DAILY DIGEST

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T01146A000700070001-8
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 13
• Document Creation Date: December 9, 2016
• Document Release Date: June 20, 2001
• Sequence Number: 1
• Publication Date: January 10, 1952
• Content Type: SUMMARY

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TOP SECRET
SECURITY INFORMATION
10 January 1952
CIA No. 49499
Copy No. 1,t 5
DAILY DIGEST
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
DIA, bOS Declassification/Release Instructions on
File
This summary of significant reports has been prepared primarily
for the internal use of the Office of Current Intelligence. It does
not represent a complete coverage of all current reports in CIA
or in the Office of Current Intelligence. Comments represent the
immediate views of the Office of Current Intelligence.
TOP SECRET
SECURITY INFORMATION
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TOP SECRET
SECTION 1 (SOVIET)
1. BULGARIA. Turkish offer to accept Svilenarad refugees reportedly refused:
According to a report from Ankara, Bulgaria has refused to accept a Tur-
kish offer to admit into Turkey a number of refugees who have been de-
tained at the border city of Svilen rad since the closing of the Turkish-
Bulgarian frontier on 8 November. (R FBIS 3 Jan 52)
Comment: On 1 December, the Turkish Ministry of Foreign Affairs
announced that it had informed the Bulgarian Government the border could
be reopened, subject to the fulfilment of two requirements: (1) Bulgaria
must agree to accept the return of a group of " ypsies" who had recently
entered Turkey by means of forged visas., and (2) Bulgaria must agree to
comply with its guarantee that no more "gypsies" be sent into Turkey in
the future. These demands, according to the Turks, met with a favorable
reply in which Bulgaria "complied with the requirements" set forth in
the Turkish note.
During the past month it has become increasingly apparent that, al-
though the Turkish-Bulgarian border was closed on the initiative of An-
kara., Bulgaria is in fact responsible for, and apparently satisfied with,
the continued arrestment of border and refugee movements between the two
countries.
2. CZECHOSLOVAKIA. Air defense preparations: The US Military Attache in
Prague reports intensive training . in. antiaircraft gun drills at a pro-
bable air defense repair depot and training center in Bohnice on the
outskirts of Prague. He further reports that the total number of 88mm
AA guns at this depot has been reduced from 103 as of mid-December to
approximately 75. (S US Mil Att Prague 4 Jan 52)
Comment: An increase in air defense preparations has been evident
throughout the Satellites during the past year and a half. Augmentation
of the AA defenses of Warsaw by the emplacement of over 60 guns since
September 1951 was preceded[ by accumulation of weapons at a gun park
near the city. A similar program may well be in progress in the Prague
area,
25X1C
a radar s a on has
been built on the northwestern edge of agy nizsa, Hungary. The sta-
tion is connected by radio with air defense headquarters in Budapest.
The installation at Nagykanizsa was completed In August 1951 and one of
the Soviet officers inspecting reportedly deplored the delay of several
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months in the setting up of a Hungarian radar system due to _a shortage
servation service has been extended in a sou ern part of Hungary.
of equipment.
Comment: Evidence to date has not credited Hungary with a radar-
integrated air warning system. The early warning system in the Satellite
areas has expanded considerably during the past several years and the
utilization of improved equipment is a logical development.
4. New economic Ministries created: A recent decree of the Council
of Ministers-created new economic. ministries by splitting or replacing
certain existing ones. The new ministries are: State Forestry and
Farms, Food Industry, Medium Machine Industry,, Building Material In-
dustry, Postal Affairs, Local Industry, Produce Collection and Communi-
cations.- (R FBIS, 7 Jan 52)
Comment: The trend toward decreasing the scope of responsibility
of individual economic ministries in Eastern Europe, in Imitation of
the Soviet pattern, has been under way since 1949. The first such
splitting of ministries in Hungary occurred in Dee 1950. Limiting the
sector of the economy; for which each minister is responsible is intended
to bring more efficient administration and increased security through
greater compartmentalization of knowledge and authority.
