Francesco/who-killed-jfk huggingface dataset:
[104-10225-10027.pdf — page 141]
# OUTGOING MESSAGEOMF 0 0 0 0 0SECRETCOMP: INFO: FILE 445748 DISSEM DY:BEEN STEERING COUNTRY IN DIRECTION OF A TOTALITARIAN TAKEOVERINSTIGATED AND SUPPORTED LARGELY BY CUBA: THAT CUBA INTERVENED INCHILEAN INTERNAL AFFAIRS WHILE SECRETLY INFILTRATING ARMS.INSTRUCTORS AND PERSONNEL FOR PARAMILITARY GROUPS INTENDED TO BECOMEA "PARALLEL"ARMY TO OPPOSE ARMED FORCES: THAT CHILEAN MILITARY ACTEDONLY AFTER FAILURE OF ALL OTHER EFFORTS BY PARLIAMENT, JUDICIARY,PROFESSIONALS AND WORKERS TO BLOCK DRIFT TOWARD CIVIL WAR AND CHAOS.HE STRESSED THAT HIS GOVT IS NOT POLITICALLY AMBITIOUS AND ITS GOALIS TO SET CHILE BACK ON ITS HISTORIC PATH: AFTER GOAL ACHIEVED, "WEWILL NOT HESITATE TO RETURN TO OUR BARRACKS AND TO OUR SHIPS."4. HUERTA ACKNOWLEDGED THAT ALLENDE REGIME, THE FIRST ELECTED   MARXIST GOVT IN WESTERN HEMISPCHERE, HAD AROUSED ENTHUSIASM IN   MANY, BUT "IT IS ONE THING, GENTLEMEN, TO EVALUATE A FOREIGN   EXPERIENCE FROM AFAR, SEATED IN COMFORTABLE ARMCHAIRS OR IN DISCUSSION   AROUND A WELL-SERVED TABLE. IT IS QUITE ANOTHER TO LIVE IT." HE DE-   TAILED A HISTORY OF EVENTS OF LAST THREE YEARS, POINTING OUT THAT   DESPITE AGREEMENTS BY ALLENDE REGIME, LATTER MOVED TO UNDERMINE   EXISTING JUDICIAL AND POLITICAL MACHINERY OF COUNTRY, ATTEMPTING DODATE:ORIG:UNIT:EXT:SECRET
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# OUTGOING MESSAGE:![image with alignment grid and boxes]OMF 0 0 0 0 0 3**SECRET**CONF: INFO: FILE 445748 DISSEM BY:AWAY WITH DEMOCRATIC IDEALS FOR WHICH COUNTRY STOOD. HE SAID MEDIAWAS HARASSED, THERE WERE ILLEGAL INDUSTRIAL AND AGRARIAN TAKEOVERS,POLITICIANS AND VILLAGERS WERE ASSASSINATED. HE CHARGED THATFOREIGN AGENTS, SENT PRINCIPALLY BY CUBA, HAD SECRETLY BROUGHTENOUGH WEAPONS TO CHILE TO EQUIP 20,000 MEN. HE DECLARED THATSOVIET-MADE SIDEARMS, MACHINE GUNS, ANTITAINK GUNS, ROCKET LAUNCHERS,CANNONS AND EXPLOSIVES HAD BEEN SHIPPED IN -- SOME PACKED AS WORKSOF ART AND SOME DISGUISED AS GIFTS FROM FIDEL CASTRO.5. AT ONE POINT, TO SUPPORT CLAIM OF CUBAN INVOLVEMENT, HUERTA   READ TEXT OF 29 JULY 1973 HAND-WRITTEN LETTER FROM CASTRO ADDRESSED   TO "DEAR SALVADOR." LETTER ASSURED ALLENDE THAT CHILEAN WORKING   CLASS HAD BEEN FOREWARNED AND WAS "READY FOR ACTION" IF HIS REGIME   WERE THREATENED. HUERTA SAID THAT LETTER CLEARLY DEMONSTRATED   CUBA'S INTERVENTION IN CHILEAN POLITICS AND HER SUPPORT OF THE   "ILLEGAL METHODS" OF THE ALLENDE REGIME.6. IN VITRIOLIC REPLY TO HUERTA, CUBAN FOREIGN MINISTER RAUL   ROA CALLED HUERTA "TRAITOROUS EX-MINISTER OF ALLENDE AND SERGEANT OF   GOEBBLES." SIMILAR LIES AND DISTORTIONS OF FACT CAN BE FOUND INDATE:ORIG:UNIT:EXT:![Classification marks]15-124-52![reproduction prohibited marks]
