NATIONAL SECURITY COUNCIL STATUS OF PROJECTS AS OF FEBRUARY 28, 1949
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Publication Date:
February 28, 1949
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REPORT
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Director of Central Intelligence
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COPY NO. 9
NATIONAL SECURITY COUNCIL
STATUS OF PROJECTS
as of
February 28, 1949
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NSC review completed.
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WARNING
THIS DOCUMENT CONTAINS INFORMATION AFFECTING THE NA-
TIONAL DEFENSE OF THE UNITED STATES WITHIN THE MEANING OF
THE ESPIONAGE ACT, 50 U.S.C., 31 AND 32, AS AMENDED. ITS TRANS-
MISSION OR THE REVELATION OF ITS CONTENTS IN ANY MANNER TO
AN UNAUTHORIZED PERSON IS PROHIBITED BY LAW.
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February en, l.y4y - - 'rvr SECRET
NATIONAL SECURITY COUNCIL
STATUS OF PROJECTS
1. COMPLETED PROJECTS
(February 14, 1949 - February 28, 1949)
NSC 18/2 ECONOMIC RELATIONS BETWEEN THE UNITED STATES AND
YUGOSLAVIA
ee NSC Action No. 182)
COORDINATION OF POLICY RESPECTING DELIVERY OF
AID TO CHINA
See NSC Action No. 183)
RESPONSIBILITY FOR PEACETIME PLANNING FOR THE
WARTIME CONDUCT OF OVERT PSYCHOLOGICAL WARFARE
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2, PROJECTS UNDER CONSIDERATION BY THE NSC
UNITED STATES POLICY REGARDING TRADE WITH CHINA
(NSC 1
A report by the Secretary of State presented for consideration by
the Council. Scheduled as Item 1 on the Agenda for the 35th NSC
Meeting, March 3.
SUPPLEMENTARY MEASURES WITH RESPECT.TO FORMOSA
-NSC 3775)
At its 33rd Meeting the Council directed the NSC Staff to prepare
a report on Formosa supplementary to NSC 37/2 adopted at that meet-
ing. The JCS furnished an estimate of the extent of the threat to
Uo S. security in the event that diplomatic and economic steps to
deny communist domination of Formosa prove insufficient, and recom-
mendations as to what, if any, military measures should be taken in
that event (NSC 37/3). The Department of State furnished a state-
ment of specific and immediate steps which the U. S. should take
with respect to Formosa (NSC 37/4). A Staff report, based on the
discussion at the NSC meeting and the above reports by the Depart-
ment of State and the JCS, was concurred in by the Consultants and
submitted to the Council as NSC 37/5, Scheduled as Item 2 on the
Agenda for the 35th NSC Meeting, March 3.
U. S. POLICY TOWARD CHINA
NSC 3
A report by the Secretary of State presented for consideration by
the Council. Scheduled as Item 3 on the Agenda for the 35th NSC
Meeting, March 3.
DEVELOPMENTS WITH RESPECT TO WESTERN UNION
Memo for the Secretaries of State an efense, from Executive Sec-
retary, same subject, dated October 29, 1948; NSC 9/5 and memo for
NSC from Executive Secretary, same subject, dated November 8, 1948;
and NSC 9/6)
At the suggestion of the Secretary of Defense the Department of
State and the JCS were requested to prepare reports on developments
with respect to Western Union and the military conversations in Lon-
don respectively for consideration by the Council at an early meet-
ing. Report by State circulated for information of the Council,
November 8, and NSC 9/5. Report by the JCS circulated for informa-
tion of the Council, November 29, and NSC 9/6, Awaiting further
Council discussion at an appropriate date.
