LATIN AMERICA REVIEW

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Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP79T00912A001000010006-2
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RIPPUB
Original Classification: 
S
Document Page Count: 
35
Document Creation Date: 
December 21, 2016
Document Release Date: 
February 14, 2008
Sequence Number: 
6
Case Number: 
Publication Date: 
October 19, 1978
Content Type: 
REPORT
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PDF icon CIA-RDP79T00912A001000010006-2.pdf1.75 MB
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Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Foreign Assessment Center Latin America Review DIA review(s) completed. Secret RP LAR 78-010 19 October 1978 Corr Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET LATIN AMERICA REVIEW 19 October 1978 CONTENTS Argentina-Chile: New Tensions in the Beagle Channel . . . . . . . . . . . . . . . . . . . . With the latest round of negotiations sched- uled to end on 2 November, probably without an agreement, the recent troop movements by both countries have increased concern about chances to resolve the century-old dispute over the Beagle Channel. Nicaragua: "Tachito" Will Benefit from National Guard Buildup . . . . . . . . . . . . . . . . . 4 The Somoza government's plans to nearly double the 8,200-man National Guard will probably increase the personal power base of the President's son, Major "Tachito" Somoza, because of his direct role in training the new recruits. Panama: Policy Continuity Under New Government. . 7 Panama's new government headed by President Aristides Royo contains familiar faces, and in conjunction with other indications of future policy, this suggests that the center- left diplomatic tack and center-right domestic course of recent years will be little altered. Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET Panama: Torriijos Turns His Attention to The_ Guard . . . . . . . . . . . . The forced resignation of Colonel Garcia, the Deputy Commandant of the National Guard is the culmination of a long series of pol- icy disagreements between Torrijos and the staunchly conservative number-two man in the military. Cuba: Whither Raul Garcia Pelaez? . .. . . . . . . 17 The appointment of Garcia Pelaez as Ambassa- dor to Afghanistan raises questions about the political status of an important figure in Cuba's party hierarchy, but also under- lines Havana's growing interest in the Asian nation. Chile-China: Relations Being Strergthened . . . . 20 Chilean Foreign Minister Cubillos' two-week official visit to China is intended to foster closer economic and political ties, which could be advantageous to both countries. Jamaica: Manley Embroiled in Political Scandals . . .. . .. . . . . . . . . . 21 Although the Prime Minister has managed to deflect the sensational allegations now be- fore the courts, his declining political stock has been further weakened, and he could be ousted if the main charges are substantiated. South America: Changing Patterns of Drums Smuggling .. . . . . . . . . i . . . . . . 25 Ecuador has been a primary transit point for narcotics trafficking, but over the past year increasing numbers of Colombian drug manufacturers have begun to buy di- rectly from Peruvian suppliers. Cuban Chronology for September . . . . . . . . . . 29 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET Argentina-Chile: New Tensions in the Beagle Channel Recent troop movements by Argentina and Chile are the latest in a series of military actions that have in i creased concern about chances for a peaceful resolution S of the century-old Beagle Channel dispute. The latest 4 negotiating round is scheduled to end on 2 November, probably without an agreement, and no decision has been 7 made to extend the talks. Although major spokesmen for both sides insist they want a peaceful settlement, there is always the possibility that Argentina may resort to military action against Chile. In the negotiations, which began last February, the bilateral commission has made substantial progress in the area of economic integration and possible exploita- tion of maritime resources in the disputed region. But there remains the major issue of drawing a demarcation line beyond the islands awarded to Chile last year by international arbitration. A complicating factor is the / lack of agreement among Argentine military and government leaders over what terms they will accept. Although recent official communiques speak optimis- tically of an agreement being reached by 2 November, 7 _ both sides may be considering other initiatives in the event of an impasse. Peaceful options may include a limited extension of the negotiating deadline, a mora- torium, or an effort to find some new form of interna- tional arbitration. Meanwhile, however, both nations continue to reinforce their southern military commands, a development that has not gone unnoticed in the opposing capital. Other nations are beginning to regard the situation with increasing concern. In South America, both Peru mii Rnl i vi a hats in rii ratard that thrsv take thA nnssi bi 1 i $v 5 of military action seriously, and are watching develop- ments closely. Brazil is reportedly sufficiently worried 1 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 South MAGELLAN rsv PACIFIC OCEAN I TIERRA L IE DEL 0 1 FUEGO ATLANTIC OCEAN ARGENTINA Falkland Islands -.'