--Ap-000/0
RO
ecurity lass: cation
FOREIGN' SERVICE DESPATCH
FROM
TO
R.EF
For Se.
Use Only
American Embassy CAIRO
465
400310035-3
COPY Nol
.....
SEllES
THE DEPARTMENT OF STATE, WASHINGTON.
ACTION
Rt.CD
SUBJECT:
I/
0
DEPT.
DESP. NO.
DO NOT TYPE IN THIS SPACE
November 6, 1957
DATE
This document consists of pages.
This it Copy No. of copies.
JOINT NEM NO. 41
Visit sit minister:, of _Defense t? USSR.
o his ?comsat by CIA ha
dctoraiined that
CIA has no ob!e:lion to ds
^:cala;as hip:13;1;0n of CIA
htheast tz;.:,?1 rea;a:o
cldaskiv at 11 s (2)
AuLotay:tI1 10,2
It ctviiids atth:cg of C,74 learnt
.4464146.
riowar
Minister of Defense Hakim Amer departed November 1 for a ten.day visit to
the Soviet Union on the invitation of the Soviet Government. (UNCLASS/F10))
Cements Amer's visit appears to be a substitute for a visit by Nasser
himself who is known to have been under pressure for some time to visit the USSR.
Mohammed Rassanein Haikalv editor of dream and a confWnt of Nasser, is
reported to be making the trip as political advisor to Amer rather than merely
as a journalist. (CONFIDENTIAL)
2. Cabinet Shiftp.
tacraaa were issued November 3 appointing Sayyelligarai (Master of State
for Agrarian Reform) Minister of Agriculture, and Hussein al-Shafei (Minister
for Social Affairs and Labor) Minister of State for Planning. Concurrentlyv
the Liberation Province Foundation Board was abolished, the provincial offices
were ordered moved from Cairo to the provincial capital, and its development
placed under the Ministry of Agrarian Reform. (UNCLASS/FIED)
Ccausente Cabinet changes had been expected during the current month. The
appointment of Mara/ to, the important Ministry of Agriculture places a conserve
Westernooriented wane successful as farmer and bossiness':ban and a capable
administrator, at the head of thia vital sector of the Egyptian economy. As
Shafei, on the other hand, is a light-weight lacking in executive ability, his
now appointment appears to be a device for the retention by Abd al-Latif
al-Baghdadiv Speaker of the National Assembly and former Planning Minister, of
control over national planning. It also permits Abd al.Munelin geisuni, who had
held the Planning portfolio since .74y, to concentrate his full attention on his
duties as Minister of Finance.
net* steps eppear to strengthen moderate, pro.Western and technically
tent elements in the regime.. (CONFIDENTIAL)
REPORTER
SECRET
Approved For Release 2000/05/231:1CIALREIR71131-02771R000400310035-3
State Dept. declassif rnairdpidingualcitro pirsdecniofi re accordance with security regulations.
Page 2
Desp. No
Frot Ain___2fiattgt_For Release 20q010
Page
End. No
40031000AI; No.
nists Siced.
Thektrial of eigfteen individoals accused of printing and disseminating
mmuhist literature culminated on October 31 in the acquittal of five
used and sentencing of trate-snit? varying terms of imPrisonment.
LASS/PIED) 25X1A
Commentsit now appears thatthis is a group of
which ten were arrested between February 57, i956.p the remainder somewhat
latera and who, according to press reports in July, 1956% were tried on
4Une 28. Since that time some have been in prison, others under house
arrest and others released an bond. While reasons for the recent retrial
are obscures the timing may he connected both with an intiovalation in
July 1957, in the National Assembly by leftist Deputy Ahmed Fuad asking
whether there were any political detainees in Egyptian prisons, and with the
trip of General Amer to the USSR (as a derlostration that Egypt is effective.