NSC STATUS OF PROJECTS - 2 -
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UNDER CONSIDERATION BY NSC (Cont'd)
THE INTERNAL SECURITY OF THE UNITED STATES
NSC 17/3)
The Conclusions of a report on the above subject (NSC 17/1) were ap-
proved by the Council at its 17th Meeting. On September 16, 1948,
the Council, including the Secretary of the Treasury and the Attor-
ney General, approved a directive to SANACC which requested SANACC
to take appropriate action on internal security and to make recom-
mendations to the Council on problems requiring Presidential con-
sideration. A report from SANACC (SANACC 401/1) requesting further
guidance was submitted to the Council as NSC 17/3 on November 16 to-
gether with correspondence by the Secretary of Defense and the Attor-
ney General. Further correspondence by the Attorney General and the
Air Force member of SANACC submitted for consideration in connection
with NSC 17/3 by Memo for NSC from Executive Secretary, NSC, same
subject, dated November 26, 1948. To be scheduled for consideration
It an early Council meeting.
THE CENTRAL INTELLIGENCE AGENCY AND NATIONAL ORGANIZATION FOR
I TELLIGENCE
(Msmo for NSC from Executive Secretary, same subject, dated
January 24, 1949)
At its 5th Meeting, January 13, 1948, the NSC approved a resolution
authorizing a survey of the organization, activities and personnel
of CIA and nominated for consideration by the President, three in-
dividuals to conduct the survey. These three Consultants were ap-
pointed February 13, 1948. By March 12, 1948, Secretaries of State,
Army, Navy, and Air Force had concurred in terms of reference for
the survey No. 1,
dated
P.prii J0, , and correspondence relating thereto was noted by the
T,SC as of August 30, 1948; and No. 2;. "Relations Between Secret Op-
erations and. Secret Intelligence", dated May 13, 1948, was consid-
ew-ed by the NSC in connection with the NSC 10 Series. Conferences
between the Survey Group and heads of certain intelligence activi-
ties in the Government were held. on November 22 and 23 to receive
suggestions and recommendations from the latter prior to completion
of the Survey Group's report. Final report by the Survey Group sub-
mitted. for Council consideration by memorandum of January 24. Com-
ments on the report requested, from the Director of Central Intelli-
gence arid the Intelligence Advisory Committee for concurrent consid-
eration cy the Council. Awaiting comments from the DCI.
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UNDER CONSIDERATION BY NSC (Cont'd)
SECURITY OF STRATEGICALLY IMPORTANT OP,ERATIONS,.IN.VBNEZUELA
(Memo for NSC from Executive Secretary, same subject, dated
February 17, 1949)
At its 19th Meeting the Council directed the Director of Central In-
tell ge'nce to refer to the Office of Special Projects the problem of
e, specific plan for the security of strategically important indus-
trial operations in Venezuela, and to report the plan to the Council,
(NSC Action No. 104.) This directive was subsequently amended. to
request report by CIA but not by Office of Special Projects (NSC
Action No. 128). Report by the Joint Staff, "Security of Venezuelan
Oil Production Area", referred by the NSC (NSC Action No. 171) to
the Director of CIA for consideration in connection with the plan
being prepared by CIA. Report by the Director of Central Intelli-
gence submitted by the reference memorandum on February 17, 1949,
with the suggestion that the Council note the report and refer it,
in accordance with NSC 29, to the Secretary of State for considera-
tion and appropriate action. Proposed action approved by the Chair-
man, NSRB, on February 17; by the Secretary of Defense on February
24. Awaiting action by State, Army, Navy and Air.
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3. PROJECTS UNDER CONSIDERATION BY THE NSC SUB-COMMITTEE ON GERMANY
(NSC Action No. 7
The Sub-committee met initially on January 28, 1949, pursuant to
the reference action, approved a procedure for its activities and
designated representatives as a Steering Group. It was agreed that
the Department of State would prepare for consideration by the
Steering Group the first draft of a restatement of our policy toward
Germany, if possible within the next two weeks; and that the Steer-
ing Group should undertake concurrently the preparation of position
papers on the following problems, the first four of which should
have priority over the remainder:
1. Occupation Statute for Western Germany
2. Trizonal Fusion Agreement
3. German Constitution
4. Ruhr Control Plan
5. Prohibited and Restricted Industries
6. Reparations
7. Western Germany's Long-Range Economic Program
(GARIOA and ECA)
8. Western Berlin Currency Situation
Steering Group has in preparation an initial report, outlining the
results of its activities to date, for early consideration by the
Sub-committee.
