TRANSLATIONS ON LATIN AMERICA

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP09-00956R000105640026-1
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 31
• Document Creation Date: December 23, 2016
• Document Release Date: August 1, 2013
• Sequence Number: 26
• Publication Date: April 3, 1973
• Content Type: REPORT

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UUYllowr-1/11 UOL. VILI
JPRS L/4464
3 April 1973
S TAT?
TRANSLATIONS ON LATIN AMERICA
(GUO 9/73)
JOINT PUBLICATIONS RESEARCH SERVICE
LATIN
AMERICA
WWFRIMFNT INF nnur
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NOTE
Items are complete textual translations of the original
except when designated excerpt(s) or summary, when the
overall heading "News Briefs" is used, or when editorial
compression or compilation is obvious, as in the case of
biographic lists and editorial reports.
The contents of this publication in no way represent the
policies, views, or attitudes of the U.S. Government.
COPYRIGHT LAWS REQUIRE THAT DISSEMINATION OF THIS PUBLICATION
BE RESTRICTED TO U.S. GOVERNMENT RECIPIENTS.
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BIBLIOGRAPHIC DATA
SHEET
-.10.-
1. Report No.
JPRS LI 4464
2.
3. Recipient's Accession No.
4. Title and Subtitle
TRANSLATIONS ON LATIN AMERICA
(GUO 9/73)
5. Report Date
3 April 1973
6.
7. Author(s)
8. Performing Organization Rept.
No.
9. Performing Organization Name and Address
Joint Publications Research Service
1000 North Glebe Road
Arlington, Virginia 22201
10. Project/Task/Work Unit No.
ii. Contract/Grant No.
12. Sponsoring Organization Name and Address
As above
13. Type of Report 8z Period
Covered
14.
15. Supplementary Notes .
16. Abstracts
The serial report contains articles on political and sociological developments
in major areas of Latin America, as reported primarily from Latin American news-
papers and periodicals. It also includes information on major segments of Latin
American economy, geography, culture, and ethnography.
17. Key Words and Document
Political Science
Sociology
Economics
Culture
Ethnology
Technological
Geography
12b. Identifiers/Open-Ended
17c. COSATI Field/Group
Analysis. 17a. Descriptors
Inter-American Affairs
Ecuador
?
Argentina
Guatemala
Bolivia
Guyana
X BrazilHaiti
,
X Chile
Honduras
Colombia
Mexico
X Costa Rica
Nicaragua
Cuba
Panama
Dominican Republic
Paraguay
El Salvador
Peru
Terms
5D, 5C, 5K
Uruguay
Venezuela
18. Availability Statement
U.S. Government Users Only
Sold by NTIS, Springfield, Va. 22151
19. Security Class (This
Report)
UNCLASSIFIED
21. No. of Pages
28
20. Security Class (This
Page
UNCLASSIFIED
22. Price
FORM NTIS-35 (.10-70)
USC OMM- DC 40329-071
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BRAZIL
CHILE
JPRS L/4464
3 April 1973
TRANSLATIONS ON LATIN AMERICA
(GUO 9/73)
CONTENTS PAGE
Archbishop Helder Camara Discusses Injustice
(Helder Camara Interview; Opiniao, 19-26 Feb 73) 1
Popular Action Candidate Explains Attitude Toward
Military
(Jose Antonio Viera-Gallo Q.; El Mercurio,
3 Mar 73) 9
Fishing Port Treaty With USSR Questioned
(El Mercurio, 2 Mar 73) 12
COSTA RICA
09cresident Discusses Issues With Newsmen
(Jose Figueres Interview; La Nacion, 9 Mar 73)
t #
,Spokesman for Robert Vesco Addresses Journalists
(La Nacion, 9 Mar 73)
VOmmission To Interview McAlpin in Mexico
(La Nacion, 9 Mar 73)
20
25
27
a ? [III ? LA ? 144 GUO1
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BRAZIL
ARCHBISHOP HELDER CAMARA .DISCUSSES INJUSTICE
[Interview with Archbishop Helder Camara; Rio de Janeiro,
Opiniao, Portuguese, 19-26 February 1973, p 5]
Dom Helder Camara is the Archbishop of ReLfe and Olinda,
in the state of Pernambuco. His diocese is one of the poorest
areas in the world.
The Catholic church is the only organization of major
size existing in Brazil which is not controlled by the military
government, and Dom Helder has used his position within the
church to aid the poor and the oppressed and to speak out
against the social injustices in his country. He has already
been the victim of two attacks upon his life.
In the course of his frequent trips, the "Bishop of the
Slums" has gained a world-wide reputation as the most radical
spokesman of the church when it comes to problems of development,
and the most determined critic of the relations between the rich
world and the poor world.
He gave this interview to the British periodical
The Internationalist (published in the November 1972 issue)
during his recent visits to Great Britain.
Question: You have described your work in the Northeast
of Brazil as a work of "consciousness raising." What does this
mean?
Answer: When in a land of poverty the poverty is already
inherited, because the individuals living there today have
parents and grandparents who spent their lives in poverty, then
the tendency,of these people is to fall into fatalism. At this
point, the people lose the sense of independence. They regard
themselves as objects for aid and paternalism, without any
right to freedom or justice. They say "what's the good of
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this" or "this is impossible" or "it's the government" or "I.
can't do anything about it." They resign themselves to the
fact that they cannot change their situation. This is the slave
mentality. It represents a subhuman existence.
Therefore itis clear that one must try to awaken the
awareness of the people, transforming their naive awareness into
a critical one. The people must be capable of measuring the
extent of the misery in which they have stagnated.