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OUTGOING MESSAGESIGNAL CENTER USE ONLYOMF 0 0 0 0 0 0CLASSIFICATIONSECRETCONF: INFO: FILE 465768PAGE 4 OF PAGES 4HISTORY OF NASI GERMANY, HE DECLARED. THEN, SURPRISINGLY, HE WENT ON TO GIVE SUBSTANCE TO HUERTA'S CHARGES BY ADMITTING THAT CUBAN GUNS HAD IN FACT BEEN SENT INTO CHILE BUT THAT THEY HAD BEEN SENT AT ALLENDE'S REQUEST. NOR DID ROA DENY THE AUTHENTICITY OF CASTRO'S LETTER TO ALLENDE WHICH HUERTA HAD PRODUCED: ROA SAID THAT THE LETTER WAS NO SECRET.7. FILE: 15-124-52; 15-124-53. E2C: IMPDET.![signature]DATE: 11 OCTOBER 1973ORIG: WILLIAM M. KENT:SMBUNIT: ADC/WH/6EXT: 6556/9155SECRET
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OUTGOING MESSAGEOFF 0 0 0 0 0 0SECRETSTAFF DIRECTOR 456203CCF C/UHS INFO: FILE TIPLAN, DOC/20. DISSEM BY: 29C/553, C/P5/E6:3 PER 7TO: PRIORITY SANTIAGO.RYBAT FUOMENREFS: A. SANTIAGO 26489 |IN 031350|B. SANTIAGO 26512 |IN 031722|1. PROPOSE USE REFS FOR FUOMEN. PLEASE ADVISE CONCURRENCE AND   CAVEATS.2. FILE: 15-124-52. E2, IMPDET.*REFS ATTACHED.DATE: 13 SEPTEMBER 1973ORIG: WILLIAM M. KENT:SMBUNIT: ADC/UH/6EXT: 6555/9155![signature]SECRET![scribbled text] WH/6 CT-Y![scribbled text] 104/6 CT-415-124-3218 SEP7315-124-52E 2 IMPDETREPRODUCTION BY OTHER THAN THE ISSUING OFFICE IS PROHIBITED
[104-10225-10027.pdf — page 145]
# OUTGOING MESSAGESIGNAL CENTER USE ONLYCLASSIFICATION**SECRET**STAFFCONF: cut. 8 INFO: FILE: (P/AN/ SSS. PS/EG4, osa/102, el. citop. Opstint. ADO,TO: INMEDIATE ARGENTINA, LA PAZ, BRASILIA, BOGOTA, SAN JOSE,SANTO DOMINGO, QUITO, MIAMI, GUATEMALA CITY, GEORGETOWN, PORT AUPRINCE, TEGUCIGALPA, KINDGSTON, MEXICO CITY, MANAGUA, PANAMA CITY,ASUNCION, LIMA, SAN SALVADOR, PORT AU SPAIN, MBONTEVIDEO, CARACASINFO PRIORITY SANTIAGO.BOOUK CABLEFUOMEN SUMMARY OF COUT EVENTS1. FOLLOWING IS FOR YOUR BACKGROUND AND FOR PASSING LOCAL. AUTHORITIES AS YOU SEE FIT:2. FOUR-MAN MILITARY JUNTA THAT REVOLTED AGAINST MARXIST RE-GIME OF SALVADOR ALLENDE ON IL SEPTEMBER HAS GAINED FULL CONTROL OFTHE COUNTRY, WITH EXCEPTION OF POCKETS OF RESISTANCE IN CAPITAL ON12 SEPT THERE WAS FIBGHTING IN DOWNTOWN SANTIAGO BETWEEN TOOROOPS ANDSNIPERS HOLED UP IN GOVERNMENT BUILDINGS AND IN INDUSTRIAL AREAS WHEREALLENDE SUPPORTERS WERE BARRICADED IN FACTORIES. SPORADIC FIRING ANDAND NIGHTEXPLOSIONS WERE HEARD THROUGHOUT DAY BUT STRICT CURFEW KEPT OBSERVERSFROM WITNESSING ACTION. CURFEW EXTENDED TO NOON 13 SEPT.3. AUTHORITIES ESTIMATED DEATH TOLL TO BE OVER 250 MILITARYDATE:ORIG:UNIT:EXT:
[104-10225-10027.pdf — page 146]
# OUTGOING MESSAGESIGNAL CENTER USE ONLYOMF 0 0 0 ACP 0 TOO 0 WED 0CLASSIFICATION**SECRET**MESSAGE HANDLING INDICATORDATE-TIME GROUPCiteMESSAGE REFERENCE NUMBERCONF: INFO: FILE454587DISSEM BY:PER #0 INDEE0 NO INDEE0 RETURN TO0 UP HASSAND CIVILIANS. THEY EXPECTED TO ELIMINATE LAST POCKETS RESISTANCEBY 14 SEPTEMBER.3. JUNTA-CONTROLLED RADIO STATIONS AND ONE TV STATION OPERATING. PUBLIC UTILITIES ARE FUNCTIONING NORMALLY. NEWSPAPERS PLANNED RESUME LIMITED EDITIONS 