Awaiting report by the Sub-committee.
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4. PROJECTS UNDER CONSIDERATION BY THE NSC CONSULTANTS
PLANNING FOR WARTIME CONDUCT OF OVERT PSYCHOLOGICAL WARFARE
NSC Action No. 164-c; Memo from Executive Secretary to Consultants,
same subject, dated February 23)
At its 34th Meeting the Council agreed that the organization for
peacetime planning of overt psychological warfare should be,estab-
lished within the Department of State, as envisaged in Anne? A of
a memo to the NSC from the Executive Secretary, same subject, dated
February 1, 1949; and directed the NSC Staff accordingly to prepare
a proposed directive for consideration by the Council. Staff draft
directive presented to the Consultants by memo of February 23. Ap-
proved by NSRB, February 25. Awaiting action by State, Army, Navy,
and Air.
U. S. OBJECTIVES WITH RESPECT TO GREECE AND TURKEY TO COUNTER
SOVIET THREATS TO U. S. SECURITY
(NBC Action No. 157; SC 36; Memo for Consultants from Executive
Secretary, dated February 15)
At its 30th Meeting the Council directed the NSC Staff to prepare a
report for early consideration by the Council on the position of the
U. S. with respect to Greece and Turkey, taking into consideration
NSC 36, SANACC 358/7 and 358/8, the previous NSC Staff draft paper
of April 27 on Turkey, and such other studies on the subject as may
be appropriate. A draft report by the NSC Staff was submitted to
the Consultants by memo dated. February 15. Changes submitted by
State and Army approved in part by Navy and NSRB. Awaiting final
action by all Consultants.
THE POSITION OF THE U. S. WITH RESPECT TO IRAN
Study initiated by the NSC Staff on December 2, 1947. First draft
issued February 11, 1948. After various revisions, draft presented
to Consultants April 23. Concurred. in by Navy, April 26; by Army
and Air, May 3. State action being deferred, pending related de-
velopments.
FRENCH NORTH AFRICA
NSC 12)
Study of this subject, submitted by the Under Secretary of State for
the information of the Council, distributed as NSC 12. May 28. On
the basis of this study, the NSC Staff prepared a report on North-
west Africa for consideration by the Council, presenting it to the
Consultants for concurrence on June 21, Concurred in by Navy, July
6; by Air, July 7; by NSRB, July 12. State changes of August 4 and
Army change of July 6 incorporated in a revision submitted August 4
for further consideration by the Consultants. Army changes submitted
August 30. State action being deferred pending related developments.
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5.
PROJECTS IN PREPARATION BY NSC STAFF
MEASURES REQUIRED TO ACHIEVE U. S. OBJECTIVES WITH RESPECT TO
THE US
(Ref. NSC 20/4; NSC 35; Memo for Consultants from Executive
Secretary, dated January 11, 1949)
On the basis of the statement of U. S. risks and objectives with
respect to the USSR (NSC 20/4) as adopted by the Council and ap-
proved by the President, the Staff is making final revisions to
its preliminary draft of the specific measures required to achieve
the.ise objectives, pursuant to NSC Action No. 88-b. In this connec-
tion the Staff has considered the views of the JCS on military com-
mitments which were circulated as NSC 35 for Council information
araI Staff use. Staff draft report presented to Consultants Janu-
ary- 11. Referred back to the Staff for revisions in the light of
the discussion at the Consultants' meeting on January 17. Staff
request that JCS views on "military readiness" be obtained for
use in completing final draft of report was transmitted to the
Secretary of Defense, January 19. Staff awaiting JCS views.
