CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A006300350001-3
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 14
• Document Creation Date: December 15, 2016
• Document Release Date: October 28, 2002
• Sequence Number: 1
• Publication Date: April 28, 1962
• Content Type: REPORT

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28 April 1962
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28 April 1962
CENTRAL INTELLIGENCE BULLETIN
CONTENTS
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1. East Germany - Berlin: No immediate interference with
West Berlin - West German trade likely under new East
German customs law. (Page t)
5. Communist China: "200th serious warning" underscores
hostility toward US. (Page t it)
EN
9. Pakistan: Today's election a first step toward limited
representative government. (Page iv)
10. British Guiana: Non-Communist home minister loses party
post in Jagan's organization. (Page v)
11. Guatemala: Ydigoras appoints seven military officers to
cabinet. (Page v)
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13. Bolivia: Repercussions of Lauca River issue. (Page vi)
14. Argentina: Peronistas cancel May Day demonstrations.
(Page vi t)
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CENTRAL INTELLIGENCE BULLETIN
28 April 1962
DAILY BRIEF
Berlin: Provisions of the new East German customs law,
which sustain regime assertions that the East - West German
interzonal border is an international frontier, probably will be
only partially implemented when the law goes into effect on 30
April. No immediate serious attempt to interfere with West
Berlin's trade with West Germany is likely, although interna-
tional freight transiting East Germany is likely to be subjected
to new customs controls.
The law, which was passed on 28 March, specifies that
West Berlin's trade with East and West Germany and other coun-
tries will continue on its present legal basis pending settlement
of the city's customs position "within the framework of contrac-
tual arrangements." West Berlin, according to the law, exists
"within the customs and sovereignty area" of the GDR and not
within that of West Germany. These provisions indicate that
the bloc will continue its efforts to weaken West Berlin's ties
with West Germany and create a sense of isolation among, West
Berliners, with the long range goal of absorbing West Berlin
into the bloc's economic orbit.
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Communist China - US: Peiping is using its "200th s rious
warning" to underscore its hostility toward the US and to pro-
fess its alarm over an alleged increase in acts of "aggression
and war" under the Kennedy administration. The Chinese Com-
munists charge that the US is implicated in Taipei's aspirations
to "fight its way back to the mainland," alleging that the Chinese
Nationalists are now conducting reconnaissance missions over
the mainland with U-2 and other aircraft supplied by the US. In
a People's Daily editorial of 27 April, Peiping also expressed
its anxiety over US activity in South Vietnam and declared that
the US is preparing to spread the conflict to other areas. Pei-
ping's charges are apparently intended to heighten international
concern over US activities in areas near China. Peiping does
not suggest that retaliatory action is imminent, but warns that
it will "eventually" sPtt1P the sr^ore with the ITS
28 Apr 62
DAILY BRIEF
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Pakistan: The election on 28 April of a new national as-
embly marks the first major step in Ayub's program to restore
limited representative government. Some 80, 000 members of
the "Basic Democracies ' 11 Ayub's countrywide system of local
councils, are voting for the assembly candidates, the majority
of whom are former politicians or their stooges. While all po-
litical parties remain banned, the once dominant Moslem League
is well represented among candidates in both provinces, largely
because it is the group most acceptable to the military leader-
ship. Because of the limited franchise, the absence of an elec-
tion campaign in the usual sense, and the authoritarian charac-
ter of the constitution Ayub introduced in AUrch, the public
mood for the most part is one of apathy and- -especially in East
28 Apr 62
I DAILY BRIEF iv
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Pakistan- -resentful resignation. Where issues have been dis-
cussed freely, criticism of government policies reportedly is
prevalent. The extent of the challenge Ayub 1All face when the
national and provincial assemblies convene in June probably
will not be clear until votipg for the provincial randifinies is
completed on 8-blay,
British Guiana*-//Whe defeat of Balram Singh Rai for the-
post of chairman of tre executive council of Premier Cheddi
Jagan's People's Progressive party has removed from that body
the only member not identified with pro-Communist interests.
While Rai retains his government post as minister of home af -
fairs with control over the police, his tenure there is increas-
ingly uncertain. Rai is considering quitting the party but 4P
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ently lacks enough personal following to set off a serious spli~tl
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Guatemala: President Ydigoras on 26 April announced the
appointment of seven military officers to his cabinet, replacing
all but three of its former members. Ydigoras ha's tried for the
past ten days to appeasethe three-party non.-Communist opposi-
tion by offering them cabinet posts, but opposition leaders have
continued to insist on Ydigoras' resignation as a prerequisite for
their participation in the government.
