CENTRAL INTELLIGENCE BULLETIN - 1959/02/02
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Publication Date:
February 2, 1959
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VL�KC I
Pve, Noe
3.5(c) 3.3(h)(2)
2 February 1959
Copy No. C 53
CENTRAL
INTELLIGENCE
BULLETIN
DOCUMENT NO. )
NO CHANCA'i7 !N CLA!3:75.
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NLIXT DATE: L
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RE-.VIEVVER:
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2 FEBRUARY 1959
I. THE COMMUNIST BLOC
Further attacks on "antiparty" group
probable; Pervulthin, newly linked to
group, probably removed as candidate
member of party presidium.
USSR ceases extra jet fuel shipments
to Communist China.
I
Iranian-Soviet negotiations for nonaggres-
sion pact confirmed; Iranians make fur-
ther appeal for US aid.
IL ASIA-AFRICA
Pakistani press attacks US policy and
calls for reappraisal of own policy. 0
USSR offering assistance in Iraqi devel-
opment program.
Iraq - Nasir advises anti-Qasim group
to move whenever prepared and as soon
as possible.
1
;
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I
1
I
0 Sudan negotiating various cotton-barter
arranzements with ginn=Soviet bloc.
III. THE WEST
� West Germany plans to propose non-
aggression pacts with USSR, Poland,
and Czechoslovakia.
0 Italy - Fanfani resigns Rarty post; ex-
tensive struggle foreseen before gov-
ernment crisis solved,
Argentina - Communists and Peron-
istas to demonstrate when Frondizi
returns; police are prepared.
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CENTRAL INTELLIGENCE BULLETIN
2 February 1959
DAILY BRIEF
I. THE COMMUNIST BLOC
USSR: The Soviet leaders will probably resume their
attack on the antiparty group when the party congress re-
convenes on 2 February after a one-day recess. It is still
not clear whether the congress will take any further action
against the members of the group. Two former top leaders,
M. G. Pervukhin and M. 7. Saburov, first linked publicly
with the group on 29 January, have not since been mentioned
in this connection, but Pervukhin, Soviet ambassador to East
Germany, has apparently been removed as a candidate member
of the Dartv preSidium.
WA
VA
7
(7Commuilist China - USSR: Sigriet jet fuel deliveries to
Communist China may be returning to the lower levels pre-
vailing before the Taiwan Strait crisis.
7, Last year, during the crisis, the USSR doubled
Its jet fuel deliveries to 50,000 tons per month and had planned
fn Qhin lc() nnn tons in Hip first rmartPr of 1959
4"
IL ASIA-AFRICA
Iran-USSR: ahe Shah on 30 January confirmed that he was
seeking to conclude a nonaggression pact with the USSR; nego-
tiations with the Soviet officials who had come to Tehran were
continuing. He insisted that he must do this to secure a respite
from Soviet pressure and stressed the inadequacy of American
military and budgetary aid. The Shah gave no indications that
he was prepared to reconsider his decision. Meanwhile on 31
January an Iranian Foreign Ministry official appealed to a US
Embassy official to provide him with indications of American
willingness to supply more aid with the hope of inducing the Shah
to change his mind (Page 1)
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Pakistan: Release of the final communique of the Baghdad
Pact meetings has occasioned a bitterly critical outburst in the
Karachi press. It voiced deep resentment over American un-
willingness to guarantee Pakistan against aggression from any
quarter. Several papers, noting the "benefits" accruing to neu-
tralist countries, called for a reappraisal of Karachi's foreign
policy. While the press may not precisely express the govern-
ment's view, President Ayub probably is willing to use such
criticism in the controlled press to increase pressure on the
US to make stronger commitments to Pakistan in defense ar-
rangements. (Page 3)
OSSR-Iraq: The Soviet economic and technical assistance
mission which has been in Baghdad since early January has be
gun formal discussions on participation in Iraq's new develop-
ment program. The USSR is interested in assisting in at least
20 of the some 50 projects. Moscow reportedly has also of-
fered to develop Iraq's off-shore oil reserves in the Persian
Gull ) (Page 4)
UAR-Iraq:CNasir has advised the anti-Qasim officer group
in Iraq to move as soon as possible with its plans for a coup,
provided the group is "adequately prepared." He apparently did
not commit himself to supply any material assistance. Mean-
while, Muhammad Helical, who often reflects Nasir's opinions,
is continuing scathing editorials against Qasim in Cairo's daily
Al AhramD ;Page 5)
Sudan: The Sudan, despite its stated preference for deal-
ing with the West, has completed or is well advanced in nego-
tiating cotton-barter arrangements with five Soviet satellite
countries and. communist China. In addition, a long-delayed
Soviet economic delegation is now scheduled to arrive in
Khartoum on 6-7 February. The Sudan is unlikely to refuse
an attractive Soviet trade-and-aid offer for moving its huge
cotton surplus and realizing some of its ambitious develop-
ment plans.
z keD ov
/
DAILY iIiLJJ
Wi
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VA
I.