But to do this, they must succeed in overcoming fatalism,
rising above despair, persuading themselves that even if
individually., none of them can do anything, together they are
already a force, they are already a power, and they can begin to
work for a change. But if the government finds that the people
are beginning to organize themselves to achieve improvement,
that they are organizing to overcome their poverty, that they
are organizing to demand their rights, then just as there have
come to exist problems, there will also exist hope. And finally,
this is what we.want,-is it not? Because development cannot be
imposed from the top downward. It is necessary that the aware-
ness of the people be awakened, that the public opinion be
informed, that the people .be encouraged to liberal education,
popular culture, and personal improvement.
"Consciousness raising" and "demystification" are words
we have created to describe this work. This work means encourag-
ing awareness, aiding man to use his freedom and his awareness,
aiding than to become a man.
Question: You have described the condition of these
very poor individuals as subhuman. In your documents., you have
already described the situation of many of the rich as inhuman.
Does this mean that at some intermediary point there exists a
level of mental, social, and material well-being which you would
call a "human" level of development?
Answer: When one is plunged in the situations of extreme
misery which exist in the poor countries, it is rather easy to
see that the situation is truly subhuman, especially when
there are despair, fatalism, and the impression that nothing
is worth the trouble of bestirring oneself. This is truly sub-
human. But it is equally true that too much comfort creates a
situation which ceases to be human. The protest movement of
the hippies is a protest against a consumer society which had
become inhuman. Thus, why couldn't one imagine or think of a
certain level which 'would be neither subhuman nor inhuman?
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Respect for the Bishops
Question: In your work in Brazil, you say that you are
making use of "a certain advantage in belonging to the episcopate."
In terms of scope-and protection, what does this give you?
Answer: I was referring to a given aspect which still
persists even nowadays for the bishops in our country. Laymen,
friars, and priests have already been jailed. But where bishops
are concerned, at least to date, there is still a certain respect
maintained. I try to take advantage of these vestiges of clerical-
ism, not to wage personal attacks or to insult this or that
individual, not that, but rather to demand justice as a condition
for peace.
I also take advantage of these vestiges of respect to
travel and meet with minority groups in each country.
Question: Analyzing your work on the international level,
you often say in your books and lectures in Europe and the
United States that drastic changes must occur in the developed
countries so that there can be some improvement in the conditions
in their underdeveloped world. What exactly do you mean by this?
Answer: We Christians also very often have an attitude
of awaiting help. In other words, we think that all problems
can be resolved by acts of charity. There is much talk of
financial aid, for example, but there is not so much talk of
justice, rights, or structural change.
Look, for example, at international trade. Until a com-
plete revision of the international trade policies is made, the
poor will continue to get poorer, while the rich will continue
to amass-wealth. A review of this nature would inevitably
entail major changes not only in the countries in the process of
development but in the developed world.
The UNCTAD (United Nations Conference on Trade and
Development) analyzed this problem in great depth. If the UNCTAD
studies were incorrect or false, then they should be torn up and
thrown in the wastebasket. But if they were correct, then they
should be examined with the greatest possible seriousness,
because they reveal injustice on a massive scale.
We must also analyze the agreements in the major inter-
national transactions. During the past 15 years, for example,
United States investments in Latin America were in excess
of $3,800,000,000. But during the same period, the foreign
exchange brought back into the United States thanks to these
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investments increased to the point of reaching $11,300,000,000, '
Often these great business deals extort from the poor more than
they give them, in addition to introducing automation in areas
of underemployment and boycotts of our local industries.
We Christians are neither political revolutionaries nor
extremists, but we cannot resign ourselves to be satisfied with
charity or with minimal reforms. We must struggle against
injustice wherever it may be, even if this has been a part of
the local social order for a long time.
Hope Among Minorities
Question: Many people have accused you of defending the
use of violence as a means of obtaining social change. What are
actually your opinions on this matter?
Answer: I have said that I respect those who, after care-
ful and sincere thought, opt for violence. Personally, I have
always said that I would prefer a thousand times to be dead
rather than to kill. I believe that in the final analysis, only
the force of love is constructive and strong, and I believe in
the force of nonviolent moral pressure -- this is the violence
of the pacifist.. It means that I believe more passionately in
the moral force of truth, love, and justice, than in the force
of wars, murder, and hate. No one was born to be a slave. No
one wants to live in a subhuman situation. No one seeks to
suffer humiliation and injustice day after day. Those who have
brought others to this situation, or who keep them there, have
already committed violence -- this is the number one violence --
which leads to the number two violence, which is revolt and
retaliation, either by the oppressed themselves or ty the young
people determined to struggle for a better world.'
Question: After all of the criticisms you have made of
the state in which the world is today, why is it that you still
say "we are closer than many realize to a harmonious and united
civilization"?
Answer: I am not a pessimist. I have great hopes. I
have faith, not only in the fact that God will not abandon the
main work of his creation to destruction, but also in the
intelligence and the commonsense of man.
And my greatest hope lies with the young people and the
minorities I find everywhere -- minorities of students, of
technicians, of religious people, of politicians, and minorities
of the common people. It is these minorities which make the
world turn and my hope increases with each trip I make and each
meeting with these minorities which exist throughout the world.
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I call them the Abrahamic minorities, since like Abraham, they
hope against hope.
Only by working together can we manage, or so I hope,
to obtain -- both in your industrialized countries and in ours
a more just and more humane situation.
And my hope is renewed whenever I meet groups of young
people everywhere in the world trying to use their brains, not
satisfied with enthusiasm pure and simple, but trying to go
deeper into the solution in such a way as to understand the
internal situations in their countries. My hope lies in them.
For example, I have met groups of young people aiding
each other to buy stocks in large multinational companies, in
order to obtain the right to discuss, seriously and objectively,
the budgets and colossal profits of the international companies.