13 SEPT BUT ARE SUBJECT TO CENSOR-SHIP.4. JUNTA ANNOUNCED THAT PRESIDENT ALLENDE COMMITTED SUICIDE IN LA MONEDA AND TROOPS ENTERING THE BUILDING FOUND HIS BODY IN A DINING ROOM.5. JUNTA TV PROGRAM SHOWED LARGE QUANTITIES OF SOVIET MADE AUTOMATIC WEAPONS COLLECTED AT LA MONEDA AND AT ALLENDE RESIDENCE ON TOMAS MORO STREET AFTER FIGHTING.6. JUNTA PRESIDED OVER BY GEN. AUGUSTO PINOCHET (ARMY), AN INTELLIGENT, PROFESSIONAL OFFICER WITH NO KNOWN POLITICAL TIES: ADMIRAL JOSE MERINO (NAVY), WHO IS INCLINED TOWARDS NATIONAL PARTY (CONSDERVATIVE); GEN. GUSTAVO LEIGH (AIR FORCE), A STRONG LEADER OF WHO FORMER SUPPORTER RADICAL PASTY AND KNOWN TO DISLIKE CHRISTIAN DEMOCRATES: AND GENBERAL CESAR MENDOZA, (CARABINERO CHIEF) WHO HASDATE:ORIG:UNIT:EXT:RELEASING OFFICERCLASSIFICATION**SECRET**COMMANDS OFFICERSREPRODUCED BY OTHER THAN THE ISSUING OFFICE IS PR...AUTHENTICATING OFFICERE-2 IMPDET CL 575SE
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## OUTGOING MESSAGEOMF 0 0 0 0 0 0**SECRET**CONF: INFO: FILE0 INDES 0 NO INDEE0 ASTURN TO0 IPPILES454587CLOSE TIES TO MILITARY AND APPARENTLY HELPED PLAN COUP.7. JUNTA NAMED FOLLOWING CABINET 12 SEPT:*   MINISTER OF INTERIOR - MAJ GEN OSCAR BONILLA (ARMY),    WHO SERVED AS PRESIDENT FREI'S SENIOR MILITARY AIDE FOR    TWO YEARS.*   MINISTER OF FOREIGN RELATIONS - REAR ADMIRAL ISMAEL    HUERTA (NAVY), HIGHLY RESPECTED IN NAVY AND ONE OF    INTELLECTUAL LEADERS OF COUP.*   MINISTER OF ECONOMY - MAJ GEN ROLANDO GONZALEZ (ARMY),    REPORTED TO BE A U.P. SUPPORTER ABOUT 1971.*   MINISTER OF EDUCATION - JOSE NAVARRO TOBAR, A    CIVILIAN BIOLOGY AND BOTANY PROFESSOR OF UNKNOWN POLITICS.*   MINISTER OF JUSTICE - GONZALO PRIETO GANDARA, CIVILIAN    LAWYER.*   MINISTER OF DEFENSE - VICE ADM. PATRICIO CARVAJAL,    FORMERLY CHIEF OF NATIONAL DEFENSE ESTAFF, REPORTED    INVOLVED IN ANTI-GOVERNMENT ACTIVITIES AS EARLY AS 1971.*   MINISTER OF PUBLIC WORKS AND TRANSPORTATION - BRIG
[104-10225-10027.pdf — page 148]
# OUTGOING MESSAGESIGNAL CENTER USE ONLYOMF 0 0 0 0 0 0SECRETDATE-TIME GROUPMESSAGE REFERENCE NUMBERCITE 454587DISSEM BY:CONF: INFO: FILEGEN SERGIO FIGUEROA (AIR FORCE), REPORTED IN EARLY 1972 TO BE AMONG ANTI-U.P. AIR FORCE COLONELS.MINISTER OF AGRICULTURE - COL SERGIO CRESPO (RET. AIR FORCE), AGRICULTURAL AND CIVIL ENGINEER.MINISTER OF LABOR - GEN MARIO MACKAY (CARABINEROS), ANTI-U.P. OFFICER NAMED IN JULY AS COMMANDER IN CONCEP- CION.MINISTER OF PUBLIC HEALTH - COL ALBERTO SPOERER (AIR FORCE), FORMER CIVILIAN SURGEON DESCRIBED AS HARD WORKER.MINISTER OF MINING - GEN ARTURO YOVANE (CARABINEROS), WHO WAS SCHEDULDED TO BE RETIRED BY ALLENDE IN AUGUST, CLOSE TO MILITARY.MINISTER OF HOUSING - BRIG GEN ARTURO VIVERO, HARD- WORKING STAFF OFFICER WHOSE PERFORMANCE UNDER PRESSURE SOMEWHAT WEAK.SECRETARY GENERAL OF GOVERNMENT - COL PEDRO EUING (ARMY), DESCRIBED AS INTELLIGENT, PATRIOTIC, CONSERVATIVE.
