ORGANIZATION OF THE MAIN DIRECTORATE OF SOVIET PROPERTY ABROAD (GUSIMZ)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP82-00457R002400430003-9
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 5
• Document Creation Date: December 15, 2016
• Document Release Date: March 12, 2003
• Sequence Number: 3
• Publication Date: February 25, 1949
• Content Type: REPORT

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CENTRAL INTELLIGENCE AGENCY
INFORMATION REPORT
(Russian Zone)/USSR
Organization of the "Main Directorate
of Soviet Property Abroad" (GUSINZ)
This document is hereby r, ac1e,t1 to
CONFIDENTIAL in accordao with tht)
letter of 16 Octoter 1373 ,from the
_Diroctc4r of Central Intelligonce to the
A ? I
REPORT NO.
CD NO.
FED
DATE DISTR. 25X1
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NO. OFENCLS.
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SUPPLEMENT TO
REPORT NO.
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THIS IS UNEVALUATED INFORMATION
:After chc. end, of the
dpatrilal c6ifce:!hs
'Aus'fr 1 ;I 7:11:;i1gSrfiir ' 'Ron
,in Ito2;bow-trctil.c,c
inr.4o 1,1airt,
the respf-ctive ecreigl:
Moicaw*on angoV 8tt
arid 1t st alna
64Mie. Gf
AI-Catl" (41.4t.A.Ion, 'r13-1
00p1111-1 r
or "GUSIMZ!,
'Late 1946kGT,37.'!Z
cont2o1 ras tT/Insr4ft
'Minister 'Mlico,yalf:)t-I6
'C'efilhc.-11' tin
Minis.cer V, N. Mef.ltt,:los.-, Ine main reaton for these
25X1 the words of an aut:nor,tativewas he Ion
of the importance of T:SIN',2 to (1) Soviet industrial p)n an,1
technical improvement, (2) Soviet atomic research efforts tc,
potential, indirect political control of Eastern Europear :t.ytntrios
through the control of a substantial pOrtion of their liey'.1.L.I.stTs
plants, RecognivinE this importance ot GUSIMZI tie So%iitF 13sf;g:le
Its direction to the trustd and efficic?1T.:, Merkulov, fryr.,,at ALnis7,e
of State Security, 714arkulov promptly deputf.7ed severl cf I
subordinates -- Col, Oen. Kabulov, Gen ls era DelKanozov, Kcaaroi?
Serg4.06 nd hunin to help him.
GUSIM7 in Moscow is a -..arge establishment, Its directjng personnetl,
in addition to the YOB members, consists of top Soviet ei,krs
and technicians, sec on only to Be4Ira:s
The office is dIvid(d..4.0to eight departments (upravlel,*
r an
undetemined number of branches (otdeler444, The ' t
are::
t,hf> cvneship
mea 1*-tlyelkas *St' at 'ons
-
id nLi4
of :SoMiLb,ff thkst coilce
A..rid 'control' the bparatiols ef
co%AnA.ries. ,This bureau was.lo-a
min:Lstii.
Ilniatiy "fYForign Tradt,
DireCtoiat-e. of Soviet. r17'.
imCshbhestva"ic
f'ey:'ed to as. "G ,vsovzagraAituvh..
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(d) Supply (under the oire'ction of a t'a.. Kuroptiev)
(e) Person,ei
(f) Beokkeeping
(g) Secr-t Correoeoneence
(h) riscellaneous Yatters
There are at least a den branches in thP office. Each branch
tontrels a different type of industrial plent: e.g., machine manu-
facturing, toolmaking, cement manufacturng, dyes, textiles, acids,
For example, one of the GUSLY7 Branches is called "PEIBOR" (full
name: "Otdelenie Tochnego, ;;rednego I pri,poi:ostroeretee, ies.?
Precision, Ordinary, 2rd Tn3trument Yanufacture Branch), The PETBOR
Branch of GUSIr7 controls three separate Soviet State corpo-
rations (SGA0s) in Germany. Such SGAOs (Sovietskoe Gasudarstverroe
Aktsionernoe Obshchestvo) are known in Germany as "Dachgesellschaf-
ten", and each controls a certain number of "Soviet AGs" in related
industries. IThe three SGAOs under PRIBOR are: SGAO PRIBOR (in
charge of a group of industries engaged in machine manufacture),
SGAO AVTOVELO (automobile and motorcycle manufacture), and SGAO
TOCHMASH (precsion instrument and machf_nery manufacture)-
LQn This exarpl- shows the necessity for distinguish-
ing .carefully between &USIT' branches in Moscow and Soviet State
Stock Corporations, or SGA0s abroad. They may, as in the case
of PRIBOR Branch and SGAO PaIBOR, carry the same name, but occupy
entirely different positions in the echelon of control.)
