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On March 13 and 16, two vans equipped with false compartments were intercepted at Penas Blancas on the Costa Rican-Nicaraguan border by the Nicaraguan National Guard. Seized were 90 M-1 carbines, 34 FAL rifles, and large quantities of ammunition and materiel. 70 M-1 carbines were traced to Universal Firearms Corp. of Florida and Johnson Arms of New Jersey, manufacturers of these weapons, and which had been shipped to Caza y Pesca S. A. in Panama, a G-2 Panamanian Intelligence front.

Investigations by a U.S. federal agency, the Bureau of Alcohol, Tobacco and Firearms, revealed in an affidavit filed in the Miami Federal Court on May 1, the complicity of the Panama Government in the purchase of these arms for the Marxist Sandinistas.

Panama President Aristides Royo in Washington, D.C. on May 11, said “. . . if I am going to smuggle arms, as a head of government, in my account, we have planes in the Panamanian Air Force.” The use of Panamanian Air Force aircraft on behalf of the Sandinista terrorists has for some time now been a well-documented fact.

What is less well known is the direct involvement today of the Fidel Castro government of Cuba in the present turmoil in Nicaragua On May 30, the Nicaraguan Foreign Ministry quoted reliable sources as reporting the landing of a Cuban aircraft of Russian manufacture, an Ilyushin 62, in Panama, from which some two hundred fully equipped men disembarked and boarded Panamanian Air Force trucks. On the same day a four-engined aircraft painted yellow with red star on its tail was impeded from landing near Siuna in northeast Nicaragua to give support to Sandinista terrorists attacking U.S. owned gold mines. It was later seen at the Rio Hato Air Force base in Panama.

Nicaraguan Intelligence reports that on June 4 a Panamanian Air Force plane landed at the Liberia airport in northern Costa Rica and discharged men and materiel for the beleaguered Sandinista terrorists fighting the Nicaraguan National Guard at “El Naranjo" just across the border in Nicaragua.

The flow of automatic weapons from Cuba through Panama to the Sandinista terrorists has now been fully established. Over 150 FAL Belgian-made rifles have been capured from the Sandinistas and traced by their special characteristics and markings to those originally sold to the Cuban government by the Belgian manufacturers. A quantity of these rifles were taken from the vans intercepted on the Costa Rica-Nicaragua border on March 13 and 16 of this year. These are the same two vans from which 70 M-1 carbines were found, which had been bought by the Panama government for the Sandinista terrorists. The conclusive evidence of the origin of these weapons will be given by Mr. Max Kelly in a statement to follow:

Mr. Chairman, the evidence is endless. The present turmoil in Nicaragua is being provided by Cuba and Panama with the hypocritical complicity of Costa Rica. Blatant recruiting for the international brigades of mercenaries in the governmentbacked press in Panama and the wanton use of Costa Rica as a conduit for CubanPanamanian sponsored men and arms to launch, with impunity, repeated attacks against the government and people of Nicaragua is a matter which should be of the gravest concern to the government and people of the United States.

The inordinate size of the Cuban Embassy in Panama and the Soviet Embassy in San José, Costa Rica, is totally out of proportion to existing formal trade and cultural ties, is yet another clear indication of the extent and penetration of SovietCuban influence in Central America.

At this present time innocent Nicaraguan blood is being spilled in the fighting now taking place on Nicaragua's borders with Costa Rica. There are no words to express the miserable cynicism of the Costa Rican Government which an unnatural alliance with Panama and Cuba, is attempting the overthrow of another Central American Government.

The complicity of Panama in the present attempt to destabilize an established and recognized government-a user of the Canal for a major percentage of its foreign trade-raises the critical question of whether the Canal should be entrusted to the current leaders in Panama. I agree with President Somoza who has called Panama's interference in the internal affairs of Nicaragua the height of irresponsibility and cynicism and has stated that General Torrijos and President Aristides Royo are unfit to operate a canal of such socio-economic importance to the world. Is it possible that these people will comply with the neutrality provisions of the treaty?

In this face of this open agression against Nicaragua, the U.S. State Department is silent. On the other hand, the political and economic aggression by the U.S. State Department against the Government of President Anastasio Somoza is a matter of record.

On November 28, 1978, State Department spokesman Hodding Carter, referring to reports that Cuba and other governments had been supplying weapons to the Sandinista National Liberation Front, said “We have raised these concerns with Cuba and other governments.” On May 11 of this year, Panamanian President Royo said in Washington, D.C. that he had received no pressure from the U.S. to stop "any kind of aid” to the Nicaraguan terrorists.