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# OUTGOING MESSAGEOMF O 0 0 0 0 0SECRET.CONF:INFO: FILE454587UNDERSECRETARY OF INTERIOR - LTH COL ENRIQUE MONTERO (AIR FORCE) FORMER LEGAL OFFICER IN AIR FORCE.MINISTER OF LANDS AND COLONIZATION - GEN DIEGO PARRARETIRED CARABINERO OFFICER, ON WHOM LITTLE IS KNOWN.MINISTER OF FINANCE - REAR ADM LORENZO ORTUZAR,LITTLE KNOWN OFFICER.8. JUNTA HAS BROKEN RELATIBONS WITH CUBA AND WILL PROBABLY BREAK WITH OTHER SOVIET BLOC STATES. IT WILL PROBABLY ENDEAVOR STRENGTHEN TRADITIONALLY FRIENDLY TIES WITH U.S. AND SEEK AID AND DEBT RELIEF FOR INTERIM.9. JUNTA WILL PROBABLY DECLARE COMMUNIST, SOCIALIST AND SMALL LEFTIST PARTIES SUCH AS MIR ILLEGAL AND DISSOLVE CUT LABOR CONFEDERATION. THEY DO NOT PLAN WORK WITH POLITICAL PARTIES BUAT MAY CONSULT WITH THEM. THE CHRISTIAN DEMOCRATIC PARTY IS EXPECTED TO EXPRESS SUPPORT FOR THE JUNTA AS IS THE OTHER MAJOR OPPOSITION POLITICAL GROUP, NATIONAL PARTY. STRIKING TRUCKERS AND PROFESSIONAL GUILDS HAVE EXPRESSED SATISFACTION WITH COUP AND CALLED OFF STRIKE.10. FILE: 15-124-52. E 2, IMPDET.A    DATE: 13 SEPTEMBER 1973    ORIG: WILLIAM CLYONE DSO    UNIT: C/WH/6/RR/    EXT: 7710/1069
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# OUTGOING MESSAGESIGNAL CENTER USE ONLYSECRETSTAFF: WH8TO: HAMBURG INFO SANTIAGO, BONN.YFUOMEA PSYCH CASPECIALREF: RANDKOG 24759 (IN 225631)1. AT THIS POINT DO NOT BELIEVE OKHERALD ATTEMPT IMPROVE CHILEAN IMAGE IN GERMAN MEDIA STANDS MUCH CHANCE OF SUCCESS. PREFER LET DENIGRATION CAMPAIGN RUN ITS COURSE. WE WOULD BE WILLING SUPPLY SPECIAL BRIEF DESIGNED TO INFLUENCE CAREFULLY SELECTED INDIVIDUALS WHO ARE OPEN TO PERSUASION AND WHOSE VIEWS WOULD CARRY REAL WEIGHT, BUT WE DO NOT FEEL BKHERALD SHOULD ENGAGE IN GENERAL PROPAGANDA SUPPORT OF CHILEAN REGIME SINCE LATTER APPROACH BOTH INEFFECTUAL AND MIGHT WELL BACKFIRE.2. FILE: 15-124-46/3. E2 IMPDET.A![photo of a stamp that says RECORD COPY]DATE: 13 APRIL 1974ORIG: KEITH GARDINER:NOUNIT: DC/UH/6EXT: 6556/9155SECRET
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CABLE SEC DIADEM BPERSON/UNIT NOTIFIEDADVANCE COPY ISSUED/SLOTTEDACTION UNITEVR8ACTION #T 037829TOTAL COPIES 30-1SECRETRF. FILE VR SSS I/PAN,WASH (WAS) PS/E64PAGE 01TOR:1713262 APR 74REPRODUCTION BY OTHER THANISSUING OFFICE IS PROHIBITEDSTAFFIN 225831HAMB 24759SECRET 1712532 APR 74 STAFFCITE HAMBURG 24759TO: DIRECTOR INFO BONN, SANTIAGO,FUOMEN PSYCH CASPECIAL1. CHIL'S IMAGE AS REFLECTED IN WEST GERMAN MEDIA COMMEN-   TARIES HAS REACHED ALL-TIME LOW AND EVEN CONSERVATIVELY INCLINED   OUTLETS BY AND LARGE, NO LONGER BOTHER TO TELL "THE OTHER SIDE."   EASTERN RADIO STATIONS MAINTAIN RELENTLESS DRUMFIRE OF ANTI-CHILEAN   PROPAGANDA AND THERE NO APPARENT DEARTH OF INFO TO SUSTAIN   RATHER EFFECTIVE DENIGRATION CAMPAIGN.2. IN SPITE OF DISMAL AUSPICES TO TURN TIDE, (UNLESS JUNTA   DECIDES TO SHOW SOME DECENT REGARD FOR OPINIONS OF MANKIND), WE   CAN STILL PROMOTE FAIRER UNDERSTANDING OF IMPERATIVES OF CHILEAN   SITUATION TO WHICH JUNTA APPARENTLY FEELS IMPELLED TO RESPOND.   TOWARD THAT END, REQUIRE SOME TYPE OF OBJECTIVE APPRAISAL OF   RECENT DEVELOPMENTS AND OF PREDICTABLE TRENDS.3. FILE DEFER. E2 IMPDET.SECRET
