CIWR: BRAZIL

Created: 8/31/1961

OCR scan of the original document, errors are possible

Intelligence Weekly Review

1 Copy No.

CENTRAL INTELLIGENCE AGENCY

OFFICE Of CURRENT INTELLIGENCE

TOP SfiruET Dl

CURRENT INTELLIGENCE WEEKLY REVIEW

BRAZIL

sudden resignation of Janlo Quadros fron the Braslllaa presidency onugust hasarlaia because of tbe adamant opposition of War Minister Dears and other military leaders to the assumption of Quadros' pover by leftist Ties President Joao Goulart. Goulart's right to succession has been supported on constitutional grounds bypolitical leadersinority of the military, partlc-alarl'xi former War sinister Lett and the commander of theThird army in southern Onugust, congress overwhelminglysso-lutloa to amend the transformingigurehead officearliamentary form of governmentrime minister appointed by congress.

Quadros' resignationeriod of growing tension vlth the military over bla policy of closer relations vitb bloc countries, and an outburst of public criticism for having given Brazil's highest decoration to Che Guevara. The preciseof his Impulsiveare, however, still If he was counting on being swept back quickly into the prealdencyave of public protest, he greatly misjudged public opinion. Thereumber of initial expressions of dismay, but tbe sldespread subsequent reaction was criticism of Quadros forcting irresponsibly In tbe face of admitted difficulties,

strationsarger scale than those immediately following his resignation.

Ooulart's Career

year-old "Jango" Goulart come*ell-to-do background In the state of Bio Orande do Sul, of vhlch bla brother-ln-lav, Leonel Brlaola, Is currently governor. From the beginning' of -his national political careeroulartrotege of President Vargas and vas generally regarded a* bis political hslr when Vargassuicide inmuart had triad particularly to build up labor support for himself, cooperatingumber of vaya vlth the Communists for this purpos*. Military resentment of hla leftist views ond varied activities as aUn later of labor had caused his forced resignation from Vargaa' cabinet in

Supported by bis own Braslllaa Labor party and severalnd accepted a* running mate by the popular Kubltschek, Goulart von the vlce*presldency In5 election and further strengthened his politicalduring Kubltschek's In0 election both he and bla presidential running mateMinister Lott, received Communist endorsement. BeQuadros' running mateonsiderably smaller margin than Quadros' edge over Lott.

Quadros as president tended to keep Goulart at arm's length politically but sent him to the USSR and Communistew weeks ago on an official visit. During his Chinese visit, Goulart vent out of his way to praise the successes of Mao Tse-tung and the Chinese Communists.

CURRENT INTELLIGENCE WEEKLY REVIEW

beginningote against any moratorium ontbe China admission Issue at the forthcoming UK General Assembly. While Id Peiping herade agreement calling for tradei each way

Concern for Constitutionality

The reaction of Denys and tbe two other service ministers to the prospect of Goulart's wielding Quadroa' powersatural consequence of Goulart's peat career and general reputation aa a opportunist, aa well as tbe growing concern Inmilitary circles over Quadros' policy on closer relations with tbe Communist bloc. Much of the support as Goulart has received since Quadros' resignation must be attributed not to his personal political appeal but to the generalstronger in Brazil than In most Latin Anerlcanshould bein tlese of crisis.

Military leaders firstegal solution wfaere-by Congress would amend the constitution to bar Goulart froa office and provide for an acceptable successor. Aamendment can be proposed by one fourth of either chamber and becomes law if passed in two successive votes by two thirds of tbe total membership of each bouse of Congress. Congressmen apparently felt, however, that barring Goulart would offend the popular Brazilian feeling for legality.

Moreover, the Brazilian constitution provides that if both the presidency and the vice presidency should be vacated during the first half of aterm, elections must be held within ays. While auch elections would norma1ly appeal to many of Srazil'a political leaders, moat of tbe ambitious menood chance at the top post now hold poata which would bar than from becoming presidentialwithin the next several montha Constitutional provisions bar from candidacy those who have been governors or cabinet ministers within six months of the election, as well asresident who may have exercised the office for any time In the term immediately preceding."

Reactions Abroad

Latin American publicto Quadroa' resignation has reflected almost universal surprlae, accompaniedumber of parallela drawn by the preaa between thla event and Prealdent Vargaa' suicide Except from Cuba, there has thus far been little commentary on tbe question of tbe prealdantial succession.

Bcuadorean Presidentbaa faced growingopposition to his leftist foreign policyweeks, includingplotting againstalarri'd

Quadros' acT^Ton^mTreara that similar circumstances in Ecuador might force hla out of office.

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CURRENT INTELLIGENCE WEEKLY REVIEW

pol1tlcal-mllltary relations In the two countries. The Argentine Government, which recently confronted sharply

adverse reactions from Its military leaders when Cuba's economic czar Che Guevara visited President Frondizl Immediately after his visit with Quadros In Brazil, hamautious reserve on the Brazilian situation. One official characterized Quadros' retirement and Its aftermatb as primarily an internal Brazilian affair. The Mexican Gpverament. which along with Ecuador and Brasll baa followed policies favorable to the Castro regime, has limited its comments ondevelopments to vague generalities. All three governments will presumably shelve their Cuban-inspired project to mediate the "Cuban-USproject vhlch.

under-dim-cuasion since early June. t

The Castro regime has attributed Quadros'to pressures from the OS and branded It aa part of the US "imperialist" plot toand isolate Cuba. The Cuban reaction reflectsconcern over the loss of one of its principal friends In tbe hemisphere. ublic address onugust, Castro urged the Brazilian people to "take upnd take to tho

mountalna and Jungles" to fight the military leaders vho ars trying to keep Vice President Goulart froa becoming president. The Braslllaa Communist party, vhlch has often collaborated vlth Goulart, bas generally kept in the background during tbe paat fev days but has mmmwamssmmmm decided to agitaterr'frTTfr for his return to the country and accession to tbe presidency.

Both Moscow aad Pel ping,ine similar to that of Cuba, have placed tbefor the Brazilian situation on "imperialist" OS machinations designed totatesman vho vas attempting to free hisfrom the OS "monopolistic" and "colonialist" yoke, and have also denounced the efforts of "reactionary" elements to block Goulart.

Local Situation

Many aspects of thein Brazil are still fluid and confused. Denys onugust relieved the Third Army commander, General Machado Lopes, but ordersbeen Issued In Rio Grande to arrest any officer sent to relieve Machado Lopes. Early onovernment communique announced that the Second Army, with air and naval support, had undertaken aa "action in force" against Grande do Sul,

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