CENTRAL INTELLIGENCE BULLETIN - 1959/01/21

• Document Type: SPECIALCOLLECTION
• Keywords: 2018 Sanitization
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03023339
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 16
• Document Creation Date: February 25, 2020
• Document Release Date: February 27, 2020
• Publication Date: January 21, 1959

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21 January 1959
Copy No. C 63
CENrI1RAL
INTELLIGF\CE
BULLETIN'
DOCUMENT NO. _ _
NO CHANGE IN CLASS.
(.7cLASSFIED
CLAS3. CHAN-.I'D TO: -A
NE:r:T FiEV:E'A' DATE:
DAT
-TOP-SECRET-
REVIEWER:
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21 JANUARY 1959
I. THE COMMUNIST BLOC
II. ASIA-AFRICA
Iran - Shah apparently giving serious
consideration to nonaggression pact
with USSR precluding US-Iranian bi-
lateral treaty.
Israelis caution against accommoda-
tion with Nasir to contain Communism
In Iraq; feel Nasir is greater threat.
Iraq - Communists remove army post-
ers publishing Qasim's restrictions on
paramilitary forces.
Qasim asks US friendurrip
development aid.
Morocco claims Berber dissidents re-
ceive Spanish arms, funds.
Indian cabinet plans to accept Soviet
credit, equipment, and assistance to
build and operate Assam refinery.
'f
III. THE WEST
� Cuba - Prime minister, dissatisfied
with Castro's leadership, offers resig-
nation.
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CENTRAL INTELLIGENCE BULLETIN
21 January 1959
DAILY BRIEF
I. THE COMMUNIST BLOC
I I. ASIA-AFRICA
Iran-USSR: aan is reported to be seriously consider-
ing signature of a long-term nonaggression pact with the
USSR which would preclude signature of the pending bilater
defense agreement with the United States. Ambassador
Wailes reported on 18 January that something "ominous"
ding between Iran and the USSR]
(Page 1)
Israel: rael Aviv is increasingly worried by what it
regards as the possibility that the US and its Baghdad Pact
allies will decide to support Nasir's efforts to secure Iraq
from Communist control. The Israelis, whose greatest
fear is a unified Arab world, continue to feel that the major
threat in the Middle East is Nasir, not the Communis
(Page 2)
Iraq: Military police began last week to enforce parts
of Prime Minister Qasim's order limiting the functions of
the Communist-dominated Popular Resistance Force,
local Commu-
nists have torn down copies of the order posted by army person-
nel.
Qasim, in his first meeting with the new American ambas-
sador, reiterated that he is determined to follow a "neutral"
policy and that he wants American help and friendship. He
said he hopes American contractors will continue to worig
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an Iraq's development program, and that the United States will
buy Iraqi commodities. Qasim's remarks to the ambassador
indicated, however, that he still believes the US is intriguin
against him D (Page 3)
Morocco: EN.. Moroccan official claims the army has un-
covered proof that dissident Berber tribes in northern Morocco
are armed and financed from Spanish sources. Rabat may re-
new pressure for the evacuation of the 10,000 Spanish troops
remaining in Morocco. Meanwhile, a hard core of armed
Berber dissidents are attempting to deny reinforcements
and supplies to Moroccan Army forces operating against
them in the arelj, (Page 5) (Map)
India-USSR: The Indian cabinet, finding Western bids
less favorable, has decided provisionally to accept a Soviet
offer made last 'September to supply on credit capital equip-
ment for construction of an $82,000,000 oil refinery in Bihar.
New Delhi has also requested complete Soviet technical as-
sistance in building and' operating the refinery, and is await-
ing Moscow's response. Agreement on this project, follow-
ing contracts in October with Rumania for construction of a
government-owned refinery in Assam, would assure the So-
viet bloc an:importVit role in expanding India's oil industry.
(Page 7)
III. THE WEST
Cuba: Eeveral responsible men in the new Cuban Govern-
ment are becoming disillusioned over the delays and inefficiency
occasioned by the constant deferral of decisions to Fidel Castro,
whose time has been spent largely in public appearances. Prim
Minister Miro Cardona, for these reasons as well as his anger
over Castro's inflammatory attacks on the US, has submitted
a letter of resi7natioS (Page 8)
21 Jan 59
DAILY BRIEF ii
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New
L THE COMMUNIST BLOC
No Back-up .Material,
IL ASIA-AFRICA
Iran Reported Considering Nonaggression Pact With USSR
/he Shah of Iran is
seriously considering a 50-year nonaggression pact with the USSR
The USSR, which proposed,the pact in late December, demands as
a condition that Iran not sign the pending bilateral defense agree-
ment with the United States. A guarantee of Iran's security would
be requested from "five governments, including Great Britain,
France, and India." The USSR would also be prepared to provide
Iran with extensive military and economic aici]
/he Iranian Government would require, before signing the
pact, that the USSR cancel articles 5 and 6 of the Soviet-Iranian
treaty of 1921 which gives the USSR the right to advance its troops
into Iran to carry out operations "necessary for its defense" when
menaced by military operations of another country.