ly *neutral*). The Communists sentenced are *small fry" and their removal is
no great blow to organized Communist activity in Egypt, although their trial
does tend to show that the regime is Prepared to take measures against this
type of subversion. (SECRET)
4. patkonalAktion
The long-anticipated establishment of the National Union, a political
entty.. presumably replacing the moribund Liberation Rally, was decreed bY
er OA November 2. Its aims% as reported in the local press, are to
into existence a "socialist democratic, cooperative society free
cal, social and economic exploitation*. k preliminary analysis of
press reports suggests that in actuaLfact the Unien is a means of ewer
cising political control in. Egypt. 7.tt machinery of control consists of
foUr levels of committees -. national, Provinciala electoral district anst
11W. -- of which the all.powerful one is the SupreOe Executive Committee,
headed by the President of the Republic. This Committee evolves policies
and programs, issues diroctives% supervises the work of the laser level ,
co4m4tteesa controls distribution of funds% takes disciplinary actionfagalet
individ'Oal members or other committees, nominates candidates for the Nati041
AsseM44, lays dawn the rules for the conduct of election of Union memb
deterOinee the competence of local committees, and interprets the appli
of previsions of the Union's statutes Which are promulgated. by means of-
decries issued by the President. (OF;IC/A;ASS ONLY)
t4100;sesebtv Convenes6
st regular session of the National Assembly, ch began
4, was enlivened by accusations of illegality of acceptance by
three 'deputies of petitions in the Liberation Province, and by complaints
by the accused depeties against the press% which had publicized the case.
The Constitutional Affairs Committee was instructed to examine the question
and report within two days on the propriety of the appointments, while the
SECRET
Approved For Release 2000/05/23 : CIA-RDP78-02771R000400310035-3
Page_ 3 of
Desp. No 465
d For Release 2000/05/23 :ORCIROP78-02771R0
From_
?
; (Classification)
ASsembly confirmed that freedon of the pres
Mab Leeou:. Activit
? Page
0040031t315T
esp. o
From
of
trammeled except by the
The Political Committee of the Arab League, meeting on November 3*
'decided to reject the appeal by the LW Secretary General for contributions
by the Arab States toward defraying UN EF expenses; assumed a position In
opposition to the European Coon Market? and called upon member states to
achieve economic unity among themselves inerder,to fice the Common Market
and its, "hostile intentions against Arab econom0"; reaffirmed the prrvious
declaration of the ,League Council against inclusion of African and Asian,
dependent areas in the Common Market; heard an exposition by an Algerian
National Liberation Front representative of the current situation in
Algeriao agreed to? request instructions from the various governments as
to means of handling the problemL and decided to refer the Algerian question
to the League Council* which is to resume its meetings upon completion of
work by the other committees.
PUblicity representatives of all member states except Jordan met on
NOvsOber 3 to discuss means of strengthening Arab information activities
abroad* particularly in the Western Hemisphere. Media sub.committees
were appointed which will shortly report to a second plenary session.
(UNCLASSIFIED)
gricHcLoGirm.
1. AntiAmerican Propaganda.
In slightly: reduced volume (due to other preoccupations) the press and
radio continued attacks on America and U.S. policy. 'Additions" were made
to President Eisenhower'is press conference and several editorials announced
"the American Doctrine is dead since Eisenhower himself admits the t'Posim*
tion of countries of the region has made it unworkable** The President was
also quoted as saying his health had continuously deejned since the
nationaliKation of the Suez Canal.
The U.S. (and Britain) received blasts on the anniversary of the
Balfour declaration.
The U.S. (and Turkey) were assailed tor "manoeuvere designed to
prevent formation of UN commission on Syrian allegations.
The U.S. (and King Saud) were blamed for trying to substitute
mediation for an honest probe".
lho U.S., (and King Hussein) were charged with completion of "coup
in 'lorded' and "country now in charge of Mallory and Army attache with
Pint Four technicians paying Jordanian army". Several editorials bra.
aonly called for the assassination of Hussein who "is following in his
SECRET
Approved For Release 2000/05/23 : CIA-RDP78-02771R010400310035-3
Page
04
De
From
NQ
Fro AMMO For Release 2000/05i23 : 8-0277
(C asst atton)
grandfather
footstepsand should meet the ea
Mass
for him ery
spech on
and a
versary
Page_of
040031 0Att
From
as were attacked for s'irregu
of ihvasien agairiet '
awes iod?
intrigues
ik U well and fatuaU good but tiUor tit America bifida
upon and smug sattsfactton at U.S. discomfiture universally
In stories. (UNCLASSTE/ED)
has eceived? in ADM
boats. Estimates as hi gkt as ten
further confirmation available.
