Cool and Correct: The U.S. Response to the Allende Administration, November 5, 1970–December 31, 1972


96. Central Intelligence Agency Intelligence Information Cable

Summary: This cable reported that Chilean Army General Canales declared that his military coup movement was ready to move against the Allende government. In order for the military government to be accepted by the civilians, however, there needed to be a valid reason to overthrow the administration.

Source: National Archives, Nixon Presidential Materials, NSC Files, Box 776, Country Files, Latin America, Chile, Vol. VII. Secret; No Foreign Dissem; Controlled Dissem; No Dissem Abroad. Distribution of the cable was limited to Kissinger in the White House, Cline in the State Department, and Lieutenant General Bennett in DIA. A covering memorandum from Latimer to Kissinger stated, “The attached CIA report calls attention to contingency coup plotting by a Chilean general. The CIA station chief does not believe General Canales will attempt a coup in the immediate future but he is ready to move at any time that a suitable pretext occurs.”


97. Conversation Among President Nixon, Secretary of the Treasury Connally, and the White House Chief of Staff (Haldeman)

Summary: Nixon, Connally, and Haldeman discussed recent Chilean elections and the Chilean debt problem.

Source: National Archives, Nixon Presidential Materials, White House Tapes, Conversation 469–1. Sensitive But Unclassifed. According to the President’s Daily Diary, Nixon met with Connally and Haldeman in the Oval Office from 4:05 to 6:33 p.m. (Ibid., White House Central Files) The editors transcribed the portion of the conversation printed here specifically for this volume.


98. Conversation Between President Nixon and the President’s Assistant for National Security Affairs (Kissinger)

Summary: Nixon and Kissinger discussed the Chilean loan problem.

Source: National Archives, Nixon Presidential Materials, White House Tapes, Conversation 652–17. Secret. According to the President’s Daily Diary, Nixon and Kissinger met in the Oval Office from 6:08 to 6:36 p.m. (Ibid., White House Central Files) The editors transcribed the portion of the conversation printed here specifically for this volume.


99. Memorandum for the 40 Committee

Summary: This status report to the 40 Committee on U.S. covert funding of opposition political parties in Chile recounted the dispersal of funds to each party, the purposes for which the funding was expended, and its effectiveness since November 5, 1971.

Source: National Security Council, Nixon Intelligence Files, Subject Files, Chile, 40 Committee Records, Minutes. Secret; Sensitive; Eyes Only. At the bottom of the first page, a notation in an unknown hand reads: “Distributed to the 40 Committee 24 Jan 1972. No Minutes on this item. Hewitt (NSC) read on 11 Feb 1972.”


100. Conversation Among President Nixon, the President’s Assistant (Flanigan), and the White House Chief of Staff (Haldeman)

Summary: Nixon, Flanigan, and Haldeman discussed possible jobs for Korry.

Source: National Archives, Nixon Presidential Materials, White House Tapes, Conversation 654–1. Sensitive But Unclassified. According to the President’s Daily Diary, Nixon, Flanigan, and Haldeman met in the Oval Office from 5:18 to 6:05 p.m. (Ibid., White House Central Files) The editors transcribed the portion of the conversation printed here specifically for this volume.


101. Memorandum From the Chairman of the Ad Hoc Interagency Working Group on Chile (Meyer) to the Working Group

Summary: This memorandum outlined a proposal to the Ad Hoc Interagency Working Group on Chile that AID grant $125,000 to the American Institute for Free Labor Development for programs in Chile.

Source: National Archives, Nixon Presidential Materials, NSC Files, Box 776, Country Files, Latin America, Chile, Vol. VII. Secret. Sent to the Working Group members: Selden, Leddy, Kendall, Hartman, Hewitt, Broe, Carter, and Eaton. A February 9 covering memorandum from Hewitt to Kissinger, stated, “The AIFLD overseas program permits the U.S. to maintain a toe-hold in Chilean labor, and is consistent with the President’s decision to continue people-to-people type programs.” Haig initialed approval for Kissinger on the covering memorandum.


102. Memorandum From the Deputy Director for Coordination, Bureau of Intelligence and Research (McAfee) to the Director of the Bureau of Intelligence and Research (Cline)

Summary: This memorandum provided an overview of the discussion of the February 3 ARACIA meeting. The discussion focused on the disbursements of funds in Chile for opposition activity.

