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Dr.Salasar has just sent me in reply to m:fne o:t December 20th. I also enclose a copy or a personal letter 'to me, in w

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om:r~:ir> DJt~..z.1o2 REFERENCE SLIP . 4~ ID:

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& RETURN AS YOU REQUESTED ATTACH FILE ATTENTION C~llllENT & P.ETURN CONSIDER COPYING CORRECT FILE FOLLOW-UP FOR JOUR INFORMATION HOLD INITIALS NEEDED INSTRUCT INVESTIGATE & REPORT • oJUSTIFf KEEP ME ADVISED LEGAL MATTER MEllO REQ.UIRED NOT INTERESTED NOTE & DESTROY

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HereW"lth·a copy or the recent correspondence ·from Amb. MacVeagh which Ila enclosed: (1) A memorandum to MacVeagh

from S.ala11ar.

(2) A letter to MacVeagh from

Salazar.· (3) An earlier letter .from MacVeagh to Salazar. For your retention.

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REF ID:A67102

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merican

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1uass7

Lisbon, February 13,· 1952

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M;y"

dear Mr. Armstrong: I enclose herewith a memorandum, in English translation, which

Dr.Salasar has just sent me in reply to m:fne o:t December 20th.

I

also enclose a copy or a personal letter 'to me, in which he explains the delay in his reply, :in view or a personal appeal to e:xpedite matters which I .made to him on January 22nd (copy also enclosed). You will note that

·o.r.

Salall&l" saw Ambassador Ulrich shortly

after 11\Y' demarche last month, and both satisfied hilllselt that our ·complaint was justified and gave orders that the otf ense he not repeated. You will also note that, contraey to the statement attributed

to Ulrich, the Portuguese authorities have no complaint to make about the NATO code machines, and are aware of their various advantages; likewise that they .f'eel competent to handle them, though the7 will be glad of our technical assistance i f the need arises. Ve17 sincerely yours,

/8/ Liricoln MacVeagh

· American Ambassador

Park Amstrong~ Dq.,

Special Assistant, Intelligence, Department of State Washington, D.

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REF ID:A67102

Enclosures: (1)

Translation of memcrmdum f'rom lll".Salazar.

(2)

Translaticn of letter from Dr. Salazar.

(3)

Copy of' personal letter from the Ambassador

to Dr. Salazar.

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(Translation) MEMORANDJM

With reference to the top secret communicatian"of His Excellency Ambassador Lincoln MacVeagh addressed to the Prime Minister under date

or

December 20, 1951, the following clarif'ications are submitted: (a)

The Portuguese Ambassador in Landon did not disclpae

to anyone that he had transmitted to his govemment an7 information which in his opinian should not have had such a destination. (b)

The Ambassador in effect did conmrunicate to the

govemment a report regarding the admission of Greece and Turkey to the Atlantic Pact,which was made by the representative of the United States before the Council of Deputies with the indication that it was so confidential that it should not be transmitted to the respective govemments. The Ambassador transmitted this information because, unless lmown to his government, it had no practical value, and he considered that the purpose of the recommendation was sinply

or

to accentuate the extremelY' confidential nature

the information

given; which in fact was the manner in which he communicated it.

(c)

It having been verified, however, that the intention

of the recommendation was different, instructions

h~e

been given to

observe strictly and literally, within the NA'70, the requests for secrecy which any or the members may make in connection with their statements.

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have no complamt

(d)

to make about. the NATO code ma.chines, but they are also aware that the machines Ui question may be used to transmit messages of cOJ11IDOn interest

to the member nations as well as messages in private code language. It is not believed that there is an7 necessity for special technical assistance for the utilization ot these machines, but the government ·has takEll due note and is grateful tor the after and will

request such assistance if' the occasion should arise.

February 11, 19S2

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REF ID:A67102

-COPY

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( tranBlation)

Mr. Ambassador: I have to aclmowledge the receipt or your Excellency's letter

or

January 22, and greatly apologize for only now rep:qing to the memorandum

which you personally left with ma at the Sao Bento Paace on December 20.

The delay in fumishing you the infonnatian, which is contained :in the attached memorandum, is due exclusively to the nmltiplicity or affairs which have confronted me and not because I postponed or del81'8d any necessary investigation. Just after the receipt of Your Excellency's communication, by taking advantage

or

the presence in Lisbon of our .Ambassador, it was

possible completely' to clarify the matter, "=including the means zw;:r-a-,....._..w ~---":-'->,.u..:...,""..

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eJq>lanatiOn was so clearq fixed in rq mind that I inme dia tely saw . _.. _..._ there was nothing disturbing or exceptionally serious :in the matter . ""';. ....""'?""C""'• .,...?;12"; Sf·•• ............... « .,. "lii . • . ._:ri:vau::nsa..""'a'lp:i. !t.C ' - ·"' cs "'=°"~=· or which could not henceforth be avoided. This set me at ease and

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.is the reason tor the delay' in sending you this communication, without prejudice however to :IQ' immediately having taken all the necessary measures.

It is my belief that we may rest at ease for the tutiure.

I take advantage of this opportunity to. congratulate Your Ex:celleney upon your appointment to Madrid.

I do so in the lmowledge

that you are going to perform outstanding services toward drawing closer and perhaps even integrating Spain 1n the cause of the Western

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Powers, as is necessary and just, although saddened because we are losing the excellent collaboration which you have given here in rendering closer the political. and economic relations between Portugal and

the United States, a colla. boraticn tor which on '1113' part I am deeply grateful.

You have '1113' best wishes tor the success of the efforts which

;you most certainl.y' will undertake in the neighboring country and from

which the entire Pen::insula as well as the cause of the West will assured]Jr benefit. I present to Your Excellency the .expression of

Jl\Y'

highest

consideration.

Signed: Antonio de Olivera Salazar

Pi>ruary 11, 19S2

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mcLOSURE No. .3

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(Copy) .p

y ':OP SESHS!l'

Persenal and !op Seciet

January 22, 19S2

Dear Dr.Salazar:

As you· know, I hate to bot.her you ex:cept when I can •t help it; and I bUit .to do so now.

Hcnfever, they are wondering in

W~shington

·.whether you have had time yet to consider the ·very secret matter I br0ught Up with you, under instructions, on December 20th.

It ·seems now that, at the approach:fng RAm meeting here in Lisbon, the CO'IJllcil of Depu~i~s will be abolis~ed, so that a repetition or any mistake which may have been made by anybody in

that group med no longer be

fe~red.

But if, as al:so seems likely",

a new and higher Permanent Council . is to be torm.ed to take the second matter I spoke of, about the machine and our

~ts

place,

will~gness

to demonstrate it, it you think desirable, becomes perhaps. even more urgent than ever. . With my apologies for referring again to this subject,

s:l.n~e

I

know how fully occupied you al.1181'&. are ·with important matters, I am.

S:lncerely and Signed:

COP!'

resp~cttullJ'

;yours,

Lincoln MacVeagh

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