AIL
now operational.
number of new SeViet type
ough 3.6 additions accepted
also AM) (SWIET)
Soviet TU..104 arrived Cairo Airport 29 October for purpose transpor
lug Major Genoral Hakim Amer., Minister of Defense and Commandor in ?Chief
of Egyptian Armed Porcoss to Moscow. General Amer and his party consietincl
in part of Admiral Ezzats Commander in Chief Egyptian Naval forces sant=
Army and Air officers, and tho Chief of Staff of the Egyptian.Syrian Joint
Command departed for Russia on board this aircraft 1 Novesaber. (MCI-AS.5071ED)
Vernments Aircraft was moved to iselatod position en airfiold away
frem main terminal and placed under armed guard from time of arrival imatti
immediately pcior to departure. (CONFMENTML)
The Director of the industrial Banks Rashid 01.8arav4, who is reputeil
? to he far to the left politically, has been removed from his position and
? has been put under house arrest* Action'igainst him was taken raportedly
hecausa of his involvement in financial and currency irrogularities.
(LDLITED cFpxcria usis)
SECREi
Approved For Release 2000/05/23 : CIA-RDP78-02771R000400310035-3
Page? of
. Desp. N
From__
;''ved For Release 2000
Page of
End. No.
040031q9aRikTo -
From_
The independent admin,stratlon of Liberation Province, an experimental
natio land development pro3ect0 has been abolished and the Director,
Haseanein, niow a member of the National Assembly, has been relieved
s administrative responsibilities according to the local press.
sanein had been widely accused in political debate during the recent
ion campaign of being involved personally in graft and of carrying
the Liberation Province project in a costly, uneconomical manner..
ITED OFFICIAL USE)
Concurrently, appointments of conservatives!' to certain positions
have been announced or forecasts Dr. Abdel.Gelil El -Emarip Director of the
Nile Ginning Company, President of the Cotton Exporters Association and
former Minister of FInance. to become the Governor of the National Bank of
Egypt; Dr. Aly EI-Giritil, Director of the Bank of Alexandria, to become
Sub4overnor of the National Bank of Egypt; Abdo'. Hakim Rifaip former Sub.
Governor of the National Bank of 'Wet, to become the Director of the
Industrial Bank. (LIMITS) CFF/CIAL ISE)
2. AzagAexpliaLaLcs.
Hassan Abbas Zak'', head of the Egyptian delegation, has returned to
ROM, to, resume-Anglo-Egyptian economic discussions which were broken off
October 1.4 It was alleged in local press commentary on the talks between
E04retarY Dulles and Prime Minister Macmillen that the Seerstary spoke of
the necessity of suspending the Anglo.Egyptian talks so as not to weaken
the American economic blockade of Egypt. (UNCLASSIFIED}
Egyptienne pour le Raffinago at 141 Commerce du
is reportedly planning to expend'iti production capacityond to adapt its
facilities* now limited to the use of Saudi Arabian crude, to the use of
?crude from other gourmet, 'including the Soviet Union. SERCC1Pos Director
has Just returned from a 'Welt to various European countries including
Czechoslovakia which was iiiortedlyUndertaken to obtain equipment for
these purposes. (OIin:cut vta CULT)
4.
as Advisors.
An American oil company his. reported that according to information
which it regards as reliable, a -Petroleum Institute will be established
shortly by the Egyptian Government with *Russian experts* as advisors.
(In Weekly Economic Review of October 150 reference was made to local
press reports which indicated that the Soviet Union was participating in
SECRET
Approved For Release 2000/05/23 : CIA-RDP78-02771R000400310035-3
Page_ 6of
Desp. NWporewod For Release 29
From ? -
(C assi cation)
Page.of
)0400310AR70;
From
and research plant to Egypt at a cost of
by local Government and private activities0
latgletO? ReSS
Counselor of Embassy for Political Affairs
Con
Assaan, Ankara Athens, llactlalad9 Bei 9 Benghazi,
dda, Torachi, nartoum, London, Moscow, New Delhi,
Rome, Tehran, Tel Aviv, Tripoli, Tunis;
Alexandria, Dhahran, Jerusalem* Aden, Port Said; Cmdr 17th
Air Force, Uipolit Cadr 2nd Air Div Ehaltrant CINCUSAFE,
CINCEIR, CiNCNRI)119 CC:MAI:RUM, ERCElh, USDCCOSCEITH, Ar*pi
Addid Ababa
SECRET
'Approved For Release 2000/05/23 : CIA-RDP78-02771R000400310035-3