1954 Coup d'etat of Guatemala

1954 Coup d’etat of Guatemala

Various countries around the world have experienced coups d’etat that have seen fully elected heads of states ousted from their office. Guatemala is one of the countries that experienced a coup d’etat in 1954. The democratically elected president- Jacob Guzman Arbenz was ousted from office in a coup d’etat alleged to have propagated by the United States and CIA. Business interests and differences in ideologies between the S government and the president of Guatemala necessitated involvement of CIA and US in the coup d’etat. The paper systematically delineates the reasons for US involvement in the Guatemala coup d’etat.

Business interests are one of the reasons for US involvement in the Guatemala coup d’etat. US wanted to continue exploiting the available land resources in Guatemala in advancing its business through its multinational corporations. However, the president of Guatemala Arbenz was opposed to this. He was an obstacle to the US as he came up with land reforms that disfavored US activities. One of the multinational corporations that US used for their business advantage was the United Fruits Company (UFC).

Background of United Fruits Company

This was a corporation set up by America and involved in trading of tropical fruits (bananas). The bananas were grown on large plantations and its markets involved Europe and America. This company was formed in 1899 after a merger between Andrew Preston’s company and that of Minor Keith banana trading concerns. The company flourished in 19^th and 20hth century and because of its achievement influenced political and economic development of several countries in Latin America.

Guatemala issues with the United Fruits Company

Guatemala had several issues with the activities of United Fruits Company. One of the issues that the people of Guatemala had was the exploitative nature of the company. The company had acquired huge acres of land which otherwise could be used by the citizens to farm and carry out their projects for their own benefits. The company, therefore, denied the local people an opportunity to use their land. Secondly, the company favored capitalism and went ahead to use unscrupulous ways such as corruption in amassing wealth. It therefore, denied equal distribution of wealth rendering many local people poor as the mighty and those of higher status continued to benefit from its activities. Third, is that the company was not abiding or paying taxes to the government. The Company officials colluded with dictatorial leaders who protected it and exempted it from paying taxes while benefiting them in expense of the whole countries. Leaders such as Manuel Jose Cabrera were dictators and used their powers for their own benefits (Holland 37).

The history of Guatemala also contributed to the US involvement in the Guatemala coup d’etat. The past relationship between US and Guatemala was positive since the leaders supported US capitalist interests. Before coming in power, US participated in enforcement of national law and order in Guatemala with the police officers. This relationship made leaders of Guatemala to exempt US from paying of taxes to the Treasury of national Guatemala. US was also allowed to sell its public utilities to local private entities and even went further to ceded some of the prime farmland to some foreign companies for their individual, private, and economic exploitation. Furthermore, the Monroe doctrine signed in 1823 by US to replace colonial imperialism of European mage US to assume its control over Guatemala as its hegemony making it to take over labour and natural resources of the people of Latin America (Streeter 40). The leadership of Arbenz interfered with this cordial relationship as he encouraged equal distribution of resources and was viewed to be promoting communist, which US was against. This, therefore, led to US involvement in the coup d’etat.

US intervention in the Guatemala coup d’etat was borne out of the need to protect and preserve their political and economic dominance in Guatemala. The former dictators such as Manuel Jose Cabrera and Jorge Ubico (1931-1944) provided good environment for US investors by opening their land to them without restriction and granted them financial and political favors to their corporations such as United Fruits Company (Holland 36). The corporation had huge investment capital and therefore invested in the capital stock through buying of shares that saw it take control of the stock. Ubico, had share interests in the company which made him to support the corporation. The corporation also helped in building of projects in the country. For instance, it helped construct railroads, electrical utility and telegraph and contributed wholesomely in the economic infrastructure of the Guatemala. Because of vested interests in the company, the president-Ubico ceded best agricultural land and the control of Barrios Puerto, the Caribbean sea port which granted access of Guatemala to the Atlantic ocean in favor of financial support. The leadership of Ubico was subservient to international/foreign business interests exhibited through United Fruit Company. During this time, US benefited from these relationships as it got ready market for its business making it benefit from the relationships.

