POLITICAL -- "PRIME MINISTER KY REPORTEDLY HAS RESPONDED TO CRIT

Created: 1/1/1966

OCR scan of the original document, errors are possible

Mandatory^ fl

Political

Prime Minister Ky reportedly bas responded to criticism leveled at him by Gen Thi, commander of 1st Corps, who implied that Ky's national program lacked positive action. Ky accused Thi of undermining the government by allowing students and other groups to demonstrate in central Vietnam.

A serious morale problem, -caused by poor exists in the Junior and field grade officer ranks according to Gen Khang, commander of the Capital Military District, and If not corrected could result in more serious trouble. Khang stressed that the war itself had little to do with the lowered morale and that there stillonsiderable reservoir of will and determination to carry on the struggle against the Viet Cong.

Some Viet Cong reportedly expect an armisticenext year. Vietnamese intelligenceservices say that the Communists' XlenCommittee has Instructed itsto prepare for an armistice6 by

ing cadresraining course in the Cambodianon how to operate as "legal" residents. Theybe responsible, after the cease fire, for"proletarian revolution." Intellectualsto be recruited and organized to begin the

in urban areas. In Phu Yen and Binh Dinh Provinces,

Viet Cong as of mid-November were said to be planning large-scale military campaigns with the intention of seizing all of Phu Yen to improve their bargaining position in negotiations with the US, which they claimed would take place in Geneva next year.

9 Minister of Foreign Affairs Tran Van Doit would be difficult to maintain Southmorale if the Communists should decide The poople would at once conclude thatwas over, and the Communists would takethe discussions to solidify their position. are in line with those of other

many of whoa are apprehensive about negotiations. The continuation of Viet Cong "subversive insurgency" during

(Continued)

APPPOVED POR RfilEASE

and after an armistice would be logical. Moreover the period immediately preceding an armistice will probablyiolent one as participants seek to bargainosition of strength.

The Viet Cong "Christmas cease-fire" offer bas stimulated speculation lo some quarters that Ittep toward "peace" through an extended truce and negotiations. The Communists have, however, used past holiday lulls to regroup for attacks. This year's Viet Cong-proclaimed truce duringanuaryebruary) was followed by the assault on Plelku.

Buddhist officials ln Da Nang have accused US troops of desecrating the Khue Bac Pagoda,rotest was reportedly sent to Ambassador Lodgeecember following the assembly ofersons to demand reparations. The pagoda was supposedly damaged onctober by US troops firingniper. Subsequent incidentsas allegednified Buddhist Association (UBA) representativeInvolved the destructiontatue of Buddha and confiscation of food during searches. Some local officials believe the latter offenses could have been committed byor Viet Cong. The situation acquires added importance because of the imminence of the UBA Congress; Thich Giac Ngo, the principal bonze of the damaged pagoda, is said to have threatened public suicide.ODISSEM)

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