(U.K.) { 01 HUAIA ~ ' aeAO C`~ nre,._--M;RTO--WILLIAMS "Os ~t1 Is,, ISLA NAVARINO Cabo-SenPia ISLA PICTON AREA OF MAIN MAP , aP Islands the Argentines might occupy Cape Horn Islands-and appurtenant islets and rocks awarded to Chile by International Arbitration Court in May 1977. -f Airfield ? Naval Station OISIAMUEVA [DRAKE PASSAGE 2 Approved For Release 2008/02/1 4 :CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET j about a possible outbreak of hostilities to begin making its own defense preparations. A leading Brazilian news- paper said recently that international reaction must be r one of "stupefaction" in the face of the assorted bel- licose preparations of Argentina, which it listed as: troop concentrations, movements of heavy equipment, mili- /v tary exercises, mobilization, civil defense preparations, emotional appeals to patriotism, parades, and a special II "war course of instruction." Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET .Nicaragua.. "Tachito" Will.Benefit.From National Guard Buildup In response to,the continuing guerrilla threat, the Somoza government has set in motion longstanding plans to nearly double. the size of the 8,200-man National Guard by the end of next year. The President's son, Major Anastasio "Tachito" Somoza, who commands the Infantry Basic Training School and directed the counteroffensive against the guer- rillas in September, will probably increase his personal power base as a result of the buildup. In overall capability or man-for-man, the Guard has always militarily outclassed the guerrillas of the San- dinista National Liberation Front. During the FSLN of- fensive in September, however, the Guard was stretched so thin that it had to concede temporary control of sev- eral provincial cities until it could systematically re- capture them over a two-week period. With the guerril- las gaining in 'numbers and popularity and receiving in- creased support from abroad, President Somoza sees a clear need to maintain his advantage by building up his mainstay. Despite its recent widespread censure by the inter- national press, the Guard seems to be having little trou- ble finding the recruits it needs to increase its size to 15,000. The Guard's public image--which had not been good for years--was thought to have reached rock bottom because of the harsh methods it reportedly used to re- capture the provincial cities. Nevertheless, according to the US Defense Attache, the Guard still enjoys some prestige in rural areas. Illiterate peasants, who gen- erally fill the enlisted ranks, evidently continue to welcome the opportunity for upward mobility that Guard service offers. The Guard's haste to increase its numbers is evi- dent. The senior class of the Military Academy was re- cently graduated nine months early, skipping most of its fourth year, in order to provide 28 new officers. Some Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET 1,500 new recruits have been enlisted in the past month, 3 and another 3,000 applications are being processed. I1?- literate recruits, who are probably in the majority, will continue to go through the regular five-month training cycle, but enlistees who are literate will be rushed through a new, special two-month basic infantry combat training course. The buildup will be coupled with an internal reor- ganization of the Guard. Somoza has finally approved a plan to establish a professional police force separate from the purely military elements. In addition, the "Becat" counterterrorist jeep patrols will be removed from the 1st Armored Battalion to permit it to concen- trate on its role as a heavy weapons unit. The Guard will encounter some difficulties in rapidly increasing its size. The Somoza family has historically ensured the loyalty of the Guard through a range of con- trols and patron-client techniques, including careful screening of applicants. Some officers are concerned that the rapid buildup will lead to less stringent secur- ity investigations, enabling guerrillas or their sympa- thizers to infiltrate the Guard. In addition, the Infan- try Basic Training School cannot accommodate all of the expected new recruits, so training facilities will have J to be set up elsewhere, perhaps at Puerto Somoza on the Pacific coast. Although the Guard has sufficient weapons for the enlistees, it is short of uniforms, C-rations, and other equipment. The government is currently trying to make commercial purchases in the US to overcome these shortages. Major "Tachito" Somoza, who has established a sig- nificant personal power base in the Guard over the past two years, will most clearly benefit from the buildup. / In the past, he has succeeded in winning the personal loyalty of new recruits, all of whom go through his In- fantry Basic Training School. Moreover, the top officer graduates of the Military Academy serve as his training school cadre, and he has become influential with them as uj~ well. "Tachito" will also be in charge of the special basic training for the new police force, for which he will be receiving the better enlisted men from the depart- mental commands. 5 SECRET Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET fern a business career, the young NESSIOMMEM provincial cities. Despite occa- hi,~,~~~4i;;;,o,~ly Na,. ?. r. It is still debatable whether the 26-year-old son of the Presi- dent could take control of the Guard if his father were to leave the scene unexpectedly, but that is the trend and apparently the in- tent. The President's aging and unhealthy half-brother, Jose R., is technically second in command, but during the guerrilla offensive last month, "Tachito"' personally di- rected most of the Guard's counter- attack. Troops from his school bore almost the full brunt of the. fighting in recapturing the five Major Anastasio "Tachito" Somoza career and business pursuits usually go hand-in-hand in Nicaragua. He is an intelligent, decisive officer, and the longer his father remains in power, the more assured becomes the eventual ascendancy of "Tachito"" to the com- major enjoys leading the troops and recognizes that a Guard mand of the Guard. 