Eihe Shah is disappointed with the limited success of his cam-
p ign over the last few months to obtain increased US support for
Iran and the ghdad Pact. He 'claims that the draft bilateral
agreement offers no additional guarantees to the security of IraJD
While the Shah's consideration of Soviet offers could be a fur-
ther extension of tactics to obtain US aid, Ambassador Wailes states
that Something "ominous" may be pending between Iran arid the USSR, but
doubts that Iran has yet made a decision which would seriously af-
fect free-world interests. Iranian Foreign Minister Hekmat has
warned the ambassador that Iran is "living next door to a beast"
and that, while he could give no details now, the US must have "full
trust" in its friend Iran and "in the way in which it will deal with
the Soviet Union,
21 Jan 59
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ef
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Israel Urges Opposition to Nasir's Influence in Iraq
Israel is showing increased concern over the possibility
that the United States, as well as Iran and Turkey, might sup-
port Nasir while opposing Communist influence in Iraq. The
Israelis fear the extension of Nasir's influence to Iraq would
bring about unification of the Arab world and increase the Arab
threat to Israers security]
ael argues that the West should instead support Iraqi
Prime Minister Qasim's resistance to Nasir and pro-UAR
elements in Iraq. According to Israeli Ambassador Eban,
Nasir is the cause of, rather than the remedy for, Qasim's ac-
ceptance of Communist support, and Qasim would assume a
more truly independent position if he had non-Communist sup-
port against UAR pressur_e_21
an the past few days, Israeli officials in Paris are reported
to have met with Iranian and Turkish officials and attempted to
persuade them of this thesis. However, General Bakhtiar, chief
of Iranian intelligence, contended that Nasir is a lesser threat
to Iranian interests than a Communist-dominated regime in Iraq
would be. The Israelis undoubtedly will reiterate their views on
the Iraqi situation
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Nese
The Iraqi Situation
Military police began last week to enforce parts of
Prime Minister Qa,sim's order restricting the activities
of the Communist-dominated Popular Resistance Force,
/copies
of Qasim's order posted throughout Baghdad by army
ersonnel were torn down at night,
military to redistribute the proclamations. Con-
tinued Communist obstruction of the order may lead to
clashes between military personnel and pro-Communist
sympathizers.
Clashes between pro-Communist and pro-UAR ele-
ments may occur again at Mosul on 2 February when pro-
UAR partisans will celebrate the first anniversary of the
union of Syria and Egypt.
Baghdad is attempting to provide "a greater number" of
photographs of Nasir and UAR flags for the event. UAR
anticipation of fast-moving events in Iraq may be indicated
by P ordering the mili-
tary command communications network between Cairo,
Damascus, and Baghdad to go on round-the-clock opera-
tion "immediately."
Qasirn, in his first meeting with US Ambassador
Jernegan, reiterated previous statements that he is
determined to follow a "neutral" policy and that he wants
US friendship and assistance. Qasim stated that he hoped
for increased trade, and the help of US contractors as well
as technical advisers in the economic field in carrying out
Iraqi development activities. He repeated long-standing
21 Jan 59
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CENTRAL INTELLIGENCE BULLETIN
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'Rae'
rumors alleging subversive activities by American diplomatic
personnel, and "smilingly assured" the ambassador that he
did not believe such rumors. However, he had intimated to
the UK ambassador some weeks ago that he did believe these
rumors.
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spAIN
GIBRALTAR (UK)
S7'RAIT OF GIBRALTAR
Tangier " Ceuta
(Sp.)
ATLANTIC
OCEAN
Rabat
STATUTE MILES
1
30246
�
Tetuan
se6o,
Meknes
�
100
Al hucemas
006'
STa za
MO 13CCO
MEDITERRANEAN SEA
Earea of Rif tribal dissidence
Moroccan troop concentrations
� Spanish troop concentrations.
