CABLE TO SR. REP., LINCOLN FROM DIR, CIA RE GUATEMALAN 1954 COUP

Created: 6/14/1954

OCR scan of the original document, errors are possible

CLASSlFIw MESSAGt

G. WISHER

UNIT

EXT

u-ooLii ClAtilSTORICai.

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FROM: DIH, CIA CONF: NFO : CI, WH, SA/PC/DOfW

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OUTJUN 5lt

TO: SLIBC RTBAT/PBSUOCESS

CITE: DIB

UNDERSTAND TERMS OP SETTLEMENT ANNOUNCEDUNE OFA INST

GOAT

FED IT COMPANY TX/tb3xbz ARE FAVORABLE TO CGMPinT, LESS THAN WORKERS EXPECTED,

EOUDURAS

AKD LESS FAVORABLE TEAS TERMS DEMANDED BT STRIKERS IK/fcEBKXI. WE ARE

CONVINCED THIS OFFERS EXCEPTIONALLY FAVORABLE OPPORTUNITY FOR CALLTGKRIS BT

SUITABLE PUBLIC STATEMENT TO DISSOCIATE HIMSELF AND HIS MOVEMENT FROM FRUIT

HIS

COMPANY AND TO DEKONSTEATV/XXXJ NDEPENDENCE OF PBPRIME GOVERNMENT.

HAVE IN HIND SOMETHING ALONG FOLLOWING LINES, EX IH WHICH ASCHAH

PEBSCHATXY INTERESTED!

QUOTE: A. THE SETTLEMENT ENGINEERED BT THE ARBENZ REGIME THROUGH FAN JUL

/ mm, MINISTER OP ECONOMY AHD CONGRESSMAN PELLSCER ON TERMS FAR LESS

FAIORABLE TO THE WORKERS THAR THOSE THE STRIKERS ARE STILL HOLDING OUT FOB

IN/VUttfiWaELLOUT OP/fcnmX WORKERS IN THE INTERESTS OF THE

CONSOLIDATION CP COMMUNIST CONTROL OP THE COUNTRY. FACED WITH MOUNTING

CRITICISM INSIDE AMI OUTSIDE THE COUNTRY FOR THEIR SUPPRESSION OF

CIVIL LIBERTIES, ARMING OF CMMUNIS'l IjRGANTEATIOKS, AND OTHER

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PREPARATIONS FOR COMPLETE COMMUNIST TAKEOVER, ARBENZ AND COMPANY HAVE TRIED,ONCESSION TO THE FRUIT COMPANY, TO BUY OFF THE OPPOSITION OF PBPRIME WHILE THE CONSOLIDATION OF THE ca<MUNIST DICTATORSHIP GOES FORWARD. ARBEHZ PREFERRED TO SACRIFICE THE WORKERS* INTERESTS TO THOSEOREIGN COMPANY RATHER THAN TO THROW OUT THE REPRESENTATIVES OF COMMUNIST IMPERIALISM IN HIS OWN GOVERNMENT.

B. THIS CONCESSION TO THE FRUIT COMPANY WILL PLACATE NO ONE. GBAT

PATRIOTIC CITIZENS CF/&GDOECT KNOW THAT THE COMPANY'S POWER IN THE

COUNTRY HAS BEEN TOO GREAT IN THEOR THE FUTURE THESE PATRIOTS

ARE DETERMINED TO EXERRJISE MORE CONTROL OVER THEIR COT ECONOMIC

FATE AND NOT TO ALLOW TBIE ECONOMIC LIFE OF THE COUNTRY TO BE SO

LARGELY IN THE HANDSINGLE FOREIGN ENTERPRISE, THEY SEE NO

VIRTUE IN AN ATTEMPT TO flPPEASE THE COMPANY AND NO EVIDENCE THAT

COMMUNIST ASSOCIATES WILL REFRAIN FROM 7RKIR ATTACKS ON

RELIGION AND ON PERSONAL tfJBERTY OR THEIR THREATS AGAINST THE PRIVATE

GUAT

PROPERTY OF THE

COO'Ot Of icru

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ESSAGE

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C. IP THEEBR>ffiW IS MISLED BY ARBEHZ' ACT OF APPEASE* MSBT THIS HILL SIMPLY BE EVIDENCE THAT ITORE INTERESTED IN THE SELFISH PROPERTY INTEREST OF THE FRUIT COMPANY THAN IT IS IN HALTING COMMUNIST INTERFERENCE WITH THE INDEPENDENCE OF THE AMERICAN REPUBLICS. THIS IS THE TIMS FOR THE PBPRIME GOVERNMENT TO LIVE DP TO ITS FINE PROFESSIONS, TO DISSOCIATE ITSELF FROM THE FRUIT COMPANY, AND TO HELP THE OTHER AMERICAN REPUBLICS TO ACHIEVE ARD MAINTAIN THEIR FREEDOM FROM BOTH COMMUNIST SUBVERSION AND NORTH AMERICAN IMPERIALISM. UNQUOTE. 3. THE PURPOSE OF THE ABOVE IS*.

TAKE THE ISSUE OF ANTI-IMPERIALISM OOT OF ARBENZ'TAINT HTM WTTfl ACCUSATION OF SURRENDER TO FRUIT COMPANY ANDWORKERS.

CRITICIZE IN OENERAL TERMS COMPANY'S COMPLETE CONTROL OVER

GOAT

/ UEOSxr ECONOMIC LIFE WITHOUT HOWEVER USING LANGUAGE SO STRONG OR SO SPECIFIC AS TOEW REGIME.

CRITICIZE AT LEAST BY IMPLICATION PAST PBPRIMETHESE THREE THEMES WOULD STRONGLY COUNTER ANYUPPET OP EITHER FRUIT COMPANY OR PBPRIME GOVERNMENT.

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IT IS FORBIDDEN TOOPY Of THIS message Copy No.

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FROM:

FOUR

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li0 AS TO CRAKKELS FOR SUCH STATEMENT, ASSUME THIS WOULD BE OVERT PUBLIC DIXLARATICH BT CALLIGERIS DISTRIBUTED LOCALLY TO JOURNALISTS AND REPEATED WITH PROMINENCE BT SHERWOOD FOR INTERNAL CONSUMPTION.

S. SURE YOU REALIZE THIS APPROACH DESIRED HOT ONLY TO ACHIEVE PP RESULTS INTERNALLY IN WSBURNT BUT FOR EXTLTCUlL CONSUMPTION TO MINIMIZE IMPRESSION OF PBPRIME INVOLVEMENT AND TO BUILD UP OUR OWN COVER. REGARD THIS AS URGENT AND IMPORTANT MOVE.

IT IS FORBIDDEN TOOPY OF THIS MESSAGE

END OF MESSAGE c

AUTMCNYtOAlINO OrHCtS

SAGE Copy No.

Original document.

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