4. The Ch4ef of G13177, "erknlov, is represented abroad first of all
by his personal deputies, 1:n Hungary such a deputy is Gen. (MGB)
Dekanozov; in Germany ?erkuIov's deputy for GUSIY7 is Col. Gen.
(MGB) Kabulov. In Germany Kabulov holds two titles: Deputy of
GUS= in Moscew and SVAG (arshal Sokolovsky's) Deputy for SGAO
Affairs. As Merkulov's Depaty for Germany, Kabulov is the
hishest representative of GUSIM7 in Germany. As Sokolovsky's
Deputy.for SGACL Affairs, KattPulov is in charge of coordinating
the activities and interests of Soviet-owned factories in Germany
(Soviet AGs) with SVAG economic policies, i.e., with the office
represented at the highest level by K. I. Koval, SVAG Deputy for
Economic Questions. Concessions on the part of a German industry
to the Soviet-cwned and Soviet-controlled factories in Germany (in
the form of raw mater5also fuel, technical advice, and sometimes
even the transfer of entire German-owned factories to Soviet con-
trol) are readily arranged be Koval at Kabulov's renupst,
Kabulov is Koval's equal or the Military Government level ;both
25X1X being Sokolovs'ey's deputies), the former also represents the MGB
and the interests of Soviet industries as against Koval's position
25X1X in larman induatry.
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6. The chief administrative office of GUSIM7 in Germany is the so-
called "Administration of Soviet State Corporations" (Upravlenie
Sovietskikh Gosudarstvennikh Aktsionernikh Obshchestv or "USGAO")
This office is headed by mv1. Gen Belogorlov, and is also located
In Berlin-Weissersee7 Berliner Allee 107-110. Belogorlov's chief
assistant is (en. (run) Shunin. Beloeerlov's First Deputy is
Parfenov; his second deputy is Ieaev,
7. USGAO is divided into eight departments, after the pattern of USIMZ
In Moscow. The thief of the 'Finance Department is Aleksandrov;
the chief of the Supply Departrent is Zhensherov, and his assistant
is Maj. Shternlikht. Only s translators, interpreters, drivers, and
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building employees are indigenous, all others are Soviet citizens.
The total number of emelee#els is estimated to be between Eon and
1,000. The 'building is strengly guarded by both Sovit and
German guards,
Under
US GAO
are thirty-three technical field branches, or SCIA0s.
the followngithirty of these SGA0s:
(1) Al.0
(2) AVTOVELO
BAGGAR
(4) BRIKET
(5) BURI-UGOL
(6) FoToPLEITKA
(7) GAZOLIN
(8) i70LYATOR
(9) KABEL
(10) KAINIT
(11) KALI
(12) KARIER
(13) KAUCHUK
14) KAUSTIK
(15) ICRASKA
9c For i11ustrativ-
(16) MASLO
(17) MARTFN
(1P) MED
(19) PLACT1K
(20) IDEP:NIK
(21) PhIBOR
(22) RAZREZ
(23) RETINOTEKHNIKA
(24) SILVINIT
(25) SINTE7
(26) SMOLA
(27) TOCHMASH
(28) TOPLIVO
(29) TRANSMASH
(30) TSEMENT
pureeses t'ee organization of two SGAOs is given
a, SGAO PRIBCR. Located in Leipzig, Karl-Heinastrasse 12.
Soviet General Dieector, I.G. Fofanov. First Deputy and
Chief Engineer. LA. Lelindinsky. Second Deputy, V.G. Dubovik.
Like the GU,- and TSGIO, SGAO PRIBOR is divided into eight
functional ,fepartmente, Known department heads ar'e ?akharov
(Economic Planning), L,:. Vinogradov and Shaballe (Supply),
Pozdnyak (Fereon'el Feld member of IGB), and Gorben (Eook-
keeping), The t tal eu!ber of employees is around ferty-five.
SGAO Ph BOk eoett'ols elle Soviet AGs:
(1) Sprite Preesgicesrei in Hei,Jenau-Dresden
(Gene:ez Director arid Chief Engineer, Aleksandrov)
(2) Sachserwerk le Radeberg-Dresden
(Gencrvl Director., tpmin)
(3) "Fame': en Seetenebeclk/Flbe (probably Schoenebeek)
T-!ngineer, Scldatov)
(4) Steinie & Hartung in Quedlinburg
(Chief trI.Oneer, Sterets)
(5) Kober & Co. ir SCA and in Zel2a-Melli3
(Genel Director, Fedorov; Chief Engineer, Tornio.)
