CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A012600090001-2
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 15
• Document Creation Date: December 15, 2016
• Document Release Date: June 3, 2003
• Sequence Number: 1
• Publication Date: November 27, 1968
• Content Type: REPORT

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D
DIRECTORATE OF
INTELLIGENCE
Central Intelligence Bulletin
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No. 0324/68
27 November 1968
Central Intelligence Bulletin
CONTENTS
Vietnam: Situation report. (Page 1)
France: Prestige items will bear the brunt of
buNg-etary cuts announced yesterday. (Page 3)
Okinawa: An aggressive campaign against US bases
is in rospect. (Page 6)
Venezuela: The presidential election race is still
extremely close. (Page 7)
Greece: The prime minister has strengthened his
executive prerogatives. (Page 8)
South Korea: Infiltrators (Page 10)
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C Vietnam:
South Vietnam:
Except for brief engagements between allied
reconnaissance patrols and small numbers of Communist
troops inside the southern portion of the Demilita-
rized Zone, little military activity of significance
was reported in South Vietnam on 25-26 November.
Communist terrorists, however, were active in
the Saigon area, detonating explosive charges inside
two government buildings in the capital's downtown
sector. These actions may foreshadow an intensifica-
tion of enemy sapper activity within Saigon and its
environs.
The South Vietnamese Government appears to be
stepping up its country-wide indoctrination and
propaganda campaign to prepare anti-Communist ele-
ments for future struggle in the military and polit-
ical fields during the Paris talks and after a pos-
sible cease-fire.
I Prime Minister Huong on
18 November told a group-`51 government personnel--
representing information, Chieu Hoi and revolutionary
development offices--that the war in Vietnam is enter-
ing a new stage, changing from a military to a polit-
ical struggle. He warned that the new stage would
last a long time and that the group would have to
reorganize themselves to meet the Communist chal-
lenges.
(continued)
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L North Vietnam: Moscow has demonstrated renewed
support for North Vietnam's present course by sign-
ing a new set of agreements on economic and military
aid with Hanoi. The agreements, signed shortly after
the arrival of Hanoi's chief aid negotiator Le Thanh
Nghi in Moscow on 21 November, include "new long-term
loans" for possible future use in the rehabilitation
of North Vietnam's postwar econom .
I I
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France: Reductions for prestige items are the
most sign icant of the budgetary cuts announced to
the parliament yesterday.]
Prime Minister Couve de Murville, in announcing
cuts of about $1 billion in the 1969 budget, said
that spending on both the nuclear program and the
Anglo-French supersonic transport would be reduced.
The cutback in the nuclear program--the 1969 Pacific
test series was canceled--will help De Gaulle con-
vince Frenchmen that the government is prepared to
make any necessary sacrifices to deal with the finan-
cial crisis. Many Frenchmen in the past have criti-
cized De Gaulle for his failure to reduce funds for
the nuclear deterrent despite pressing needs in such
fields as education and housing.
.The decision not to lay on a wage and price
freeze is probably intended to placate the workers,
who have already complained that they would be the
hardest hit by any austerity measures. Couve did say
that no excessive wage increases would be permitted,
but he gave no indication that the government in-
tended to renege on its earlier promise to hold wage
negotiations next March.
Although on Sunday De Gaulle mentioned possible
cuts in the education budget, Couve did not specify
any. If the government keeps intact its education
budget, which was the largest in history, the chance
of renewed student agitation may be reduced.
Other austerity measures include a reduction in
subsidies to nationalized industries, an increase in
the value-added tax, and the cancellation of a pay-
roll tax. The over-all impact of the measures in
terms of promoting "austerity" is likely to be modest,
and further steps may be required.
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Meanwhile, De Gaulle and other French officials
have expressed great satisfaction with the American
role in the financial crisis. The press and govern-
ment-controlled radio have given it prominent cover-
age and placed it in the context of the general trend
toward improved Franco-American relations.
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Okinawa: Last week's B-52 incident has inflamed
Okinawan opinion to the point where an aggressive
campaign against US bases seems in prospect.
Left extremists are no longer isolated in their
opposition to US base operations. The moderate So-
cialists' attitude has broadened from one of opposi-
tion to the presence of nuclear weapons and B-52s
to a demand for the complete withdrawal of US bases.
Furthermore, hitherto competing leftist "peace" and
"reversion" organizations have now made common cause
against the bases. Chief executive-elect Yara, who
takes office next week, will now have greater dif-
ficulty in dealing with extremist elements in his
coalition who are in the forefront of the anti-base
movement.
Even leaders of the conservative Liberal Demo-
crats, the dominant party in the legislature, have
pressed the US administration in Okinawa for removal
of the bombers, and intend to make similar represen-
tations to the Japanese Government.
The machinery of the leftist coalition, still
well oiled following its victory in the election
for chief executive earlier this month, is in good
shape to exploit the issue for some time. In this
atmosphere, militant demonstrations and perhaps
labor strikes can be expected.
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Venezuela: The presidential election campaign
is still extremely close, with none of the four major
candidates expected to win more than 30 percent of
the popular vote.
Over four million Venezuelans are expected to
vote on 1 December to elect a president and all 197
members of the Chamber of Deputies and all 42 members
of the Senate. In accordance with Venezuela's elec-
toral system, several additional senate and deputy
seats will be awarded to minor parties on the basis
of their share of the popular vote. Although only
a plurality of the vote will elect the president, the
need for a congressional majority will entail ex-
tensive political maneuvering until the new president
and congress are inaugurated on 14 March 1969.
The four major presidential candidates are:
Gonzalo Barrios, candidate of the governing Democratic
Action Party; Luis Prieto, People's Electoral Move-
ment; Rafael Caldera, Christian Democratic Party;
and Miguel Angel Burelli Rivas heading a three-party
coalition.
The closeness of the race and the threat of ter-
rorist.activities in the closing days of the campaign
have added to pre-election jitters. The government
has increased its security precautions and the mili-
tary have been placed on alert. The military con-
tinue to reiterate their dedication to protecting
democratic processes. Although they are uneasy over
Prieto's leftist support, present evidence indicates
that they will follow a wait-and-see policy if he
wins. F -1
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Greece: Prime Minister Papadopoulos has
strengthened his executive prerogatives as a pre-
liminary step toward reforming Greece's political
institutions.
Papadopoulos earlier this week issued the first
of the "legislative decrees" envisioned by the new
constitution. The decree establishes several minis-
terial councils, each chaired by the prime minister,
which will set major national policies. A strengthened
"ministry to the prime minister" will assist him,
and a special oath of office will set him apart from
the rest of the cabinet.
The decree also sets forth new procedures for
improving efficiency at the top level of bureaucracy,
and establishes an administrative commissioner or
ombudsman.
There is still no sign of real interest on the
part of the government: in permitting a resumption of
political activity, nor any promise of a date for
parliamentary elections. The government is, however,
trying to start discussions with some of the old po-
litical elements in an effort to gain some qualified
support of the objectives of the revolution.
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NOTE
South Korea: Security forces are finding the
going tougher as they press their search for the
surviving members of the four 15-man North Korean
guerrilla teams that infiltrated South Korea's east
coast early this month. Growing South Korean losses,
now totaling 42 killed and 30 wounded including ci-
vilians, point up the strong resistance the North
Koreans are still able to put up after being in South
Korea for more than three weeks. Seoul reports that
North Korean casualties stand at 48 and, three
captured.
27 Nov 68 Central Intelligence Bulletin 10
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