Documents / FOIA release

/specialCollection/BerlinWall/1961-Summer/1961-07-12c.pdf

Central Intelligence Agency · 163 pages · text by GLM-OCR

This Top Secret study by the Interdepartmental Coordinating Group on Germany and Berlin, dated July 12, 1961, and released by the Central Intelligence Agency, answers NSC Directive No. 58 of June 30, 1961. It sets out courses of action for the Berlin crisis but does not judge their merits. It covers imminent presidential decisions, a three-phase timetable running to January 1, military preparations and mobilization, covert action, economic sanctions, public information, negotiating positions and checkpoint procedures for East German personnel.

  • p. 92 …the above actions /designed to provide a capability for dealing with the Berlin problem in advance…
  • p. 96 …the above actions designed to provide a capability for dealing with the Berlin problem in advance…
  • p. 98 …The Berlin preparedness measures and public reaction thereto might engender hoarding, scare buying, advance stocking, speculative…
  • p. 99 …the change is due to the conjunction of high levels of economic activity in other advanced…
  • p. 100 …However, it is only prudent to plan in advance to deal with the unfavorable contingencies described…
  • p. 130 …the change is due to the conjunction of high levels of economic activity in other advanced…
  • p. 145 …The Soviets justify their demand for the conclusion of separate peace treaties with the "two German…

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## SECRET

Section 5(b) of the Trading with the Enemy Act provides in part as follows:

(1) During the time of war or during any other period of national emergency declared by the President, the President may, through any agency that he may designate, or otherwise, and under such rules and regulations as he may prescribe, by means of instructions, licenses, or otherwise-

"(A) investigate, regulate, or prohibit, any transactions in foreign exchange, transfers of credit or payments between, by, through, or to any banking institution, and the importing, exporting, hoarding, melting, or earmarking of gold or silver coin or bullion, currency or securities, and

"(B) investigate, regulate, direct and compel, nullify, void, prevent or prohibit, any acquisition holding, withholding, use, transfer, withdrawal, transportation, importation or exportation of, or dealing in, or exercising any right, power, or privilege with respect to, or transactions involving, any property in which any foreign country or a national thereof has any interest,

"by any person, or with respect to any property, subject to the jurisdiction of the United States;..."

The Presidential declaration of national emergency of December 16, 1950 is still in effect, and consequently the above-quoted provisions of Section 5(b) could be utilized to prohibit any ships being chartered from the United States to Soviet bloc countries in the event of a Berlin crisis. Under the authority of Section 5(b) and of Executive Order 9193 of July 6, 1942 delegating to the Secretary of the Treasury the President's powers under that Section, the Treasury Department has prohibited all transactions involving persons or property subject to the jurisdiction of the United States with Communist China and North Korea. (31 C.F.R. 88900.201 - 500.204).

Section 101(a) of the Defense Production Act of 1950, as amended (50 App. U.S.C. 2071) forms the legal basis for Department of Commerce Transportation Orders presently in effect which control in certain respects the movement of and carriage of cargo by United States registered vessels or aircraft to Sino-Soviet bloc countries. Section 101(a) authorizes the President "... (2) to allocate materials and facilities in such manner, upon such conditions, and to such extent as he shall deem necessary or appropriate to promote the National Defense." The Transportation Orders prohibit United States registered vessels and aircraft from carrying certain enumerated items to any Soviet bloc destination without a license, and they also prohibit them from transporting any commodities to Communist China or North Korea and from calling at any point in these countries.

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About this file

FOIA release, from the cia-readingroom collection. The PDF is mirrored here; the original link is above. The text was read from the page images by GLM-OCR; expect the odd misread word. 163 pages are in the text index: search them above, or from the library's search.