To demonstrate their vested interest, US supported the ascension to power of ;Ubico terming him as an efficiency leaders that put interests of his people first (Streeter 41). Ubico was non-communist and therefore, his view and inclination seemed to conquer with that of the US hence explaining the support granted by US. He protected the economical and financial interests of the elite in Guatemala, and the rich as opposed to the peasants, trade unions and working class. Therefore, his patronage to the mighty was evident when it came to granting land ownership and issues to do with labor relations. Ubico established draconian labor laws in the name of debt slavery. This labor management laws allowed the employers or permitted the property owners to punish the work force through corporal punishments in circumstances for breach of contract between the two. He ceded prime lands to the United Fruits company and went ahead to exempt them from paying taxes. Furthermore, he granted establishment of US military bases in Guatemala hence submitting his country to the United States hegemony. The coming on power of Arbenz presented a threat to the capitalist and evasion of taxes by the United Fruit Company. The inclination of the president therefore, contributed to the coup d’etat as the US intervened to bring to an end his ideologies of communist.

US intervention in the coup d’etat was also necessitated by election of leaders that were not pro capitalist. The US therefore feared the possibility of losing their market and business in Guatemala. For instance, leaders such as Juan Bermejo believed in equality and when ahead into grant land to majority peasants in Guatemala (Cavallero 24). Such action was posing a threat to the US as it could lose a lot of land hence jeopardizing its business. The new constitution dispensation allowed granting of land to the peasant majority in the Guatemala. However, the liberal social and economic policies entangled with spiritual socialism of the president were received in a negatively by the wealthy and land agentry hence accused Bermejo for supporting communism (Holland 37). This raised an eyebrow to the government of US during this time of cold war making United States to take note of the accusations. In promoting democracy and equality, the president Bermejo promulgated new labor laws that were friendly to the workforce rights. The laws were amongst the business practices of the United Fruit Company, seen to be exploitative.

Beginning stages of cold war played a crucial role in the ousting of Guatemala president from office. His ideologies seemed to conform to threat of Soviet Union which the United States and CIA was opposed to. The adversaries that existed between the western and the eastern countries after the World War II therefore promoted the USA and CIA to intervene in the matter and ensure that Guatemala does not become a communist country. Furthermore, the sourcing of weapons from Germany by Arbenz triggered or heightened the propaganda war making US to engage in the coup d’etat.

Another reason for US intervention was the events that culminated before Arbenz came into power. His predecessor president Bermejo allowed political rights to the people of Guatemala. His support of a group of Latina American reformists called Caribbean legion, intellectuals and military officers that were behind elimination or eradication of right wing dictatorships tycoons in Dominican republican, Costa Rica, Venezuela and Nicaragua precipitated Arbenz ousting (Holland 46). The central intelligence agency termed the Caribbean legion as a destabilizing force that presented threats to the US interest in the western hemisphere Cavallero 26).

Reformation in the land sector and empowerment of people of Guatemala under the leadership of president, Arbenz contributed to US intervention in the coup d’etat. Arbenz worked hand in hand with Guatemala labour party in implementing, composing and establishing realistic land reforms that promoted equality as opposed to colonial periods and during the reign of dictatorial regimes. The wealthy people by 1945 owned an approximate of 70 percent of the arable land in Guatemala but only 22 percent of that land was in productive use (Cavallero 23). The land reform was promulgated under hospice of decree 900 saw many peasants embrace the changes. Because of these changes, the rich and upper classes, through political actions accused the president as being influenced by communist’s minority in the national senate of the Guatemala. This political unrest ushered civil unrests in the entire country threatening business interests on the United Fruits Company in Guatemala. Reforms saw an approximate of 400 hectares of land expropriated from United Fruits Company. The company through its US government demanded $15,854,849 as refund for the land repatriation (Holland 39). However, the government refused to pay the company citing that it was in violation of national sovereignty of the Guatemala. This action by the government aggrieved US compelling it to engage in the coup d’etat.

