89. Telegram From Operation PBSUCCESS Headquarters in Florida to the CIA Stations in Guatemala and [place not declassified]1

296. Re: LINC 276.2

Following is KUGOWN guidance for immediate use amplifying ref in connection with WSBURNT govt White Paper.3
Link White Paper to WSBURNT October fair fiasco. Now we have January Fair. October, bulls didn’t show up. Where is the January bull, this American colonel? He hasn’t shown up either. That makes it easy for the govt toreadors. In October, tickets were all fouled up. Could it be the same with photo-stated “tickets” attached to White Paper? Anyway, always some excitement in WSBURNT.
WSBURNT people being victimized by too much propaganda. Plot exposé too stereotyped, with familiar U.S. United Fruit Co., Nicaraguan scapegoats. WSBURNT govt cries wolf too often.4
Paper just sign same fear, panic in WSBURNT govt and Red ranks that led to recent arrests.
Attempt obtain bigger play for recent stories of WSBURNT refugees than for paper.
Paper must be read in light recent WSBURNT razzle dazzle preceding OAS. New Foreign Minister named; PRG party suggests hauling Arevalo out of ashcan to make dramatic stand of OAS; Pravda lends big hand; Toledano drums up followers against “intervention” from hemisphere Reds; WSBURNT makes arrests. Whole orchestra playing and now White Paper supposed to be cymbal crash. Only, cymbal is cracked.
If possible, fabricate big human interest story, like flying saucers, birth sextuplets in remote area to take play away.
WSBURNT in last minute tried withdraw paper, but it already in press hands.
Paper attempts intimidate neighboring countries so WSBURNT can more easily take pressure off recent repressive measures.
Paper covers up for domestic terror in WSBURNT. What kind of justice first arrests and exiles innocent people, then publishes charges? What do charges mean since people released? Plans for Red coup.
Paper is cover up for aggressive plans. WSBURNT training new Caribbean legion. Leaders Miguel Angel Ramirez, Jorge Rivas Montes. [Page 179] Made heavy arms purchases recent months, financed by Soviets. Now secret Soviet military mission headed by unidentified Soviet partisan warfare expert, in WSBURNT. Is WSBURNT plotting invasion Salvador, Honduras, Costa Rica, Nicaragua, seizure Panama Canal for Soviets? 300 man 5th column already hiding in Salvador. Guat Commies taking over bldgs on Salvador border.
Banking circles Berne, Switzerland refute Arbenz denials of forthcoming Soviet loan of 20 million Swiss francs. Swiss and Iron Curtain suppliers already approached to furnish flamethrowers, napalm and other aggressive weapons. To be financed from loan.
Big split in WSBURNT army and govt over present course. Arbenz letting army friends down, listening to Pelleger. Pelleger overextending himself.
Soviet sub sighted landing arms on WSBURNT Pacific coast. Get WSBURNT spokesman to deny report, or claim denial.
Positive Stand:
Talk of plot from outside nonsense. Real opposition inside WSBURNT. Some leaders in entourages Arbenz, Fortuny.
Govt panic augurs well for future. If govt so panicked by false evidence, wait till it meets real forces of opposition. Paper attempts avert this inevitable development. Futile attempt to get people to oppose inevitable.
Paper is fabrication, but one thing true: anti-communism in WSBURNT strong and growing. Will be real plots until defeat of present govt. Resistance thrives on repression, as did Christianity.
Foregoing may or may not be related to fact but is pertinent to situation.5
  1. Source: Central Intelligence Agency, Job 79-01025A, Box 1, Folder 3. Secret; Routine; PBSUCCESS; RYBAT. Sent for information to the Director of Central Intelligence.
  2. Dated January 28. (Ibid.)
  3. According to a January 30 New York Times article found in Central Intelligence Agency files, the Guatemalan Government charged in a “White Paper” that it had learned of a heavily-financed plot involving Nicaraguan President Somoza plus the Governments of El Salvador, the Dominican Republic, and Venezuela to overthrow the Arbenz regime. “In an apparent allusion to the United States, Guatemala listed the ‘Government of the North’ among those it accused of endorsing the plot. The Government charged further that the United Fruit Company, a United States-owned concern with large banana plantation holdings in Guatemala, had supplied arms to the plotters.” According to the article, the claims were backed by “photostatic copies of correspondence,” although the Department of State refused to “dignify” the charges. A spokesman said “that the charges were ‘in line with the usual Communist chars against the United States.’” (Ibid., Job 79-01025A, Box 82, Folder 2) The text of the Department of State press release on January 30 is printed in Department of State Bulletin, February 15, 1954, pp. 251–252.
  4. Dispatch No. [telegram indicator not declassified] 429–29 to Operation PBSUCCESS Headquarters in Florida, February 9, reported: “Prevailing popular WSBURNT view is that John H. Calligeris, himself, furnished the WSBURNT Government data for the white paper . . . . Calligeris has since that time [i.e., the time of his escape in 1951] not been too greatly trusted nor held in high regard by the opposition to the present WSBURNT regime.” Ydígoras Fuentes agreed, and explained, “he did not trust Calligeris and it could well be true. Ydígoras further stated to Source he often wondered precisely how Calligeris escaped since he had never been able to ascertain from whom the assistance came.” (Ibid., Box 55, Folder 2)
  5. Telegram 349 from Operation PBSUCCESS Headquarters in Florida to the DCI, February 3, reported that the details of the operation had been compromised: “Enemy attacked with 7-page ‘White Paper’ exposing numerous operational details of PBSUCCESS, including Seekford, Calligeris documentation, CalligerisKMFLUSH relations, location KUHOOK and KUCLUB TNG sites, old Calligeris military plans etc. Enemy also neutralized and partly rolled up Calligeris military intelligence net controlled by SECANT.” (Ibid., Box 1, Folder 4)