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15 December 1955 25X1
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10 3
CURRENT INTELLIGENCE BULLETIN
Office of Current Intelligence
? CENTRAL INTELI4IGrENCE AGENCY
Declassified in Part -
/7/17
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CONTENTS
1. DEFECTOR GIVES ACCOUNT OF JULY CENSURE OF
MOLOTOV (page 3).
2. HIGH-LEVEL SOVIET BLOC ECONOMIC GROUP MEETS ?
IN BUDAPEST (page 4).
15 Dec 55
THE ARAB-ISRAELI SITUATION
(page 6)
THE TAIWAN STRAIT
(page 7)
Current Intelligence Bulletin Page 2
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1. DEFECTOR GIVES ACCOUNT OF JULY CENSURE OF
MOLOTOV
who defected
recently reports that A. I. Mikoyan
gave a speech criticizing _Molotov at
the plenum of the central committee
of the Soviet Communist Party last July.
this speech was read at a closed meeting for party ac-
tivists in October 1955, and that a transcript of the en-
tire central committee plenum was read at a November
meeting of the same group.
Molotov allegedly was criticized for
making foreign policy together with Stalin without consult-
ing the central committee? for allowing his wife to invite
wives of Western diplomats to a party without consulting
the central committee, for being anti-Yugoslav, for op-
posing Khrushchev's "new lands" policy, and for opposing
large works such as hydroelectric stations. Khrushchev
criticized him for his disarmament proposals.
When Molotov referred to his 34 years
in the politburo, Khrushchev shouted, "We won't pay any
attention to your long beard." Khrushchev stated that Yugo-
slav orientation toward the United States instead of the
USSR was a result of Molotov's opposition to Yugoslav friend-
ship. In conclusion Molotov stated that he was willing to
submit to the decision of the central committee.
Comment simi-
lar readings of central committee charges
against both Beria and Malenkov also took place at special
local party meetings. Molotov's stated willingness to abide
by the central committee's decision may have saved him for
the time being. Molotov may yet be removed, however, pos-
sibly at the 20th Party Congress in February?
Mikoyan seems to have been acting as
spokesman for Khrushchev in presenting the charges against
Molotov. Mikoyan may have a personal stake in discrediting
Molotov, however; he is a first deputy premier and has been
rumored a possible successor as foreign minister.
15 Dec 55
Current Intelligence Bulletin Page 3
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2. HIGH-LEVEL SOVIET BLOC ECONOMIC GROUP MEETS
IN BUDAPEST
The Council for Mutual Economic As-
sistance met in Budapest from 7 to 11
December. According to Communist
press reports, representatives of the USSR and all the Euro-
pean Satellites were present. Discussions reportedly cen-
tered around such topics as regional economic specialization,
co-ordination of production, and reduction of costs. Most
long-term trade agreements between council members ex-
pire this year.
Comment The Council for Mutual Economic
Assistance (CEMA), which was formed
in 1949 to co-ordinate Soviet bloc economic development,
was widely regarded as the Soviet answer to the Marshall
Plan. This latest meeting of the council is of particular
importance in view of the reported close co-operation be-
tween Soviet bloc countries in their respective Five-Year
Plans for 1956-1960.
15 Dec 55
Current Intelligence Bulletin Page 4
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THE ARAB-ISRAELI SITUATION
(Information as of 1700, 14 December)
No significant military action has been
reported. Syrian troops reportedly fired on an Israeli vil-
lage near Lake Tiberias on 14 December, but without in-
flicting any casualties.
Syrian premier Ghazzi announced, after
a cabinet meeting held to discuss the Israeli attack of 11 -12
December, that Syria intends to increase its defense budget
by 40 million Syrian pounds ($13,000,000). He also announced
that the Syrian government has decided to procure arms with
the recent Saudi Arabian loan of $10,000,000 and to institute
military training in secondary schools. Both Iraq and Lebanon
have told Syria that they are ready to help it against Israel.
No similar public statement has yet come from Cairo.
that the situation resulting
from the 11-12 December attack was grave, but that he did
not believe Syria would risk war by retaliating in force. Broad-
casts from Damascus playing up the "heroic action" of Syrian
troops in "repulsing" the Israelis also suggest that Syria will
not take strong counteraction at this time.
15 Dec 55
Current Intelligence Bulletin Page 6
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BIWEEKLY SUMMARY
1-14 December 1955
THE TAIWAN STRAIT
1. The Chinese Communists have continued construction
of the causeway to Tateng Island, north of Quemoy, despite
intermittent Nationalist artillery fire against the causeway.
The only Chinese Communist shelling appears to have been a
total of 531 rounds counterbattery fire against the Quemoys,
and 40 rounds against a small islet west of the QuemoyL
The presence of a dredge in the Mawei area suggests that
the Communists intend to improve Mawei as a naval base. Such
a development would improve Chinese Communist naval support
and operational capabilities in the Matsu area.
15 Dec 55
Current Intelligence Bulletin Page 7
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4. A total of 13 submarines are now accepted in the Chi-
nese Communist navy, including nine based at Tsingtao and
four at Port Arthur. The Port Arthur-based boats and four
of the Tsingtao vessels are long-range types, while the others
are of shorter range. Previously, only 11 submarines had been
accepted as belonging to the Chinese Communists.
5. The runway at Lungtien airfield, located on the coast
southeast of Foochow, now has been cleared of debris and is
considered serviceable. Lungtien is the fifth coastal field op-
posite Taiwan to be made suitable for jet operations. As yet,
none of these coastal airfields has been occupied.
6. A Chinese Communist field artillery division of about
6,000 men has been identified as probably being in the area op-
posite the Quemoys. This does not necessarily indicate a re-
cent Communist reinforcement of this area, as this unit may
have been there for several months. A total of one artillery
division, three antiaircraft artillery divisions, and one inde-
pendent antiaircraft artillery regiment probably are now in
Fukien Province.
7. No extended comment on the Taiwan Strait situation has
appeared in Peiping's propaganda during the past two weeks.
8. Communist China drew new expressions of neutralist
support for its claim to Taiwan as a result of the Khrushchev-
Bulganin visits to Burma and India.
a. The Soviet-Burmese communiqu?f 6 December
declared that "the question of returning to the People's Republic
of China, Taiwan and the other islands which constitute an inte-
gral part of China's territory should be settled immediately."
b. The week following, the Soviet-Indian joint declara-
tion asserted that "the legitimate rights of the Chinese People's
Republiccin regard to coastal islands and Taiwan should be
satisfied." The declaration also expressed the hope that the
current US-Chinese ambassadorial talks at Geneva would lead
to "wider understanding through meetings at higher levels."
15 Dec 55
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Presumably this language is intended to express support, not
only for a US-China meeting on the foreign minister level, but
also for a multinational conference on Far Eastern problems.
Both a Dulles-Chou meeting and a general conference have been
previously proposed by the Chinese Communists.
15 Dec 55
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