6 SECRET Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 J n t-AZ 1 Panama: Policy Continuity Under New Government Panama's new government headed by President Aristides Royo contains familiar faces, suggesting that the center- left diplomatic tack and center-right domestic course of recent years will be little altered. General Omar Torrijos, former Chief of Government and now simply com- mandant of the National Guard, sincerely wants to restore civilian government, but his brand of democracy has def- inite limits. Torrijos has continued to make the major decisions, at least through Royo's election and instal- lation, but he seems unsure how he will define his future policymaking role. For now, despite Royo's ambition and talent, the new President is a creature of Torrijos and will follow past guidelines closely. The principal people in the new administration in- clude many of the same people Torrijos has had clustered around him for years. The new faces reflect the same left-right balancing that has come to characterize Torri- jos' cabinet-level appointments. The General's contin- uing control was manifested in Royo's uncontested elec- tion on 11 October by the 505-member legislative assembly. Royo's acceptance speech stuck to the same moderate theme he has been emphasizing since Torrijos first "pro- posed" him last month. Royo announced, for example, the formation of a National Economic Council from the private sector to assist the government in policymaking. For the past three years, the administration has been tilting to the right in an effort to bolster business confidence and overcome economic stagnation. Although Royo has a leftist background that includes cooperation with the Communist Party, he is--like Torri- jos--a capable, dynamic opportunist who will shift with the political winds. As Minister of Education since 1973, he first supported leftist reform measures but quickly abandoned them in the face of a popular backlash. The moderate tone of his acceptance speech is typical of his recent efforts to establish himself as a middle-of- the-road pragmatist. 19 October 1978 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 ar'Unzi Foreign affairs ostensibly will be in the hands of Carlos Ozores who has been Deputy Minister of Foreign Relations since 1970. Not a major figure in the admin- istration, he seems nonetheless very much at ease with Torrijos' independent policies oriented toward the Third World. In any case, wide-ranging general ;principles, which were laid down by the Foreign Ministry in July, effectively institutionalize present policy directions. In domestic: affairs, Torrijos' political reform package will soon be ratified by the newly elected legis- lative assembly in what is likely to be a pro forma ex- ercise. Major changes provide for direct election of the next president in 1984 and the lega:l.ization of cer- tain political parties. Although the legislative assembly will continue to function, a smaller National Legislative Council will be established, purportedly with real lawmaking powers. One-third of this Council will be directly elected in 1980, but a comfortable two-thirds majority will be drawn from the present, Torrijos-controlled assembly. This package falls well short of opposition demands for proportional representation and early, direct elec- tions for the presidency and other public offices. In protest, the leader of the major opposition Liberal Party may withdraw from his working relationship with the gov- ernment to join forces with the Panamen:i.sta Party of former President Arnulfo Arias and work for the govern- ment's overthrow. Even together, however, these opposi- tion groups are no match for the government. Torrijos seems quite pleased by having surprised many observers with his decision to step back from total control. He was partly motivated by personal reasons; he chafed under the bureaucratic demands and ceremonial trappings of office. The General, however, also views himself as one of a new breed of enlightened Latin Ameri- can military leaders who advocate increased participation and control by "responsible" civilians. Torrijos opposes a return to Panama's traditional political systems, leaders, and spoils system. In practice, President Royo's total. loyalty means that Torrijos can retain as much or as little power as Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET he wishes. The General certainly continues to make major policy decisions. Torrijos may have moved back from the limelight, but he is still firmly in control. 