ADMINISTRATION OF PROCUREMENT OF MATERIALS AND DISPOSAL OF FINISHED PRODUCTS IS TO BE RETURNED TO THE NATIONALIZED INDUSTRIES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00810A002600620005-0
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 1
• Document Creation Date: December 22, 2016
• Document Release Date: December 14, 2010
• Sequence Number: 5
• Publication Date: October 27, 1953
• Content Type: REPORT

Sanitized Copy Approved for Release 2010/12/14: CIA-RDP80-0081 OA002600620005-0
CENTRAL INTELLIGENCE AGENCY
INFORMATION REPORT
This Document contains Information affecting the Na-
tional Defense of the United States, within the mean-
ing of Title 18, Sections 793 and 794, of the U.S. Code, as
amended. Its transmission or revelation of Its contents
to or receipt by an unauthorized person is prohibited
by law. The reproduction of this form is prohibited.
SECRET/CONTROL - U.S. OFFICIALS ONLY
SECURITY INFORMATION
50X1-HUM
COUNTRY East Germany REPORT
SUBJECT Administration of Procurement of Materials DATE DISTR. 27 October 1953
and Disposal of Finished Products is to
be Returned to the Nationalized Industries NO. OF, PAGES
REFERENCES
THE SOURCE EVALUATIONS IN THIS REPORT ARE DEFINITIVE.
THE APPRAISAL OF CONTENT IS TENTATIVE.
(FOR KEY SEE REVERSE)
had been decided to return gradually to
the nationalized industries the power to regulate their own imports and exports.
50X1-HUM
this decision had been reached because the DIAs had failed
to obtain the necessary raw materials for the large industrial
lants a
h
d
p
r
a
been found incapable of selling their finished products. These difficulties were
caused by the lack of experienced businessmen and technicians on the staff of the
.DIAs and v the ignorance of the technical requirements and the potentials of the
nationalized industries.
3. The inadequacies of the DIAs became apparent to the Russian liaison Officers of
the former SAG plants which were returned to East Germany about eighteen months
ago. These SAGs formerly were not,controlled by the DIAs but were subject to
separate regulations concerning heir requirements and the disposal of their
products. When these plants we made VEBs, the DIAs' administration of these
activities was not a success This, of course, became known to the Russians IV ., who made alternative suggest ns. As a result, the nationalized industries were
allowed to administer' theiffi,own its,eurpc>rts. ,:: .
Time will be require d before it can' be translated into practice. Time is-50X1 -HU M
necessary for the training of business staffs at the nationalized industries,
SECRET/CONTROL - U.S. OFFICIALS ONLY
STATE X IARMY
NAVY Ix AIR FBI
(Note: Washington Distribution Indicated By "X"; Field Distribution By "#".)
AEC ]Treas. I x I OIT
Sanitized Copy Approved for Release 2010/12/14: CIA-RDP80-0081 OA002600620005-0