5. POLAND, US Ambassador in Warsaw foresees new restrictions on American
missions: American Ambassador Flack in Warsaw comments that the rapid
trial in Poland of five alleged US spies suggests a possible build-up
to justify increasing restrictions on American missions in Eastern
Europe.
The-Ambassador points out it is possible that an anti-American
build-up, at Soviet instigation, is being deliberately carried to a point
likely to provoke US withdrawal of one or more missions in Eastern Europe.
The Ambassador states that his analysis is consistent with recent Sa-
tellite notes and propaganda portraying US missions as espionage agencies
which do not perform legitimate diplomatic functions. (S Warsaw 466,
7 Jan 52)
Comment: The charges against the Polish defendants did not specify
that they had contacts with the US Embassy in Warsaw, but alleged that
they were recruited in Germany by US intelligence officers, The recent
notes, while attacking former members of US missions in Eastern Europe,
did not mention any current members. So far there have been no indi-
cations that the USSR or the Satellites no longer desire to maintain
diplomatic missions in the West.
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6. YUGOSLAVIA. US and Yugoslavia sign an Economic Cooberaticrilgreement:
The governments of the US and . Yugoslavia. have. formalized an economic
assistance pact, under the terms of the Mutual Security Act of 1951,
designed to promote the economic stability and defense of Yugoslavia.
Although the amount of economic aid depends upon administrative
action, this type of agreement imposes certain broad conditions upon
the recipient state. Among these are the general requirements that
the recipient must make a full contribution to-the defense of the free
world as well as to its on defensive strength. (U Belgrade NY Times
S Jan 52)
Comment: Yugoslavia's adherence to this agreement represents
another significant departure from previously held Yugoslav Communist
theory concerning Western sponsored economic aid programs,
The Yugoslav press reportedly has given the signing of the agree-
ment wide and favorable coverage.
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 PAKISTAN. Vernacular newspapers receive free engravings from Soviet Embass :
Individual Urdu newspapers in Pakistan receive from the ovie Embassy,
Karachi, approximately one zinc engraving a week, accompanied by outlines
and long propaganda stories. According to the editor of a Karachi Urdu
daily, the Soviet Embassy began this practice because photographs it dis-
tributed to the press were not being printed. The engravings, which are
probably made locally, are used regularly in the pro-Communist Imroze
and in some of the smaller Urdu weeklies. They are used irregu aarly in
Anjam and Jang, the two largest vernacular newspapers, which seldom use the
accompanying stories. (C Karachi Desp 582, 7 Nov 51)
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TOP SECRET
SECTION 2 (EASTERN)
1. SAUDI ARABIA. Ki makes new demand on Arabian American Oil Company: King
Ibn Saud has recently demanded that Trans-Arabian Pipeline Company,
which delivers the oil of the Arabian American Oil Company to the editerran-
ean, ba-put on a profit-making basis. The King believes that he will thus
be able to demand 50 percent of any profits made by the ARAMCO subsidiary
which now operates on a cost basis.
The Executive Board of ARAMCO expects to discuss this and other issues
with the King when it meets with him in mid-January. Ibn Saud's recent ex-
pressions of bitterness over the company do not' resa e a ha atmosphere
for solving their outstanding differences, 25X1A
Comment: If Trans-Arabian Pipeline is put on a profit-making basis,
the money allotted to the King will actually come from the parent company,
ARAMCO. It is unlikely therefore that fulfillment of the King's wishes
will give him more money than he is now getting on the basis of a 50-50
agreement with ARAMCO itself.
2. INDIA. Chinese Communists from Tibet claim Indian territory: Chinese
Communists from western Tibet have claimed T mountain shrine at Badrinath,
some 20 miles inside Indian territory northeast of Delhi, according to
Indian press reports. They have also allegedly laid claim to territory
56 miles south of Badrinath. (U New Delhi 2359, 7 Jan 52)
Comments Chinese Communist patrols have penetrated into Indian and
Pakis territory on several occasions in the past two years, and on at
least one occasion occupied a. border post from which they had to be ousted
forcibly by Indian troops. With Chinese Communist consolidation of Tibet
proceeding apace, Chinese probing should increase in the Himalayan frontier
areas where international boundaries are undefined or in dispute.