In Europe, the United States, and all of the rich coun-
tries, the majority of the people obviously want to earn more,
to have more profit, but it seems to me that they cannot go
along with the tremendous injustices which the young people in
these countries are beginning to denounce.
And it seems to me that the experience which these young
people are acquiring when they study the situation of the
workers in their own countries, or the situation of the foreign
workers, or when they examine and discuss the activities of the
large corporations.and the reports of the UNCTAD -- it seems to
me that this is the true lesson -- this is the true university
in which the young people are training for the future.
Action for Justice
Question: In the United States, you spoke of "action
for justice and for peace." What does this involve?
Answer: Action for Justice and Peace can be found every-
where. It involves the Abrahamic minorities to which I referred.
We are urging all of these minorities, everyone; the oppressed
and the oppressor, the student and the technocrat, the poor and
the rich to join together in action for justice and for peace.
It falls to no one in particular, to no country, no culture,
and no religion. It is the result of the joint work of men of
good will everywhere in the world, of persons determined to
exert this liberating moral pressure to achieve justice and
humanity in the world.
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Ut, .1.1 1.
c11.1(
It is action, because it is not simply a matter of proper
words, or of studying major texts and drawin8 ,2-eat conclusions.
Justice, because it is not a question of a favor, or of charity,
or of financial aid -- justice is needed to achieve our goal,
which is peace. Not a deceptive type of peace, which only bene-
fits privileged groups, but a peace which benefits everyone.
Just as I .speak of Abrahamic minorities, I speak also of
action for justice and for peace, because it seems to me that
this is the synthesis of a discussion known to all of us.
Cultural Revolution
Question:.... Hasn't China, for example, managed to
achieve many of the things you defend, such as the abolition of
internal colonialism and the major inequalities in wealth?
What are your real views about communism and development?
Answer: You are quite right in saying that China, as
well as the Soviet Union, can boast extraordinary successes.
About the middle of the century, these countries emerged from a
semi-feudal situation to assume the status of superpowers. And
it is true that in China a victory has been won over domestic
colonialism, and it is also true that to a great extent illiteracy
has been eliminated.
However, in my view, the price has been very high. It
seems to me very clear, for example, that there were distortions
of socialism within the Soviet Union, that there is a duality
between the party and the people, that there is an imposition
of dialectical materialism, that there is an atmosphere of
suspicion and fear. I am very carefully studying t..e cultural
revolution in China, It is a movement which certainly merits
attention, but unfortunately it does not seem possible to me to
trust blindly in the cultural revolution. It seems to me that
it is based broadly on the deification of Mao. And whenever we
have a situation in which a man is deified, it is almost certain
that we have a major problem ahead of us. One day in the
future China will find itself obliged to destroy the myth of
the personality of Mao, just as the Soviet Union had to under-
take this with regard to Stalin.
Beyond this, and although the cultural revolution demands
much more study, I have the impression that it is also based on
a vast, a very vast crushing of man.
And it also seems to me that China has its own imperialistic
ideas. Just prior to the visit paid by President Nixon, there
was a terrible war between India and Pakistan over free Bengal,
and the stand adopted by China was far from being a clear and
honest one.
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The young supporters of Mao, for their part, had great
hopes for the UNCTAD meeting in Chile, because of China's
participation. But the behavior of China during the conference
was clearly demagogic, and when at the end of the sessions the
time came for real commitments, truly profound commitments,
China simply sidestepped the matter.
These are some of the reasons which lead me to believe
that there is a need for a new experience, a new socialism,
without the distortions which were imposed upon it by the
Soviet Union and by China.
A test of a new socialism has begun in Chile. President
Allende stated plainly that he wants a Chilean experiment in
socialism -- a socialism which will truly be real socialism --
but he is struggling against vast powers aided by privileged
groups within Chile, which threaten Allende's ability to con-
tinue.
The Opiate of the People
Question: And what is the role of the church in the
midst of all of this? Do you find that there are many priests
who share your ideas? In the final analysis, the church was
for a long time a force in the system.
Answer: It is sad to think that for many people
Christianity is the religion of the white man, the religion of
the 20 percent who are rich, the religion of those who dominated
and still dominate; the religion of those who condoned the
enslavement of the Africans and the Indians, the religion of
those who never have given more than crumbs of aid, and the
religion of those who compete against each other in the armaments
race.
In the past, the church itself closed its eyes to these
things and contributed to pacifying the consciences of the rich
and the powerful, on the condition that these would provide
camouflage for their terrible injustices by building churches,
rich and luxurious, often contrasting with the poverty existing
around them. And their workers have neither homes nor adequate
food, the masters used the church to say "God gives in accordance
with the needs of each of us." In reality, what we did in many
respects was to justify the statement of Marx to the effect
that religion is "the opiate of the people."
But the church has sufficient potential to be the opposite
of an opiate. It has the capacity to be a great force for
demystification, for awakening and stirring the consciences of
the peoples throughout the world, such as to create a more just
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co)
and
see
and
humane world. And I find that this is the beginning. I
this beginning of action among the minorities of priests
nuns in all the parts of the world to which I travel.