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CABLE SEC DISSEMPERSON, UNIT NOTIFIED: WM CIDTOTAL COPIES: 17-1SECRET:RE-RODICTION BY OTHER THAN ISSUING OFFICE IS PROHIBITEDADVANCE COPY ISSUED/SLOTTEDACTION UNIT: Sv 8ACTION: (PD)RF. FILE. VR. PLAN C/C43 C/F12T 144267 PRECEDENCE PAGE 01-01IN 883779TOR:042140Z APR 73SAGO 24516SECRET 042118Z APR 73 STAFFCITE SANTIAGO 24516TO: PRIORITY DIRECTOR,REFS! A: SANTIAGO 24477 (in 878105)B. DIRECTOR 3912231. IN VIEW OF THE POSSIBLE REPERCUSSIONS REF A INFO IF IT WERE SURFACED OR IF IT CAME TO THE ATTENTION OF THE U.P. GOVERNMENT, STATION RECOMMENDS AGAINST FUOMEN EXPLOITATION AT THIS TIME.2. FILE: 15-124-52, E2 IMPDETRECORD COPYSECRET15-124-5204 APR 73
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CABLE BEC DISSEM BYPERSON/UNIT NOTIFIEDADVANCE COPY ISSUED SLOTTEDACTION UNITACTION.T 627548PAGE 21TOR:1417172 JAN 74SECRET 1415502 JAN 74 STAFFCITE SANTIAGO 27899TO: DIRECTOR, PARIS, HELSINKI, BONN, TOKYO, LONDON,RYBAT FUUMENREF: DIRECTOR 499469 -15-124-521. WISH TO OFFER FOLLOWING SUGGESTED CHANGES IN REF   WHICH BASED ON LATEST INFO AVAILABLE LOCALLY. PARA 31   "...CENTRAL BANK DEVALUED THE ESCUDO FOR IMPORTS/EXPORTS BY   SLIGHTLY OVER 100 PERCENT IN AN EFFORT TO CURB IMPORT DEMAND,   ENCOURAGE EXPORTS AND EASE PRESSURES..." "...OTHER PRICE RISES   BROUGHT INFLATION FOR THE YEAR TO 588 PERCENT..." (FOR DIRECTOR:   WHILE PREVIOUS ESTIMATES BY BOTH EMBASSY AND IMF IN NOVEMBER   PLACED INFLATION FOR THE YEAR AT PROBABLY BETWEEN 750 AND 800   PERCENT. THE END-OF-THE-YEAR FIGURE OF THE NATIONAL STATISTICAL   INSTITUTE WAS 508:1 SEE SANTIAGO EMBASSY TELEGRAM 0173   OF 11 JANUARY.)2. PARA 4 LAST SENTENCE SHOULD READ "THE MASSIVE 3.5   BILLION DOLLAR FOREIGN DEBT..." PARA 7: "MONTHLY COPPER   PRODUCTION HAS ALREADY INCREASED MORE THAN 50 PERCENT OVER   THE AVERAGE DURING THE FIRST NINE MONTHS OF 1973 AND PRODUCTIONSECRETRECORD COPY15-124-5214 Ja..74![table of travel program abstract, hotel, etc]
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CAULE KAC DIOSEM BY ________ PER ____________ TOTAL COPIES ___________ RUN BYPERSON UNIT NOTIFIED __________________________________SECRET__________________________________________________ REPRODUCTION BY OTHER THANISSUING OFFICE IS PROHIBITEDSTAFFADVANCE. COPY ISSUED SLOTTER ________ BY ________ AL ________ ZACTION UNIT RF. FILE VRACTION #NFOT 337548 PAGE 22-02 IN 136884TOR:1417172 JAN 74 SAGO 27899WILL PROBABLY REACH A RECORD OF AT LEAST 850.000 TONS IN 1974..."3. NU FILE. E2 IMPDETSECRET.
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OUTGOING MESSAGESIGNAL CENTER USE ONLYCLASSIFICATION# SECRETSTAFFTO: PARIS, HELSINKI, BONN, TOKYO, LONDON INFO SANTIAGO.RYBAT FUOMEN1. FOLLOWING SUMMARY OF POLITICAL AND ECONOMIC SITUATION IN CHILE AT BEGINNING OF 1974 MAY BE USEFUL FOR ORAL BRIEFINGS OF LOCAL GOVERNMENT AND OTHER HIGH LEVEL CONTACTS WHO INTERESTED IN CHILE STIPULATION NO FURTHER EXPLOITATION.2. THE OUTLOOK FOR CHILE IS CAUTIOUSLY OPTIMISTIC. THE NEW MILITARY GOVERNMENT HAS AVOIDED MAJOR INTERNAL CONFLICTS AND HAS MOVED AGGRESSIVELY TO REORGANIZE GOVERNMENT AGENCIES MORE EFFICIENTLY, TO CREATE AN APOLITICAL CIVIL SERVICE, AND TO CORRECT THE EXCESSES