Source: Department of State, Bureau of Intelligence and Research, INR/IL Historical Files, Box 1, Chile, Jan–June 1972. Secret. This copy of the memorandum, which is dated February 9, was not initialed.


103. Conversation Between President Nixon and Secretary of the Treasury Connally

Summary: Nixon and Connally discussed the Chilean economy.

Source: National Archives, Nixon Presidential Materials, White House Tapes, Conversation 320–28. Sensitive But Unclassified. According to the President’s Daily Diary, Nixon met first with Connally, Kissinger, and McNamara in the Executive Office Building at 3:15 p.m. The conversation transcribed here—which the editors transcribed specifically for this volume—began after McNamara and Kissinger left at 4:20 and continued until Nixon and Connally both left at 5:06. (Ibid., White House Central Files)


104. Memorandum Prepared in the Central Intelligence Agency

Summary: This memorandum provided background information on covert political action in Chile since 1964 for DCI Helms and other CIA officials who were required to testify before Congress.

Source: Central Intelligence Agency, Office of the Director of Central Intelligence, Job 80B01086A: White House Correspondence Files, Box 12, Folder 29: C–7: Chile. Secret; Sensitive.


105. Memorandum Prepared in the Office of National Estimates, Central Intelligence Agency

Summary: This Office of National Estimates’s assessment of the first year and a half of Allende’s Presidency noted the resiliency of the Chilean political system, but argued that recent developments indicated a movement away from conciliation and toward confrontation.

Source: Central Intelligence Agency, Office of the Director of Central Intelligence, Job 80B01086A: White House Correspondence Files, Box 12, Chile, Office of National Estimates. Secret.


106. Paper Prepared for the Senior Review Group by the Ad Hoc Interagency Working Group on Chile

Summary: This paper prepared for the Senior Review Group examined the political and economic developments in Chile during Allende’s term in office. It highlighted the deteriorating economic situation and the international Communist stake in seeing Allende’s socialist revolution succeed. The final third of the paper outlined the various U.S. policy options available.

Source: National Archives, Nixon Presidential Materials, NSC Files, NSC Institutional Files (H-Files), Box H–64, SRG Meetings, Chile 4/11/72. Secret, Sensitive; Nodis. Annexes A and B are attached but not published.


107. Memorandum for the 40 Committee

Summary: This memorandum provided a status report on the covert funding of opposition political parties in Chile. It outlined the purposes for which the funding was being expended and its effectiveness for the months of January and February 1972.

Source: National Security Council, Nixon Intelligence Files, Subject Files, Chile, 1971–72. Secret; Sensitive; Eyes Only. A notation on the first page indicates the 40 Committee approved the memorandum by telephone on April 24.


108. Memorandum for the 40 Committee

Summary: This memorandum requested additional funding for El Mercurio to prevent the independent newspaper from going out of business and thus losing an important opposition voice to Allende.

Source: National Security Council, Nixon Intelligence Files, Subject Files, Chile, 1971–72. Secret; Sensitive; Eyes Only. A notation on the first page indicates the memorandum was approved by the 40 Committee on April 11.


109. Memorandum From Michael Kozak of the Office of the Assistant Legal Adviser for Inter-American Affairs to the Assistant Legal Adviser for Inter-American Affairs (Feldman)

Summary: This memorandum set forth a legal framework for possible binding arbitration of the Chile-U.S. disputes.

Source: National Archives, RG 59, Central Files 1970–73, INCO 15–2 CHILE. No classification marking. All brackets are in the original.


110. Memorandum for the 40 Committee

Summary: This memorandum requested funding for efforts to support the PIR after it left the UP governing coalition.

Source: National Security Council, Nixon Intelligence Files, Subject Files, Chile, 1971–72. Secret; Sensitive; Eyes Only. A notation on the first page indicates the 40 Committee approved the memorandum by telephone on April 24.


111. Memorandum for the 40 Committee

Summary: This memorandum examined the elections held at the University of Chile in April 1972. The contest was “an event of national importance” as the election showdown between the Marxist and non-Marxist forces indicated a political shift away from Allende.

Source: National Security Council, Nixon Intelligence Files, Subject Files, Chile, 1971–72. Secret; Sensitive; Eyes Only. A notation on the first page indicates that the memorandum was distributed to the principals of the 40 Committee on May 12. A covering memorandum states, “Paper distributed to all principals. Not forwarded to HAK but read by Bill Jorden. All principals notified that paper being filed 5/22/72. Will not be a minute item.”


