CURRENT INTELLIGENCE BULLETIN - 1951/05/26

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 02733131
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 9
• Document Creation Date: March 18, 2019
• Document Release Date: March 28, 2019
• Publication Date: May 26, 1951

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2,6,May 1951
Copy No. ejl
CURRENT INTELLIGE CE BULLETIN
DOCUMENT NO.
NO CHANGE IN CLASS.
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DATE. " I
OfffeF d Current Irtelligence
CENTRAL INTELLIGENCE AGENCY
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SUMMARY
GENERAL
1. German scientists and technicians repatriated from USSR (page 3).
USSR
2. Johnson resolution on Korean settlement widely publicized by
Moscow (page 3).
FAR EAST
4. Communist armored units reportedly entering Korea (page 5).
5. Chinese Communist official hints at "sanctions" against Hong
Kong (page 5).
6. Plans for Viet Minh attack south of Hanoi reported (page 6).
SOUTH ASIA
7. Indian cabinet members resign (page 7).
NEAR EAST
8. Members of Iranian Oil Commission anxious for discussion with
the Oil Company (page 8).
EASTERN EUROPE
9. Czechoslovakia reportedly offers arms to Egypt in exchange
for cotton (page 8).
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GENERAL
1. German scientists and technicians re atriated from USSR:
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The Commander of US Naval Forces in 3.3(h)(2)
Germany reports that, between September
and December 1950, some 500 of a total
of approximately 3,000 German scientists
and technicians known to be working under contract in Russia were
repatriated to the Soviet Zone of Germany. In spite of Russian
efforts to prevent contact with Western intelligence, almost 100
of this number have entered the Western Zone of Germany (the
majority entering the British Zone) and given valuable intelligence
on guided missiles, aircraft design and electronics. According
to the report, the group working on infra-red and the group working
on mines and torpedoes in Makhachk:ala (western shore of the Cas-
pian) may be returned shortly to the Soviet Zone. There is also
evidence that some members of another group that was working
on submarine propulsion and had been moved to Leningrad in 1948
may be returned soon.
Comment This is the first reliable report
on the number of German scientists and technicians repatriated from
the Soviet Union upon the expiration of their contracts. The USSR has
probably exploited the knowledge and skill of these specialists suf-
ficiently to adapt German weapons and techniques to Soviet needs,
particularly in regard to (a) setting up its research programs, and
(b) training Soviet, specialists to take over the functions of the de-
parting Germans.
USSR
2. Johnson resolution on Korean settlement widely publicized by Moscow:
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Moscow's propaganda media have given
unusual empahsis to Senator Johnson's resolu-
tion calling for a cease-fire and a declaration
of an armistice in Korea as of 25 June. The
text of the resolution was printed in Pravda
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and Izvestia, and broadcast widely to home
and foreign audiences. The 20 May issue of
Pravda followed the unustial practice of 3.3(h)(2)
referring its readers to the previous day's
article on the subject While its manner of
presenting the resolution was essentially factual, the text was pre-,
faced by an allusion to reports of the new Communist offensive in
Korea and accompanied by the comment that "even some representa-
tives of US ruling circles see the hopelessness of the Wall Street ad-
venture in Korea."
The US Embassy in Moscow comments that
the USSR obviously desires to, exploit the Johnson proposal for prop-
� aganda purposes with a view to influencing those elements of public
opinion that still desire a UN withdrawal from Korea anctto-further-
ing the current World Peace Council campaign for a peaceful settle-
ment of the Korean question and a Five-Power peace pact. It adds
that there is no indication in Moscow's treatment of this Matter that
the USSR might now support or acquiesce in a settlement involving
only the) re-establishment of Communist control of North Koret;
Comment: It is unlikely that the USSR will
agree to any settlement which, like Johnson's proposal, does not
mention Formosa or a Chinese Communist seat in the UN. However,
the unusual propaganda treatment accorded this resolutIonsmight,
Indicate that the Soviet Government is preparing its audiences for
a possible agreement on Korea that would be labeled a US "defeat "
Current propaginda picturing alleged discouragement among US
ruling circles and US forces in Korea could provide a background
for such a settlement.
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FAR EAST
4. gsminunist ar_nlored units reportedly entering 3.3(h)(2)
Three recent reports have alleged that new
major Communist armored units have arrived
in Korea. A recent US Air Force report
states that a "special mechanized brigade"
trained in Tungwha, Manchuria and equipped
with 60 tanks and 60 self-propelled guns
entered Korea in late April. \
Chinese Communist mechanized corps, equipped with 400 T-24 tanks
and 200 self-propelled guns, arrived in Korea in late April, while
another reports that 150 "Soviet" tanks moved southward into the
Parallel region in early May. 3.3(h)(2)
Comment: While this information remains
unconfirmed, it may refer to the possible movement of an additional
North Korean armored unit, equipped with 50 to 100 tanks, into North
Korea from a Manchurian training area. Despite frequent reports
that Chinese Communist units are, evipped with Soviet armor, the
presence of such units in Korea has not been confirmed.