Two days ago, on June 4th, the United States delegate to the Organization of American States stated formally before that body: “We condemn external intervention in the Nicaraguan situation if such be proven.”

The conclusive evidence which we are submitting to this committee today proves that there is external intervention by Cuba and Panama.

This foreign involvement in Nicaragua is internationalizing the present violence. Fidel Castro has clearly embarked on reckless adventurism in Central America which will eventually threaten the very security of the United States.

Mr. Chairman, if Nicaragua were to fall to the Marxists, so surely will all the Central American region. The Soviet Union will then control the entire area from the strategic Panama Canal to the oil wells of Mexico and the U.S. will surely come to rue the day it lacked the resolve to contain this expansion of Soviet imperialism on this continent.

Mr. Chairman, may I finish on a private note. I was a hostage during the Sandinista terrorist takeover of the National Palace in Managua in August 1978. At gunpoint I transmitted by telephone the demands of the ter ists to the government.

During a lull in negotiations, I had the opportunity to discuss politics with the terrorist leaders, and out of these conversations I know that we are dealing with unremitting Marxists who reject any and all peaceful and political solutions to resolve the differences in Nicaragua. Their prime objectives is to destroy the National Guard and replace it with a Castro-style people's army in the full awareness that only by this means will they be able to subjugate the Nicaraguan people and impose upon them a Marxist system.

I was told then, and again at the airport when those terrorists left Managua to fly to sanctuary in Panama, that I am a condemned man in their eyes. Since then, repeated attempts have been made on my life. I fear them not. But let me go on record that should they succeed, I hold those who support this Marxist terrorism responsible for my death.

APPENDIX 5

FINAL REPORT or THE GROUP OF MILITARY ADVISERS OF THE INVESTIGATING COMMITTDE OF THE COUNCIL OF THE ORGANICATION

ACTING PROVISIONALLY AS ORGAN OF CONSULTATION

(Resolution adopted on December 3, 1963)

FINAL REPORT OF THE GROUF OF MILITARY ADVISERS
OF THE INVESTIGATING COMMITTEE OF THE COUNCIL OF THE ORGANIZATION

ACTING PROVISIONALLY AS ORGAN OF CONSULTATION

I.

INVESTIGATIO. TO ESTADLISH THE ORIGIN OF THE MATERIEL FOU ID IN PUNTA
HACNIA OR MACAMBA

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The materiel found in Punta Macama or Macamba consisted of:

81 Automatic rifles, F.N. (F.A.L.) 7.62 nom Cal. NATO, (Fabrique Nationale

d'Armes de Guerre - Belgique). 996 Clips for automatic rifle F.N. (F.A.L.) 20,000 Cartridges, 7.62 mm Cal. NATO, ordinary ball, F.N. 1958 and 59. 81 Clip carriers for autortatic rifle F.I. (F.A.L.) with 12-clip capacity

each. 81 rifle slings for automatic rifle F.N. (F.A.L.) 28 Bayonets for F.11. (F.A.L.) automatic rifle. 31 Submachine guns, "UZI" 9 mm. Cal. L.P. (Fabrique Nationale d'Armes de Guerre

Belgique). 89 Clips for "UZI" subrachine guns. 25 Canvas clip carriers for "UZI" submachine guns with 12-clip capacity

each, 1,144 Cartridges, 9 mm Cal., L.P. F.N. (1960). 560 mm fi2 mortars with legs, base plates, and sights, Serial numbers of

the sichts are 47756, 73177, 99285, and 125774, the others are unknown. of the mortars two are marked M2 READCO 1943 (USA); one is marked KVS MFG & ENG. CO. 1945 (USA) and the identity of the other has been

obliterated. 97 60 un mortar shells, with propulsive and incremental charges and fuses

packed in individual cases. 56 of the shells are marked Lot SRD 500-14; 4 marked Lot SRD 500-10; 7 marked Lot SRD 500-1; 6 marked Lct MA 1-112; 21 marked Lot MA-1-183, and 3 are without lot number. Shells marked Lot SAD 500-14 in 7 boxes for storage, 3 marked Sublot. 7; 2, sublot 6; 1,

suhlot 8; and 1, with identification obliterated. 4 Knapsacks of pasteboard and canvas with capacity for five shells each. 20 3.5" rocket launchers (bazookas), 1:20, of which 10 are marked S.A.P.R.I.

and S.J.S. One of the S.J.S. launchers has an Italian grip. 275 Rockets (bazookas) 3.5" 128A2 marked 167, Lot SZA-1-44; 42, Lot COP