What I want to say to all of those who have
toward atheism out of fear that, in recognizing an
God, they would be reducing man to the status of a
the fact is that for a Christian, man was not born
slave of God, much less to be the slave of any other man. I
have a tremendous desire to say to them that the Christian
interpretation of the order which men receive from God to
dominate nature and perfect creation carries with it the need to
build a more humane and better world here on earth. How I would
like to be able to say to them that the true Christian rejects
the idea that some are born poor and others rich, and that the
poor should attribute their poverty to the will of God, when it
is the injustices among men which are the real problems, a prob-
lem to be resolved by man, knowing that Christ wants us to live
humanely, as befits man, neither under conditions of subhumanity
caused by poverty, nor dehumanized by wealth.
turned
omnipotent
slave, that
to be the
COPYRIGHT: Opiniao, Rio de Janeiro, 1973
5157
CSO: 4201-W
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CHILE
POPULAR ACTION CANDIDATE EXPLAINS ATTITUDE TOWARD MILITARY
[Letter by Jose Antonio Viera-Gallo Q.; Santiago, El Mercurio, Spanish,
3 March 1973, p 9]
We have received the following letter from MAPU
[Unitary Popular Action Movement] candidate Jose
Viera Gallo clarifying his official attitude to-
ward the Military Establishment:
Santiago, 2 March 1973
Dear Mr Editor:
El Mercurio disclosed to the public a confidential report from the
MAPU prepared for study, analysis, and criticism by the militants. This
document reflects the preliminary opinion of some members of the Party's
Political Commission and, because of that, it is not even an official docu-
ment reflecting the position of the MAPU, which will be spelled out by the
coming plenum of its National Directorate which will be held after the par-
liamentary elections. This has been made quite clear by the top leadership
of the Party.
This is not the time to make a judgment on the background of this
document, which is something all of us militants will do within our regu-
lar discussion bodies; but there is no doubt that there are divergent opin-
ions on the diagnosis of the nation's situation and on the description of
the various political forces involved.
But I address myself to you because in publishing an extract from
that report in today's edition, El Mercurio asserts verbatim that I "in
recent months, apart from my parliamentary campaign, was busy visiting mil-
itary facilities, institutes, and academies, spreading a new doctrine on
the role of the Armed Forces in the political events in the countries of
Latin America." The paper then says that I supposedly incited the Armed
Forces "in case of the possible election defeat of the left-wing forces in
March, to get a firmer grip on the government -- however in order to carry
out the program of Popular Unity, which is the only true road for Chile."
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Such serious and unfounded statements, made in a rather off-hand
fashion, cannot be allowed to go unchallenged.
I have for several years been a professor of political theory at
the Political Sciences Institute of the Catholic University of Chile and,
later on, at the CEREN [Centro de Estudios de la Realidad Nacional; Center
for the Study of the Nation's Situation]. While I was Undersecretary of
Justice, I gave a course on "The Armed Forces And the Political Develop-
ment of Latin America," in which, together with the students, we analyzed
the role of military leaders in the development of the various countries
on the continent during the last decade. As usual in the Political
Sciences Institute, this course was attended by two active members of
the Military Establishment and three members of the Corps of Carabineers
[police], along with some of the University students as such. All of them
can testify that I never made any reference whatsoever to the case of Chile
and that I always tried to keep our studies and discussion within the con-
text of our own national phenomena, especially in view of my capacity as
government official.
The study of military behavior with reference to the destiny of so-
ciety is of course a proper subject for political science. I could cite
numerous studies, essays, and books dealing with this problem area and
written not only by domestics but also by foreign authors. The United
States is the country which has the largest number of written works deal-
ing with the military and the future of the Third World, especially the
Middle and Far East and Latin America. The intentions of quite a few
United States authors in conducting these studies are not purely scien-
tific. Their opinions influence the policy of that country toward the
various governments on the continent, as was brought out in the famous
Rockefeller Report and the discussion on foreign aid in the United States
Senate.
I considered it proper not to reveal any information ?to any foreign
sources, especially when the information was directly tied to our own na-
tional security. Motivated by an undeniable patriotic feeling, I decided
to give a course on this subject in order to systematize this knowledge?
and reveal the various interpretive hypotheses with respect to the role
played by the military in the future of Latin America. I never tried to
create any original thinking along these lines. I simply wanted to find
out and disclose what other Chilean and foreign professors of the most var-
ied ideological currents had written earlier in order to be able to initi-
ate a scientific investigation which would serve the national interests.
After that I was invited by the Navy War Academy to give a lecture
on the content of that course. I accepted gladly because it seemed to me
useful to present more unrestricted information on the conclusions which
we had arrived at.
My activity with respect to the study of the role of the military in
national development was only and exclusively of an academic nature. I en-
gaged in this activity in my capacity as a university professor with the
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kind of prudence and discretion demanded by the subject matter, always
trying to link the University ever more closely to the various aspects
of national life -- without any kind of ideological sectarianism. The
course moreover was part of a collaboration program between the Political
Sciences Institute -- most of whose professors are in the DC [Christian
Democratic Party] camp -- and the Armed Forces.
I must furthermore point out that I presented a detailed report on
all this to the Senate Defense Committee when I was asked to do so a few
months ago.
I must therefore most categorically and energetically deny the state-
ments made in the newspaper which you manage. I have never knocked on the
gates of any military facility, as did politicians of other ideological
persuasions. I have always been respectful toward our Armed Forces, their
professionalism and their lofty constitutional spirit. But at the same time
I realize that, in order to accomplish their mission, which is to guard the
security of the nation, as pointed out on more than one occasion by the
Commander-in-Chief of the Army, General Carlos Prats, the Armed Forces are
gradually beginning to play a more active role in national development, as
always in keeping with the so-called Schneider doctrine, which is to obey
the legitimate civilian authority, abide by the Constitution and the law,
thus strengthening the democratic system which we have.