(6) Louis 2choppEr in Leipzig
(Gener- Director5Astevin; Chief Engineer, Kopalin)
(7) Sieme!& Halske ir. 7wbnitz and in Thalheim
(Generl Director, Vasilenko; Chief Fngineer, FiUmenov)
Schaefer in MagdeburgeBuckau
(Generel rireetor, ,Ilistov; Chief Engineer, Dirnitriev)
(9) Siemeee& halske in Chemnitz
(Gene.rel Direeee,Fevra; Chief Fngineer, V.N. Vinegradov
(8)
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b. n AOI.,;'ne ..1nt-t,-"ation of ttntY'A.""li vn=n,
urevnnusly Tntn: bntn- ?,n3Ans 4tnnIBOit and IncnInnnn)
are.:.tiffninces as exist are explairnIn!n The
source (an. SGA3 17 OXiiTOh lists On tnnr dnpnt-
ments: Technical., Personnel, and BookkeepThg'
but in vien of 1.3. pens:!tton. source' rould not. be awnre t2r.
. .
Secret Cor: espordence and of the Miscellaneous Matters Depart-
ments, Th n atscnceo'f the other two departments FiTince and
Supply, may be en plain by the fact that SGA0 II LZT3 urnLik:
SGA0 PRnl. is locate'd only half a block from the .usako in
Berlin? an6 can dnaw acnley and supplies directly rnm the main
office. 3onrc6.i ntaten that the SGAO PRIBOR Personnnl Deprtnent
Chief, Lt. Col- Hotov, is concerned with "Political Control"?
10. Eglation of GUSTY
offini,mtozt jp.
a. In Moscow GUE;IM7 Is und:?r the direct control of the Council of
Ministers, froA vhich receives general policy directton.
GUSIM7 is ynat nnbo,ndinac.ed to any of the many Soviet ministrles
although it ratrtains c)ntact with most of them. 'Pis contant
on the vorlcing level is maintained through the various ninis-
terial NTOr, (tnchnfcat study bureaus maintained ly eaca ministry)
both in th U.SJten.1 in Germany. Although no detais arr.
known as to GUSE7, relationship with L.P. Berfren "First Chief
Directorate" (atomic re;earch), there is little doubt that
Grs= is ofte I called anon torender services to the "'First ChieT
25X1A6A rirectorate" bT supplvtia it with special delicate machinory
and other equipment. .w.Lgo ent: See also
for further information on the First Directorate)
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b, office J.;1 Germany; ths VY.-712) 11
Berlin-rTetsne-FeP '113.'Xains contact with numerous offt.cos
(I) With S-Inn, ;nnnl_c Solcolovsk-'s deputy.
(.) With Sol:o1:-1- "3 nol,ty for Creman -conomic quest ons,
K. I, n through Kabolov who secnres from
Koval n7,1 nocenpan! nnuipment, raw materials and runt
for t'-1(- :.ZSTF7 )1. in Germany,
(3) "ith i.; Pnre7'1,vnnu Chief of SVAG Econopic ttinnning
Board, through Ma.,. Gen. Belogorlov. Perelivenertco and
Belognriov nlIncate the distribution of raw npterLls be-
tween n-E.rmaa/..P.0 ' and Soviet-owned factories.
(4) With ti. SC fl'ointinnl Directorate, Gen, Russon, thwough
Russov s politnea sapervision of all Soviet personnel
employnC by USA0 it Gernany.
(9 Winici nni,,,s of che MGB through MGB supervision of
security In all GI FIV administrative offices and pinnts.
(6) With TJF.E guard pen,Innnel responsible for the physicaL
security of al.; fni;hed products of Gusirz plants. ;7hes,n
guards are uaall suonlied by the UKS to the compan:
(AG DERUTRA; oternting the trucks which haul all nanr-
factu items,
(7) with the SED, the Get'man rconomic Corftitission (DTK)and tho
German Administration of the Intarior, vhich maintain
political control over German employees of Soviot-amed
plants in Germany, and which supply police protection and
guards.
(P) With SCA .'nvtet-owned corporation enzagpc: in
uranium r'in 1g, na -Y It, supplies wit any nreCeC in;trt-
ments an( mach
LA \ g 10-104.
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11. Current plans call for the changing of some detatls of the
CIISIT:7 organization in Germany in the spring of 1949,- The
changes called for re primirily due to the reduction of Soviet
-personnel strength in (:,ermany- It is Jikely that Col., Gen-
Kabulov's and laj. (en. Bellgorlov's offices will be combl_nd
into an SVAG Administration(Upravlerie) It is also planned to
reduce the numbr of SGAOs ..rom thirty-three to ten or twelve.
The number of SGAO 1v3nterprises", or Soviet AGs, will remain the
same, but they will be serviced and admnistered by a lesser number
of SGA0s. No reuction of MOB personnel with:In the VSGAO is en-
visaged.
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