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CIA Involvement with Latin America

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1 CIA Involvement with Latin America
Mari Bourbon

2 Timeline: Guatemalan Coup
1821 Guatemala becomes independent 1823 Guatemala becomes part of the United Provinces of Central America Ruled by Rafael Carrera

3 Timeline: Guatemalan Coup
President Justo Rufino Barrios 1931 President Jorge Ubico 1941 Declares war on the Axis powers

4 Timeline: Guatemalan coup
1944 President Juan Jose Arevalo 1951 Colonel Jacobo Arbenz becomes president 1954 Start of the Coup

5 Rafael Carrera President/Dictator 1844-1865 Conservative and Catholic
Tyrant who ruled mainly be decree, freedoms were unknown

6 President Justo Rufino Barrios
Instituted a number of reforms, including freedom of the press. Attacked the Catholic Church, limiting its power and confiscating its property. Elected President in May 1873. Barrios oversaw cleaning and rebuilding of Guatemala City Set up a new and accountable police force. Brought the first telegraph lines and railroads to the Republic. He established a system of public schools in the country. Develops the army and introduces coffee growing.

7 President Jorge ubico 14 February 1931 to 4 July 1944
Guatemala was in a depression Assumed dictatorial power, considered himself another Napoleon United fruit Company Nation led a strike against him and he was forced to resign Forced the committee to give his position to General Ponce who took orders from Ubico While Ponce was still giving the orders of Ubico the public had another idea Jacobo Árbenz Guzmán, a teacher who had been fired and then went to El Salvador to organize and group people to fight against Ubico finally saw his chance In return for U.S. support he gave hundreds of thousands of hectares of highly fertile land to the American United Fruit Company (UFCO) October Revolution

8 President Juan Jose Arevalo
Spiritual Socialism Communism “Safeguarding the free will of citizens generates popular support for governmental institutions” Social Reform Policies New Constitution Increase in minimum wage Reformist Labor Law Benefits did not spread equally Unions formed

9 President Jacobo Arbenz
Defense Minister of Guatemala from 1944 to 1951 President of Guatemala from 1951 to 1954 The Arévalo government began a highly popular program of social reform, aimed at ending Guatemala's feudalistic labor system The centerpiece of his policy was an Agrarian reform law that granted cultivable land to poverty stricken peasants in an attempt to end the system of debt peonage Despite his policies being relatively moderate he was widely disliked by the United States government and the United Fruit Company

10 Codename: PBFORTUNE The Guatemalan coup d’état began with Operation PBFORTUNE (September 1952), the partly implemented plan to supply exiled, anti–Árbenz rebels with operational funds and matériel to organize a counter-revolutionary “army of liberation” to depose the Árbenz Government. Sent scouts- found nothing Nicaragua offered helped with the Dominican republic The CIA asked the Colonel for a plan for the invasion of Guatemala; he planned to launch simultaneous attacks from Mexico, El Salvador, and Honduras Col. Castillo Armas requested money and matériel, yet nonetheless told the CIA that his army of liberation, El ejército de liberación, would invade Guatemala, with or without US support In conversation with other Central American heads of state, the indiscreet Nicaraguan President Somoza García had openly spoken about the CIA’s planned deposition of President Árbenz Guzmán Public knowledge of the betrayed secret-intervention would provoke diplomatic problems for the US — a signatory to the Rio Pact The liberation army matériel were stored, and the military caudillo services of Col. Castillo Armas were retained, for three-thousand weekly dollars, until the US required him to be El Presidente of Guatemala.

11 Codename: pbsuccess In the geopolitical context of the US–USSR Cold War (1945–1991), the secret intelligence agencies of the US misinterpreted liberal politics, agrarian reform, and resource nationalization as consequences of the communist infiltration of a Latin American government Started with President Eisenhower Had to choose a successor- Col. Castillo Used psychological warfare; propaganda, radio, pamphlets, newsletters CIA Mercenary Army of about 480 troops compared to 5000 Guatemalan troops US stopped selling arms to Guatemala forcing them to but from USSR US Navy began air and sea patrols of Guatemala, under the pretexts of intercepting secret shipments of weapons Operation HARDROCK BAKER, a blockade of Guatemala