III. THE WEST
West Germany - USSR:
Bonn will formally propose, subject to Western
approval, the conclusion of bilateral nonaggression pacts with
the USSR, Poland, and perhaps Czechoslovakia. Although sim-
ilar ideas have long been considered in Bonn, the government
believes such a proposal at this time would place Moscow on
the defensive without involving any real 'Western concession.
Bonn objects AO discussions of the Rapacki plan, German
membership in NATO, or acquisition ,of. atomic weapons, and
adamantly opposeS,anriGerman confederation 1scheme:1
(Ilage 6)
Italy:he resignation of Amintore Fanfani as secretary
general of the Christian Democratic party on 31 January, fol-
lowing his resignation as premier last week, further indicates
the complexity of the Italian Government crisis and suggests
an extensive struggle before formation of a new government or
recourse to national elections. Fanfani probably feels that the
Christian Democrats will eventually be forced to turn back to
him to solve the problem
Argentina: The Communists and some Peronista tabor
leaders are reported planning hostile demonstrations against
President Frondizi on his 3 February return from his visit to
the United States. The Communists probably see this as an
unusual opportunity to try to promote their priority objective
of weakening American influence. The police plan strong secu-
rity measures.
2 Feb 59
DAILY BRIEF lii
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Now'
I. THE COMMUNIST BLOC
No Back-up Material
IL ASIA-AFRICA
shah of Iran Seeking Earliest Possible Nonaggression
Pact With USSR
CThe Shah of Iran said on 30 January that he wants to
conclude a nonaggression pact with the USSR as quickly as
possible. He said that in the absence of what he considers
adequate US aid and guarantees against invasion, he had
initiated negotiations with the USSR in order to gain a respite
from Soviet pressure. According to the terms of the Iranian
proposal as outlined by the Shah, Iran will guarantee not to
sign the pending bilateral treaty with the United States. In ex-
change, it will ask that the new pact with the USSR not modify
the 1921 and 1927 treaties but complement them in the light of
changed conditions since their conclusion-.1
Cuf the Iranians conclude a pact barring the pending bilateral
agreement with the United States, this will have serious effects
on Pakistan, which appears not to be aware of how far the Shah
has gone in the direction of a pact with the USSIq
CThe Shah seems to have rationalized all objections to a
nonaggression pact and had a ready answer for all counter
arguments presented by a US official. He apparently has
convinced himself that depositing a nonaggression pact with
the UN will exert moral pressure on the USSR to honor the
treatf.)
CThe Shah's new course appears to have been influenced by
his belief that Iran is being treated less favorably than other US
allies such as Turkey. He placed great stress on US unwilling-
ness to supply missiles and train Iranian officers to use them,
remarking that Iranian officers are not donkeys, incapable of
learning;)
Gkmir Ichosro Afshar-Qasemlu, a high-ranking Foreign Min-
istry officials, also stressed the Shah's disappointment over mis-
siles and training in a meeting with Counselor Wilkins on 31 Jan-
uary. Afshar sought assurances of further US aid in the hope(
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Gf using them to influence the Shah toward a course of continuing
cooperation with the US:
Con 31 January an Iranian senator complained that Iran re-
ceived less US aid than neutralist countries. This appears to
be the start of an effort by the government to prepare the pub-
lic for the negotiations now going on:
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Pakistani Press Criticizes US and Baghdad Pact
The final communique of the Baghdad Pact meetings in
Karachi has been used by the Pakistani press as a peg for an
especially bitter attack on American policy toward Pakistan
and on the effectiveness of the pact. While critical comment
has increased in recent weeks as differences between Washing-
ton and Karachi over the proposed bilateral defense agreement
have become known, the current outburst is the most unre-
strained criticism of Pakistanls pro-Western orientation since
Ayub's military regime took over on 27 October.
Several papers, recommending the "benefits" of a neu-
tralist course, called for a reassessment of Pakistan's for-
eign policy. In addition to expressing deep disappointment with
the progress of the Baghdad Pact, the editorials criticized the
United States for its refusal to guarantee Pakistan against ag-
gression from non-Communist as well as Communist sources.
Particular stress was placed on charges that US officials had
announced a willingness to defend India against aggression from
Pakistan but had refused a similar commitment to its ally.
The demand for a reorientation of foreign policy probably
does not precisely reflect the views of Ayub's government. Its
failure to restrain the controlled press, however, suggests
that Ayub hopes to increase pressure on the US to commit it-
self more firmly to the defense of the Baghdad Pact countries.
