CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A000200290001-7
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 10
• Document Creation Date: December 15, 2016
• Document Release Date: July 22, 2003
• Sequence Number: 1
• Publication Date: May 22, 1951
• Content Type: REPORT

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22 May 1951
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CURRENT INTELLIGENCE BULLETIN
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DOCUMENT NO. __
NO CHANGE IN CLASS.
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CLASS. CHANTED. TO: TS C
NEXT REVIEW DATE:
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Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
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SUMMARY
FAR EAST
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3. FrenchFord trucks arriving in Hong Kong for Chinese onlmunistjr '
(page 4).
4. MacDonald expresses views on Southeast Asia (page 5).M-c4 cam, u55,1
NEAR EAST
5, Shah states that admission of Greece and Turkey to NATO would have bad effect in Iran (page 5).
6. Shah continues to fear actions of Iranian Prime Minister (page
7. King Farouk opposes break in Anglo-Egyptian defense talks (pages).
EASTERN EUROPE
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WESTERN EUROPE
9. Dispute in Ruhr Authority over German coke allocations
strike (page 10).
12. Intensive Spanish propaganda campaign seeks to forestall Madrid
age 8). " F
11. French exert pressure on Tunisian Bey to dismiss cabinet (page
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French Ford trucks arriving in Hong Kong for Chinese Communists:
reexport of these trucks to the Communist mainland. The colony
earlier this month stopped the shipment of 51 Dodge trucks, and, ac-
cording to evidence obtained by the Consul General, the Communists
intend to abandon Hong Kong as a source for trucks if the government
bans export of the French Fords as well. The Consul General believes
the Communists may endeavor to effect future deliveries via the
Burma Road.
The US Consul General inHong Kong reports
that French Ford three-ton trucks are now
arriving there in large numbers and that he is
urging the Colonial Government to stop the
Comment: With the progressive broadening
of Hong Kong's export controls, the Communists are said to be trans-
ferring their purchasing activities to other areas, particularly India,
where they reportedly negotiated a contract for several hundred five
ton trucks earlier this month. Hong Kong's seizure of the French Fords,
following close on its seizure of the 51 Dodge trucks, would give future
impetus to Communist efforts to by-pass the colony and develop alternate,
supply channels;
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4. MacDonald expresses views on Southeast Asia:
tripartite military talks,reports that MacDonald was less optimistic.
regarding the- situation in Southeast Asia than his public pronounce-
ments would indicate.
Following a private conversation with the
UK High Commissioner for Southeast Asia,
Malcolm MacDonald, the State Department
official present in Singapore for the recent
Although MacDonald knew of no evidence of
support, in any substantial manner, : to the bandit campaign in Malaya
by Chipa or the USSR, he at no time expressed the view that the end
of the campaign was in sight.
With reference to Indochina, MacDonald
thought that the threat of Chinese Communist intervention overshadowed
all other developments. He believed that General de Lattre had developed
a high degree of political ability but that possibly his political staff did
not c rry out the General's views.
In his only mention of Burma, `MacDonald
said that US action toward attempting to resolve the problem caused
by Chinese Nationalist troops in Kengtung has been very well received
by the Burmese Commander-in-Chief, Ne Win, and that Burmese sus-
picion of US support for these troops had been removed.
NEAR EAST
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Shah states that admission of Greece and Turkey to NATO would have
bad effect in Iran:
The Shah of Iran stated in a conversation with
the US Ambassador in Tehran that the admit-
tance of Turkey and Greece to NATO would have
a bad effect in Iran "if nothing were done about
.Iran. " The Ambassador feels that a statement by the US Government
regarding Iran at the time Turkey and Greece,enter NATO would be in
order and helpful.
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Comment: The Shahand other Iranian leaders
have let it be known during the a post two years that they, have been dis-
appointed and dissatisfied with the amount of aid given Iran in compari-
son with Turkey and Greece. In presenting their case, they have pointed
out that Iran was most vulnerable to ,Soviet aggression. While the pre-
sent government will hardly press its inclusion in Western defense ar-
rangements, NATO's acceptance of Turkey and Greece will nevertheless
add to general Iranian. bitterness and irritation.
Shah continues to fear actions of Iranian Prime Minister:
In conversations with the US Atbassador in
Tehran, the Shah expressed the fear that, Prime
Minister Mossadeq might "do harm" before his
government falls. The Shah deplored his own
position as a "looker-on" and stated that he was afraid that the new oil
commission would be. terrorized into action dictated by the extremists
and spearheaded by Mossadege, In conclusion, the Shah expressed him-
self very strongly on the futility of the Prime Minister's apparent pro-
gram of neutrality.