12 Cia invasion 8:00 p.m. on 18 June 1954, Col. Castillo's Ejército de liberación invaded Guatemala; in four groups Ten saboteurs tasked with helping from the inside CIA ordered Col. Castillo to avoid fighting the Guatemalan Army Failure- because on foot and could not reach destinations fast enough The weakened psychological impact of the initial invasion allowed local Guatemalans to understand that they were not endangered Two out of the four groups were defeated and most soldiers were captured or killed The other two groups remained deep in Guatemala waiting Arbenz knew of their presence but feared US military intervention more 27 June 1954, a CIA Lockheed P-38M Lightning attacked Puerto San José and dropped napalm bombs on the British cargo ship, SS Springford, on charter to the US company W.R. Grace and Company Line, which was being loaded with Guatemalan cotton and coffee. CIA psychological warfare succeeded, and provoked an officers' revolt 21.15 hrs., on 27 June 1954, Jacobo Árbenz Guzmán resigned the Presidency of Guatemala, for exile in Mexico.

13 Pbhistory: tok Collect and analyze Árbenz Government and Guatemalan Labour Party documents that would be evidence to support the CIA's ideological and geopolitical belief that, under Árbenz's presidency, the Republic of Guatemala was a Western-hemisphere Communist puppet state in the hegemony of the Soviet Union Found no substantiation of the key geopolitical premise (Soviet political involvement) that justified the secret US paramilitary invasion of Guatemala, and the deposition of the elected Árbenz Government Some believed that the nationalism of President Árbenz was a communist threat to the business interests of American multinational corporations, and advocated and supported the coup d’état against his government The socialism practiced by the Árbenz Government was unrelated to the Cold War geopolitics of the US and the USSR

14 United fruit company The United Fruit Company was an American corporation that traded in tropical fruit (primarily bananas) grown on Central and South American plantations and sold in the United States and Europe. In 1871, U.S. railroad entrepreneur Henry Meiggs signed a contract with the government of Costa Rica to build a railroad connecting the capital city of San José to the port of Limón in the Caribbean. When the Costa Rican government defaulted on its payments in 1882, Keith had to borrow £1.2 million from London banks and from private investors in order to continue the project. In exchange for this and for renegotiating Costa Rica's own debt, in 1884, the administration of President Próspero Fernández Oreamuno agreed to give Keith 800,000 acres of tax-free land along the railroad, plus a 99-year lease on the operation of the train route. UFCO claimed that hurricanes, blight and other natural threats required them to hold extra land or reserve land.

15 ufco UFCO relied heavily on manipulation of land use rights in order to maintain their market dominance For the company to maintain its unequal land holdings it often required government concessions The Company built extensive railroads and ports and provided employment, transportation, and created numerous schools for the people who lived and worked on Company land The directors of United Fruit Company had lobbied to convince the Truman and Eisenhower administrations that Colonel Arbenz intended to align Guatemala with the Soviet Bloc. UFCO was being threatened by the Arbenz government’s agrarian reform legislation and new Labor Code UFCO was the largest Guatemalan landowner and employer, and the Arbenz government’s land reform included the expropriation of 40% of UFCO land The relationship between the Eisenhower administration and UFCO demonstrated the influence of corporate interest on U.S. foreign policy

16 ufco Many individuals who directly influenced U.S. policy towards Guatemala in the 1950s also had direct ties to UFCO. United States Secretary of State John Foster Dulles’ law firm Sullivan and Cromwell had represented United Fruit and his brother Allen Dulles was the director of the CIA, and a board member of United Fruit. The brother of the Assistant Secretary of State for InterAmerican Affairs John Moors Cabot had once been president of United Fruit Ed Whitman, who was United Fruit’s principal lobbyist, was married to President Eisenhower's personal secretary The overthrow of Arbenz, however, failed to benefit the Company as they had hoped The Eisenhower administration proceeded with antitrust action against the company, which forced it to divest in In 1972, the company sold off the last of their Guatemalan holdings after over a decade of decline.

17 Primary source O- Document by Nicholas Cullather, 1994. P- The purpose was to analyze the documents of the CIA involvement with the Guatemalan Coup in 1954 V- The value is that he found some discrepancies within the files, such as lies and misconduct L- The limitation is that they are told from an American point of view which limits the access of knowledge from only one side and not the whole story

18 Works Cited Schlesinger, Stephen C., and Stephen Kinzer. Bitter Fruit: The Untold Story of the American Coup in Guatemala. Garden City, NY: Doubleday, Print.


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