9 SECRET Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Next 3 Page(s) In Document Denied Iq Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET Panama: Torri_Ls Turns His Attention to The Guard The forced resignation last week of Colonel Rodrigo Garcia, the deputy commandant of the National Guard, was the culmination of a long series of policy disagree- ments between General Torrijos and the staunchly conserv- ative number-two man in the military. Panama's prolific rumor mill ground out stories of a coup plot, but what stands out is the General's apparent continued control. Deputy Commandant Garcia--second in rank to Torri- jos as the only full colonel in the Guard--has disagreed with Torrijos over policies toward Cuba and leftist in- fluence on the government in general. Anti-Communist and conservative to the core, Garcia was the military / counterpart to former President Laka.s--?similarly a strong conservative who had frequent reservations about policy and an occasional falling out with Torrijos but who re- mained personally loyal to the General and his revolu- tion. In recent years, however, both Lakas and Garcia ,had less and less influence on Torrijos' policy deci-? sions. Most recently, Garcia disagreed with Panama's moral and material support for the Nicaraguan guerril- las. Garcia, like other conservatives, was also dis- quieted by Torrijos' choice of left-leaning Aristides Royo for the presidency and the selection of former Labor Minister Ahumada As the new Minister of Govern- ment. Ahumada, a past member of the Panamanian Communist Party, has long been regarded by both Garcia and Lakas as an irritating symbol of leftist inroads into the gov- ernment. Personal frustrations may have helped fuel Garcia's most recent dissatisfaction; he was one of 'those pushing for Torrijos to assume the presidency so he, in turn, could head the Guard? For his part, Torrijos may have been irritated with Garcia over a diplomatic gaffe in August when Tor- :rijos attended the inauguration of the Dominican Presi- dent and transported several Dominican exiles back to 14 SECRET Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET 15 SECRET Santo Domingo with him in his plane. To Torrijos public embarrassment, one of the exiles was refused permission to enter the Dominican Republic, and Torrijos held Garcia personally responsible for the mixup. Although forcing Garcia's resignation was a telling demonstration of the General's power--after Torrijos, he was one of the three most powerful men in the Guard--it does not appear to have been the result of any serious personal challenge to Torrijos. Like the other members of the Guard hierarchy, Garcia held his position because of his demonstrated loyalty. During a short-lived coup attempt against Torrijos in 1969, Garcia fled the country rather than accept an offer to serve as Chief of Staff. In 1976, Garcia was almost wholly in charge of suppres- sing serious student disorders. Over the last few years, moreover, the Guard was frequently left in Garcia's hands when Torrijos, drumming up support for the canal treaties, was absent from the country. Garcia may have grumbled, especially over contacts with Cuba, but there has been no hint of serious coup plotting. though Garcia was personally rus an un appy, he did not have sufficient influence to organize a serious challenge to Torrijos on his own. The sidelining of Garcia was not totally unexpected, since he was due to retire next January, and some change in the top echelon of the Guard was forecast. More inter- esting developments may come with whatever additional re- alignment emerges within the Guard. According to press reports, G-1 Lieutenant Colonel Paredes is to serve con- currently as assistant Chief of Staff, and the deputy commandant position has been abolished. This is perhaps an indication that even Torrijos, whose word has been law for 10 years, is taking no chances of kindling the ambitions of a potential successor. Chief of Staff Lieutenant Colonel Florencio Florez becomes second in command in the Guard, but his position is a bureaucratic one that does not provide a viable power base. Florez has generally appeared quite loyal Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET to Torrijos although on a few occasions his name was associated with reported intrigue within the Guard. In any event, he has not exercised a great deal of authority in his post, and he is a relative short-timer, due to retire in early 1980. Having relinquished his Chief of Government post last week, Torrijos will now be free to devote more time and attention to the Guard, which will be expanding as it assumes a greater role in canal defense. If Torrijos' decisions on reassignments and promotions stick close to the seniority list, as Panamanian military tradition dictates, and he also opens up the full colonel rank to more officers, he will probably further strengthen his position. In any case, Torrijos hardly seems worried by Garcia's disgruntlement with his Nicaraguan policies.F- 19 October 1978 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET Cuba: Whither Raul Garcia Pelaez? The appointment last week of Raul Garcia Pelaez as the new Cuban Ambassador to Afghanistan raises questions about the political future of an important figure in Cuba's party hierarchy. While other party Secretariat officials named to high posts abroad--for example, Jorge Risquet in Angola and Raul Valdes Vivo in Ethiopia--have retained their membership in that key office, Garcia Pelaez reportedly lost his Secretariat seat when ap- pointed to open the embassy in Kabul. The Cuban press no longer describes Garcia Pelaez as a Secretariat official, which lends credence to the private reports, but no explanation has been offered for the loss of his prestigious party post. It there- fore seems likely that he has suffered a serious polit- ical reverse. Garcia Pelaez, who received his doctorate in law and diplomacy from Havana University in the mid-1940s, is not new to diplomatic life. After several years in party organizational and supervisory work, he was sent to Moscow as Ambassador in October 1967. At that time, a purge of pre-1958 Communists was in progress in Cuba, and the Castro