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_ fl"9m SAJIk~ ' .. o~ ~ . tiS /# ... /: "\ ' ' I '(UNCLASsIF:f.Ajl M 1'3 ON MEl!; TlNG OF SPECIAL 1 <1> , ,

I RSPRESENTA TIVES '~"lD I , , of State has released ~ a statement ,that pr~ ed ing or--special representatives of ~r

, the countries m ers.ol: th~ ganiz.tion of American States with .. ~ , view to strengthe~ th,~S in certain spects is well a dvanced, ~ and that, without "'a~O\1ng in any way from the importance 'of the ~

. interest taken ' by P dent EISENHOV1ER, much of the credit is due to Cuba because of the attitude of President BATISTA during the Meeting (H. of Presidents at Panama, and in particular because of Batista's ...... '; speech there of July 22. The fiIinistry points out that Batista's • , ; ideas and suggestions parallel those apparently motivating Eis~nhower, 0 I' and form the basis for the proposed meeting of special representatives, 0 ,

~rom which gre t things are expected. . . ;-

(CONFIDENTIAL ) Comment . The comment by the Ministry of State '-" is fairly v.utine horn-bloWing, except for one point calling atten- -'- i tion, in t h e specific ,case of Cuba, to the necessity for achieving CO ! a balanced trade, pri ncipally through the medium of a new tariff I' li,

which will permit the development of additional Cuban resources. I\) This means in other \'Torda the establishment of a more protective J\) tariff syst em , operat ing to limit United States · imports and to .. permit . 01 the development oJ: protected ' industries 1n . Cuba. ' 'lbe idea t. :,;}being m actively pushed by Dr. Gustavo GUTIERREZ Sanchez, Mirdster wit.hout : Portfolio and head of the National Economic Council. who has apparent- I ly beeome, at l east t emporarily, one of Batista 's principal economic m advisers. Guti 'rrez has also been designated the Cuban Special . en Representative for t he proposed m'eeting. His present ' position, his views, and his past hi story indicate that his activities will be more of a hindt'~ce ;- than a help in i mprov.ing :the operations of the OAS l ()

and in particu1ar .1n improving Cuban-tTid'b~~ States relations. 0 (UNCLASSIFIED) CABINE'l' MINISTER RESIGN~: ,RECONSIDERS . Jos' , ~f

PEREZ Gonzalez, Minister without Portfolio and Secretary-General of the Bloque Obrero Progresista (Progress;tv:e WQr~ers fBlo.e - the labor ' .. ·.:1 division of Batista's PAP - Progressive' Acti:Gnl ~arty), ~ouncedto

I ~~e press o.nSUnday that he had resigned his c abinet poiij.t.ion, as ~ell , a s all positions he holds in the Gu.ban COnf'ederat\~! Workers-

JLToppiz;tg:mbw C CONFIJ)ENTI~ w t:'), , REPORTER ()1

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ACTION COpy - DEPARTMENT OF STATE The action office must return . this perman!!nt record copyt() RM/R :f11es with an endorsement of action taken . .

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(UNCLASSIFIED) LEADERSHIP DIVIDED. As reperted in Weeka e.' JJ, the ede • Party planned a precessien en August 16 anniversary et the eat • its t eUnder and idel Dr. Eduarde CHIB4s, trem Babana U iver.1ty te the cemetery.Permissien ter the preceasien had been denied by the . Government, which reund itself in a difficult pes1tien a. a cen •• -quence. The Gevernment'. treublea were selved when the Pre.iaeat er the Ortedexe Party I Dr. ' Radl. CHlBAS, 'br,ther et the t.UDder, called att the celebrati.ns after having receivedtul1autherity tre. the party directerate. Dr. Ch!ba. acted in reapenae te appeals ' tre. the Cuban Press Blee and the Seciet! er Friend • • t the Republic. Beth erganlzatiena, In their apen letters t~_ the party, reun41y ,cendemaed the actien e.f the Gevernment and a1'ti~ell the ' right et the Ort,edeKe. te held the precessien, but urged. that 1 t be ealled ert · iathe , ,' ,' " interesta.er tranquUity . and the a.eidanceet b~eed.hed. After anneune,iAg his dec is ien, ' Dr.SMba. ' waa < .... 1tereualy , b •• ea ancl threaten •• byseme pers'n':~~' })re.ent, 'wl~ l 'dentiried themselves aa ' , \tellewers er, Fidel c'~,smo an(l,' hi,a "~,~,iet ,JulY",' mevemeRt ,'" thUs le"ndt,n,g"" an element et' accuracy te the Ge'YerIlDlent' . all.egati.n~ w.hell d.ellpag

