Evening star. [volume] (Washington, D.C.) 1854-1972, 1954-08-27
Vargas Betrayed
By Generals, Says.
Ex-War Minister
BY The Assosiassd prsss

BY The Assoeiatsd prsss
RIO DE JANEIRO, Brazil, Aug.
q. Gen. Zenohio da Costa.
minister of war in the govern,
ment of President Getulio VAR
gas, charged today his fellow
generals betrayed the Brazilian
strong man who committed
suicide Tuesday after high army
and air officers forced him to
step down as President.
In a bitter statement sub
mitted to the new war minister,
Gen. HenriQue Baptista Teixeria,
Gen da Costa also accused the
new president, Joao Cafe Filho.
Of backtracking on an offer to
keep Gen da Costa as head of
the war ministry.
The statement said the army
generals had pledged to work to
uphold the constitution, but then
circulated manifesto "aimed at
changing the commitment Of
honor they had undertaken"
Was Asked to Stay.
Mr.. Vargas shot himself after
a military dictated agreement to
take permanent leave of abb
sence. His cabinet resigned
when Mr.. Cafe, the Vice Presi-
dent since 1851, took over as
chief executive.
Gen. Da Costa said Mr.. Cafe
asked him, soon after Mr.. Vargas
agreed to take a leave of alb
sence, to remain as War Min
lister.
But then knew the same
men who had betrayed their
commitment Of honor in the
meeting of generals had taken
hold of Gazette (the presidential
palace and were again maneu-
vering against me-" Gen Da
Costa said.
The officer said he heard Mr..
Cafe was asking other generals
to become War Minister and
went to see the new President.
Il heard from him the state
ment we were unable to remain
in our posts because the Vargas
family was accusing Cafe and
the Ministers of War and Navy
of having promised to demand
Vargas resignation" the state
ment said.
Involved in Accusation.
Gen. Da Costa said Mr.. Cafe
held that, although he was in
volved in the accusation. he was
unable to leave his post for
| political reasons.
II answered that In the face
of this new infamy I would leave
the war ministry because I am
no politician and can leave my
job with dignity" he said.
Last Monday, Gen. Da Costa
said, he and other ministers met
with Mr.. Vargas and explained
the gravity of the situation fac
ing Brazil, but the President
| decided to remain in his post
"at any COST The General said
he prepared to leave the palace
to arrest the generals who had
broken their honor" because he
knew it was a question Of pitting
1 the part of the army he was
counting upon against the other
army. navy and air force groups.
He said Finance Minister Os-
waldo Aranha minutes later adj
vised him Mr.. Vargas had de-
cided to step out and said other
ministers told him the resigna-
ton would not be temporary.
Gen. Da Costa said he imme-
diately called a meeting Of array
generals and told them the news
Later one Of the generals went
/ to the presidential palace to re-
port II had betrayed the Presi-
dent of the republic so that he
could never return to his post. >
he charged.
Gen. Texeira's appointment as
war minister was announced
| "Wednesday ,y,ioht
Finance Chief Named.
Eugenio Gudin, head of the
Brazilian Institute of Economics
was sworn in last night at Bra
Zil'S new finance minister tc
steer the nation through its seri-
GUS economic crisis.
| The 68-year-old economist
said his first concern would be
the coffee situation. Declining
exports of this main Brazilian
product have caused a severe
foreign exchange shortage.
The new Finance Minister has
been connected with American
and British cultural institutions
and has written a number Of
books on economics. He was
president of the Brazil United
States Institute in 1941. In 1914
he was the Brazilian delegate
to the Breton Woods worlo
| financial conference.
! He faces q tough Job in doctor.