regime's relations with the USSR were nearing an unprecedented low due to sharp policy dif- ferences. Garcia Pelaez stayed in the Soviet capital for over five years, during which time the negative trend in Cuban-Soviet ties was completely reversed. On finishing his tour in Moscow in early 1973, Garcia Pelaez was again given a party post, being named to the Secretariat when that body--which had been largely a paper organization--was given new life and expanded from six to 10 members. Judging from his activities as re- .J- ported in the Cuban press, he worked primarily in the field of interparty relations. Later, he was made re- sponsible for the Central Committee's Economic Department, an office charged with formulating economic policy for the Political Bureau's consideration. In this new 19 October 1978 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET role, he frequently presided at important meetings in the economic sector at home and, in the international sphere, represented Cuba at several meetings of the Council for Mutual Economic Assistance. He worked in this capacity until receiving his assignment to Kabul. While the loss of his Secretariat post represents a personal setback for Garcia Pelaez, it does not dilute the international significance of Havana's intention to upgrade its relations with what it views as a promising and exploitable new regime in Kabul.. Garcia Pelaez' predecessor, Jose Lopez Sanchez, was a political non- entity who was riot even assigned as a resident ambas- sador. In contrast, Havana is now sending to reside in Kabul a diplomat who has served for years in Moscow, Cuba's most important diplomatic post, and has also spent a lengthy term in one of Cuba's top party posts, so that he presumably has good access to the inner circle of the leadership. Moreover, the Cubans probably anticipate great in- terest on the part of the USSR in expanding its influ- ence in Afghanistan, and hope to take advantage of Garcia Pelaez' good rapport with the Soviets. Last year, for example, a Soviet diplomat in Havana spoke highly of Garcia Pelaez--who presumably speaks Russian--and de- scribed him as a highly influential. person close to Moscow. The Cubans are also eager to take advantage of Afghanistan's standing in the nonaligned movement, in which it is presently a member of the Coordinating Bureau. In addition, the Cubans may be hoping to ingratiate them- selves by responding favorably to the Afghan Foreign Minister's request of last May for economic assistance. Havana may intend to provide public.health personnel, construction brigades, and other technical assistance, such as it has already supplied to more than a dozen other countries. A Cuban official of Garcia Pelaez' stature would be required to oversee such an effort if it were substantial. The "why" of C"Tarcia Pelaez' removal from the Secre- tariat is not known. Posting him to Kabul implies that his physical health was not a factor. Neither does he seem to be in disgrace, for if he had run afoul of either Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET 25X1 Fidel or Raul Castro, he would not have been given an assignment of such high visibility and importance. Cuban officials guilty of political indiscretions usually dis- appear from view in some minor administrative post. On the other hand, Garcia Pelaez may have been a source of friction to someone high enough in the leader- ship to influence Fidel. Political Bureau member Carlos Rafael Rodriguez, for example, may have been dissatisfied with Garcia Pelaez' performance in his economic duties fl and could have urged that his talents would be better utilized elsewhere. Such maneuvering by Rodriguez is not unprecedented; for instance, when Isidoro Malmierca was unable to carry out his duties as party organizing secretary, Rodriguez used his influence to have him named to the post of Foreign Minister after he was removed from the Secretariat. Whatever the reason for his removal, Garcia Pelaez' career seems to have peaked, he is not likely to regain such privileged status in the party once having lost it. Ironically, his brother Pedro, one of only about a dozen division-level generals in the Cuban military establish- ment, was not long ago given command of the Western Army, 4 the most important of Cuba's ground forces units. 0 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET Chile-China: Relations Being Strerthened On 16 October, Chilean Foreign Minister Cubillos left for China on a two-week official visit intended to foster closer economic and political ties. He carries an invitation to Chairman Hua Kuo-feng to visit Chile and hopes that President Pinochet will be invited to China; the Chinese will handle these issues very cau- tiously. Relations between the two ideologically disparate governments have been correct and improving for some time. The Chinese Ambassador in Santiago recently ob- tained Cubillos' partial endorsement. of his denunciation of "USSR and US intervention and hegemonic ambitions." Improving ties with a leading Communist power gives substance to Chile's announced pragmatic, nonideological foreign policy. Chile is also working to improve rela- tions with other Third World nations to reduce US lever- age and to end international isolation. On China's part, the cultivation of closer political and economic relations with Chile accords with its de- sire to form as broad an anti-Soviet, anti-Cuban front as possible, as well. as with its policy of diversifying foreign trade. Although relations with the Pinochet regime have cost China some support in Latin American "leftist" circles and have evoked Soviet and Cuban dia- tribes, Chinese :Leaders seem determined to ignore ideo- logical labels in their drive to expand relations with Latin American governments. Aside from the political overtones of Cubillos' trip, Chilean officials point out that economic and trade issues will be high on the agenda. They believe that Peking's search for more copper, iron, steel, and fertilizer will lead to further trade agreements and improvement of the already favorable Chilean balance of trade. 