As of early April, the US Far East Command
estimated that the North Korean Army had from 150 to 175 tanks,
primarily in western Korea.
5. g.hinese Communist official hints at"santtions" against on.3.3(h)(2)
The UK Charge in Peiping reports that, in
a conversation with Indian Ambassador Pan-
ikkar in Peiping, a Chinese Communist Vice
Foreign Minister accused the UK of being
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"double-faced" in supporting the UN embargo; he ignored Panikkar's
retort that Peiping's attitude "had not been helpful" in promoting
friendly relations with the UK. When Panikkar expressed the hope
that Peiping would not retaliate by promoting difficulties in Hong Kong,
the Chinese official replied that Peiping might have to impose "sanc-
tions," although he wished to see Hong Kong "prosperous." He added
that the Hong Kong Government was "obviously more worried" than he.
Comment: The Hong Kong Government is
aware that the Communist threat to the olony is increasing as trade
restrictions decrease Hong Kong's value as an entrepot for Peiping
and as the Communists improve their military position in Kwang-
tung. However, the Chinese Communists apparently still consider
Hong Kong more valuable to them in British hands than it would be
in their own. Despite recent rumors of an imminent attack on Hong
Kong, Peiping's propaganda does not indicate an intention to assault
the Colony at this time.
6. Plans for Viet Minh attack south of Hanoi reported:
3.3(h)(2)
"end of May." The recently declared military policy of the Viet Minh
is to return to guerrilla warfare for an indefinite period. This policy
is consistent with the low capabilities of the rebel forces in relation
to the French and the beginning of the rainy season (which limits major
operations by either side). It is not probable that the Viet Minh will
attempt a large-scale coordinated attack except as an extreme measure
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designed to prepare the way for or to screen the entry of Chinese
Communist troops. The Chinese Communists retain the capability
to invade, but there have been no reliable indications that they intend
to do so.
SOUTH ASIA
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7. Indian cabinet members resign: 3.3(h)(2)
On 24 May, a usually well-informed source
told the US Embassy in New Delhi that Indian
Hotne Minister Rajagopalachari and Law
Minister Ambedkar submitted their resig-
nations to Prime Minister Nehru on 23 May, and that Food Minister
Munshi would resign as soon as the negotiations for US food aid to
India were completed. The resignations were reportedly caused by
the amendment to article 19 of the Indian Constitution that Nehru
introduced in Parliament on 12 May. This amendment proposed a
curb on freedom of speech in India and modified provisions enabling
the government to abolish feudal estates.
C omment: Inasmuch as Rajagopalachari and
Ambedkar both supported Nehru's stand on the constitutional amend-
ment in Parliament, it is difficult to understand why they sho'Uld re-
sign over a matter concerning 4. It appears more likely that the
three resignations, if actually gubmitted, were brought about by
Internal Congress Party politics, which are apparently creating a
definite spht in the party and are resulting in the resignation of many
members from its ranks. It seems almost certain that a rightist
Congress Party will be opposed in the national election next November
or December by a new leftist-reformist All-India Party composed of
ex-Congressmen and various anti-government, anti-Congress Party
factions. At this moment, however, it is uncertain where Nehru will
stand at the time of the elections.
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NEAR EAST
8. Members of Iranian Oil Commission anxious for discussion with the
Oil Company:
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Sadiq, a Senate member of the Oil Commission,
has informed the US Ambassador in Tehran
that four of the Senate members of the Com-
mission are anxious to have representatives
of the Anglo-Iranian Oil Company come to Tehran to discuss the oil
problem. Sadiq also stated that Prime Minister Mossadeq is anxious
to have the AIOC continue to operate the oil industry under the purely '
nominal direction of a committee of Iranians. The OiLCompany would
function under UK management. The US Ambassador believes that the
arrival of the representatives might result in genuine negotiations and
urges that they be sent. While he is aware of the difficulties of
management functioning under a political committee, he believes that
the company might obtain assurances on this point.
Comment: The Iranians have already invited
the AIOC to send representatives to work with the Oil Commission in
implementing the oil nationalization law and the government has given
the AIOC until 30 May to nominate representatves. While the Oompany
is probably willing to send representatives, it would not be willing to
negotiate under the conditions set by the Iranians. While the proposal
may not be a firm one, it is consistent with the nationalization law
and the position adopted by the Iranian government.
EASTERN EUROPE
9. Czechoslovakia reportedl offers arms to Egypt in exchange for cotton:
3.3(h)(2)
Quoting an article in the Cairo newspaper
Al-Ahram, Agence France Presse stated
on 14 May that Czechoslovakia had offered
20 million pounds (approximately $56,000,000)
in arms to Egypt in exchange for cotton.
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