Foreign Relations of the United States, 1951, The Near East and Africa, Volume V

781.00/10–1651: Telegram

The Ambassador in Greece (Peurifoy) to the Department of State

secret

Athens, October 16, 1951—8 a. m.

1735. Essential elements of current political situation are fol:

1. EPEK leaders apparently satisfied with outcome negots with Liberals and eager to set up two-party govt at earliest possible moment.¹ Plastiras has publicly denied he favors elections under majority system but denial appears designed to check pressure for early elections rather than to scuttle majority system which Plastiras privately prefers in spite of contrary view some members his party. Rumors of EPEK flirtation with Rally persist but, even if accurate, seem most unlikely to lead to any alliance.

2. Rally continues adamant opposition to coalition with any other party in present Chamber although Venizelos though intermediary has recently renewed proposal for tripartite govt under neutral PM. Markezinis, however, continues to favor electoral alliance with Liberals and presumably will endeavor [convince Papagos & Ven] desirability this solution.

3. Liberals are in most unhappy frame of mind since, while negots with EPEK proceeding smoothly on surface, Venizelos and other leaders are increasingly disturbed at (1) probability serious friction with EPEK over concrete implementation clemency and econ policies and (2) effect on Liberal fortunes of sharing responsibility for unpopular econ-measures which are now unavoidable. Liberals therefore probing possibility supporting but not participating in EPEK govt, though a withdrawal from public commitments at this late stage may prove impossible. While delay in determination final election returns due in part to complications of system and errors of courts, it is probable Venizelos is deliberating prolonging process in hopes escaping from his predicament. On other hand he obviously does not want new elections which wld strengthen one or both larger parties at his expense.

Emb views are fol:

1. In spite Plastiras vagaries we wld not object to EPEK–Liberal govt with latter exercising restraining influence on former. Frictions between two are, however, such that we doubt govt with majority only three or four can endure more than 60–90 days. Even during this tenure it will be thinking primarily of forthcoming elections and most reluctant to take firm decisions. We inclined to view therefore that new elections are necessary and that sooner they are held the better. It may, however, require experiment with EPEK–Liberal govt to convince two leaders and palace that elections unavoidable.

2. In case of new elections Liberals must enter electoral alliance or risk total annihilation. Majority sentiment within party now favors alliance with EPEK but doubts appearing which will be strengthened if govt coalition with EPEK proves disillusioning. We are inclined to prefer that Liberals enter electoral alliance with Rally for fol reasons: (a) EPEK plus Liberals vs Rally wld be likely, since population very evenly divided between left and right, produce another stalemate with neither party having strong or [stable majority whereas Rally and Libs] wld almost certainly have large majority offering prospect stable govt for one or two years, (b) in spite of outmoded Royalist–Venizelos antagonism. Liberal leadership is closer in spirit and program to Rally than to EPEK and hence less likely to disrupt coalition in early stages. We recognize this solution has disadvantage of leaving EPEK without moderating balance afforded by close association with Liberals, but believe this consideration outweighed by importance providing Greece with strong govt in immed future. It is presumed in any case that some Liberals wld go with EPEK even if bulk of party went with Rally.

3. … We of course do not propose to take open position pro or con and will be careful to preserve our present cordial relations with EPEK. Nevertheless, in light our present judgment and in spite unfortunate effects immediate impasse, we do not propose to push Venizelos into EPEK embrace nor discourage his efforts to find other solution. However, balance of probability still is that Liberal–EPEK govt will have to be tried, even though briefly, before another solution becomes feasible.

Peurifoy

1. In telegram 1305 from Athens, September 18, Peurifoy had informed the Secretary of State that Plastiras had called that day “to tell me of his long discussion with Venizelos yesterday in which they agreed to form new govt. According to Plastiras it was not yet decided as to whether new govt shld be pure EPEK with Lib support in Parliament or whether Libs wld actively participate.” (781.00/9–1851)