19 October 1978 20 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET Jamaica: Manley Embroiled in Political Scandals Prime Minister Michael Manley's declining politi- cal stock is being further weakened by a number of cur- rent scandals. Although Manley has managed so far to r j deflect the sensational allegations now before the courts, he could be ousted if the main charges are substantiated. Background The past year has not been a good one for the Prime Minister, who has been forced to cope with the fallout 7 from a series of highly dubious actions by various ele- ments of his government. In January, the military illegally executed five alleged opposition gunmen after luring them to an iso- lated site on the Green Bay Army base outside Kingston. Despite Manley's frantic coverup efforts, relentless press investigations and the probing of the opposition party exposed the incident. In July, the government yielded to opposition pres- sure and released a judicial commission's report accusing Manley's radical Housing Minister of using his office to victimize political opponents and of associating with gunmen. Manley, who probably has reason to be wary of his unsavory minister, has defended him by questioning the findings of the commission. In August, Lieutenant Colonel Leslie Lloyd, once a rival for the top spot in the Army, claimed that he was sacked last year after he informed the "political directorate" of various irregularities in the military, including the use of torture. Four army enlisted men, in press statements, have corroborated the accusations of torture. Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET 6 In August, an exconvict and former government worker, Albert "Spy" Robinson, charged that Manley and other high goverrunent officials had hired him in 1976 to carry out political "dirty tricks" that included spying on the opposition party, the US Embassy, and the Canadian High Commission. Albert "Spy" Robinson, who has been tes- tifying before the Corruption Commission this month at the camp and to report the raid strictly as a crimi- nal matter. Probably impelled by a desire to avoid public criticism of his longstanding patronage of radi- cal causes, the Prime Minister probably also wanted to prevent an embarrassing open confrontation with other pro-Cuban leftists. The Scandals }?acing Manley The Green Bay massacre has provided headlines damaging to Manley for nine months, and more revelations In September, Manley or- dered another coverup after the police ambushed a "revolutionary guerrilla camp" in the hills outside Kingston. The consta- bulary force killed four of the estimated 15-member terrorist group that police believe is connected with Jamaica's lead- ing independent radical, Trevor Munroe--who has close links with the left. wing of the ruling party. Although the alleged intermediary between Munroe and the terrorist group was mysteriously assassinated late last month, many details of the incident have leaked to the anti- government press. Munroe, a "critical" supporter of Manley, has suggested publicly that the CIA planted the Communist lit- erature found at the site. Manley, for his part, reportedly ordered the police to remove Soviet and Cuban flags from the cache uncovered are likely. 19 October 1978 22 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET An eight-week G, 7 (11 coroner's inquest resulted in the arrest last July of 10 military personnel, including several middle-level officers whose impending trials will ensure more dis- closures. The scandal has apparently already demoralized the military and further lowered Manley's esteem among the security forces. Although we have no evidence to implicate Manley directly in planning or ordering the executions, he is highly vulnerable because of his role in the abortive coverup and because of his direct responsibility for the military as Minister of Defense. In an uprecedented action, all opposition senators boycotted the upper cham- ber from late June to early September after the senate president, a member of Manley's party, refused to author- ize an investigation of the military intelligence unit that staged the killings. Manley's problem with his Housing Minister dates from February 1977, when the hard-fisted minister ordered the forced eviction of over a thousand opposition party supporters from a public housing project in a Kingston ghetto. Apparently to prevent a rift with the radical faction of his party, the Prime Minister refused to dis- cipline the minister and instead referred the charges to a one-judge commission of inquiry in the hope that the storm would blow over. The release of the judge's report in July, however, reopened the issue at a time of greater vulnerability for. Manley. The Prime Minister's rejection of the findings has again shown his overriding determination to preserve the unity of his troubled party. At the same time, he has taken a serious political risk by repudiating signif- icant groups such as the Jamaica Bar Association and the independent