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~~II: . -!·:~:.t!~~1:~:r&~~:;:;~=r:!:1::n:; ';:i~~:· r!:~!' . nati. a~ . .. . ~i· .nt~.t the party; , •• ylngth.t be lac . • ' the centi e o • . , l.yal y. t · t .he ' b 1'" • • t the tir.cter·.te, but hal net IUbmitt •• . it.. '. , ; ' .... " " . , . . . .

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. .' (CO ' . . . TIAL) C. itt. 'lb. ~b ' delUllent in thi~ oa . ' by t •• Ortedlxe Party et ita uau agg~ •• j.ve attitu e is .emething et • . ~r~. Certainly, it baa net ,tr.ngthened the tellewing et the

. Party " nel' incr •• ed the unity et it. leader hip" .alrea.y baGy div1du • . The cU..play et "neet rea en blene 8" ana et a de.ire te

· a.,.el •. c1.aahe. with·th. Gev"nm~.t may' appeal te seme Cuban •• ' but mu.t haTe been a .evere Illeck te m "1 party members, .accusteme. ever the years t e vehement, . aggressive ape.chel attacking entrenche. Cubu ' pa,rtle'. and . pelltlcian alme.t witheut exceptien. Th. deci.i.n wa. uafieubtetily partly cause. by· the tiTergeRces wlthi the party l .... r­ahip eTer the questie s ef 'registering the p.rty' ~. participating in the partial electlena sche ule .. fer Nevember, 1957. There .eem te b aa many iitfereAt view. a there are party lea.era" and it i., net impessible·that several imper'tant rlgUres wlll withfiraw In the n ar ruture, .serieuslyweakenlng the party.

. . (UNCLASSIFIED) PROFESSOR.POLITICIAN HAS EN'IRY DIFFICULTIES. Oa , . August 7, 19S6 Dr. Franclace CARONE, lawyer, Vice-De.e' tIle Law " . /)Scheel et ~he 6ft1 verai ty et · Habana, an. member ef . the Directerate e£ .~ ithe Orte.exe Party, applie. ter atlmisaien inte the ,Uaite. State. at

Miamt. Dr. Careae intentie. te ' precee. te New Yerk a • bear. .. . Italian ship rer Eunpe, where he planne. te spen •• e e six ••• tha. He ha. ·.e viea • . H. was bel. evernight by- INS, an. return •• te . , Habana.· He later .eparte. fer Eurepe tre. Haoana by the DQtoll al.rliJl., KLM. A .i.t erte. acceunt et Dr. Careneta experienee. 1a Mi.Uli haa . appeare. in the latest issue et .the wi.ely-rea. Cuban magalia. Behemia, and. the Embassy has receive. letters er, pretest ,an4- ~ec ... en­.ati.n · rrem Dr. Ce._' DE LA IDRRIENTE et the Seeiety .t Frien •• et the Republio (SAR) an« Dr. Cleaeate INCLAN, Recter et the University er liabana.

(CONFIDENT.I:AL) C._ent. Dr. Carene, an.thes. WM hav.apeken in hi. behalf', are . wei! aware ef ' the oause .r hia .itticul ties. U. has a l .ng ana. ,well .ecumente. recer. et extreme leftist, pre;'" ' . CeJlUDwUst actiens. an. as.eciatieRs. He .. i. n.t apply ter a yi.a, kn.wing that he weul. prebably be.enie., ene.Hewever, he .1. "Dsult the Embassy, ~aying t hat the airl ine en which he plannetl te .nter the Unite. State., Cia. Cuban. tie Ayi aci'_, weul. ~urni.h hill with a ' , , guari, r .r which he hai alreatiypaia, :fre. t he plane te the ship, an. tel. him that he ceul. thusge threugh New Yerk~ . He wa, t.l. that the Embassy c eul. giTe him ne a.surances · whatever • . The Embassy ua.e~ .. atan •• that such arr angements are •• metimea ' permittea by INS iR the

l~f:e:fy~~P~;a{~:~e:~!:g,J" .. :!rb:\,~;:·!! •• ~:.:::. DrB.~::;: ;:;;r . CONFIDENTIAL . 1