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Comment.- Presumably any financial and technical difficulties prevent-
ing non-publication of photographs by Pakistani newspapers would be over-
come by the receipt of engravings, assuring the Russians a wider dissemina-
tion.of their propaganda materials
4. INDONESIA. Officials and adherents of Republic of South Moluccas surrenders
A semi?offic-;al news agency reports an announcement by the Indonesian Army
of the surrender on 6 January of the President, several members of the
cabinet, and 2,000 adherents of the insurgent "Republic of the South Moluc'-
cas" on Ceram Island. (U Djakarta 977, 8 Jan 52)
Comments This surrender presumably concludes the government's costly
16-month campaign against the insurgent "republic."
5. INDOCHINA. Interim re lacements for De Lattre nameds The US Military
Ache in Hano as been informed a enera Sa n, General de Lattre's
deputy, has been appointed Commander-in-Chief,'"pending do Lattre's return."
At the game time Governor-General Gautier, De Lattre's chief civil aide,
was named Acting High Commissioner. De Lattre will probably need several
months to recover from a recent operation. (TS Hanoi 456, 9 Jan 52)
Comments General de Lattre has recently undergone a second operation
which was apparently more serious than earlier reports suggested. Recent
reports indicate. that the general will not be willing to reassume his
command because of disillusionment with the stalemate in Indochina as well
asfor reasons of health.
. KOREA. North Korean General Nam Ii reported to hold no important post:
25X1C I reportedly has learned from high level
government contacts in Pyongyang that "the position of Chief of Staff,
North Korean Army, formerly held by Nam I l,, is now vacant" and that Pang
.Hak-se is the Minister of Social Security, with Nam Il acting as a "deputy
minister who controls Ministry of Social Seourity-activities in the armed
25X1A forces."
Comments There'are numerous indications that North Korean General Nam
Il..sti io ds both his positions as NKPA Chief of Staff and Minister of
Social Security. Pang Hak-se is generally identified as Nam IL's chief
deputy in the security ministry.
7p North Korean official cites need for increased agricultural pro-
duction in 1952; Minister of Agriculture recently stated at length
that although a farmers of North Korea have successfully carried out
5 - 10 Jan 52
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their work this year, production must be increased "even more next year."
The means by which agricultural production is to be-increased are the
securing of superior seeds, farming implements, compost., and the acquiring
of advanced agricultural knowledge. In addition,.Pak stressed the need
for the manufacture of "many handy farming tools suitable for...women" and
suggests a "symposium-in each hamlet" in which "distinguished farmers'-' will
disseminate advanced agricultural knowledge to those less accomplished.
(U FBIS', 8 Jan 52)
Comments A serious food _deficiency exists in North Korea.. The. major
causes 5 =is problem area the shortage of manpower, leaving only the
very young, the aged, and women for agricultural work; destruction of the
chemical fertilizer plants; declining morale; and the weakening of controls
at lower levels.
8. JAPAN. Left-wing Socialist leader suggests Stalin give more practical
demonstration of friendships U-TT-wing Socialist leader Musaburo Suzuki
In a newspaper interview termed Stalin's New Year message "formalistic"
and expressed a hope that the USSR would give a more practical demonstra-
tion of friendship by returning the Kuriles and Sakhalin and by repatria-
ting Japanese prisoners of war "if there are any." Suzuki also demanded
a Soviet nonaggression-pledge, which would eliminate the necessity for
stationing US troops in Japan. (R Tokyo 1419, 8 Jan 52)
Comments Suzuki's statement reflects the strong Japanese feelings
that the Kuriles should be returned to them since they, were not obtained
by aggression.
Suzuki's call for a Soviet nonaggression pledge represents a portion
of the leftist Sooialists' platform adopted in late December. The program
calls for the abrogation of the Sino-Soviet Treaty of Friendship and Mutual
Assistance simultaneously with the scrapping of the US-Japanese Security
Pact and the maintenance of neutrality as the best means of security.