COPYRIGHT: El Mercurio, Santiago, 1973
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CHILE
FISHING PORT TREATY WITH USSR QUESTIONED
[Article; Santiago, El Mercurio, Spanish, 2 March 1973, pp 54-56]
Because we regard it as of interest, we are reproducing
the article "A Soviet Fishing Port in Arauco?" published in
the Valparaiso newspaper El Mercurio, by its editor Fernando
Duran Villarreal:
"At the beginning of February, and in a gathering of
great solemnity in which the President of the Republic,
Mr Allende, and the minister of fishing from the USSR, Mr Aleksandr
Ishkov, accompanied by the Soviet Ambassador, Mr Aleksandr Basov
participated, the establishment and installation of a 'fishing
port and industry' in Colcura, in the Gulf of Arauco region,
with Soviet capital and technical advice, was officially
announced.
This was the first information made public on this under-
taking, and the statements of the President at that time were
limited to stating the fact, and indicating the plans the govern-
ment has for this project with a view to the Chilean economic
future.
All of this leads us to suppose that there is an agree-
ment which has been reached between the two countries and that
there is finally a commitment covering the installation and
establishment of that port, its exploitation in the fashion
determined by Soviet technology, with the agreement of Chilean
officials, and in a word, the establishment of a fishing and
industrial complex in a key zone of the country.
Some Background Information
There has always been insistence on the vital importance
to our country of the utilization of its maritime and ichthyo-
logical resources, greatly neglected for many years. We are a
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maritime country by geographic and vocational fate, but we have
forgotten these imperatives to make ourselves into an inland-
oriented nation, against all of the mandates of nature.
It is good that the present government is granting first
priority to the implementation of this imperative, and the idea
of creating even a maritime ministry to concern itself with these
matters was wise. If this ministry has not prospered, this was
due to the defective concept of the project, which enveloped in
a single undertaking the fishing policy along with maritime
transportation, and which was a subject of controversy within
the government itself.
There we have the objections of the under secretary for
transportation, Don Hernan Morales, who pointed out the con-
fusions and errors of this undertaking. It is not surprising,
therefore, that it did not fare well in the parliament.
During the recent visit of President Allende tothe
Soviet Union, stressed by the world press, and without Chilean
denial, as an effort to obtain Russian aid in view of the food
crisis in our country, the guidelines for cooperation between
the two countries were laid out. Earlier, during a visit to
Russia involving representatives of our armed forces, there had
been talk of fishing projects which were not materialized. The
idea of a fishing port with Soviet advice and control was born
of a later trip to Russia made by the minister of lands and
future minister of maritime affairs, with the approval of this
post, Don Humberto Martones.
Suddenly, and without further information, we find our-
selves faced with the implementation of the project, which pre-
supposes an existing agreement, and the proclamation of this
measure in a public ceremony in which, in addition to Chilean
officials, an official representative of the Russian government
who had come to Chile particularly for this purpose, was
present.
The Fishing Port in Colcura
A first point which disturbed the public, particularly
that in the port, was the unexpected decision to establish a
fishing port in the Gulf of Arauco, or more precisely, in
Colcura, setting aside the earlier intention to make Valparaiso
the center of this specific policy.
In addition, the choice of Colcura, a small port in
Arauco, the maritime destiny of which has not been notable prior
to the government decision, was a surprise. To this was added
the fact that the decision calls for the establishment of both
a fishing and industrial complex, entrusted to a foreign power
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Colcura, which in the Araucanian language means 'colored
stone,' is a small settlement and port in the province of
Concepcion, which is located to the north of the so-called
Villagran point, only 3 kilometers from Lota, in the south-
easterly direction. It is also 15 kilometers from Coronal, a
point opening out toward the southwest.
To the preceding information we should add that Colcura
is in the very immediate radius of major industrial, strategic,
and military sites within the country. It is located, in fact,
very near Talcahuano, in the neighborhood of Quiriquina, both
essential naval bases of the Chilean navy, adjacent to the
Huachipato steel plant, in the very heart of the carboniferous
industry in Lota and Coronel, which have now become a part of
the state sector, very near the planned port of San Vicente,
and finally, at the very center of the petrochemical industry
which has just been abandoned by the Dow firm.
The wealth existing in this zone, estimated by some to
have the greatest industrial potential in our economy, is
tremendous, and is of the type which has a decisive effect on
our development. There we find iron and steel, as has already
been said, there is available a wood producing zone of great
interest, there is coal and all its possible byproducts. There
exists an important gas industry and the oil chemical industry
has been installed there, precisely because this is a zone in
which the raw materials or processing elements of this nature
represent a front ranking source.
One who contemplates the Pacific and the map of our terri-
tory realizes also that the Gulf of Arauco dominate:; the whole
section from Biobio, and in addition controls the key to mari-
time traffic, i.e., the essential communication for the Chilean
territory, since it is located precisely in the center of the
route via which the country links with the sea its two main
sectors: the northern., and the central, with the extreme south-
ern.
Russia -- Politically and Economically Monolithic
The establishment of a fishing base under Soviet guidance
in this sector raises a problem which is not usual in trade or
industrial agreements or those with nations with a different
system.
The Chilean government has had difficulties with U.S.
businesses, particularly in the case of copper, and has suffered
from the reprisals known by all because it expropriated them
without paying what the enterprises affected demanded. This
nationalization was carried out on the basis of a constitutional
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reform, and it had, as it continues to have the support of the
whole country, without distinction as to ideological, political,
or economic sector.
But in these cases the government of the United States
and the businesses threatened were not monolithic in nature.
There well may be even very strong ties between the two, which
it has not been possible to prove, but there is no absolute
identification. In the case of the Soviet economy, policy and
the business enterprises -- all state owned -- are one and the
same thing. Just as Chile regards the attacks on the national-
ized copper sector asaggression against the country, the activ-
ities of the economic bodies in Russia are basically political
determinations. The government leader, converted politically
into a business man or industrialist, is the same individual who
directs the national and international policy of the country in
Russia. There is no way of differentiating these people, because
basically no difference exists.