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t. ~:I.. • ! ' .e-. Ge.. ~. t t. U.l t •• Stat.a atrenlly aupper'a. ' at' t e rfl' , ;Dr. Care •• ' va. zo.tu ••• e try I " at h. 1 •• pp ••••

Ce e. a.. e .ceaa1tal ,repli.a haT.' bee - •••• te ora.De la , t.rrlent. , , -1... -s"i e ~. Care • '-will b, abaent tr Cuba tel' halt a ,.ear, ... l ter at:l. th 'c.a • i'l lar,.ly rtltl.lal • ·ba ••• · .n~l.cal p.litlcl, 1 t relt _w11~pr.b.bly .A1ainiah rapi&l,..

~'~(ohICI.AL USE ONLY) , PROTESltOVEH FILM ALLBGEDLY DEROGAro-RY--.m ' CUBA INCREASE. 'Dle p~.teat .rlgliii11y .•• lce. by Dr. H nani. PORTELL. ' VILA 'anirepert •• i W Ne e •• r the Warner ar.ther a tila " Santiw" • a relate ce.lc beek atatingthat they _are inaccurate, •• regatery an 'se.ewbat in;;!tlng in their p.nra,.al .t -Cuban hi-Itery _all. Cuban her.e •• haa bee •• e hi&hly .eciter.us ,wita the a •• ltle • • t man,. .ere Teicea, .,tr •• Tarteus .s.urcel. Cuban int,ellect\lala an. c.luani ts haTe kept up an alaeat .allybarrage.t criticl ... Perhaps t e m. tvehe.eat .utburet bas c.... a. expect.. Ere Emlli.RIOG- DE LEUCHSENRING, lettwiDr; hist.rian etthe CIt,. e£ Habana. Sp.akingrer the "Cuban S.cl.ty ef Biat.rica! an. Inter­nati.nal Stu.iea", a miner ~reup iB which he 18 preainent~ h tel. the Cuban press that Warner Br.tbera will be sue. ter $l,uOO,OOO if the fila is r -elease.. He ea1. that Pr 81. t Batista weul. o. .Ike. te suppress the ru. in Cuba. R.1g.. Leuchaenring leng haa be .. ,an.elate. with C • ..u.nist causes, an. 1e quick t. seize upe ' ally pe~

'--./ t.r an attack .D the Unite. States. Other pretests ha •• bee recaiT •• t'r.m the Knights .r C.luabua, the .eaR et the Habana cellegium er neraal sch.el tea.hers, an. the Habana aectlen ,.r the Y.uthM.veaent erPARDO L1a.a t • "Nat1enalist Re~~utienary P~7-(PNR). s. tar as the EabassycllD .eteraine; "nene er the pretes~.re have seen the fila. an. enly a rew the ce.ic beek. ' , ~

.1/ (OFFICI AL USE ONLY ) LABOK RELATIONS. OF AMERICAN F~. It 1. I (freqUentlY allege. that any Aller-lean tIriiis experienee iabir tif'tl­

culties in Cuba because et' the pers.nal,ity ani attitu .... f the Ailericans sent te anage the buaineaa. A .tabl,. eppes1t.e 81tuati ... bas just been ebs~e. by the Eabaas-y, tw ' .! whes eff1cerl were present at a tarewell party e£rere" t. Jebn Deu&la. SIN-GER, Jr., t.rmer aanqer _t the War. Lille 1a ' Habaaa , by the "Unlen e£ War. . 'Llne Emple"e •• ". 'lbe part,. waa atten ••• ty abeut 150uni. etf1.1al. an« w.rkers. 'lb.ey were .bTl.usly t.ni et ~'. ' Singer, an. their · speechea an. c. ents were sincere, emetie,nal, an. fiat-tering. The party was a real tribute t •• ne AIler1caa'. ability t. l •• eat an~ maintain g ••• relati.ns with Cuban laber , •• er 15 years. n. • . War. Line ha~ beeR purchase. by the Garcia Line, a Cuban e.~ • .rn , u. 1. was interesting t. hear the net. .t ii.trust an. .uaplc~en ye1e •• by

