Mr-
Security Information
CONTACT REPORT
63 PLATE: DCI's Office
PERSONS PRESENTt CI, DD/P,Ops, CWH,
COVER USED: None
DISCUSSION:
1. The conference was opened by the DCI with the statement! "Thisop priority operation for the whole agency and is the most important thing we are doing. m under pressure by others to get on withhe DCI then discussed the procedures involved in applying economic pressure through the coffee buyers inuggesting that perhaps through the proper agencies inumor could be circulated that current Guatemalan coffee contained harmful fungi and therefore would have to be barred from the ommented that although tho idea would be excellent, the danger existeo tnat the coffee buyers, already having been a[ preached and cognizant of our interestat; and possibly embarrass us through tho press as certain buyers have alreadyack of cooperation. Further, such action as denying shipment of coffee already paid for would constitute heavy financial looses to these buyers who, lacking proper motivation, might set up hue and cry, thus injuring the program. Based upon these latter comments, tho DCI telephoned an unidentified person and informed him to "lay off that coffee idea until further notice."f" "ffurther commented that perhaps more effective economic measuresuuuiu ue brought about through economic sabotage rather than through direct participation by American businessmen and that such action was contemplated within the proposed program.
2. The DCI reiterated the importance of this project and requestedbriefing proceed, at whichoff by reviewing
briefly the situation report prepareu on Upon conchathe lattorfj ^presented his concept of how the programouying the economic, psychological, political warfareaspectsoncerted, well-integrated,proceeding to explain the programovember. The DCIno instructions or other information should be sent bo the fieldproject which would reveal details of thehisstations. He asked whether the FBI should be informed ofwa3 told that it should be. Accordingly,
the DCI saiu tnat ne wouao handle the natter personally with the Director, FBI, at the proper time. Regarding the status of the militaryn tho three neighboring countries, it was explained that the Stale Dept. could take no further actionertain letter, requesting such action, had been received from the Dept. of Defense. The DCI then telephoned
Information
, FYES ONU
Security formation
Mr. Kyes, Under Secretory of Defense, and asked him if he would be kind enough to expedite the dispatch of this letter to the Dopt. of State. The questionas discussed and it was explained that morewere required than had originally been contemplated in view of the enlargement of the prograa. DCI said that he did not want any red tape to interfere with this project and he wanted to stake, certain that we had tho best brains, ability and technical assets of Uie agency employed wm this project to ensure its success.
DECISIONS: Tho DCI took the draft of the proposed program3 and gave it to theor his review and consideration with approval to be announced after it has been studied.
COMMENTS; It was the impression of the writer that theCI,nd DDP/COps were favorably impressed with the program and voiced no objection on any phase except one. The DCI questlonnod whether or not an ultimatum should be issued to the incumbent regime as he thought that might tip our hand to our disadvantage while he wao assured that that matter would be carefully worked out in subsequent plans and that he would be given an opportunity to review same before auch action would be taken.
RECt MMEXDATIOHS: That the foregoing be followed closely for approval of the programovember in order to serveasic Letter of Authority for the conduct of this operation and the assignment of personnel requoatad therein.
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Original document.
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