Foreign Relations of the United States, 1958–1960, Volume V, Microfiche Supplement, American Republics

GT–15. Telegram from the Ambassador in Guatemala (Mallory) to the Department of State¹

Guatemala City, February 18, 1959, 7 p.m.

322. As reported, there has been rapid deterioration in Guatemalan political situation. Much of basic cause has been worsening economic situation with more apparent and immediate cause general unrest Caribbean area and poor job President has been making of administration. He has pulled stunts such as Mexican shrimp war, purchase of merchant marine without Congressional approval, etc., had momentary public successes, but more lasting adverse reactions. The inevitable changes of allegiances and disenchantments which arise after a year of a new government are evident but one of strongest adverse factors has been venality of closest and most trusted advisers [text not declassified].

Recently a moderately sharp ear could detect plots against government in all groupings of political spectrum. Press started attack and with reopening of Congress apparent much dirty linen will be exposed. It has become clear administration needs be cleaned up else it cannot last. We had hoped this would occur without necessitating too much prompting but that if not, thought it better speak frankly with President Ydígoras. Now a middle course has in fact occurred. Presidential confidants have talked with me or with member Embassy in recent days apparently either sent by President or wishing have discussions as excuse go back and carry some word to him.

New Cabinet for March 1 rumored past few days. Also Roberto Alejos, Cabinet Coordinator, informed member staff he felt he should leave March 1. Yesterday British Minister² informed me confidentially President’s son-in-law, Ian Munn, will probably be going Europe soon probably to stay. Yesterday President’s private secretary,³ talked with me suggesting need for pretty thorough house-cleaning in government. And hoping I could tell President. I had talked with Minister Public Health⁴ over weekend whom I supported in suggestion for new Cabinet and to whom I also suggested idea of outstanding incorruptible person as Cabinet Coordinator. How much is chicken and how much egg is unimportant, but buildup of pressures has caused very considerable nervousness with President and within his immediate family and brought about decision make Cabinet changes.

Today President called me to his office and talked at great length. In brief he said Guatemala has not been ready for his kind of democratic government, he being attacked on all sides, mostly unjustly, and feels he may have crack down in dictatorial manner. Said he had decided accept resignation of Cabinet but would reappoint members recently joined. He will try have fairly broad Cabinet. Said Coordinator of Cabinet had come in unjustly for attacks and he had decided let him go although decision not yet made known. He then stopped.

I congratulated him on Cabinet decision and said with respect Alejos that one had to recall truth in old saying that one might as well hang dog as give him bad name. I said this respect I wished be very personal and frank with President and point out there was another person who had sufficiently bad name that he might as well be hung. President apparently was waiting for this one and asked me directly whom I meant. I replied [text not declassified]. I expanded on general unrest in area citing exalted spirits of opposition and mentioned there were number of plots being talked about. These plots I opined did not individually have much chance success but should groups ever get together, might prove serious. They were caused I though by deteriorating economic conditions and also by lack of calm and confidence on part of public. I said it was most important for President undertake course of action to restore confidence and that business generally, including foreign investors, needed reassurances. Such action as he took with respect Alejos could probably be helpful in this regard even though Alejos might have operated with purist motives.

President brought up and asked for advice and information with respect number of approaches which he is having concerning U.S. lobbyists who state only way get assistance from U.S. is through them and that reliance upon Department and similar agencies useless. I made suitable defense.

In summary there can be some hope situation can be redressed here but measures may well be inadequate and we will have to follow developments closely.

Mallory

1. Source: Department of State, Central Files, 714.00/2–1859. Confidential; Priority; Limited Distribution. Repeated to U.S. delegation in Acapulco for Rubottom’s information. He was there for the meeting between President Eisenhower and President López, February 19–20, 1959.
2. Thomas Wikeley.
3. Carlos González Segui.
4. Mariano López Herrarte.