Methods used by CIA and US in deposing of President Arbenz

Propaganda played a crucial role in the coup d’etat in Guatemala. Propaganda formed the basis of the coup d’etat in Guatemala. Political rumors, mass communication and pamphlets formed or acted as the medium through which this propaganda was done. Other methods used included weekly political publications placed at strategic points. The pamphlets were against any foreign financial support and international political parties. Others included assassinations propagandas. All these propagandas were meant to trigger the psychology of the people of Guatemala to enable them support the coup. When land expropriations continued, the United Fruits Company sought assistance from Eisenhower to help in reversing the decree 900. To achieve this, Edward Bernay was employed. He was a public relations and advertising specialist. He organized, directed and created psychologically inflammatory campaigns on anti-communists. The campaign was carried out through radio, televisions, print and film. This propaganda campaign aimed at toppling the government of Arbenz for his liberal view on land reforms. The campaign saw US reduce its reduce economic aid and trade with Guatemala. This ban negatively affected the republic of Guatemala, as approximate 85 percent of its exports was taken to US as well as it 85 percent of imports came from US (Cavallero 17). This sanction was done in secrecy since US was signatory to the Latin America non-intervention agreement otherwise, other Latin American countries could have come in and supported Guatemala in overcoming the economic warfare that faced it.

Other methods to overthrow Arbenz were organized in 1951 under the umbrella “operation PBFORTUNE,” meaning republic of Guatemala. While fortune and success meant confidence, that Center of Intelligence Agency had that this plan /operation was going to be a success. The social unrest witnessed in 1952 during the implementation and passage of the Agrarian Reform Laws led to criticism that a communists was born in America. US was against communist and therefore it branded Guatemala president as being a puppet of the Soviet Union. These accusations were done in malice and were propagandas aimed at indenting the leadership of Arbenz.

Propaganda machinery was the formation of operation PBSUCCESS that was aimed at heightening the US fears that Guatemala was becoming a communist state. Colonel Carlos and his army was appointed as the president of Guatemala. To justify US Interventions in the internal affairs of Guatemala politics, Center of Intelligence Agency launched yet another operation dubbed operation PBHISTORY that was unsuccessfully in alleging that Guatemala was being influenced by western hemisphere countries- soviet union.

US employed secret ploy by supporting his opponents through aids in terms of logistical, financial and military support in the ousting of president Arbenz. The CIA head Smith reruited a spy to aid them in effecting the coup d’etat but the officer reported that no individual was ready to betray the sovereignty of Guatemala. However, the Nicaragua president Somoza informed the administration of Truman that a rebel group existed that was led by Castillo. The dictator Somoza and president of Dominica Rafael offered to supporter the coup d’etat on the promise of support from CIA. Connections with the anti-communists Castillo was made on how invasion were to be carried out from Honduras, El Salvador and Mexico. The operation PBFOUTUNE was effected on September 1951(Moye 44). However, the secret of the planed coup de d’etat hit a snag after Somoza hinted to the heads of states of Central America of the plans by CIA. His betrayal provoked diplomatic problems for the US which was a signatory to 1947 Rio pact. This was a treaty by the Latin American countries that was derived from the good neighbor policy presided by the FDR administration between 1933 and 1945. CIA and US Department aborted the plan after becoming politically feasible.

Rebel groups were other methods that US department and CIA used to ensure that president Arbenz was ousted from his office. The operation PBSUCCESS led by president Eisenhower facilitated this. Eisenhower was more adventurous and preferred secret warfare in his covert operations. Use of rebels groups was more cost effective of bringing Soviet Union hegemony to Guatemala to an end (Moye 44). These rebel groups led by Carlos launched fruitless coup d’etat, which led to arrests of its three supporters hence jeopardizing the efforts of CIA.

Guatemala army of liberation was yet another method used by US in intervening in the coup d’etat in Guatemala. CIA appointed three politico-military leaders who were to be in charge of the Guatemala army of liberation. The three appointees supported the ideologies of USA and included Cerna, Carlos and General Fuentes. After learning of the intentions of the US military, the president of Guatemala- Arbenz shopped weapons from Germany (Moye 44). This shipment elicited mixed reactions and formed the basis of the US Propaganda war against the president from supporting the communist.

