294. Telegram From the Department of State to the Embassy in Greece 1

2763. Following summary FYI only and Noforn. It is uncleared and subject to revision upon review.

1.
The Secretary received Greek Foreign Minister Economou-Gouras July 7.2
2.
Gouras said that he brought good news re Greek internal situation. New government being supported by people. Examples were attendance at ceremonies in Piraeus municipal theater and Athens stadium. Gouras had thought first might have been arranged but was certain enthusiastic stadium crowd spontaneous.
3.
Foreign Minister recalled he had discussed with Secretary at Luxembourg GOG plans to return to constitutional situation.3 He happy reaffirm GOG will keep this promise perhaps in an even shorter time frame, a year and a half or two years at latest. He hoped constitutional committee would have finished work before end of year. Gouras explained previous constitution did not have moral support of people since it permitted abuses by political parties. New one will imitate U.S. constitution in that members of government will not be permitted at same time be members of Parliament. Number of deputies will be cut from 300 to 150. Not yet decided whether will be one chamber or two.
4.
Gouras alleged Greek financial situation encouraging. Savings in banks and post office accounts last month up 18% over corresponding month 1966.
5.
Secretary suggested one or two members of committee considering revision constitution come to U.S. to talk about how provisions of U.S. constitution work; drafters of constitution thought weak executive better than a strong one and result their work is that carrying on business of government requires lots of time and willingness to cooperate between branches thereof; implications of this should be carefully studied. Secretary also suggested that committee make public statements from time to time to show that effort a serious one which making real progress. He thought this would be helpful in counteracting impression that work of revising constitution only window dressing.
6.
Foreign Minister said change in Greece was not simple military coup designed merely to change a government but was true revolution similar to that which occurred in 1909 when elder Venizelos came from Crete; military members GOG were not ambitious but modest men who would return to barracks after they had achieved a healthy democracy for Greece. Contrasted their attitude with what he described as previous conspiracy between EDA and leftist branch of CU to establish Communist dictatorship in Greece.
7.
In discussion of time which might elapse between plebiscite on new constitution and elections Gouras said difficult be precise. One problem would be revision of electoral lists, as those who have taken part in conspiracy against Greek values will be deprived of right to vote.
8.
In response to Secretary’s question Gouras said Greek economic situation strong; there was public confidence in government, the drachma had been stabilized, and export-import situation good.
9.
Foreign Minister complained of “aggressive” campaign being carried out against Greece by Iron Curtain countries. Mentioned his own [Page 620] past role in bettering relations with Greece’s Balkan neighbors. Maintained matter of agreement with Yugoslavia not important and new one would be negotiated.
10.
In discussing position of King, Gouras said he more popular than ever. Maintained he has accepted revolution and told government he would support it in its task of strengthening Greek democracy. When Secretary inquired who exercises real power in government, Gouras said Prime Minister has very strong position. Military members of course have material power but Prime Minister has decidedly powerful influence over them. Gouras denied rumors of discord between three military members.
11.
In response Secretary’s question re trade unions, Gouras asserted situation all right now. At Geneva meeting ILO Greek representatives gave unsatisfactory explanation. Nonetheless malicious reports re trade union situation continue to be circulated in order influence international opinion against Greece.
12.
In subsequent private session with Secretary Gouras took up MAP. Said military members GOG might “do something crazy” under pressure USG exerting by suspending shipments. Secretary said he going before Senate next week at time when latter very upset by whole U.S. arms policy as result India-Pakistan and Arab-Israel wars and Greek coup. Would jeopardize entire Military Assistance Program if, Secretary said with regard to Greek program, more than that situation continuing under study. Thus Secretary could give Gouras no assurances beyond saying policy under continuing review. Gouras disappointed but said would do best to explain in Athens.
13.
Re Cyprus Gouras said GOG had offered 60-year lease on Dhekelia base to Turks but they had turned down. GOG very disappointed. Gouras had had three-hour discussion with Caglayangil in New York with no positive result.
Rusk
  1. Source: Department of State, Central Files, POL 1 GREECE. Secret; Limdis. Drafted and approved by Rockwell and cleared in S/S. Repeated to Ankara, Nicosia, and Belgrade.
  2. A summary report of the meeting, sent to President Johnson, is ibid., Greek Desk Files: Lot 69 D 553, President’s Evening Reading.
  3. No memorandum of conversation has been found, but Secto 19 from Luxembourg, June 14, forwarded the text of a Greek paper on the return to constitutional government. (Ibid., Conference Files: Lot 68 D 453, CF 191)