CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A000500540001-6
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 8
• Document Creation Date: December 15, 2016
• Document Release Date: November 3, 2003
• Sequence Number: 1
• Publication Date: February 15, 1952
• Content Type: REPORT

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15 February 1952
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Copy NO. 49
CURRENT INTELLIGENCE BULLETIN
NO CHANGE IN CLASS.
! ' DECLASSIFIED
DOCUMENT NO.
DAT
AUTH: HR 70;
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
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DIA review(s)
completed.
DOS review(s) completed.
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 P?p d
SUMMARY
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FAR EAST
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3P US mission concerned over South Korean anti-cease fire campaign
(page 4)A
Greek army morale deteriorating (page .
EASTERN EUROPE
8, Yugoslavia to propose the establishment of a condominium for
Trieste (page 6).
9. Yugoslavia continues to oppose membership in regional defense
pacts (page 7).
WESTERN. EUROPE
10. Austria fears Polish retaliation for non-delivery of bearings
(page 8 ).
11. Switzerland may withdraw from economic organization (page 8).
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FAR EAST
3. US mission concerned over South Korean anti-cease fire campaign:
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Ambassador Muccio reports that official
South Korean hysteria against a cease fire
is "sparked by President Rhee" and will
reach a crescendo as the possibilities of
a successful armistice grow. If the Rhee government boycotts the
armistice talks and the ensuing political discussions, Muccio ob-
serves, "our faces will be very red." However, he does not think
that South Korean forces will continue the fight after an armistice.
Comment: This is the first time that
Muccio has expressed any psustsion that Rhee might refuse to
accept the outcome of the truce talks. President Rhee's public
statements that he could not accept an armistice and that South
Korean troops should ignore the negotiations and fight on "to the
Yalu" presage a more extreme line in this crusade against the Pan-
munjom talks.
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7. Greek army morale deteriorating,
ter. The Marshal emphasized that the US military mission must handle
the direction of the Greek armed forces firmly and that it should advise
the King on exactly what was happening.
Comment: These statements were apparently
designed to persuade the Unite~~`tates to halt the Greek government's
current purge of the army. The generals whose dismissal Papagos
favors are the ones believed responsible for the removal of several
high-ranking pro-Papagos officers during the last few weeks. Although
the Marshal's report is apparently biased, there is evidence of serious
political meddling with the army.
The morale and discipline of the Greek army
are steadily deteriorating according to Marshal
Papagos. He told the US Military Attache
that if he had the authority he would dismiss
four lieutenant generals and the Defense Minis-
EASTERN EUROPE
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8. Yugoslavia to propose the establishment of a condominium for Trieste,
Attached to this proposal will be the condition that a union o e two
zones will not be a preliminary step towards Italian annexation.
The Yugoslav Government, convinced that
the present Italian Government will not accept such a proposal, will
reportedly advance this tactic in an effort to appease the population of
Trieste and strengthen Yugoslavia's international position.
Yugoslavia, anticipating a failure of the ne-
gotiations with Italy on Trieste, will propose
in the next two or three months the establish-
ment of an Italo-Yugoslav condominium for
the Free Territory of Trieste
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Comment, Such a proposal would serve to
strengthen the heretofore negligible Yugoslav appeal among the strong
independent groups in Trieste and to embarrass the Italian Government
by forcing it to modify its present intransigent attitude or further weaken
its position in Trieste.
A. recent report that Marshal Tito this month
will secretly receive one of the leaders of a strong independent group
in Trieste may be related to this Yugoslav proposal.
9. Yugoslavia continues to oppose membership in regional defense pacts:
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fhe US Embassy in Belgrade believes that it
ould be premature to press Yugoslavia in
the near future toward formal military arrange-
ments with Greece and Turkey, but that afavor-
able occasion may arise in connection with direct Yugoslav-US staff
talks in which the Yugoslavs have professed interest.
The Greek Minister in Belgrade has informed
the Embassy that he does not believe that there has been any change in
Yugoslav opposition to involvement in Western political and military
blocs, and that the independent Yugoslav attitude in this respect is
possibly reinforced by their feeling that the immediate danger of Soviet
attack is lessening.
Comment: The Turkish Foreign Minister
recently informed Ambassador McGhee in Ankara that Greek and
Turkish officials had agreed upon the desirability of asking the Yugo-
slavs to enter into secret military staff talks and would welcome US
aid in obtaining Yugoslav adherence.
While the Yugoslavs would undoubtedly like to
know more about Greece and Turkey's relationship with NATO, they
continue to maintain that Yugoslavia cannot join such a pact. or make
political or military arrangements with Western powers.
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WESTERN EUROPE
10. Austria fears Polish retaliation for non-delivery of bearings:
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The Austrian Government fears the consequences
of its failure to deliver during January and
February the embargo-type ball bearings called
for under its trade agreement with Poland.
Calling the US-requested action "a dangerous game being played with
Austria's vital coal supply," government officials warn that if Poland
stops coal deliveries, it may not start them again on the present terms.
The officials state that Polish coal cannot be iinmediately replaced
with high-priced American coal.
The Austrian Foreign Office expects a retali-
atory reduction in coal deliveries within two weeks.
Comment: American officials have pressed
the Austrian Government to susp d delivery of embargo-type bearings
to see whether Poland would actually stop coal shipments. The large
stock-piles of coal in Austria and Poland's recent failure to fulfill
other parts of the trade agreement appeared to offer favorable conditions
for such a to:st,
11. Switzerland may withdraw from economic organization:
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The American Minister in Bern warns that
Switzerland will withdraw from the Organization
for European Economic Cooperation if that body
becomes the economic arm of NATO. Switzer-
land does not object too strongly, however, to covert cooperation between
OEEC and NATO.
Comment: The Swiss have been concerned
over the possibility of OEE 's subordination to NATO. They have in-
formally indicated that in such an eventuality they would try to maintain
economic cooperation with Western Europe through the Council' of Europe,
which coordinates closely with OEEC on economic matters.
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