OF NEARLY THREE YEARS OF DECAPITALIZATION UNDER STATE SOCIALISM. ITS ECONOMIC PROGRAMS, ALTHOUGH AUSTERE, ARE SOUND AND OFFER A FIRM FOUNDATION FOR RECOVERY AND GROWTH OF THE CHILEAN ECONOMY. THE STRICT SECURITY MEASURES ADOPTED BY THE JUNTA HAVE BEEN SUCCESSFUL IN PREVENTING ANY LARGE-SCALE VIOLENCE OR TERRORISM AND ARE LIKELY TO BE CONTINUED FOR THE FORESEEABLE FUTURE.3. THE JUNTA MOVED QUICKLY AFTER THE COUP OF 11 SEPTEMBER TO REMOVE PRICE CONTROLS ON ALL BUT 30 BASIC COMMODITIES, WHILE THERECORD COPY11 Jan 7415-124-52
[104-10225-10027.pdf — page 156]
# OUTGOING MESSAGESTAFFCONF:INFO: FILEDIRECTOR499469CENTRAL BANK DEVALUED THE ESCUDO BY SOME 60% IN AN EFFORT TO CURB IMPORT DEMAND AND EASE PRESSURES ON THE COUNTRY'S MEAGER FOREIGN EXCHANGE RESERVES. AS A RESULT, CHILE'S COST OF LIVING JUMPED 88% IN OCTOBER, AND OTHER PRICE RISES PUSHED INFLATION TO SOME 770% FOR THE YEAR.4. THE JUNTA HAS NOW AGREED TO FOLLOW THE STABILIZATION[^3] PROGRAM PROPOSED BY AN IMF TEAM WHICH VISITED CHILE IN LATE 1974. THIS PROGRAM CALLS FOR TIGHTER FEDERAL SPENDING AND FOR LIMITING INFLATION TO 100% IN 1974. THIS IMF PROGRAM IS FEASIBLE BUT MAY BE SOMEWHAT OVER-OPTIMISTIC, ESPECIALLY SINCE THE WORLD-WIDE ENERGY CRISIS WILL SOON FORCE CHILE TO RAISE FUEL PRICES, THUS EXACER-BATING THE PROBLEM OF CONTROLLING INFLATION. ADHERENCE TO THE INF PROPOSAL HAS, HOWEVER, IMPROVED CHILE'S COREDIT RATING, AS HAS THE SIGNING OF A BILATERAL AGREEMENT WITH THE UNITED STATES ON CHILE'S 1971-1972 DEBT. CHILE IS THUS IN A RELATIVELY GOOD POSITION FOR THE OPENING OF THE PARIS CLUB TALKS IN FEBRUARY. THE MASSIVE $4 BILLION DOLLAR FOREIGN DEBT, HOWEVER, WILL CAUSE CHILE BALANCE OF BALANCE-OF-PAYMENTS PROBLEMS FOR SOME TIME.DATE:ORIG:UNIT:EXT:[^3]:
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OUTGOING MESSAGESECRETSTAFFCONF: INFO: FILEDATE TIME GROUPCITEDIRECTORDISSEM BY:PER11994697. COPPER PRODUCTION HAS ALREADY INCREASED MORE THAN 50% OVER LAST YEAR'S LEVEL AND PRODUCTION WILL PROBABLY REACH A RECORD 750,000 TONS IN 1974 DESPITE SPORADIC SHORTAGES OF SPARE PARTS AND SERVICEABLE VEHICLES. FARM OUTPUT, HOWEVER, IS NOT EXPECTED TO RECOVER FULLY UNTIL THE 1974/75 HARVEST SO THAT AGRICULTURAL IMPORTS, PARTICULARLY GRAIN, WELL CONTINUE TO BE A DRAIN ON CHILE'S FOREIGN RESERVES.8. THE JUNTA HAS DEMONSTRATED GOOD FAITH IN THE TREATMENT OF FOREIGN EQUITY AND HAS LINED UP SUFFICIENT FOREIGN CREDITS TO ENABLE IT TO PURCHASE CAPITAL GOODS AND FINANCE THE CURRENT PAYMENTS GAP. THE GOVERNMENT HAS ALSO UNDERTAKEN TO SETTLE OUTSTANDING COMPENSATION CLAIMS EMANATING FROM ALLENDE NATIONALIZATIONS, STATING THAT IT WILL EITHER RETURN INTERVENED FIRMS TO THE PRIVATE SECTOR, OR AS IN THE CASE OF LARGE COPPER MINES, ADEQUATELY COMPENSATE PREVIOUS OWNERS. FORMER PRIVATE BANKS WILL ALSO BE RETURNED TO THEIR FORMER OWNERS, BUT PROBABLY WITH SOME FORMULA INVOLVING WORKER PARTICIPATION IN BANK MANAGEMENT. THERE ARE ALSO STRONG INDICATIONS OF RENEWED INVESTOR CONFIDENCE, AND PRIVATEDATE:ORIG:UNIT:EXT:
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# OUTGOING MESSAGESTAFFDIRECTOR499469FOREIGN INVESTMENT IN CHILE IS EXPECTED TO GROW SUBSTANTIALLY DURING 1974.9. INTERNALLY, THE ELIMINATION OF PRICE CONTROLS AND ADJUST- MENT OF EXCHANGE RATE HAS PRACTICALLY ELIMINATED THE ONCE FLOURISH- ING BLACK MARKETS IN COMMODITIES AND FOREIGN EXCHANGE. HOWEVER, THE BURDEN OF AUSTERITY ON CHILEAN CONSUMERS HAS BEEN HEAVY. DESPITE HEALTHY INCREASES IN WAGES AND RENEWED CONFIDENCE BY BUSINESSMEN. WORKING CLASS CONSUMERS FIND IT DIFFICULT TO AFFORD THE BAREST NECESSITIES, AND WORKING CLASS LABOR IS TAKING A WAIT AND SEE ATTITUDE. THERE IS, HOWEVER, NO ORGANIZED RESISTANCE TO THE JUNTA OR ITS PROGRAMS. SOME POLITICAL FACTIONS, PARTICULARLY THE CHRISTIAN DEMOCRATIC PARTY (PDCY ARE GRUMBLING, BUT THIS DISSATIS- FACTION IS LARGELY DUE TO GOVERNMENT EFFORTS TO SET UP NEW NON- POLITICAL-PARTY MECHANISMS FOR BEACHING THE PUBLIC.10. GOVERNMENT "RECESSING" OF CONGRESS AND ALL POLITICAL PARTIES HAS CREATED A POLITICAL VACUUM IN CHILE. THE GOVERNMENT WHICH HOLDS THE POLITICAL PARTIES LAURGELY RESPONSIBLE FOR CHILE'S CURRENT PLIGHT, IS TRYING TO FILL THIS VOID EY AN INTENSE USE OF
[104-10225-10027.pdf — page 159]
# OUTGOING ESSAGESIGNAL CENTER USE ONLYMESSAGE REFERENCE NUMBERSECRETSTAFFCIVILIAN ADVISERS TO ASSIST THE GOVERNMENT MINISTRIES. THIS PHENOMENON IS MOST APPARENT IN THE AREAS OF ECONOMIC POLICY AND IN SUCH TECHNICAL FIELDS AS PUBLIC HEALTH AND HOUSING. THE IMPORTANCE OF THE GROUP OF ECONOMIC ADVISERS HEADED BY RAUL SAEZ, FOR EXAMPLE IS WELL KNOWN. THE MINISTRY OF HEALTH HAS AN ADVISORY BOARD DOMINATED BY THE MEDICAL ASSOCIATION, WHILE THE MINISTRY OF HOUSING'S BOARD IS LARGELY CONTROLLED BY THE ORGANIZATION REPRESENT-ING PRIVATE CONSTRUCTION FIRMS. SIMILARLY, ALMOST EVERY MINISTRY AND MANY AUTONOMOUS AGENCIES HAVE PERMANENT CIVILIAN ADVISORY BOARDS COMPOSED OF REPRESENTATIVES OF GROUPS WHOSE WELFARE IS AFFECTED BY THE AGENCY'S ACTIVITIES.11. IN ADDITION TO THESE CIVILIAN ADVISORY BOARDS, THERE ARE A LARGE NUMBER OF "STUDY COMMISSIONS" THROUGH WHICH CIVILIANS CAN EXERT THEIR INFLUENCE. BEST KNOWN OF THESE IS THE GROUP IF INTERNATIONAL LAWYERS WHICH IS DRAFTING A NEW CONSTITUTION, BUT THERE ARE OTHER GROUPS WORKING ON A NEW MINING CODE, STUDYING THE EDUCATIONAL SYSTEM, COLLECTING INFORMATION ON UECHMPLOYMENT, WRITING A STATUTE FOR WORKER PARTICIPATION IN BUSINESS ENTERPRISES, AND
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OUTGOING MESSAGESIGNAL CENTER USE ONLYSECRETSTAFFCONF: INFO: FILEDIRECTOR4994449DELVING INTO A DOZEN OTHER TOPICS.12. ALTHOUGH SOME CHRISTIAN DEMOCRATS HOLD INFLUENTIAL GOVERNMENT POSITIONS, MOST CIVILIAN ADVISERS ARE EITHER CONSERVATIVE OR APOLITICAL. LACK OF MORE WIDESPREAD PARTICIPATION BY CHRISTIAN DEMOCRATS MAY CREATE PROBLENS FOR THE GOVERMENT IN THE FUTURE, ESPECIALLY SINCE ORGANIZATIONS REPRESENTING WORKERS, CAMPESINOS AND POBLADORES (WHICH FORMERLY SUPPORTED EITHER THE CHRISTIAN DEMOCRATIC PARTY (PDC) OR THE ALLENDE GOVERNMENT) ARE SO FAR INADEQUATELY REPRESENTED ON ADVISORY COUNCILS. THE GOVERNMENT HAS ESTABLISHED UNITS ADDRESSED TO YOUTH, WOMEN, GUILDS AND NEIGHBOR-HOOD CIVIC GROUPS IN THE SECRETARIAT GENERAL OF GOVERNMENT, AND HOPES THAT THESE WILL SERVE AS VEHICLES FOR GOVERNMENT-TO-PEOPLE COMMUNICATION.13. THE JUNTA LEADERS VIEW WITH DISTRUST ALL PDC EFFORTS TO WIN NEU POLITICAL ADHERENTS FRON THE WORKING CLASSES WHICH FORNERLY SUPPORTED ALLENDE'S UP COALITION AND REPORTEDLY BELIEVE THAT THE PDC IS NOT RESPECTING THE POLITICAL RECESS. THE JUNTA IS PARTICULARLY CONCERNED BY THE POSSIBILITY THAT THE PDC'S LEFT WINGDATE:ORIG:UNIT:EXT:SECRET