CIA and US department invasion of Guatemala

CIA invasion took place on June 18, 21958 led by Colen Castillo. The colonel was the leader of 480 Guatemalan army of liberation (Moye 44). Their forces were in four groups and entered Guatemala through five vantage points, namely El Salvador and Honduras borders. This strategy was aimed at creating false perception on the Guatemala republic that the military invasion was more superior to that of Guatemala army. The military under Castillo disrupted communication lines, telegraph and key bridges to disrupt communication.

Guatemala army of liberation failed in its tactics and strategy but Arbenz allowed them to advance in his territory. This was a sign of panic and fear by Arbenz that US military could intervene in the support of the invaders. Other fear of Arbenz was that his military could be cowed into siding with the invader. The Chiquimula army garrison surrendered to Castillo forces and after which the president resigned on June 27, 1954 and exiled to Mexico marking his end of leadership. The mission of the CIA and United States had been accomplished.

After the coupe d’etat, USA and CIA launched operation PBHISTORY CIA by sending its agents to analyze government documents to find out whether indeed Guatemala was a becoming a communists follower or mouthpiece of the Soviet Union (Toke and Facundo 192). After stringent scrutiny of these documents, no substantial information was found to associate the government of Arbenz with links from communist countries such as Soviet Union. Some business tycoons claimed that Arbenz was a nationalist and therefore a communist threat to the American business interest hence supported the coup d’etat against him.

The ousting of the president elicited mixed reactions. For instance, those in support of Agrarian land reforms and beneficiaries of the decree 900 were unhappy while those from upper class and those affected by the decree 900 welcomed the move and agitated for the introduction of the former system of land ownership and capitalism in general. Further, on the coup d’etat, the state department of US said that it happened as a result of untrue or mistaken geopolitical perceptions that the president and labor part instigated the civil unrest on making foreign owed farmlands to be national.

The reasons that made US and CIA to intervene using clandestine operations as opposed to FDR good neighbor policy was to ensure that the operations were secretive. This could obscure or disassociate US as being part or to have contravened the Rio Pact agreement. Another reason for the use of clandestine operation was to conceal their motive in order to avoid revelation of their intention to the public. Such a move could have led to retaliation and even more problems in terms of relationships between the two countries.

President Arbenz failed to negotiate and cooperate with the United Fruits Company wishes because; he held social and economic ideologies. He was a leader that believed in the equal distribution of wealth to all the society. The former regimes were dictatorial and therefore, this made many of the poor people to be denied a fair share of their natural resources. Arbenz believed that foreign companies were doing a disfavor to the people of Guatemala who had a constitutional right to own land. This contributed to his failure to cooperate because of the ideologies of predecessor government. Having succeeded from a president that was against dictatorship, it contributed to his stands, hence reasons for his failure to cooperate with USA.

Conclusion

The interests of US in the country agitated the coup d’etat in Guatemala. The people of Guatemala did not deserve what happened because it contravened their sovereignty as a nation. It was instigated by a misconception and misperception that Arbenz was a communist. This was not the case as Arbenz only wanted to see a just and fair society that allowed equal distribution of resources to the people.

Works Cited

Cavallero, Eric. “Coercion, Inequality and the International Property Regime.” Journal of Political Philosophy, 18.1(2010):16-31. Print.

Holland, Max. “Private Sources of U.S. Foreign Policy: William Pawley and the 1954 Coup d’État in Guatemala.” Journal of Cold War Studies, 71.4(2005):36-73.Print.

Moye, Laura. “The United States intervention in Guatemala.” International Social Science Review, 73.1(1998):44. Print.

Streeter, Stephen. “Managing the Counter revolution: The United States and Guatemala, 1954- 1961.” In: Research in international studies. Latin America series; no. 34. Ohio University Center for International Studies. 2000. eBook. 401p.

Toke, Aidt, and Facundo, Albornoz. “Political regimes and foreign intervention.” Journal of Development Economics, 94.2(2011): 192-201. Print.