731.001/5–450: Telegram

The Acting Secretary of State to the Embassy in Venezuela

secret

135. Embtel 240, May 4.1 Re possible dissolution Commie Party by Ven Junta Dept considers each Amer Republic is best judge steps needed protect own internal security but does not believe outlawing party necessarily most effective means dealing with Commie problem. Cong has not banned party in US. Outlawing felt increase difficulties observation and control while repression in end tends breed Communism. US control includes requirement registration officers, accounting for funds, etc. and punishing acts by Commies or non-Commies designed overthrow Govt. From prelim study of Ven legis appears similar control available if enforced. Both Arg and Urug among Amer Republics permiting existence legal Commie parties, while Commies still strong Braz and Chile despite dissolution.

Dept appreciates however situation Ven complicated by abolition AD2 which gives Commies advantage in wooing masses. On other hand outlawing Commies might intensify their cooperation with AD.3

Suggest Emb avoid making any recommendation and especially any association anti-Commie campaign with desire fin assistance (last para reftel and Embtel 266,4 May 8 to which reply upcoming).5

Webb
  1. In this telegram Ambassador Walter J. Donnelly had reported that the Military Junta Government of Venezuela was considering the dissolution of the Communist Party. “Foreign Minister [Luis Emilio Gómez Ruiz] said Junta carefully studying all aspects decision and speaking as friend he would wish gauge reaction in US if party suppressed. I replied manner in which decision taken would determine response.” The Minister had, according to the Ambassador, added that if the Party were suppressed the Government would feel it necessary to “placate labor” with public works projects and had then raised the question of a $200 million loan to Venezuela by the Export-Import Bank. (731.001/5–450)
  2. Acción Democratica, Venezuelan political party.
  3. On May 13 the Military Junta decreed the dissolution of the larger of the two Communist Parties in Venezuela. Information on whether the Embassy had by that time relayed the contents of telegram 135 to the authorities has not been found in Department of State files.
  4. Not printed.
  5. In telegram 142 to Caracas, May 12, the Department instructed the Embassy to advise the Foreign Minister that the ExImBank could not consider an application of the type mentioned by him (see footnote 1) because it believed the projects in question involved mainly local currency expenditures. If Venezuela wished to pursue the matter, her officials should be prepared to name specific projects and give dollar/bolivar breakdowns for them. Also, the dollar amounts requested should be unavailable from commercial sources. (831.10/5–850)