted messages indicate that B-52
strikes have caused morale problems among North
Vietnamese units near Paksong, but there are no
signs that any units are pulling out of the area.
In the central panhandle, lead elements of
an eight-battalion irregular force on 16 February
moved back into the western half of Muong Phalane
against little enemy resistance. Communist ele-
ments are still east of the Se Sangsoy River that
divides the town. To the north, government units
from Thakhek have reached a half-way point in
their advance toward the Communist administrative
center of Mahaxay.
4
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FOR THE PRESIDENT ONLY
EUROPEAN COMMUNITIES
Satisfaction over the dollar devaluation is
mingled with considerable uncertainty and even dis-
array on the part of European Community leaders
over what their next steps should be. Much concern
has been voiced that.the EC institutions were by-
passed and that fundamental differences among the
members prevented a Community solution. There is
a widespread feeling that the Communities must
close ranks, not only in the monetary area, but
also in the approaching trade negotiations. The
finance ministers, for example, agreed this week
to try to move more quickly toward EC monetary
union, and the EC Council has urged the Communities
to work out a common position on international mon-
etary reform "without delay."
Meanwhile, Prime Minister Heath has called
Community solidarity in the monetary reform dis-
cussions 4 "top priority," saying that progress
in the trade talks requires the re-establishment
of stability in the international payments system.
In the European Parliament, Commission Vice-Presi-
dent Haferkamp has warned that the devaluation was
"only part of the US long-term strategy" and that
"other aspects of that strategy may be a challenge
that the Communities should be ready to meet."
5
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FOR THE PRESIDENT ONLY
INTERNATIONAL MONETARY DEVELOPMENTS
The dollar strengthened in Europe yesterday
and was Slightly weaker in Tokyo as an air of calm
began to return to =world money markets. By the
close of trading in Tokyo, the yen had appreciated
almost 17 percent.relative to the dollar. Only
small purchases by the central bank were reported.
Japanese foreign exchange banks and trading com-
panies reduced their surplus holdings of dollars
last week and when the market reopened on Wednes-
day. . Pressure on the yen will probably subside.
soon.. The yen was essentially unchanged as trading
opened tdday-
In Europe, rising Eurodollar interest rates
and speculation that West German banks may iMpose,
a special charge on non-resident mark deposits
added to the dollar's strength. Although the.dol
lars strong position within the new bands places
a premium on dollar purchases, foreign exchange
dealers reported that speculators were beginning
.to divest some of their large holdings mother
hard currencies,.especially marks--estimated to be
worth about. $8 billion--accumulated since the Crisis
began. The dollar posted moderate. gains against
most European currencies, but it slipped slightly
against the commercial lira. The price of gold in
London declined 35 cents to $73.30 from Thursday's.
record price.-
6
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NOTES
North Korea: Pyongyang apparently has received
a new shipment of MIG-21 fighters from the USSR.
This increases its MIG-21 inventory to about 130.
Dominican R?yublic: .According to an armed
forces communique,ygovernment troops late yesterday
killed three of the eight. guerrillas that invaded
the country. on 3 February. Colonel Francisco
Caamano, legendary leader of the 1965 insurrection,
was said to be among those killed. Confirmation of
Caamano's death would help the. government counter-
act the.loss of prestige It suffered as a result of
its failure for two weeks to eliminate the:guerril-
las.
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Top Secret
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