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CURRENT 1NTE LLJGENCE BULLETIN
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tJATel 2•f r-1, REViEWER: 3.5(c)

3.5(c)

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Office of Current Intelligence

CENTRAL INTELLIGENCE AGENCY

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- SUMMARY
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GENERAL
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-rioviet delegates in Paris reveal concern over US rearmamen t
• £" · page 3). I '

2, Commun_ist Orbit offers food relief to India (page 3).

3. Yugoslavs sound out Greek reaction to attack on Yugoslavia (page 4).

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FAR EAST

Ill 4. Republic of Korea interested in extending administra tion north

of the 38th Parallel (page 5).

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3.3(h)(2)
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6. Communis ts reportedly sabotage postal communica tions with Belgian
troops in Korea (page 6) .

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- 1. Soviet deleg ates in Paris revea l ~er n over US rearm amen t:

Amba
u
ssado r Jessup repor ts that Soviet determ
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i-3.3(h )(2)
• nation to includ e the reduc tion of armam ents
and a separ ate item on Tries te in the agenda for
• Big F911r talks was appar ent Thurs day in inform al luncheon conve rsa- Deputy
tions at the Soviet J mbass y among a limite d numb er of delet: ates to the
Forei gn Minis ters~ Confe rence . In tensr al, the Soviet repre senta tives
• seeme d prima rily conce rned with haltin g the US rearm amen t progr am,
whose dimen sions and poten tialiti es they proba bly appra ise accur ately n
and realis ticall y, and again showed them. selves ~duly sensit ive on Balka
• issues . They gave some indica tion that they r~gar d their recen tly pro-
posed item on the North Atlan tic Treat y as a barga ining point. Gromyko
• is presu med to have gained the impre ssion that the , Weste rn Powe rs
place great impor tance on dealin g with the prese nt level of armam ents

- as well as their contro~ befor e discu ssing the issue of a reduc tion of
armam epts. - •.2..---
Frenc h and UK readin ess to give in to the USSR
• on this point as well as on the positi on on the agenda of the Germ an
demil itariz ation item was manif est at a tripar tite meeti ng that morni ng.
• In addition, the chief of the- UK-delegation was ready to accep t Tries te
as a separ ate point becau se he believ ed this essen tial for Soviet accep t-
ance of a separ ate ,Austrian Treat y item .
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2. Comm unist Orbit offers food relief· to India;
• The Secre tary of the Indian Food and Agric ul- 3 3(h)(2)
ture Minis try repor ts that Chwa has offere d ·
to India 500,000 tons of rice af price s below
• those of Burm a and Thaila nd, as well as 500,000
tons of wheat and 'milo at price s well below the
- US mark et price. India is prepa rini to send a
repres entati ve to Peipin g to discu ss the offer.

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-In addition, Indian .!\,.mbassador Panikkar in

Peiping has informed the British Charge that he
has negotiated a long-term contract for the
purchase from China of 500,000 to 1,000,000
• tons of grain for a six-month period beginning 1 May 195L Panik.kar
inquired whether British shipping wou1d be available to move the grain,
• and US Embassy London reports that the British.have no objection from
a political point of view. us::q:mbassy New Delhi also states that Soviet ·
officials are telling the Gov~rnnient of India-·that ''any amount~' of
II Soviet wheat is available for delivery to lndia if arrangements can be
made for a barter deaL The Indian Government has informed the Embassy
that it is considering the above offers as a. means of assuring the Indian
• people of at least minimum food requirements, in view of the uncertainty
that the US will furnish the 2,000,000 tons of food grains which India has
• request~d. ·:

- . . Comment: These &oviet and Chinese Commu-

nist offers appear to be part of a campaign to take the initiative from
the US in providing special toad supplies to India; China and the USSR
have the capability'to furnish and ship 2,000,000 tons of grain to India
• within the next yea,r. Commµnist governments in the past have demon-
strated their willingness to itfnore the welfare of their people in the
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pursuit of important politicaf objectives. Favorable publicity accorded
in India to recent' a:rrivals of Chinese ri~e sµggests that even token ship-
ments of Soviet or Chinese Communist grain will be used by the Indian
• press to draw critical comparisons between the efforts of the West and
the Communist bloc to prevent starvation in India .
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3. Yugoslavs sound out Greek reaction to attack on Yugoslavia:

- Greek P:rime Minister V:enizelos has informed 3-3(h)( 2 )

US i\Jnbassador Peurif oy that the Yugoslav
Minister in Athens made a formal demarche on
• 3 J\pril to the Greek Government, seeking to
learn the course of action Grt!ece planned to take if Yugoslavia were
attacked. The Gr~ek Prime :Minister replied that Greece would pre-
• sumably mobilize and assist Yqgoslavia economically, but that he would
nave to consider the matter carefully before giving any further or
definite issurances. In relating the conversation to Ambassador
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Peurifoy , the Greek Prime Minister implied that he wisl}ed the US to

• advise him regardin g his reply to Yugoslav ia .
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Commen t: The reported demarch e by Yugo-

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slavia coQ.trasts wiU-1 its previous attitude in dealings with Greece, since
it opens the w:ay for military talks between the two countries . During
the early Mar:ch negotiati ons for the exchange of military attaches
between Yugoslav ia and Greece, the Yugoslav Miµister explained that,
. although the communi ty of interests between the two countJ:'ies was
clear, there was no necessity to coordina te military preparati ons,
since this could be accompli shed .in a short time when the occasion
arose. The Yugoslav s have, heretofo re, been extremel y careful to avoid
• any action which would appear to justify Cominfo rm charges that the
Tito regime and the Greek "Monarc ho-Fasci sts'~ were coordina ting
• their· military plans. The reported demarch e may, therefore , reflect
increase d Yugoslav apprehen sion regardin g the possibili ty of a Soviet-
. ·Satellite attack .

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4, Re blic of Korea intereste d in extendin administ ration north of the I'
3.3(h)(2)

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/ /the Prime Minister 3.3(h)(2)

of the Republic of Korea recently called on the
Turkish chairman of the United Nations
• Commiss ion for the Unification and Rehabili-
tation of Korea to ask about the Commission~ s
• position on the question of administ ering North Korean territory which
may be liberated in the future. Reported ly, the Prime Minister expresse d
the wish that the Commiss ion agree that the Republic of Korea has the
• right to appoint local administ rators and to insure public order through
the use of its police forces, The chairman was noncomm ittal but took
the position that the liberated areas should be urider military
• administ ration. · ·

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- ..., i;;ommeS;Ii~Jar problem

UN forces advanced into North Korea last October. Thia is the first
instance this year, however, of renewed Republic of Korea interest in
when

II .administering liberated North Korean territory. The Prime Minister 1 s

inquiry ls a further indication of his government 1 s determination to
eradicate the 38th 0 arallel as a political boundary and to extend its
• authority to the Yalu River .

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• 6. Communists reportedly sabotage postal communications with Belgian
troops in Kore,a:
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3.3(h)(2)
• the Be gian ommunists have been e ective y
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- --· sabotaging communica tions between the volunteers in Korea and their

- families. Communis ts have infiltrated the· Ministry of Communic ations

so successfull y that letters to Belgian soldiers in Korea have been
burned by Communis t-influence d postmen. Because of the reluctance
of the Minister of Communica tions (who is concurrent ly the Acting
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Prime Minister) to admit that this state of affairs exists in his ministry,
the Belgian press and public are apparently unaware of the situation .
• Comment: It is believed that Communis t
influence in the Belgian Governmen t has become negligible since the
• immediate postwar period. It seems unlikely that the facts of this case
would not have leaked to the press, if Communis t sabotaie activities had
been as successful as this report suggests. Furthermo re, the Minister's
• reluctance to take action does not seem plausible in view of the govern-
menes aggressive anti-.Communist campaign (which has included the
• dismissal of employees actively combining Communist activities with
their governmen t positions). ·
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