740.00119 Control (Korea)/7–2846: Telegram
The Political Adviser in Korea (Langdon) to the Secretary of State
[Received July 28—8:42 a.m.]
81. Summary of conditions in Korea July 1 through 15:
1. Political situation: In public announcement on July 9 General Hodge approved suggestion made to him in letter from Military Governor dated June 29 that an interim legislative assembly be established to give Koreans some direct participation in policies and administration of Korean affairs. Public reaction to suggestion generally was apathetic, such support as was given coming from certain Rightist groups who apparently saw in proposal at least a temporary opportunity to dominate political scene south of 38th parallel by probably preponderant representation in Assembly. By same token Leftists voiced opposition on stated ground that at present stage of political developments Assembly would be premature and could serve no useful purpose, since initial constructive step must be establishment of provisional government under Moscow agreement, representing all of Korea. Fear was expressed that Assembly, in effect, would be only a step-child of military government without attributes of independent action and might contribute towards indefinite delay in reconvention of Soviet-American Commission. Most political leaders either remained silent on plan or approached it with caution; by end of period no concrete steps had been taken by any political group to implement the plan.
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3. External relations: …
Intensified military training of various Communist organizations in north by Soviet Army is reported with goal set at 500,000 armed [Page 721] Koreans three years hence. These military groups would presumably form basis for continuation of Communist influence following ultimate withdrawal of foreign military forces from Korea and unification of country. Reports indicate that Soviet authorities are sending number of young Koreans to Russia for education and indoctrination in long range program to perpetuate local Communist influence. New farm tax law is stated to have been placed in effect in north Korea by which farmers will be taxed flat 25 percent of produce, but will not be subject to any other form of taxation. Small-scale clandestine barter trade between two occupation zones is believed increasing. Soviets in general appear to be re-orienting transportation and communications facilities in north Korea on basis more effective for establishment of separate north Korean economy, unrelated to that of south. Soviets are continuing negotiations with ComGen USAFIK for payment for electric power supplied to U S zone since August 15, 1945, at rate of 3 sen per kwh to be paid in goods. Total claimed to June 1 is about 11,400,000 yen.