Foreign Relations of the United States, 1952–1954, Western Europe and Canada, Volume VI, Part 2

765.00/12–1554: Telegram

No. 795
The Acting Secretary of State to the Embassy in France¹

secret
niact

Washington, December 15, 1954.

Tosec 10. For the Secretary—re Ambassador Luce’s niact cable December 15 to you repeated info Paris 277.² Following are Department’s comments. For your background, should Martino raise Scelba’s suggestion with you. We believe considerable foundation Scelba’s assessment of situation first para Part A. While present Italian coalition government perhaps not only possible anti-Communist battle force we believe is by far best in sight and preferable any probably successor. Believe particularly important moderate leftist groups continue to be identified with and to support as at present strong anti-Communist program. In view our interest in strengthening Scelba Government we believe we should not feel concerned even if Scelba move in fact inspired in part by desire to add to own personal prestige at expense of possible successor Vanoni.

In our view steady growth Communist bloc electoral strength in local elections particularly in South confirms gravity of situation. Since Commies increase seems checked in North believe this requires considering South special problem area of high priority. Also believe situation cannot be resolved by Italians alone despite their admirable new anti-Commie program³ and necessary that additional resources both Italy and US be thrown into balance.

Department considering following three-fold attack on problem in connection preparation operational plan for OCB, each aspect of which believed essential and dependent upon others to achievement ultimate success:

A. More energetic Italian Government action … to harass and weaken Communist Bloc’s organizational strength;

B. Increased US encouragement to development and strengthening anti-Communist organizations particularly in South;

C. Increased Italian Government action with additional US assistance and encouragement to press ahead with reforms and development programs particularly in South to alleviate significantly social and economic conditions on which Communism feeds.

To implement above program believe US must consider coordinated program of assistance to Italy over three-year period from various sources which would include PL 480; OSP; loans through Exim Bank and possibly other forms of aid. Implementation all these programs should be coordinated and in all possible cases be in direct support of and made contingent upon vigorous Italian Government action on parallel anti-Communist and economic fronts. Principal focus of all operations would be South.

Department of opinion present situation not only demands such action but Italian political and public-opinion atmosphere such that lasting results may be achieved. Concur Ambassador Luce’s opinion para B–2 flat rejection Scelba proposal unwise if raised by Martino. Anticipate discussing this plan with Ambassador Luce on occasion her forthcoming consultation Washington early next month.

Hoover

1. Drafted by William E. Knight and cleared with Jones, Freund, and Elbrick.
2. Printed as telegram 2218, supra.
3. For information regarding the Italian Government’s anti-Communist program announced on Dec. 4, see Document 792.