press, which have demanded disciplinary action against the controversial minister. Over the past month, another judicial commission has been hearing sensational and widely publicized testimony from "Spy" Robinson, who has testified that Manley and some advisers used him to entrap the opposition party and the US Embassy in a fake antigovernment plot during 1976. The police intelligence head, who has readily 19 October 1978 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET altered other police reports on orders from Manley, ap- peared before the commission last week and reportedly withheld evidence supporting Robinson's claim that he was working for Manley's party and not for the CIA or the opposition party--as some leftists, including Munroe, now contend. spate of scandals--which is impossible to predict at this time--he will, undoubtedly lose more ground with It is too early to assess the impact of only par- tially credible testimony from a disreputable witness, but the Prime Minister--whose contact with Robinson in 1976 has been clearly established---cannot be helped po- litically by the outcome. Moreover, the commission will soon turn its attention to Lieutenant Colonel Lloyd's accusations of military improprieties, and de- tails of the September raid on the guerrilla camp will probably continue to leak to the press. Manley is a shrewd tactician who has consistently undercut promising, opposition maneuvers, but he is struggling in a political climate that is increasingly turning against him. Largely because of Jamaica's seri- ous economic downturn, Manley's popularity is at its lowest point since he came to power in ].972. Since last May, when he acceded to stiff International Monetary Fund austerity measures, his problems have grown even within the ruling party. In June, for the first time since Manley's election, the opposition came out ahead of the ruling party in a voters' preference poll. The poll claimed that a majority of Jamaicans believes that Manley should resign. Even if he survives the present Jamaica's conservative electorate. 19 October 1978 24 SECRET Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET South America: Changing Patterns of Drug Smuggling In the past, Ecuador has been a primary transit point for narcotics trafficking between Peru and Colombia--the principal South American drug growing and processing countries, respectively. Over the past year, however, Ecuador's role has changed somewhat as increasing num- bers of Colombian drug manufacturers' have begun to buy l coca paste directly from Peruvian suppliers. Ecuadorean narcotics police officials estimate that the number of known Colombian traffickers entering Ecua- dor to conduct drug transactions has declined 20 percent: over the last eight months. According to these offi- cials, the remote border cities of Iquitos, in Peru, and Leticia, in Colombia, now serve as direct links between .v the two countries. The main reason the Colombians have begun to bypass traditional smuggling routes through Ecuador is to in- crease the security and efficiency of their narcotics transactions. Inspections along the Ecuadorean-Peruvian border are more frequent and may be strict at times, de-- pending on political tensions between Lima and Quito. In addition, larger quantities of coca paste can be transported from Iquitos to Leticia using clandestine airstrips and jungle rivers than Ecuadorean highways. To say that South American drug smuggling patterns are changing is not to imply that narcotics trafficking in Ecuador will cease altogether. Established networks are still active in Guayaquil and have not been affected by the increased direct connections between Colombians and Peruvians. Eventually, the level of drug activity in Ecuador will probably diminish particularly if the di- rect Colombia-Peru link is sustained and the promising steps toward improved drug enforcement in Ecuador are continued. 25 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET Barbados c Grenada ~nTrinidad and Tobago am Guyana * arjmarmu C / ame: -,,Cayenne Surin Bolivia (j Fr7cr, Guiana Fr Paraguay Chile 19 October 1978 26 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET Colombian authorities have recently made record multiton seizures of marijuana because some networks have concentrated their activities in a single region. There may also be a concomitant rise in multikilo co- caine seizures if other Colombian traffickers persist in dealing directly with Peruvians. In the short run, most of the trafficking networks in South America can use their resiliency and ingenuity to foil the authorities. In the longer run, however, persistent enforcement efforts will at least reduce the possibilities and options available to the traffickers. 19 October 1978 27 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 .ati4%L i ECUADOR: The government has announced that the second round of the presidential election, coupled with a leg- islative election, will be held on 8 April 1979. The transfer of power to a civilian government is scheduled for the following August. A new electoral tribunal was named on 5 October to complete a review of returns from the initial round of the presidential balloting held on 16 July and to supervise the runoff' election. Some top military leaders were thwarted last month in 'their at- tempt to annul the first round election results. The long delay before the April elections, however, provides ample time for further plotting. 