Communist win feared in Italy

Press, Volume CXVI, Issue 34046, 9 January 1976, Page 9

Communist win feared in Italy

(N.Z. Press Assn—Copyright) ROME, January 8. The Italian Government resigned last night, generating political tensions that could lead to national elections this year. The decision by the Cabinet, led by the Prime Minister (Mr Aldo Moro) and dominated by' Christian Democrats, came after the Socialist Party suddenly withdrew its support and charged that its views were ignored. The Socialists had provided the Moro Government with its parliamentary majority.

After a 15-minute meeting, the Cabinet agreed that it had no choice but to step down. The Prime Minister promptly went to President Giovanni Leone and Italy’s thirty-seventh Government since the end of Fascism in 1943 collapsed after a life of 13 months.

, The present troubles, however, are generally regarded as the most serious in years because of the surge of the Communist Party, now Italy’s second largest. Elections this year — they are not scheduled until 1977 — could enable the Communists to overtake the Christian Democrats, who have dominated the political scene for more than 30 years. The United States Government is deeply worried about the prospects of the Italian Communists and has sought to bolster the Christian Democrats. Reports published yesterday said that the Central Intelligence Agency had pumped more than s6m in secret cash payments to individual antiCommunist political leaders here since early December.

Spokesmen for the Christian Democrats, the Socialists, the Liberals and the Republicans all denied that their parties had received the money. The tiny Republican Party, which had formed the coali-

tion Government, with the Christian Democrats, was particularly bitter, saying that “no payment had been made and, had it been offered, it would have been firmly rejected.” Privately, several politicians took a calm view of the reports, noting that by now Italians had become accustomed to disclosures of such outside support for their political parties. One senior Christian Democrat said that very few Italians, if any, believed that the parties were financed solely from domestic sources;

“I really don’t know the facts in this case,” said the politician. “If my colleague received any of the money from the C.1.A., he would hardly tell me or any of the members of his party. It’s just not something you volunteer.” In any event, the reports are hardly likely to help the cause of the Christian Democrats and the other non-Communist parties. With their support fading, the Christian Democrats have sought without much success — though under prodding from Washington — to “revitalise” themselves and project an image to the voters of a party that now has the will to change.

But the voters have turned increasingly to the Communist Party, which came within two percentage

points of the Christian Democrats in regional elections last June.

The Socialists, who provoked the downfall of the Government, have been caught in the middle between the two giants and have long searched for a way to make their own special impact on the electorate. Outside the Government, the party is overshadowed by the Communists and inside, by the Christian Democrats. The Socialist Party’s motives in forcing the new crisis are not clear. But there are some within the party who sincerely believe that early elections would bring more voters into the Socialist. camp on grounds that the

Italians are disillusioned with the Christian Democrats, frightened of the Communists, and in search of a third alternative.

Moreover, the Socialists, who gathered only 12 per cent of the vote in the June voting, have become increasingly unhappy over the quiet a rangements worked out between the Christian Democrats and the Communists in Parliament.

Socialist leaders often complained that the Government paid more attention to the Opposition Communists than their party, which was crucial in keeping the Moro Administration afloat.

In Washington. President Ford was described as angered by reports that the C.I.A. was

funneling money to antiCommunist political leaders in Italy and believes the reports, whether true or false, “truly damaged our own national interests.”

The White House press secretary (Mr Ron Nessen), who declined to confirm or deny the reports that have been attributed to authoritative sources, said Mr Ford expressed his anger to a morning staff meeting.

Mr Nessen said there was a strong suspicion in the White House that these allegations originated in Congress and declared: “It raises some questions about how to responsibly deal with Congress interest in playing an increased role in foreign policy and intelligence policy.”

An authoritative source said that the C.I.A. was moving large sums of money into Italy to head off what the Secretary of State (Mr Henry Kissinger) considers alarming advances by European Communist parties. Th' source saiu the money, which represents a dramatic increase in traditional C.I.A. funding of Italian centralist elements, was going directly to members of the Christian Democratic and Democratic Socialist parties. The President was angered by seeing these allegations in print. Mr Nessen told reporters. The mere publication of allegations, whether true or not, damaged American foreign policy.