(i)
SECRET
(a)
(b)
(c)
Intelligence derived from reliable and delicate sources indicates that certain members of the Communist hierarchy consider that they have met with a set-back in their confrontation with Government, not only in respect of their demonstrations but also in the propaganda field, and, most important of all, in their failure to obtain the public support they seem to have expected (either by wooing or intimidation):
It is clear that the Communists anticipate and are planning for a "long struggle":
Their present tactics are:-
To continue consolidating their position, within their own organisations, in an effort to maintain morale of their supporters:
(ii)
To demonstrate to the general public their power by organising token stoppages in the public utilities:
(iii)
To intimidate individuals and organisations that are actively supporting Government:
(iv)
To press on with their anti-Government propaganda through the media of newspapers, posters and Kwangtung Radio.
(a) At the time of writing there are no firm
indications as to the next positive action planned by the Communists. It does appear that, having met with greater opposition than expected from Government and the public as a whole, they are having a complete re-think. They may well be waiting for further instructions or what they consider to be a major escalation by Government before they take any fresh steps.
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