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SECTION 3 (WESTERN)
1. GERMANY, Adenauer wants clarification of German defense contribution::
r
A
c
t
me
an nego
iators, meeting wi Federal Republic representatives on the
i
German financial contribution to Western defense, feel that Chancellor
Adenauer is "dragging his feet" in these discussions. He.is now insisting
that German experts be sent before the NATO Temporary -Council Committee to
redetermine the size of the German defense contribution. He argues that the
Bonn Parliament will not approve these negotiations unless it appears that
the same body which fixed other NATO nations' contributions also fix the
German contribution in the same manner. (S Bonn 1021, 8 Jan 52)
Comment: No German representatives were present when the Committee
fixed the s ze of the German contribution. Adenauer's demand for new Com-
mittee hearings reflects his feeling that a German defense contribution
fixed by the Allies alone resembles occupation costs,
Allied representatives have reasonable hope that agreement will be
reached on the annexed conventions to the Contractual Agreement -- with
the possible exception of this issue -- before the next NATO conference.
2. East German physicians receive special training for treatment of
war casual ies: East German p ysicians were reportedly given special raining
last summer in the treatment of. casualties resulting from atomic and chemical
warfare. Certain physicians were selected for further training in the USSR.
(S CINCUSAFE, Wiesbaden Weeka 1, 4 Jan 52)
Comment: This'is the first report of such a training. program for
civilian p sicians. Since the training program allegedly has been in
progress since last summer and no confirming reports have been received,
it is doubtful that a civilian program is as yet being conducted on a large
scale. Other sources have reported that medical training of the para-
military police has included lectures on defense against chemical attack
and the treatment of gas casualties.
3. AUSTRIA. Possibility of political crisis over restitution issue foreseen:
Commenting on the Communists' inability thus far to seize the, initiative
in further arousing public resentment over the restitution to Prince Ernst
Starhemberg, former Heimwehr leader, of estates taken from him by the Nazis.
after 1938, the US Embassy in Vienna expresses concern that the episode may
,have wide political repercussions. Indications that the People's Party,
blamed by the Socialists for the court's ruling, may relax party discipline
to permit its members to approve a bill of attainder depriving.Starhemberg
once more of his property, suggest a conciliatory attitude on the part of
party leaders. 11
TOP'SECRET
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The US Embassy believes that if the Socialists fail to receive parlia-
mentary satisfaction, they might take the issue to the electorate. (C Vienna
2237, 7 Jan 52)
Comment: The Socialists, concerned both. by Communist efforts to exploit
this is ueseaand by indications of rank-and-file dissatisfaction .with Socialist
leadership, might possibly try to improve their position at the expense of
the People's Party. Such action, however, would be at variance with pre-
Christmas statements of leaders of both major parties reaffirming the
necessity of a coalition and with Socialist efforts to preserve the govern-
ment until the 1953 elections.
ITALY. Italian reparations to Greece bog down: Italian officials report
ha during the past year the Greek-Italian reparations agreement.has not
been operating smoothly because of Greek administrative inefficiency and
unwillingness or inability to deliver counterpart raw materials to Italy.
They indicate that the prospects for future deliveries of equipment.from
Italy to Greece are not good unless raw material shipments from Greece are
kept up to date. (R Rome NSA A-1, 8. Jan 52)
Comment: Part of the Italo-Greek reparations.. agreement required that.
Italy supper Greece with manufactured products, but with the Greeks providing
part of the raw materials required. The Italians are at present hard- .
pressed for raw materials. This issue might strain the relations which have
been steadily improving between the two countries.
5. SPAIN. US Ambassador urges early negotiations with Spain: The American
bassador.in Madrid urges that the take full a van age of an unusually
pro-US atmosphere in Spain by sending teams to negotiate military and
economic aid agreements.