.'.!::!:I::::~~ ~n .iscussing their upeet •• rel_tie •• with tnenew t ) I -e ! \l .. --~-

"CONFIDENTIAL:

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~~~~~~~~~. ' , . pe1at •• eut tk t < 1 '. iat.r-n.t1~ pe 01, t epu io . ' , ,th.o..eorat. are g.n.rallr 1. asr.. t, a w a~.T.r wa7~ .. el. oti.n m~l!f, t • U it.a s,.t •• ' pellcl4ie.ara Latili Aa.rie pu.a.l net chua' appr c1ab1y. 'lb.. n w.p~p.r rurt r .t~t. t t~. U1t •• S'at •• w __ t.r'unat. in •••• t. ,aY. tw~ ~ll~,hly qual1t1'. can.i.ate. ' rwm.lng ' r.r the Pr .. i.enor. Excel.l1.r h1&hlipt..tht 8181\1£1co • • t t •• ~.ll1natl.n .t Eat •• kEtlUvm as t • Vice Pr •• i.ent al 0 .1.at,.· the D .oratic tick.t. calli att.· tien t'e the iapertance er the Vice Presitlential 8let e bet 'tlck.ts.· Eisenhewer'shealth aa. the sel:-ecti.n .r t .R publi- ,

_ . cancan.itlate f.r Vic Presltlent will be, 'accertlill!; te Excel.ti.!£, the aajer 1 sue.. ATaDCe' was yery hip ift lts praise ' .t AtllaI STEVENSON ana expressetl the epi 1.nthat ~' •• n •• ra .ent .t AT.rill HARRIMAN help.a ·rather than hina.~e. SteTena.n' ••• a1natten. AYance pretlictetl aStav.naen Yiet.ry .Ter Eiaeahewer,because "the P,Pe.f­tlent is a· alck aanaatl n.t the .an that be was ia 1952". Later ia the week, El Mull.. repeate. it. .. •• rs .. ent .t Steyens.n by atatl .. tha~ Cuba aat the rest .t Latin Aaeriea 1. reeeiviD~ the new e£ hi. neJdnatien with ",reat jey" a.n. leeks r .r his victery in the

J1?veaber .lecti.na. - , ,

SUEZ. P£!n •• Libr. aizei up --'tlle t ••• n ' Centerence wit ' .pt~statiii thatwbue tlte 'alJas are Pl pr.~reas, war 1 .. 1 ••• ~1kely. ~e is.ue· .r war .r peacetul aettlaaentwill n.t -.pe •• · •• auch en Eng!ani ani France Y1s-a-via E&1Pt, the newspaper statetl, but en the iec1s1.a .r Meac.w ana Waahingtea. If NASSER ,eta te. IlUCla eut .t line, Prenaa L1bre peints .tit, preasure ean be place .. en ~t by 1ncrea.1i, OBIte. State. al. teIsrael. ;Puebie expreas.a the epinie. that the S.viets were attentlingth. · L.n •• n cea£erenc 1. er.er t. 1'urther tl\elr ewn plans u. te exple1 t the ' cenfer~ee t. a prepa~antla a.Tantaj.. Pueble preiictetl ' that the Suez CaC· ' •• 111. be internat1enal1ze.,but Naaaer weuli be ~en an eppertunity f.r a rebuttal .n the tlecis1e.. ' .

AraI. Narr. Air.

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Centributers: P.litical: JLTeppinr; Lab.r Relati .na: LHPrice

~ . Paych.i.gieal: SH .. l.. _ " os: AmEmbaSSieat ' Ciuia. 1ruj ill. ana Pert-au- Prinee.

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