Therefore, the installation of an industrial and fishing
plant in Colcura and in Arauco is the same as the installation
of a Soviet government representation in that region. All the
rest is irrelevant distinctions, ideological embroidery, which
has nothing to do with any reality.
PIA quite clearly, the Soviet fishing and industrial base
which the Soviet Union will use is a center where the entire
Soviet state, inseparable in itself and its various parts, will
have the option of operating.
It is not possible, therefore, to compare this case to
the situation of other economic intervention by various countries.
If the United States had owned the copper sector, there can be
no doubt that a conflict between governments rather than between
the Chilean government and foreign enterprises would have occurred.
What did occur, i.e., the maintenance of normal relations with
the U.S. government and even talks concerning the renegotiation
of the Chilean foreign debt, proved the contrary, i.e., that the
U.S. government and the U.S. businesses are not the same thing,
and this, although one may accept all of the shadings, reserva-
tions and criticisms one wants, is what determined our agreement
beforehand.
Russia and the 200-Mile Limit
It is also important to recall that the great economic,
maritime, and international powers, Russia among them, do not
accept the thesis of the South American country as to their
sovereignty over a radius of 200 maritime miles.
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For these powers, the maritime territory inaccessible to
them and reserved to the sovereign decision of.a riparian coun-
try extends to only a tenth of this distance. With modern
technology, the design and structure of seagoing vessels, and
the established fact that they fish within the 200-mile limit
implies a conflict between the two viewpoints: that of the
riparian country desirous of keeping the industrial countries
off its coasts, and that of these other countries, which support
a thesis allowing them to enter into the coastal waters of the
countries in the process of development.
We cannot imagine, therefore, in view of the fact that
while we defend our 200-mile limit, the Soviet Union with a
fishing base on our coast, would be likely to ignore this prin-
ciple. If we link the Soviet concept to the location of its
fishing vessels off the Chilean coast itself, we can see that
any kind of restriction against a policy which eventually might
work against our interests disappears.
Earlier we have said that as everything is a part of the
state in Russia, one cannot differentiate the Soviet international
policy from its economic activities. The political personage
who takes action is always the same, be it as ambassador, naval
attache, or industrial technician. In a word, all Soviet
economic activity is at the time political and, conversely, all
political activity is economic.
The Unknown Agreement
It is obvious that all of the industrial fishing program
agreed upon by Chile and the Soviet Union must have resulted
either from direct dealings by President Allende or in the
Soviet talks with the minister, Mr Martones, and they must have
been made specific in some document. This in turn must have
established the rights, the exemptions, the privileges, and the
duties which will fall to the Soviet Union. As a counterpart,
there must also have been established the conditions under which
Chile accepts this plan, the amount of credit granted, and the
form of payment, the periods of time for carrying forward the
program, and all of the pertinent details.
President Allende spoke in these terms: But we are here
in Colcura, and I want to stress what this first great fishing
and industrial port of Chile will represent, a project which
will be a reality thanks to the cooperation and the attitude of
solidarity and the technical assistance of the Soviet Union.
For the first time in our history we are going to have a fishing
and industrial port. This involves two stages: the first
extending until 1976 and the second until 1980. And he added:
'Up until 1976 the sum of 600 million escudos and 7-1/2 million
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dollars will be invested in this complex.' The dollar figure
estimated at the real exchange, and the Soviets are not likely
to accept the official exchange, represents 3 billion additional
escudos. And all this in a first stage, up until 1976. If this
is compared with the initial indebtedness of 3,600,000,000
escudos or more, because the investment will have to entail
interest, as is normal for such agreement, even with Russia, we
find that this is equivalent to four times the total volume of
Chilean exports in 1 year, and that on the basis of a copper
price at the 1970 level.
This raises a series of unclarified questions.
First of all, the substantial sum of the debt, its
financing and payment. Chile is committed to return ?the invest-
ment with interest, in a period which has not been announced.
How will this be paid?
The government sector will say that it will be paid
through the fishing production involved and with the interest
allocated by the budget for the purpose. But production will
not come about overnight, while on the other hand the interest
will continue to accumulate, and in addition, the Soviet vessels
will be working .over a long period of time, with the payment for
technicians, maintenance costs, and other categories. In brief,
both the public treasury and the Chilean fishing sector will have
to face up to this responsibility as soon as the fishing 'com-
plex' begins to be installed and to function.
There are doubtless exemptions, facilities, rights, in a
word, privileges granted to Russia both for the establishment
of the installations, and the use of Chilean waters in the
sector, or perhaps in others, within a radius which may be up
to 200 miles, or possibly less.
What is certain is that the Soviet vessels will ply
these coasts, will navigate through our seas, and will have the
use for this purpose of the Colcura base. In brief, a foreign
power, with all of the excuses one may wish to give, will have
a center of activities in one of the strategic points on our
coasts, and in our territory.
And here we should again recall that within the Soviet
system politics and its goals in the means and resources of the
economy are inseparable.
If in addition we examine the importance Russia assigns
its naval power, its expansion in the Mediterranean and in all
of the oceans of the world, the considerable development of its
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S./ V la 1,11.1.1.1-111 1 1.A., La VIN la 1
submarine fleet, with the capacity to launch long distance
missiles, we might think of what an imprecise agreement or a
treaty which is too diffuse in this regard might mean.
Nor can we close our eyes or ears to the reactions this
situation will provoke in the South American countries on the
Pacific and the Atlantic.
What About Preliminary Studies and Consultations?
We have said that the agreement, treaty, or document
establishing the formation and the granting of authorization
for the fishing complex in Arauco-Colcura has not been publicly
revealed.