Comment: The Shah reluctantly yielded to thee"
,
popular demand for oil nationalization by appointing its foremost pro-
ponent Prime Minister. The Shah, however, has not changed his opinion
of Mossadego The latter's policies of free speech and free assembly
are being exploited by the pro-Communist Tudeh Party, and his anti-
foreignism and mistrust of, the army pose a rah threat to Irate
7. King Farouk opposes break in Anglo-Egntian defense talks.
US Ambassador Caffery in Cairo has been in-
formed by the Egyptian Royal Press','Ccuns for
that King Farouk opposes any break In the Anglo-
Egyptian defense negotiations at the present
ti.ue, assuming (a) that the forthcoming British rep'y leaves the door
open for future talks and (b) that the Foreign Minister is invited to London
soon for further discuipsions, According to the press counselor, the
Egyptian Prime Minister and Foreign Minister have Indicated that they `ill
not force a showdown on the defense negotiations at the present juncture.
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Comment: The opposition of King Farouk
to any break-down in the Anglo-Egyptian defense negotiations. has
undoubtedly acted as a moderating influence upon the Wafd govern-
ment's attitude on this question. While there is always the possibility
that Egyptian public opinion may become inflamed over the Suez and
Sudan issues and force the government to ,act in an irresponsible manner,
the Anglo-Egyptian discussions will probably continue through the sum-
mer in spite of the absence of any prospect that an agreement can be
reached.
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WESTERN EUROPE
9.
. Dispute in Auhr. Authority over German coke allocations:
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will be required to export to Western Europe during the months of
July-September 1951k These exports are regarded as creating terms
of reference which will be used by the Schuman
,Plan High Authority..
The French, who suspect the Germans of Jockeying for the most
Xageous starting position in the Schuman Plan, want a German
coke export of 6.75 million tons, whereas the Germans are offering
501 million tons. Privately, the Germans have said they will agree
to the US compromise figure of 5.1-'.,mill ion, which the French repre-
sentative will refer to his government. The French complain that
though the Ruhr Authority was established to give Europe control of
the Ruhr potential, in practice Germany controls Europe's,steel output:
In the mengs of the International Authority
for the Ruhrthe Western European counntrie
led by'
11 rance, are presently disputing with
West Qerma the amount of coke the Ruhr
Comment; The Germans are attempting to
retain as much of their coke as they can, in view of the coming expan-
sion of industry. Since the Germans succeeded in gaining relaxation
of steel-production ceilings without making firm commitments on coke
deliveries to France, the French are becoming increasingly concerned
about the control Germany exercises over the European steel industry.
Unless the Germans show a more cooperative attitude now, French
industrialists may be able to line up enough political opposition to the
Schuman Plan to prevent its ratification.
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11. bench exert pressure on Tunisian Bey to dismiss cabinet:
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negotiations-with it, This decision resulted from the cabinet's boy-
cott of theadvispry Tunisian Grand Council during budget deliberations
and the Bey' s attempt to rush reforms. Because the dismissal of
his ministers would be a difficult decision for the Bey, who has just
proclaimed his complete confidence in them, he probably will take
no, action for the present.
The French Resident General in Tunisia
has informed the reigning ,monarch, Lamine
Pasha Bey, that if he retains his present
cabinet the French will conduct no further
Comment: This ultimatum is another indi-
cation that the French intend to maintain a whiphand in T.isi: as
in French Morocco, Extremely modest reforms announced last June
have proceeded very slowly. French troops and police in the area
are capable of controlling disorders arising from the disagreement
of the Resident General and the Bey, but the anti-French sentiment
aroused in the Middle East by the Morocco crisis will be further
fanned by F ?enl h intransigence in Tunisia.,
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12, Intensive Spanish propaganda campaign seeks to forestall Madrid strike*,
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The controlled Madrid press has appealed to
the populace not to participate in the consumers'
strike called for 22 May,,, calling it a crime
against the state and threatening. participants
with severe reprisals, such as loss of their jobs- and possible imprison-
men Falange youth organizations are circulating leaflets blaming
agitation for the.strike on a "masonic, Communist conspiracy" and
urging the people to carry on their normal activities.
Comment: The probable extent or success of
the strike cannot be gauged, Madrid is not as volatile as the indus-
trial, separatist centers of Bilbao and Barcelona. The non-Communist
Left, which is not effectively organized. in. Madrid, is believed to regard
the action of. the Monarchists in calling the strike at this time as too
precipitate. Available evidence points to Monarchist (and Catholic)
,elements as the principal agitators of the strike. The action of General
Munoz Grandes_sugg hat the Army may be taking a position of cautions
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