The Ambassador feels that a highly cordial attitude on the part of the
Spanish Government has been created by recent press statements of two American
officials regarding the results of the survey of the Spanish economy recently
completed by a special US mission. In his opinion, these. statements show
that American interest in improving the Spanish economy and popular living
standards is quite separate from political considerations. (S Madrid 712,
7 Jan 52)
Comment: The Spanish Government, through the controlled press, is
apparent y trying to create the impression that negotiation of an economic
agreement will begin at any moment, regardless of military. considerations,
and that every sector of the Spanish economy will receive considerable im-
mediate. aid. This tactic reflects the overwhelming political importance which
the regime attaches to American aid.
TOP SECRET
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6. CHILE. Large quantity of Chilean copper in Lebanon offered to US: An
American citizen in Beirut has offered to purchase a large quantity of
Chilean copper and smaller quantities of copper of unknown origin for the
US Government, The copper offered includes 13,000 tons of electrolytic
copper -- 11,000 tons, f.o.b.-Chile, at 1;285 dollars per ton and 2,000
tons, f.o.b. Antwerp, at 1,465 dollars per ton -- and some 1,325 tons
composed of blister, electrolytic scrap, wire, and cables at from 1,150 to
1,370 dollars.
The US Legation in Beirut believes that the US, if it is willing to
meet prices now offered in this area by Iron Curtain buyers, can effectively
stop shipments to the Orbit and obtain all available supplies. (C Beirut
671, 8 Jan 52)
Comment: Presumably a major portion of'the copper involved is part
of the US- ned Chilean copper allocated to Chile for its free disposal
under the May 1951 US-Chilean copper agreement. The Chilean Government
has set a minimum price of 1,200 dollars per metric ton, f.o.b. Chile,
for its "free disposal" copper, and there is nothing in the recent agree-
ment to prevent the shipment of all or part of the "free disposal" copper
to the US. Chile agreed to make eighty percent of-the large US mine
production available to the US at approximately 606 dollars per metric ton.
7. DOMINICAN REPUBLIC. Agreement with Haiti signed: The Dominican Republic and
Haiti have signed a five-year agreement regarding the admission of Haitian
workers to the Dominican Republic and. their employment there. The agreement 25X1A
sets up the regulations for the employment of these workers in Dominican
agriculture and industry and defines the living conditions and mutual obli-
gations between the workers and their employers. (R FBIS
6 Jan 52)
Comment: The Dominican and Haitian Governments have long been
discussing the proposal for a bilateral treaty on emigration. Previous
talks had failed because the Dominican Republic could receive no adequate
assurance that Haitian workers would voluntarily return to their country.
Apparently a suitable arrangement has now been worked out on a limited
seasonal basis.
The agreement represents the carrying out of a joint declaration issued
by Presidents Trujillo and Magloire at their frontier meeting last February
(see OCI Daily Digest, 6 Feb,51).
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TOP SECRET
SECURITY INFORMATION
10 January 1952
CIA No. 49499-A
Copy No. 45
S/S CABLE SUPPLEMENT
TO THE DAILY DIGEST
Not for dissemination outside O/CI and O/NE.
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
This summary of significant reports has been prepared primarily
for the internal use of the Office of Current Intelligence. It does
not represent a complete coverage of all current reports in CIA
or in the Office of Current Intelligence. Comments represent the
immediate views of the Office of Current Intelligence.
TOP SECRET
SECURITY INFORMATION
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TOP SECRET
SECTION 3 (WESTERN)
NETHERLANDS. Dutch and Indonesians ready to begin discussions: The
Indonesian'-Foreign Minister is appreciative of US-intervention in the
Dutch-Indonesian dispute and states that according to a press report
from The Hague, the Netherlands Government is ready to proceed with the
Dutch-Indonesian talks. He says that his country will do everything
possible to pursue discussions to a satisfactory conclusion. (S S/S
Djakarta 978, 9 Jan 52)
Comment: Both the Netherlands and Indonesia are reportedly
satin iec. w th the exchange of motes concerning the Indonesian seizures
of arms enroute to Netherlands New Guinea. Discussion can now begin on
the Indonesian demands for abrogation of. the Union statute, revision of
the re..t of the Dutch-Indonesian agreements., and transfer of New Guinea's
sovereignty to Indonesia.
TOP SECRET
10 Jan 52
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