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# OUTGOING I. SSAGESIGNAL CENTER USE ONLYPAGE 7 OF PANES 8SECRETDATE-TIME GROUPCITE DIRECTORMESSAGE REFERENCE NUMBER 499469WILL AID THE FORMER UP PARTIES IN RETURN FOR FUTURE ELECTORAL SUPPORT.14. ONE PROBLEM OF MAJOR CONCERN TO THE JUNTA IS THE POSSIBILITY THAT PERU MAY ATTACK CHILE SOME TIME PRIOR TO 1979, THE 100TH ANNIVERSARY OF THE WAR BETUEEN CHILE AND PERU. IN ORDER TO REGAIN SOME OF THE TERRITORY LOST IN THAT WAR. THE CHILEANS ARE WORRIED BY THE SOVIET SALE OF ARNS TO PERU AND FEAR THAT THE USSR MAY BE TRY-ING TO CREATE ANOTHER UNSTABLE "MIDDLE EAST TYPE" OF CLIMATE IN LATIN AMERICA.15. THE JUNTA IS ALSO CONCERNED BY COMMUNIST EFFORTS TO CREATE INTERNAL DISCONTENT AND TO MOUNT AN INTERNAL RESISTANCE MOVEMENT. THE JUNTA EXPECTS THAT THE FORINER UP PARTIES, LED BY THE COMMUNISTS. WILL SET UP A UNIFIED FRONT FOR CAUSING CIVILIAN DISTURBANCES AND POLITICAL DISCONTENT, AND WILL TRY TO MANIPULATE THE PEDC INTO OPPOSING THE JUNTA GOVERNMENT. TWO FRONTS FOR CHILEAN RESISTANCE ARE BEING ORGANIZED IN ARGENTINA AND SEVERAL ARE DEING SET UP IN EUROPE.16. DESPITE THE FROSLEINS NOTED ADOVE, THE JUNTA GOVERNMENT ISDATE:ORIG:UNIT:EXT:15-124-52
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# OUTGOING MESSAGESIGNAL CENTER USE ONLYOMF 0 0 0 0 0 0SECRETSTAFFCONF: INFO: FILEDATE TIME GROUPCITODIRECTORPAGES8MESSAGEDISSEM BY:PER499469IN FIRM CONTROL IN CHILE AND HAS MADE IMPRESSIVE PROGRESS INREORGANIZING THE GOVERNMENT AND IN ENLISTING PUBLIC SUPPORT FORITS PROGRAMS. PROSPECTS FOR ECONOMIC RECOVERY AND DEVELOPMENT ARETHE BEST WHICH COULD REASONABLY BE EXPECTED FROM A COUNTRY WHOSEENTIRE ECONOMY WAS A SHAMBLES IN SEPTEMBER 1973.17. FILE: 15-124-52. E2, IMPDET.HDATE: 10 JANUARY 1974ORIG: JEANNE LINTON:LSSUNIT: C/UH/6/SAUII/EICO - BILL KENT {IN DRAFT}EXT 6609/1069SECRET
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# SECRETSTAFFTO: HAMBURG INFO BONN, SANTIAGO.FUOMEN CASPECIAL CAFECETREF: HAMBURG 23881 |IN 09692311. FOLLOWING ANALYSIS OF CHILEAN ECONOMIC SITUATION AND OF RISK FACTORS INVOLVED IN MAKING INVESTMENTS IN CHILE PREPARED FOR PASSAGE TO HERMES BANK PER REF PARA 1 REQUEST.A. THE RULING JUNTA IN CHILE IS MOVING AGGRESSIVELY TO REBUILD THE ECONOMY BY ADOPTING A HARSH AUSTERITY PROGRAM AND IN- STITUTING POLICIES DESIGNED TO RETURN CHILE TO A MARKET ECONOMY.B. SANTIAGO MOVED QUICKLY AFTER THE COUP TO REMOVE PRICE CONTROLS ON ALL BUT 30 BASIC COMMODITIES, WHILE THE CENTRAL BANK EFFECTIVELY DEVALUED THE ESCUDO BY SOME 60% IN AN EFFORT TO CURB IMPORT DEMAND AND EASE PRESSURES ON SANTIAGO'S MEAGER FOREIGN EX- CHANGE RESERVAES. AS A RESULT, CHILE'S COST OF LIVING JUMPED 88% IN OCTOBER, BRINGING INFLATION TO NEARLY 450% FOR THE FIRST TEN MONTHS OF THE YEAR. ANTICIPATED PRICE RISES DURING THE REST OF 1973 IS EX- PECTED TO PUSH INFLATION TO SOME 750% FOR THE YEAR.C. THE ELIMINATION OF PRICE CONTROLS AND ADJUSTMENT OF![RECORD COPY]