868.00/10–2447: Telegram

Governor Dwight P. Griswold to the Secretary of State

secret

Amag 391. Re Gama 340.1 1. It is my considered opinion that it would be wrong for AMAG or for US Government to attempt to represent to world opinion that AMAG does not have great power or that it is not involved in Greek internal affairs. Greek Government in its note of June 15 expressly requests exercise by Mission of limited but very great powers in many vital fields normally regarded as internal matter. Certainly it would be in error to attempt to portray the present emergency situation in any other manner to the free and well informed US press.

2. Much stronger and more detailed stories about US involvement were printed in both Greek and American press during recent mission of Loy Henderson. American press sources for these stories were Greek political circles and certainly some from US Embassy. This not said critically as I feel Henderson involvement was clearly justified and very worthwhile. Cables arriving regularly from State Department [Page 379] ask AMAG similarly to involve itself. See recent Gama 3222 and 3413 on general strike and gold sales. Current efforts establish FTA and revise military leadership to favor offensive war are further examples involvement.

3. Distinction to be observed in my opinion is not involvement or non-involvement Greek internal affairs but whether involvement would result in serving selfish special interest or aid Greek rehabilitation in line with request of Greek Government; whether crudely carried out and creating internal adverse reaction as threat Greek sovereignty or sufficiently diplomatic and on cooperative friendly basis to have Greek people and other free peoples of world realize and support objectives sought as in best interests of Greek independence and sovereignty.

4. In my opinion it is very necessary that great power of Chief AMAG should be recognized within Greece whether or not he be considered “most powerful man in Greece”. This opinion on part of Greeks is necessary on basis my experience if good results are to be obtained and US policy and aid program are to be successful. Power of AMAG is clearly not unlimited and does not extend to every detail internal affairs. It must be tactfully and discreetly used on cooperative basis and not dictatorially or unilaterally. I feel State Department should give every support to development of above opinion on the part of Greeks or in any other country where AMAG type of operation is requested by government and desired by people.

5. I believe it was intent of Congress that this Mission act discreetly but forcefully to help in the rehabilitation of Greece to the end that Communism would be checked here. Congress also intended and visiting Congressmen have stressed that strict controls over expenditure of American and Greek funds be exercised by the Mission. This means involvement in internal affairs and I see no advantage pretending it is something else. The Greek Government in its note asked specifically for the exercise of such powers by Mission and great majority of Greeks approve and in fact have insisted upon American involvement as Greek last hope against succumbing to the Communists. My judgment is that American public opinion expects forthright action and I feel that our policies are bearing fruit.

6. I regard as unfortunate and shall attempt to correct any impression that AMAG has unlimited power or is involved in details of internal politics. However, I do not believe Schmidt article contained [Page 380] any such statements. Schmidt article was not inspired or promoted by me. It was written as profile of me and he obtained data freely from all Mission sources which we believe is as it should be. Direct quotes were not specifically authorized but they represent self-evident truths and I do not consider them significant. Yugoslav and other satellite spokesmen at Lake Success have innumerable rich sources for such misstatements and in any event have demonstrated how easily they can fabricate them.

Griswold
  1. Dated October 17, p. 370.
  2. Dated October 15; it expressed the deep concern of the Department of State and the Department of Labor over the prospect of a Greek general strike and the expectation that AMAG was considering the advisability of interim wage reform in hardship cases, if without prejudice to the overall anti-inflation policy (868.5045/10–1047).
  3. Dated October 18, p. 371.