90121
21 JANUARY 1959
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Nkate Nita,
Spanish Aid to Moroccan Dissidents
panish involvement in the tribal dissidence in northern
Morocco may cause Rabat to renew pressure for the evacua;-
ton of the 10,000 Spanish troops remaining in Morocco.
Rabat has repeatedly protested Spanish complicity3
aloroccan Vice Premier Bouabid, who with other offi-
cials recently irspected military activities in northern
Morocco, stated the Royal Army has proof
that Spain has supplied arms and money to the Beni Our iaghel
tribe. Bouabid also claimed he has discovered a definite
separatist movement in the Rif and that the Beni Ouriaghel--
the tribe of Riffian warrior Abd-el-Krim who rebelled against
Spain in the `1920s--apparently are determined to set up a
Rif republ9
E_The Spanish ambassador in Rabat has admitted that
some assistance to the Moroccan tribes may have come
from local Spanish sources, but he has denied that Spain
intends to make war on Morocco.
"intense Spanish activity" throughout
northern Morocco and the return to that area of many former
Spanish native-affairs officers. Some of these officers may
be considering--as they did during the French-imposed ex-
ile of the present King--the idea of establishing an autonomous
northern Moroccg
E_The Spanish military governor of Melilla, one of five tiny
Spanish-controlled points in northern Morocco, is reported to
have granted asylum to Berber leader Lahcen Lyoussi, a
former crown counselor who is being sought by government
forces for involvement in tribal dissidence,
, is supporting tribal
dissidence as a means of forcing Morocco to commit itself
to recognizing Spain's sovereignty over its present enclave
21 Jan 59
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411WW" .
",emor
[Meanwhile, the Royal Moroccan Army has established
control over most principal roads and towns. Several thousand
armed Riffians apparently are attempting to deny reinforcements
and supplies to these forces and brobablv will continue their
harassing tacticA
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Iftwo
India to Accept Soviet Offer to Help Build Oil Refinery
Soviet bloc participation in India's expanding oil industry
is likely to be broadened substantially as a result of a provision-
al decision by the Indian cabinet to accept Moscow's offer of last
September to help build a major oil refinery in Bihar State in
eastern India. Soviet credit for capital equipment probably will
cover a large share of the project's estimated $82,000,000 cost.
In addition New Delhi has requested Soviet technical assistance
in constructing and operating the refinery. Moscow apparently
has not yet responded to this request.
The project in Bihar is the larger of two refineries planned
by the Indian Government to exploit oil deposits in northeastern
India and to expand the public sector of the petroleum industry.
Last October New Delhi signed an agreement with Rumania for
construction of a :refinery in Assam with a capacity of 750,000
tons annually.
The Indian Government early in 1958 requested the USSR
and Western oil companies to consider assisting in the construc-
tion of the Bihar refinery, which will have a probable annual
capacity of 2,000,000 tons. British, Italian, and American
firms have expressed interest in the project, but their various
proposals were turned down by New Delhi, apparently because
they demanded special concessions or offered less favorable
credit terms. Most US companies are reluctant to invest in
state-owned enterprises that will compete with privately
owned refineries now operating in India
21 Jan 59
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CENTRAL INTELLIGENCE BULLETIN
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III. THE WEST
Some Key Members of New Cuban Government Becoming
Disillusioned
he tendency in the new Cuban Government to refer all
governmental and military decisions to Fidel Castro is seri-
ously slowing down government operationsz-and causing responr
sible high officials to become increasingly frustrated and dis-
illusioned. Provisional President Urrutia is said to refer all
decisions to Castro, who has been almost completely occupied
with public appearances. In the armed forces, subordinate
commanders are unable to make even minor decisions with-
out referring them to Castro. As commander in chief, Castro
intends personally to reorganize the armed forces, a process
that is expected to be7.sloviLD
lime Minister Jose Miro Cardona, highly regarded lawyer
whose membership in the government has done much to lend it
prestige, on 19 January submitted a letter of resignation which
several influential Cubans are trying to get him to withdraw.
Though his alleged reason was his poor health, the basic reason
is understood by the American Embassy to be frustration over
the inefficiency of government operations.]
Niro Cardona is further angered at Castro's attacks on the
United States since the criticism of the summary executions of
Batista "war criminals." Cardona and another cabinet member
have urged Castro to exercise more restraint in his speeches
and, on 18 January, at least two Havana newspapers stressed
the need for more calm and less tallA
aducation Minister Armando Hart is also reported to be seri-
ously considering resigning. If this trend continues, public con-
fidence in the government will be seriously shaken and a period of
political instability will ensu92
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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
Special Adviser to the President
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
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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