Ayub may also feel that continued popular support for his
government requires acknowledgment that the majority of the
Pakistani public favors a more independent foreign policy.
Karachi's recent effort to improve relations with Cairo appar-
ently is an attempt to:associate the government more closely
with support of Arab nationalism.
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ioviet Economic Aid to Iraq
A Soviet economic delegation has been in Iraq since early
January exploring opportunities for Soviet economic and tech-
nical assistance. The delegation, led by a deputy chairman of
the Soviet Committee for Foreign Economic Relations, has met
with Premier Qasim and with the Iraqi ministers of economics
and finance, and now is engaged in formal talks with Iraqi of-
ficials. No specific Soviet aid offer has been announced, but
the Iraqi Government has publicly stated that it is studying a
general Soviet offer and that Iraq needs credit above and be-
yond its oil revenues.
tirior to the formal talks, the Soviet economic delegation
reviewed projects being considered by the Iraqi Development
Board for inclusion in the government's new development pro-
gram and apparently is planning to offer industrial plants and
technical assistance for at least 20 of the 50 projects under
consideration by the board. A group of
16 Soviet "factory experts" accompanied by two interpreters
is due in Baghdad shortly;k
Lb addition to its participation in industrial and agricultural
projects, Moscow reportedly has offered to drill for oil in the
off-shore areas recently relinquished by the Iraq Petroleum
Company and to construct an eight-inch pipeline from the Naft
lthana fields about 70 miles northeast of Baghdad to the Dawra
refinery south of the capital
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Nasir Reaffirms Support of Anti-Qasim Plans
rNasir,
has reportedly advised the anti-
Qasim officers in Iraq to move as quickly as possible against
the Baghdad regime. He qualified his remarks, however, by
the comment that first they should be certain of the adequacy
of their preparations, and he apparently offered no promise of
material assistance from the UAR. He added that, if necessary,
even two months would not be too long to wait:)
r_rSai7arrai indicated,
that the civilian cabinet members were still in favor of
waiting in the hope that Qasim might give up his policy of re-
liance on the Communists. The officers, however, were said
to be opposed to waiting, but were uncertain whether they should
attempt a coup
Significantly missing- from this report, as from earlier ones,
was any indication of a well-designed program for following
up the removal of Qasim-.1
[Despite Nasiris apparent caution with regard to commit-
ting UAR assets in Iraq to assist the plotters, he is using his
propaganda organs in Beirut, Damascus, and Cairo to attack
both Qasim and the Iraqi Communists. Two recent articles
by Muhammad Heikal, confidant of Nasir and editor of the Cairo
daily Al Ahram, have been addressed directly to Qasim. In a
sarcastic and severely critical tone, Heikal has accused the
Iraqi premier of consorting with both imperialism and the Com-
munists to the detriment of Arab unity;)
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III. THE WEST
Bonn Favors Offering USSR, Poland, and Czechoslovakia
Bilateral Nonaggression Pacts
On forthcoming consultations with the US, UK, and France,
Bonn will propose to answer Moscow's 10 January note by offer-
ing to conclude bilateral nonaggression pacts with the USSR,
Poland, and perhaps Czechoslovakia. The West Germanre,
plT, would state that if the bloc declined such pacts, Bonn would
unilaterally deposit with the UN a pledge not to use its armed
forces for aggression. Although similar ideas have long been
considered in Bonn, the government believes such a proposal
at this time would place Moscow on the defensive without involv-
ing any real Western concession, and would counter Soviet
charges that West Germany is building up strength to recover
its lost territories:i
CBonn will oppose adoption of any Western counterproposals
on European security which would involve concessions on Ger-
man membership in NATO�senui o
revised naoacki plan.
there is no prospect for unification in the near
future and that the most that can be expected is some progress
on a general detente through disarmament. This official approves
of increased technical contacts between East and West Germany;_)
(Bonn officials are especially concerned over indications
of Western differences on a German confederation, which Ade-
nauer adamantly opposes. They feel that in Western consulta-
tions West Germany may be under pressure to consider some
form of confederation scheme, and their offer of a nonaggres-
sion pact and increased contacts with East Germany may be an
effort to avoid this. An appe ranee of flexibility would put West
Germany in an improved position to call for a firm stand on
�rnaintninitta heed:354,41.n Rprlin
Moscow would permit a Western column to enter Berlin witn-
out oppositionn
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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
Office of Defense and Civilian Mobilization
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 the Army
Director of Naval Intelligence, Department of the Navy
Assistant Chief of Staff, Intelligence, Department of the Air Force
Supreme Allied Commander, Europe
Commander in Chief, Pacific
The Department of the Interior
The Secretary of the Interior
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
United States Information Agency
The Director
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