CURRENT INTELLIGENCE BULLETIN - 1957/03/23

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03160432
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 9
• Document Creation Date: December 12, 2019
• Document Release Date: December 20, 2019
• Publication Date: March 23, 1957

vir Approved for Release: 2019/12/04 C03160432 ,
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CURRENT
INTELLIGENCE
BULLETIN
3.3(h)(2)
3.5(c)
23 March 1957
copy NO. 131
et'
DOCUMENT NO.
NO CHANCiE IN CLASS.
I 1 DECLASSIFIED
CLASS. CHANGED TO: TS !loin.
NU, I REVIEW DATE:
AUTH
lIFILEWERI
DAT �
OFFICE OF CURRENT INTELLIGENCE
CENTRAL INTELLIGENCE AGENCY
CRET
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4011k
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IL S L.1 La
- CONTENTS
. FRENCH GOVERNMENT CRISIS MAY BE FORTHCOMING
(page 3).
2. EGYPT CANCELS ARMY AND DIPLOMATIC LEAVE
(page 4).
N3. THE SYRIAN SITUATION
(page 5).
4. HAMMARSKJOLD REPORTS ON FIRST TALKS WITH
EGYPTIAN FOREIGN MINISTER (page 6).
,
\A-,5. SENATOR LA
NOMINATION
S PHILIPPINE PRESIDENTIAL
(page 7).
O '6. BRITISH WARY OF DIRECT APPROACH TO GHANA ON
COMMUNIST DANGER (page 8).
23 Mar 57
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416, CONFIDENTIAL
1. FRENCH GOVERNMENT CRISIS MAY BE FORTHCOMING
Comment on:
The National Assembly vote of confi-
dence next Wednesday on the French
government's over-all policies pre-
sents Premier Mollet with the most
serious challenge to his cabinet since he took office more
than a year ago.
The secretary general of the conserva-
tive bloc of Independents and Peasants, Roger Duchet, told
American embassy officials on 21 March that he considered
Mollet's chances to be 50-50. He quoted the premier as say-
ing that the fate of the government rested entirely in the hands
of the Independents and Peasants. Duchet, who is personally
against a crisis now since the ground is not well laid for a
successor cabinet, would prefer to bring the government down
on economic policy to which his bloc is almost unanimously
opposed, rather than on general policy.
Duchet has warned Mollet that his bloc
would decide on how to vote only after hearing the premier's
roundup speech; he fears that the speech will not be suffi-
ciently precise on Algeria to win many conservative votes.
Mollet is probably counting on his speech
to reverse the current adverse trend against his government
and he also hopes Independent and Peasant leaders will be re-
luctant to provoke a crisis which might weaken French policy
toward Algeria, Suez and European integration. Finance Min-
ister Ramadier's awkward presentation of the government's
economic and financial policy and the speech on Algerian pol-
icy by Lacoste,Minister Residing in Algeria, have failed to
counter the growing hostility in the assembly.
23 Mar 57
Current Intelligence Bulletin Page 3
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2. EGYPT CANCELS ARMY AND DIPLOMATIC LEAVE
Comment
� According to an earlier report, Nasr
has also canceled army officers' leaves
despite his alleged belief that Israeli threats to retake the
Gaza strip are bluff.
23 Mar 57
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4 MiCILi-
3. THE SYRIAN SITUATION
The proposed transfers of byrian army
officers are expected to begin within the
next few days and Colonel Sarraj is ex-
pected to depart for his new post in Cairo
The objective of the transfers will be to pave tne
way Lv appointment of nonpolitical high-ranking officers to
all key positions in the army.
following the
transfers, a new cabinet will be formed and led by the pres-
ent rightist minister of justice, Mahamud Kuzbari.
a leftist campaign to gain public support has begun and may be
a prelude to more drastic steps.