Nor do we know when the study was made and approved nor
who took part in the analysis, discussion, and drafting.
It is not known whether the advice of the Chilean navy
was solicited, which should play an important role in this
sector both because its duty includes the supervision and
maintenance of safety on the seas surrounding the country, and
also because the ports along the coast have been entrusted to
its responsibility.
An equally mysterious factor is the studies which may
have been made by the proper bodies with regard to fishing,
industrial policy, and the financial-economic plans for this
undertaking.
A further unknown involves why it was decided pure and
simple to reach an agreement or treaty with the Soviet Union,
when there are in Europe a number of countries with lengthy
fishing and industrial experience, and with economies much more
similar to our own and with highly developed technology in this
sector. It suffices to mention Sweden, Norway, Denmark;
Holland, and Finland, to see that it would have been possible
to ask these nations to make offers or propose programs which
might have been compared advantageously with those accepted
without further discussion from the Soviet Union.
A comparison of these possibilities and the conditions
under such cases should have adequately instructed those who
adopted the decision concerning what was most advantageous and
represented the most favorable projections for Chile.
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Nor Was the Congress Consulted
The political constitution of state establishes a system
which is quite categorical when it comes to international
commitments, whenever they affect the interests of the country
in any way.
To this end, Article 72, in its paragraph 16, entrusts
the handling of political relations with foreign powers and the
conclusion and signing of all treaties of peace, alliance, truce,
neutrality, trade, concordats, and other agreements to the
President of the Republic. It adds that 'treaties, prior to
their ratification, will be submitted to the congress for its
approval.' This concept is completed by Article 43, paragraph 50,
which grants to the congress, as one of its exclusive attribu-
tions, the right to approve or reject treaties submitted to it
by the President of the Republic. This covers any agreement of
a specific or general nature between our country and a foreign
nation or state, in other words, it covers any international
agreement. In this connection, internationalist Don Ernesto
Barros Jarpa said that 'agreements among states have various
names: treaty, convention, protocol, pact, declaration, resolu-
tion, recommendation, etc.'
The above indicates that the fishing agreement between
Chile and the Soviet Union cannot be put into practice without
parliamentary confirmation, a procedure which has not even been
begun.
Conclusion
In view of the background indicated, it is obviously
urgent that the executive branch make available full information
about the agreement signed and put into effect with the Soviet
Union, giving details on the technical, political, economic, and
financial reasons which led it to sign the agreement, and that
finally, both the parliament and the bodies of the armed forces
and the technical organizations be consulted on the matter, with
regard to the context of the commitments which have been under-
taken.
It cannot be assumed that the government is unaware either
of its authority or is lacking in zeal for the rights of Chile,
which we are sure have been taken into due consideration, but
it must be realized that in matters of this overwhelming impor-
tance, the country must be consulted, heard, and informed, since
this, in addition to being a duty of the state, is also the most
effective means of participation by the citizenry in the decisions
which affect their highest interests."
COPYRIGHT: El Mercurio, Santiago, 1973
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r
COSTA RICA
PRESIDENT DISCUSSES ISSUES WITH NEWSMEN
[Interview with President of the Republic Jose Figueres;
San Jose, La Nacion, Spanish, 9 March 1973, p 6]
"We should not harass the foreign investors who come to
the country," said the President of the Republic, Don Jose
Figueres, yesterday, when asked about Mr Robert Vesco.
At the press conference held at the premises of the SEDCA
[Sistemas Electronicos de Datos y Ciencias Administrativas;
Electronic Data and Management Finances Systems] in the Numar
Figueres building, he was asked about this matter.
Interview
Since Vesco had said last Tuesday at a press conference
held in the Costa Rica Hotel that "naturally, I met with
President Figueres. It would be foolish to imagine that I would
come to this country and not meet with the chief of state,"
Figueres was asked the details of this interview.
The President said that "I met with him (Vesco) several
times, but not on Tuesday.
"We met to talk of matters involving investments in the
country."
What has Said
?
He said that "I have been told that he (Vesco) was
irritated last Tuesday by something written about him, because
the newspapers have published reports unfavorable to him. I
believe that he is wrong since what has been said here consti-
tutes reprints from the foreign press, except, obviously, for
some editorials which are purely political.
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"I believe that he is irritated," Figueres added, "by
what some deputies 'have said, but what they are sayin is
atainst the government, and is political.
Bringing in Money
He then went on to say more generally that "it is not
proper to harass the investors, the people who bring money to the
country, which creates jobs.
"It is an error to set ourselves to bother these people.
"I have no report of bad investments in Costa Rica."
The Jenaro Valverde Case
"The attitude of certain deputies is inevitable," Figueres
added.
He was asked about the fact that a prominent Liberation
Party deputy, attorney Jenaro Valverde, is opposed to Robert
Vesco.
"This is nothing new. The Jenaro Valverde case is wall
known. It did not happen to me, but came back to me settled.
However, this is now known."
The Political Campaign
Concerning whether he will participate in the coming
electoral campaign to defend his government in recent months,
he said that "it has been said that I will participate in the
electoral struggle, but for the moment these are nothing more
than speculations."
He was asked about the possibility of a more forceful
attack upon him?
Figueres answered that "the attacks against me could
hardly be more forceful. Baseless criticisms do not bother me
"Now if you were to ask me whether I believe certain
programs to be good or evil, I can tell you to what extent I
will defend these programs, which I have launched in the govern-
ment."
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(...4uv Envital. UDE, VALI
Low
The Country
He spoke of "the prosperity which is visible, the high
commercial sales. It is plain that there is prosperity in the
country. This is visible." He reiterated that "there is a drop
in unemployment."