112. Memorandum From William J. Jorden of the National Security Council Staff to the President’s Assistant for National Security Affairs (Kissinger)

Summary: In this memorandum, Jorden informed Kissinger of an assassination threat against Allende and examined the potential political crisis looming on the horizon.

Source: National Archives, Nixon Presidential Materials, NSC Files, Box 776, Country Files, Latin America, Chile, Vol. VII. Secret; Sensitive. Sent for information.


113. Memorandum From William J. Jorden and Richard T. Kennedy of the National Security Council Staff to the President’s Assistant for National Security Affairs (Kissinger)

Summary: In this memorandum, Jorden and Kennedy discussed the level of foreign military sales for Chile in fiscal year 1972. They noted that the SRG members agreed that $10 million was an adequate sum for FY 1972.

Source: National Archives, Nixon Presidential Materials, NSC Files, Box 776, Country Files, Latin America, Chile, Vol. VII. Secret. Sent for action. Haig signed the memorandum for Kissinger. Tab A, a May 19 memorandum from Kissinger to the Secretaries of Defense and State informing them that President Nixon reviewed the recommendations of the SRG at its April 11 meeting and approved “up to $10 million” of FMS for Chile, is attached but not published. For the minutes of the SRG meeting, see Foreign Relations, 1969–1976, vol. XXI, Chile, 1969–1973, Document 298.


114. Telegram From the Embassy in Chile to the Department of State

Summary: This telegram reported on a meeting between Davis and Allende. During the discussion Allende presented a sharp critique of ITT’s actions in Chile, even hinting that ITT had been lucky to avoid a full-scale confiscation of its property, offered “private” support in the Chilean Senate regarding the proposed constitutional amendment for appraisal of expropriated assets, and displayed concern over the economic situation in Chile.

Source: National Archives, RG 59, Central Files 1970–73, INCO 15–2 CHILE. Secret; Immediate; Exdis. Reference telegram 97250 to Santiago is ibid.


115. Memorandum for the 40 Committee

Summary: This third status report to the 40 Committee on U.S. support for the opposition in Chile discussed the electoral victories of each opposition party.

Source: National Security Council, Nixon Intelligence Files, Subject Files, Chile, 1971–72. Secret; Sensitive; Eyes Only. A notation on the first page indicates the memorandum was noted by the 40 Committee. The first and second status reports are Documents 99 and 107. A covering memorandum summarizes the report as follows: “Highlights are the successful inducement of the Radical Party of the Left (PIR) to defect from the ruling Popular Unity (UP) Government and the success of opposition forces in the University of Chile elections.” The summary goes on to note that “opposition parties are reducing inter-party strife and improving their individual internal organization.” At the bottom Jorden initialed the note, “Noted: William Jorden.”


116. National Intelligence Estimate

Summary: This National Intelligence Estimate, titled “Chile: The Alternatives Facing the Allende Regime,” outlined the substantial changes initiated by the Allende government and the implications of those changes. It then discussed the prospects for the Allende regime and concluded that Allende would try to slow the pace of the revolution over the next year.

Source: Central Intelligence Agency, ODDI Registry, Job 79R01012A: Box 446, F.4: (NIE 94–72) Chile: The Alternatives Facing the Allende Regime. Secret. The cover page states that this estimate supersedes SNIE 94–71 (Document 78). The Central Intelligence Agency and the intelligence organizations of the Departments of State, Defense, and Treasury, and NSA participated in the preparation of this estimate. The Director of CIA submitted this estimate with the concurrence of all members of the USIB with the exception of the representative of the FBI who abstained on the grounds it was outside his jurisdiction.


117. Memorandum for the 40 Committee

Summary: This fourth status report to the 40 Committee on U.S. financial aid to opposition parties in Chile discussed the money given to Chilean parties and how they spent it.

Source: Department of State, Bureau of Intelligence and Research, INR/IL Historical Files, Box 1, Chile, July–December 1972. Secret; Sensitive; Eyes Only. The first three status reports are Documents 99, 107, and 115.


118. Memorandum for the 40 Committee

Summary: This memorandum outlined a proposal for funding private-sector organizations, which would allow for countering Allende government policies.