4-802; 32, Lot COP-4-724; 28, Lot, CCP-5-15-12-21; and 6, Lot SZA-1-58. 9 57 recoilless rifles, m18al. Serial numbers 20765, 22917, 7815, 20771,

21133, 11044, 6085, 23054, and 4148. 177 Shello for 57 no recoilless rifle marked 99, HE Lot LOP-13-54; 2 HE Lot LOP-13-118; 1, AE Lot LOP-16-18; 46, HEAT Lot LOP-2-80; 20, HEAT

Lot LOP-2-13; 8, HEAT Lot LOP 2-16 and i, WP SMOKE 57 Lot OAP-2-18. 2 Tripod carriers for light machine gun marked HMR Mount Tripod CAL 30

1946 and RIP ALM2 LVD 1942, respectively. 85 Canvas suspension belts.

700 .50" cal. cartridges in seven (7) metal boxes each with belts of 100

cartridges. 500 1956 cartridges and 200 1956 cartridges. 28 Demolition blocks M3 (C3 Composition) prepared without caps. 39 Demolition charges M3 (C3 Composition) marked INTERSTATE MIDDLETOWN, 0. 1 16-foct aluminum boat, Aluma. Craft Boat Company, Minneapolis, Minnesota,

Model F. 1 40 H.P. outboard motor, Model RDS-250, Serial No. C 357809, with gasoline

tank of 6 U.S. gallons capacity, Johnson, Peterborough, Canada.

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The Group of Military Advisers inspected various anns seized by the uzuelan authorities in operations against guerrillas. These arms represent îferent kinds of materiel of the kind norrally used by irregular military forces and were in no way similar to those found at Punta Hacama or Macamba.

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1.

Autorsatic rifles, F.N. (F.A.L.) 7.62 mm Cal. NATO (Fabrique Nationale

d'Armes de Guerre Belgique).

For the purpose of avoiding identification of their crigin, the right side of the magazine case had been perforated at the spot where presumably the coat of arms of the country of origin was stamped, while the serial numbers on the various parts were obliterated.

The cormittee has evidence that the only country to which arms possessing the characteristics similar to those found is Cuba. (Affidavit of the Fabrique Nationale d'Armes de Guerre Belgique, in the possession of the committee).

2.

Submachine guns, "UZI" 9 mm.

de Guerre Belgique).

Cal. L.P. (Fabrique Nationale d'Armes

For purposes of avoiding the identification of their origin the serial numbers had been removed from the different pieces of the weapon, and the area where presumably the coat of arms of the country of origin had been stamped was erased.

Laboratory experiments carried out, some of them in the presence of the committee,

made it possible to show on several of these weapons the coat of arms of Cuba, the legend EJERCITO DE CUBA (CUBAN ARMY), and the corresponding serial numbers.

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In order to prevent the identification of the origin, the serial numbers on the different pieces of the weapon had been erased.

The committee has evidence that a shipment of arms of this type and model was sent by the United States to Cuba in 1957. (Documents in the possession of the committee).

4.

Rocket launchers (bazookas), 3.5" Cal., M20 (S.A.P.R.I.) - (Italy)..

In order to prevent identification of the origin, the serial numbers on the different pieces of the weapon had been erased.

The Committee has evidence that a shipment of weapons of this type and mark was sent by Italy to Cuba in December 1959. (Document in the possession of the committee).

5.

Rocket launchers (bazookas), 3.5" Cal., M20 (S.J.S.

U.S.A.).

In order to prevent identification of their origin, the serial numbers on the different parts of the weapon had been erased.

The committee has evidence that weapons of this type and model were sent by the United States to Cuba in 1956 and 1957 as part of the Military Aid Prograni. (Documents in the possession of the committee).

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The committee has evidence that this lot of rockets was shipped by the United States to Cuba in 1957 as part of the Military Aid Program. (Documents in possession of the committee).

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The committee has evidence that weapons of this mark and model were sent by the United States to Cuba in 1957. (Documents in possession of the committee).

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The committee has evidence that this lot of shells was sent by the United States to Cuba in 1957 as part of the Military Aid Program. (Documents in possession of the committee).

9.

40 H.P. outboard motor, Johnson, Model RDS-250, Serial No. C 367809.

The Committee has sufficient evidence to support the statement that this motor was sent by a Montreal exporting firm to Havana on October 1, 1963, consigned to the "Instituto Nacional de Reforma Agraria, Sección Avícola" (Poultry Division, National Institute of Agrarian Reform). (Documents in possession of the committee).

10.

Remainder of the material.

It has not been possible to obtain evidence to permit identifying the origin of the material for which it is not indicated in the preceding paragraphs, although the material appears on the list.

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