The new military appointees are to remain in their cabinet
posts for the duration of the crisis, now in its seventh week.
Ydigoras apparently is still attempting to find respected individ-
uals, not identified with the opposition alliance, who are willing
to accept cabinet posts. He has approached followers of the pop-
ular but controversial ex-President Arevalo, a leading contender
to succeed Ydigoras in next year's elections.
Communist and Communist -influenced groups are still making
efforts to win an influential role in the anti-Ydigoras campaign.
Street disturbances, some.of them Communist -incited, continue
almost daily in the capital. The opposition will probably be dis-
couraged by the demonstration of continued military support for
28 Apr 62
DAILY BRIEF v
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II
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ON
the crisis will lead the military
ing the '
the President, which is inherent in the officers' acceptance
of cabinet posts, but it remains possible that prolongation of
o iv : e r of President Paz's cabinet informed the
American ambassador on 25 April that anti-Chilean street demon-
strations on the Lauca River issue on 28 April will probably be
used by opposition elements to attack the government. He said he
believed the demonstrators would be armed with rifles and machine
guns, some of new Czech orgin, and asked for prompt US action to
supply the government with 3,000 rifles, 250 riot guns., and 500
pistols.
Paz has apparently been trying to exploit Bolivia's dispute
with Chile over use of the Lauca River to rally domestic support
for the governing party, which faces congressional elections in
28 Apr 62
DAILY BRIEF vi
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June. He may also want a pretext for increasing the strength
of the Bolivian armed forces for domestic political purposes.
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The. politically powerful Bolivian Workers' Confederation (COB)
is scheduled to meet in La Paz on 1 May, Extreme leftist ele- 25X1
ments within the COB are hostile to Paz and have an effective
j fi htin lowers.
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rgen inao ro in order to deflect the blame for any
disturbances which may occur on 1 May, Peronista leaders an-
nounced on 27 April that they had canceled plans for "giant" May
Day celebrations. They said they would use "every legal means"
to recover their March electoral victories which President Guido
has annuled. Earlier equivocal statements by the Peronistas,
however, give reason to doubt the desire or the ability of Peron-
ista leaders to avoid violence.
The Peronista movement is split into a number of factions,
only some of which obey the frequently chaninLz orders of Peron
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A Peronista leader recently told the American embassy in
Buenos Aires that the Peronistas had rejected overtures for co-
operation with the Communists- -who he understood had received
a number of small arms from abroad.
28 Apr 62
DAILY BRIEF
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 Approved For Rele
British Guiana Party Elections
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ai failed in his bid to be elected chairman of the People's
Prog essive party and in so doing lost his seat on the ruling
Executive Council. He declared publicly on 24 April that the
elections were the "foulest ever held in British Guiana" and
that open fraud and coercion were used to defeat his bid for
the party chairmanship against the Communist who retained
the post. He informed US officials he could no longer work
.with a party whose ideology and "evil practices" he opposed,
but feared that withdrawing would precipitate the fall of the
government and a renewal of civil disorders such as took place
in.February\
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Rai has performed his job competently and was given added
responsibilities just before the party conference, so Jagan may
hope to retain him in the government for the present. Should
he quit the party, his prosperous middle-class town background
would prove a handicap to obtaining a following among the East
Indian peasants, who provide the bulk of Jagan's support, and
the amount of backing he could obtain from other races in this
period of inter-racial tension uld not be enough to make him
a major political force at press tl
The Jagan government suffered its first legislative defeat on
the udget on 26 April through a failure to have all PPP members
on hand. The budget vote of 14 to 13 does not appear to threaten
PPP control of the legislature- -at least immediately- -because
the government has enough votes to reverse the budget decision
unless three of its 19 legislators defect. None has so far, and
Rai seems the only strong possibility, 25X1
agan evaded calls 25X1
from opposition legislators for his resignation. If he did offer
his resignation, the British governor might refuse to accept it,
in view of the lack of anyone else able to form a govern ent. If
new elections were called, the PPP would probably win
oil echnicians of Soviet nationality in order to resume hither
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/(Meanwhile, the Jagan government has asked the UN to provide
28 Apr 62 CENTRAL INTELLIGENCE AGENCY Page 4
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