28 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 bhchhl: CUBAN CHRONOLOGY September 1978 1 September Angolan Construction Minister Rezende de Oliveira and delegation arrive in Cuba. Fidel Castro meets visiting Mozambican Deputy Defense'Minister Manuel Emitio Guebuza, who is visiting Cuba. Cuban Government offers to release between 500 and 1,000 political prisoners and al- low them to come to the US. 2 September Havana television carries commentary scoring colonial status of Puerto Rico. Three Cuban war prisoners are freed by South Africa in exchange for South African soldiers held by Angola. 4 September Division General Senen Casas Regueiro opens military training school on the Isle of Youth. Fidel Castro speech opening new school year. Castro says, "The export of tech- nical services has become an important factor of this country's economic devel- opment." 6 September Local authorities in Havana deny reports of Cubans infiltrating Nicaragua or tak- ing part in any FSLN actions. Foreign Minister Malmierca opens annual Foreign Ministry seminar for Cuban Ambas- sadors in Havana. Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET 7 September Commander Antonio dos Santos, member of the Movement for the Liberation of Angola (MPLA) Politburo, arrives in Cuba at in- vitation of Raul Castro. 8 September Raul Castro meets Cuban prisoners recently exchanged for South Africans. Fidel Castro grants lengthy interview to expatriate Cuban journalists. 9 September Ugandan President Idi Amin denies published reports of presence of Cuban soldiers in Kampala. Spanish Prime Minister Adolfo Suarez ar- rives in Cuba. Meets Fidel and Raul Castro. Cuban Government issues statement express- ing its militant solidarity with Nicara- guan people. Rejects Somoza's accusations of Cuban involvement. Cuban UN mission in New York is bombed. US State Department condemns bombing on 12 September. Fidel Castro meets MPLA Politburo member Dos Santos. Also present are Raul Castro and Juan Almeida. 10 September Raul Castro meets Mozambican military delegation visiting Cuba. Fidel Castro and Spanish Prime Minister Suarez hold press conference in Havana. Castro says he will visit Spain. 11 September Fidel Castro stops in Moscow en route to Addis Ababa, Ethiopia to attend revolu- tion anniversary ceremonies. Carlos Rafael Rodriguez is with Castro group. Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 .761.i[G 1 Havana AFP says Cuba will receive 500,000 tons of Venezuelan oil this year. Agree- ment involves swaps with Spain, USSR, Venezuela, and Cuba. 12 September Raul Castro meets Guinea-Bissau National Assembly President and Armed Forces Min- ister Joao Bernado Vieira in Havana. Fidel Castro and delegation arrive in Addis Ababa. Attend rally in Revolution Square. Receives Ethiopia's highest dec- oration from Chairman Mengistu. 13 September UN special committee on decolonization approves Cuban-sponsored resolution on Puerto Rico. Meeting of chiefs of economic offices abroad opens in Havana. Isidoro Malmierca and Hector Rodriguez Llompart preside. 14 September Ivan Arkhipov, Deputy Chairman of USSR Council of Ministers, meets Joel Domenech, Vice President Council of Ministers, in Moscow. Fidel Castro speaks at opening session of Conference of Afro-Arab Peoples Against Imperialism in Ethiopia. The governments of Cuba and Angola sign 1979 construction cooperation protocol. 18 September In Ethiopia, Fidel Castro meets Joshua Nkomo and Robert Mugabe, Zimbabwe Patri- otic Front leaders. Transportation Minister Antonio Enrique Lusson signs air and maritime cooperation agreement in Aden, South Yemen. 19 September Fidel Castro makes stop in Tripoli, Libya. Meets Colonel Qadhafi. 19 October 1978 31 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 SECRET Fidel Castro arrives in. Algiers. Meets President Boumediene. He states at press conference that the Camp David agreement is the consummation of treachery." He leaves for Cuba. 20 September Division General Rigoberto Garcia heads Cuban delegation to Mexican independence celebration. 21 September Carlos Rafael Rodriguez arrives in Moscow from Algiers. Transportation Minister Lusson signs sev- eral agreements in Baghdad, Iraq. Cuban medical team returns from service in Guyana. Another group of 22 doctors replaces these returnees. 22 September Carlos Rafael Rodriguez meets Politburo member Suslov in Moscow. 23 September Tanzanian Public Health Ministry delega- tion arrives in Cuba. 24 September Foreign Minister Malmierca meets separately with Liberia's Foreign Minister Cecil Dennis and SWAPO head Nujoma in New York. 25 September Foreign Minister Malmierca speaks to UN General Assembly. Condemns Somoza regime, attacks Camp David meeting, and supports Puerto Rican independence. 26 September Tomas Borges, founder of th FSLN, arrives in. Havana. Met by Ulises Estrada. Meets Fidel Castro on 27 September. Fidel. Castro meets Gus Hall, Secretary General of the US Communist Party. 27 September Transportation Minister Lusson signs co- operation agreement with Algeria. 32 SECRET Approved For Release 2008/02/14: CIA-RDP79T00912A001000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 SECRET 29 September Cuba and Ethiopia sign economic coopera- tion protocol. 30 September Cuba and Tanzania sign scientific and technical cooperation agreement that will apply until 1980. Cuban party delegation headed by Alfredo Menendez Cruz leaves for Peru to attend 50th anniversary of founding of Peruvian Communist Party. 33 SECRET Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Secret Secret Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2 Approved For Release 2008/02/14: CIA-RDP79TOO912AO01000010006-2