Source: Department of State, Bureau of Intelligence and Research, INR/IL Historical Files, Box 1, Chile, July–December 1972. Secret; Sensitive; Eyes Only. In a September 21 memorandum for the record, Ratliff stated that the 40 Committee approved the transfer of funds by telephone. (National Security Council, Nixon Intelligence Files, Subject Files, Chile, 40 Committee Minutes, 1972)


119. Memorandum of Conversation

Summary: Officers of the Departments of State and Treasury, and the Kennecott Copper Corporation discussed how to obtain compensation for expropriated investments. Government officials noted that the different U.S. agencies were coordinating efforts to press for indemnification and that communication between the companies and the U.S. Government was critical to succeeding in this endeavor.

Source: National Archives, RG 59, Central Files 1970–73, INCO–COPPER CHILE. Confidential. Drafted by Karkashian. A copy was sent to Meyer, Feldman, Winder (E/IFD/ODF), Hunt (OPIC), Van Batenburg (Treasury), and Santiago.


120. Memorandum From the Executive Secretary of the Department of State (Eliot) to the President’s Assistant for National Security Affairs (Kissinger)

Summary: Eliot discussed the fallout from the Kennecott Copper Company’s decision to withdraw from using the Chilean legal system to obtain redress for expropriated property. Instead, Kennecott officials were attempting to gain redress by using other nations’ legal systems.

Source: National Archives, RG 59, Central Files 1970–73, INCO–COPPER CHILE. Secret; Exdis. Drafted by Girdler; cleared by Feldman, Weintraub, Fisher, and Crimmins. Miller signed for Eliot above Eliot’s typed signature.


121. Memorandum From the Assistant Secretary of State for Inter-American Affairs (Meyer) to the Under Secretary of State for Political Affairs (Johnson)

Summary: This memorandum requested Johnson’s approval of the proposal in the attached memorandum for the 40 Committee that recommended that the U.S. Government continue its funding of opposition parties and private-sector groups through the March 1973 elections.

Source: Department of State, Bureau of Intelligence and Research, INR/IL Historical Files, Box 1, Chile, July–December 1972. Secret; Sensitive. The memorandum was sent through the Acting Director of INR, James R. Gardner. Johnson initialed his approval on October 18, and a handwritten note indicates the White House was notified that day. Attached to another copy of the memorandum is an October 25 memorandum from Ratliff to Kissinger on which Haig approved for Kissinger the financial support on October 26. (National Security Council, Nixon Intelligence Files, Subject Files, Chile, 1971–72)


122. Intelligence Note Prepared in the Bureau of Intelligence and Research

Summary: This INR Intelligence Note reported that the surge in strikes in mid-1972 was politically and economically motivated. It concluded that the unrest would not lead to the unseating of Allende.

Source: National Archives, RG 59, Central Files 1970–73, POL 15–1 CHILE. Confidential. Drafted by Jorgenson, Arenales, and Misback; approved by Summ; and released by Mark.


123. Paper Prepared for the Ad Hoc Interagency Working Group on Chile

Summary: This contingency paper, titled “Possible Military Intervention,” examined the effects of the mid-1972 strikes in Chile and those “contingency situations” that the United States would confront if the Chilean military intervened in Chilean politics.

Source: National Archives, RG 59, Central Files 1970–73, POL CHILE–US. Secret. Drafted by J.E. Karkashian, D. Erbe, and L. Girdler. An October 30 covering memorandum from Meyer to the Senior Review Group states the paper was for the Group’s information.


124. Intelligence Note Prepared in the Bureau of Intelligence and Research

Summary: This report, titled “Chile: Cabinet Changes Should End Confrontation,” examined the appointment of three military officers to Allende’s Cabinet and argued that the military’s new role in the government should moderate the polarized political situation.

Source: National Archives, RG 59, Central Files 1970–73, POL 15–1 CHILE. Confidential. Drafted by Jorgenson; approved by Summ; and released by Mark.


125. Telegram From the Embassy in Chile to the Department of State

Summary: This telegram reported on a meeting in which Letelier urged Davis to arrange a high-level meeting between U.S. officials and Allende during Allende’s scheduled visit to New York in December. Describing Allende’s trip as a “crossroads,” Letelier noted that a meeting between the Chilean President and top U.S. policymakers was imperative.

Source: National Archives, RG 59, Central Files 1970–73, POL 7 CHILE. Secret; Immediate; Exdis.