23 Mar 57
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1110
4. HAMMARSKJOLD REPORTS ON FIRST TALKS WITH
EGYPTIAN FOREIGN MINISTER
Secretary General Hammarskj old has
told Ambassador Hare that his talks with
Foreign Minister Fawzi were "unexpectedly
encouraging." Hammarskjold said Fawzi had
given a "moral commitment" that Egypt would not bring troops
into Gaza and would do everything possible to curb cross-bor-
der raiding. Fawzi said Egypt was willing to discuss an ex-
tension of UNE F functions in Gaza on the understanding that
"Israel would not make things too difficult."
Regarding the Gulf of Aqaba, the foreign
minister stated Egypt had no intention of bringing troops into
the area and would be disposed to let the matter drift provided
it could be removed from the spotlight of publicity. He added
that Egypt could not, however, control the Saudis.
As to a Suez settlement, Fawzi emphasized
again that "all doors" remained open and stressed the impor-
tance of the point in the recent memorandum on the Egyptian
position on Suez that further details would be made known by
Egypt shortly. He referred Hammarskjold to Nasr for answers
to some of "the more difficult questions on Suez."
Comment Fawzi's statements do not indicate any sig-
nificant change in Egypt's position or inten-
tions. Fawzi has consistently appeared more encouraging than
Nasr himself. He may personally feel that such gestures are
necessary to ensure the continuation of negotiations.
23 Mar 57 Current Intelligence Bulletin
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5. SENATOR LAUREL EXPECTS PHILIPPINE
PRESIDENTIAL NOMINATION
Comment on:
In conversations with the American
charge in Manila, Senator Jose Laurel
expressed confidence that he would be
drafted as presidential nominee at the
Nacionalista Party convention this summer. An able lawyer
and politician, he probably commands more party and popu-
lar strength than either President Garcia or ultranationalist
Senator Recto. Laurel's election in November would probably
result in a loosening of Philippine ties with the United States.
Active in government since 1918, Laurel
was jailed as a collaborator after serving as puppet presi-
dent under the Japanese occupation during World War IL It
is nevertheless widely believed that he would have become
president, when he ran as the Nacionalista candidate in 1949,
had the elections not been rigged by the Liberal administra-
tion of the late Elpidio Quirino.
Closely identified with the Nacionalista
Party's old guard, Laurel's views on government are authori-
tarian and paternalistic. His past expressions of anti-American
and antiwhite sentiment have frequently paralleled those of Sen-
ator Recto.
Laurel's views seem to have modified, how-
ever, since he successfully led a Philippine mission to revise
the country's trade agreement with the US in 1954, and he has
increasingly appeared to regard himself as a mediator between
Recto and the late president Magsaysay.
23 Mar 57
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8. BRITISH WARY OF DIRECT APPROACH TO GHANA ON
COMMUNIST DANGER
The British firmly desire to prevent
Ghana from establishing diplomatic and
other relations with the Communist bloc,
but are .wary of a direct approach to the
Ghana government because this might result in an embarrass-
ing-7rebuff to the US and Britain, according to the American
embassy in London.
The Foreign Office expects that the USSR
will have some official mission in Accra within a year. The
embassy reports, however, that the Commonwealth Relations
Office expects Ghana prime minister Nkrumah will be cautious
about Communist contacts for several months until he ascer-
tains the West's attitude on military and economic aid. If he
considers this aid inadequate, he may then embark on maneuvers
with the Communists on the model of other underdeveloped ter-
ritories.
The British fear that Nkrumales sales of
cocoa to the Soviet Union may amount to as much as 40,000
tons this year. They believe this would mean he is already
following in Nases steps, and that the vast Volta River hydro-
electric project could become another Aswan dam situation.
Comment Despite the danger of Communist penetra-
tion of West Africa through Ghana, the
British evidently consider themselves financially unable to
undertake strong counteraction. Moreover, the Common-
wealth Relations Office, which now is responsible for British
policy toward Ghana, has in the past displayed timidity about
any actions that might arouse the anticolonial sentiments of
other Commonwealth members or put a strain on Common-
wealth relations.
23 Mar 57
Current Intelligence Bulletin Page 8
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