FIXT-SOVIET AUTO PLANT

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP69B00369R000100240043-2
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 2
• Document Creation Date: December 22, 2016
• Document Release Date: August 25, 2010
• Sequence Number: 43
• Publication Date: January 1, 2000
• Content Type: TELEGRAM

Sanitized Copy Approved for Release 2010/08/25: CIA-RDP69B00369R000100240043-2
Department of State
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PAGE 02 'STATE 41928
OF OPINION EXIST ON PROSPECT'FOR!MUNOT AMENDMENT BEING DEFEATPD
PAGE 2 RUEHC 41928 'CO N F I 0 E 'N T I A L
OR MODIFIED IN COMMITTEE OR:ON FLOCR?'f9ANY'OBSERVERS NOT OPTI 9ST%
THAT IT OR OTHER. LEGISLATION OF-SIVIILAR.IMPORT CAN BE.AVO-TOED
IN LATE AUGUST .LINDER COVERED 'CONGRESSIONAL SITUATION FULLY
WITH IMI PRESIDENT'SIGLIENTI AND WITH'OTHER ITALIAN OFFICIALS
IN ROME, AS WELL AS WITH ITALIAN AMBASSADOR ORTONA IN !WASH'! IG 'ON ?
2Q DEPT PRESENTLY UNABLE ASSESS LAK'FLAHOOD OF'US'PRIVATE BANK
PROVIDING;MEDIUM=TERM'FINANCING FOR-:US PRODUCTS DESTINED FOR
AUTO PLANT. BANKS ARE .LIKELY BE INFLUENCED BY A 'NUMBER OF FAC 'ORS
INCLUDING 1A) KNOWN STRONG CONGRESS I ONA1L 'OPPOSITION 'TO C I X T
?
DEALQ 6B) ADMINISTRATION'S SUPPORT,DF'US INDUSTRY PARTICIPATI'N
IN 'TRANSACTIONI
AND fC) ?BANKS' 'RELATI'ONSHIPS 'TO ITALIAN
PART!
;S
TO'TRANSACTION.
RECEPTIVENESS OF'COMMERCIAL BANKS WOULD
ALSO
DEPEND HEAVILY ON MATURITY, AMOUNTS, AND I1NTEREST'RATE
DESIRE
?
3. THE BASIC ISSUES'WHICH WOULD'.INFLUENCE:CONGRESSIONAL CONSI'ERATION
RE EXPORT LICENSING' WOULD PROBABLY 'EXIST 'NO 'MATTER WHAT FORM
OF FINANCING WAS.ULTIMATELY ADOPTED. WE~DO'NOT'THEREFORE eELI'VE
THAT EFFORTS TO ARRANGE 'PRIVATEBANK 'FI'NANCING WOULD IN THEMS.LVES
TRIGGER CONGRESSIONAL ACTION-SUFFICIENT'TO BLOCK LICENSING FO
PAGE 3 RUEHC .41928 :C 0 'N F I D E N 'T I A L
FIAT PLANT.:'THERE HAS BEEN NO :CHANGE' IN 'US VIEW 'THAT MOST' IF
NOT ALL OF THE :EQUIPMENT 'THAT MAY BE SOUGHT FROM-'THE 'US FOR
THIS PLANT CAN BE!.LI:CENSED PURSUANT"TOEXPORT CONTROL,ACT?
49 EMBASSY MAY AT ITS -DISCRET'I'ON 'PASS iSUBSTANCE:?ABOVE 'TO I'TAL ANS
KATZENBACH
CONS 1DLN" I Af.
Sanitized Copy Approved for Release 2010/08/25: CIA-RDP69B00369R000100240043-2
 Sanitized Copy Approved for Release 2010/08/25: CIA-RDP69B00369R000100240043-2
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PAGE 01
STATE
41'928;
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DRAFTED BY i E/OMA/ IP 1'JBAMSTUTZ.
APPROVED BYsEIMR;SOLOMON
E/EWT B MR WR I GHT'
HsMR SCHNEE
URQMR STO.ESSEL
C(-IMMERCEAMR'FEER
EXIMBANK,MRMI-DDLETON
3oM ?024 I:NR 071P :04,t A)04.01-
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P R 220201 Z 'SEP 67
FM SECSTATEWASHDC
TO AMEMBASSY MOSCOW 'ISRI:OR_ITY 0032
INFO AMEMBASSY ROME-0034
AMCONSUL TURIN 0002
C 0 N F I 'D 'E IN T I A L ;STATE 41928
REFS MOSCOW 11'26
SUBJECTs FIATiSOVIET AUTO PLANT
lo ON SEPTEMBER 1.2 AND 13' HOUSE BANKIiNG AND CURRENCY:COMMITT-E
HELD NEW SERIES OF HEARINGS ON -EXIMBANK '-BILLo IN-'TEST-IMONY
BEFORE'COMMITTEE, SECRETARY TROWBRIDGE ANDEXIMBANK PRESIDENT
LINDER OPPOSED MUNDT AMENDMENT..COMMITTEE ISiNOT'EXPECTED
TO TAKE 'FURTHER ,ACTION FOR .ANOTHER WEEK AT LEAST AND DATE
FOR HOUSE -' FLOOR. ACTION NOT SET. WHILE: CONSIDERABLE DIFFERENCE
CON? IDEN'r I.. L
Sanitized Copy Approved for Release 2010/08/25: CIA-RDP69B00369R000100240043-2