RE-APPRAISAL BY NATIONAL SECURITY COUNCIL OF UNITED STATES
POLICY WITH RESPECT TO KOREA
Memo for NSC from Executive Secretary, same subject, dated
January 17, 1949; NSC 8)
Proposal by the Acting Secretary of State for a re-appraisal and,
if necessary, a re-definition of the position of the United States
with respect to Korea circulated for the information of the Coun-
cil on January 17, 19+9 and referred to the NSC Staff as a matter
of urgency for the preparation of a report. State Department re-
quested. to prepare initial draft. Awaiting report from State.
ANALYSIS OF ALTERNATIVE RELATIONS BETWEEN SCANDINAVIAN COUNTRIES
AND WESTERN POWERS CONCERNING NORTH ATLANTIC SECURITY AND MILITARY
AID
The Secretary of State has informally requested the NSC Staff to
prepare an analysis on the above subject for Council consideration.
A report by the JCS on "Anticipated Position of Scandinavia in
Strategic Considerations", dated February 10, 1949, has been made
available informally by the Office of the Secretary of Defense for
use by the NSC Staff in the preparation of this study. Awaiting
Staff report.
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PROJECTS IN PREPARATION BY NSC STAFF (Cont'd.)
UNITED STATES POLICY IN THE EVENT OF A COMMUNIST THREAT TO ICELAND
NSC 0
Study by the Joint Chiefs of Staff on "Future Operations in Ice-
land' circulated at the request of the Secretary of Defense and
with the concurrence of the Secretary of State to the Council for
informbtion and referred to the NSC Staff for preparation of a
report for Council consideration. Awaiting Staff report.
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6. OTHER CURRENT PROJECTS
RECOMMENDATIONS WITH RESPECT TO U. S. POLICY TOWARD JAPAN
NSC 13/1 and 13/2; NSC Action No. 117-c-(2))
At its 23rd. Meeting on October 7 the Council adopted NSC 13/1,
subject to amendments, and agreed that paragraphs 5, 9 and 20
should be submitted. separately (NSC Action No. 117). Approved
report circulated as NSC 13/2. Paragraph 5 adopted as of Octo-
ber 26, and paragraph 9 as of November 19, by NSC Actions Nos.
138 and 143 respectively. Amendment to paragraph 5 adopted
February 1 by NSC Action No. 177. Awaiting a joint report by
the Secretaries of State, Defense and the Army on paragraph 20.
DISPOSITION OF THE FORMER ITALIAN COLONIES IN AFRICA
NSC 19/1 and 19/2; Memo for Secretary of State from Executive
Secretary, same subject, dated December 15, 1948)
At its 17th Meeting, August 5, the.NSC reviewed and discussed the
subject but deferred further action pending the results of nego-
tiations referred to by the Department of State in NSC 19/2. As
suggested by the Secretary of Defense in the reference memo, the
Department of State was requested. to prepare a progress report
summarizing implementation of NBC 19/1, setting forth any sugges-
tions concerning changes in NSC 19/1 as a basis for reconsidera-
tion by the NSC of the policies approved in that report. Await-
ing report from State.
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7. DEFERRED PROJECTS
NATIONAL SECURITY OBJECTIVES OF THE UNITED STATES
Study initiated by NSC Staff December 2, 1947 as a long-term pro-
ject. First draft issued February 25, 1948. Further considera-
tion has been deferred until after NBC action on the NSC 35 Series.
THE POSITION OF THE U. S. WITH RESPECT TO THE MEDITERRANEAN AND
THE NEAR EA 3T
On December 12, 1947 the Consultants advised preparation of a re-
port on this area by the Staff. First draft issued March 2, 1948.
Further consideration of the report has been postponed at the re-
quest of the Department of State, pending the outcome of current
developments in this area.
THE POSITION OF THE U. S. WITH RESPECT TO FRANCE
Study initiated by the NSC Staff on December 2, 1947. First draft
issued March 18, 1948. After initial consideration by the Staff,
they agreed to defer further consideration at the request of the
Department of State.
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U. B. GOVERNMENT PRINTING OFFICE
2537--8-1948
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