He spoke of those who earn "between 1,200 and ... 280
colons per month, who are very badly off." This was in refer-
ence to the Mixed Social Assistance Institute, which does very
good work.
Barahona
The President was informed that attorney Oscar Barahona
says the opposite about the state of the nation and he indicated
that "everyone can say what he wishes. There is no need to pay
to say things."
Chile
He commented on the results of the elections in Chile.
"It seems to me, distant as we are and based on the published
cable reports, that despite the wave of world propaganda against
Allende, he emerged in good shape from the elections.
"The result of this popular consultation in Chile is a
warning to America.
"I believe that the electoral masses are more responsive
now than before. It is curious," he said, "that despite every-
thing, things in Chile are decided by means of elections."
Allende has improved his position. He then said that
"the people are becoming aware."
Concerning whether there is any relation between what
has happened in Chile and Costa Rica, he said that "in our coun-
try the popular response to measures favoring the Weaker is
improving."
Deficit
He spoke of the report released by the minister of
finance to the effect that the deficit is only 23 million colons,
according to the balancing of the budget.
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Figueres praised the work of Minister Alpizar and said
that "the deficit has been reduced to 23 million colons."
The former minister of planning and ambassador to
Washington, attorney Marco A. Lopez, who accompanied the President
on his visit to the SEDCA, said that "there are various types
of deficit: legal, economic, and financial."
Income Tax
_
Figueres commented that "it will be necessary to seek a
solution to the well-known problem of income tax evasion."
Other Matters
During the press conference, other subjects were discussed.
Concerning school equipment, Figueres said that "I do not know
much about these things, which are very costly."
Concerning the problem of milk, meat, and transportation,
he made the following generalization: "These are sensitive sub-
jects. The main problem lies in the low income of certain
categories of persons.
"In the meat sector there is much to be done. A legal
requirement that a sufficient percentage to guarantee adequate
meat be left in the country is justifiable. We are working on
this."
Concerning the group of meat packers which visited him,
he said that "they are rendering a service to the country and
will have representation on the National Commission. There
will also be a representative of the consumers."
Attorney Lopez Aguero spoke to say that "there is a
world problem concerning rising prices." He mentioned such
cases as the United States, Great Britain, Switzerland, and
Italy.
Figueres gave an incisive answer to a question about
financial interests., saying that "they often play the game of
the pinch pennies."
At the conclusion of the press conference he made two
statements on different subjects.
He said that "La Nacion has always been anti-liberation-
ist and anti-social reform."
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,JWVAMIA1.1.1,111 llV11.11
And, going back to the. subject of Vesco, he said:
"Many of the things published here frighten investors. It is
very hard for university circles to understand our environment."
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COSTA RICA
SPOKESMAN FOR ROBERT VESCO ADDRESSES JOURNALISTS
[Article; San Jose, La Nacion, Spanish, 9 March 1973, p 4]
This is a communication sent by Mr J. Raul Espinoza, the
Costa Rican representative of Mr Robert Vesco, to the President
of the Journalists Association, Don Rolando Angulo, yesterday.
It reads:
"Although I do not know you personally, I want to send
you these lines seeking to make the following understood,
because of the high position you hold representing journalists
in Costa Rica:
"In error, some communications media in the country have
taken certain statements made by Mr Robert Vesco in his national
radio and television appearances and in his press conference as
a threat to the right of free press information.
"Nothing could be farther from the truth. At no time has
Mr Vesco had the intention of violating freedom of the preSs and
for the very reason that this is a country in which all rights
are respected and the law is heeded by all, Mr Vesco announced
that an appeal would be made to the existing legislation on
insult or defamation and slander, in order to prevent the damage
which inaccurate and false information is doing to his reputa-
tion and his business. I believe that this is consistent with
the concept of freedom of the press which we should all support.
"Possibly Mr Vesco made the involuntary error of failing
to answer or deal with promptly the reports and comments of all
kinds which have been published about his business and his
person.
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"With a view to correcting this error and being able to
give you and the public in general the information merited,
Mr Vesco has entrusted this task to me, such that you can all
regard me as speaking on his behalf and at his personal wish.
Also as Mr Vesco's representative in certain business activities
in addition to these relations with journalists, I give you my
assurance that we respect and will respect not only the basic
task of the press, but everything which is a guarantee of the
common good in a country of order and legality.
"I hope you will be so good as to communicate this informa-
tion to your colleagues to correct improper interpretations."
5157
CSO: 4200-W
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Declassified in Part - Sanitized Copy Approved for Release 2013/08/01 : CIA-RDP09-00956R000105640026-1
Declassified in Part - Sanitized Copy Approved for Release 2013/08/01 : CIA-RDP09-00956R000105640026-1
GUV.LItNiqtN1 UbJ ONLY
Law:'
COSTA RICA.
COMMISSION TO INTERVIEW MCALPIN IN MEXICO
[Article; San Jose, La Nacion, Spanish, 9 March 1973, p 4]
The members of the investigation commission, Dr Longino
Soto Pacheco and Angel E. Solano Calderon, will leave for
Mexico on the regular LACSA flight at 8:30 this morning. In the
capital of that country they will meet with Mr Gordon McAlpin,
in a hotel the name of which has not been announced. The talks
with McAlpin will take place on Friday, Saturday, and Sunday,
and they will be tape recorded by the executive secretary of the
commission, Don Humberto Chaves. Deputy Soto Pacheco has stated
that the testimony of Mr McAlpin is of the greatest importance
to the task which has been entrusted to the commission in
connection with mutual funds and Mr Robert Vesco.
5157
CSO: 4200-W
- END -
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GOVERNMENT USE ONLY
Declassified in Part - Sanitized Copy Approved for Release 2013/08/01 : CIA-RDP09-00956R000105640026-1