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Crusade of Revolutionaries Against Communism

[Reference: NARA RIF #124-10294-10061]

June 30, 1959
The Director
Mr. A. H. Belmont

1-Mr. Belmont
1-Mr. Donahoe
1-Mr. Nasca


Mr. I. Irving Davidson, registered Nicaraguan agent who has been volunteering information during past two months regarding the Caribbean developments, contacted me at 4 p.m. today and said he had urgent information to impart.  I arranged to see Davidson at 4:30 p.m. at which time he related the following story to myself and Special Agent R. D. Cotter:

Davidson said that he has spent much of his time during the past 10 days with Captain Francisco Rodriguez, Cuban Army captain who recently defected from the Castro regime, and his cousin, Francisco Maria Rodriguez Couceiro, an attorney who came to United States (US) with Captain Rodriguez.  Both Captain Rodriguez and Rodriguez Couceiro have been previously interviewed by Bureau and are self-admitted representatives of anti-Castro group known as Crusade of Revolutionaries Against Communism (CRAC).  Davidson claimed that he had arranged with them to meet Cardinal Spellman of New York and Spruille Braden, former prominent US diplomat in South America, last week.  He said both Spellman and Braden approved CRAC's plans to oust Castro.

According to Davidson, there are at least a half dozen different anti-Castro organizations in and out of Cuba; however, the CRAC group is the only one which is well organized, heavily backed by the "substantial" people in Cuba (professional men, engineers, etc.), and has sufficient financial support to pose a real threat to Castro.  In the latter connection, Davidson said that CRAC is being backed by the wealthy Cuban sugar magnate, Julio Lobo, although this fact is a highly guarded secret known to only a few people.  He described Julio Lobo as probably the wealthiest individual in Cuba who owned a number of sugar mills and who is internationally known in financial circles.  Davidson expressed the belief that if responsible US leaders knew that Lobo had aligned himself with CRAC forces, the US might adopt a more favorable attitude and might be willing to encourage CRAC leaders in their plans.

Davidson said that Lobo is now in the US undergoing an extensive medical examination at the Leahy Clinic in Boston and that it is expected Lobo will spend several days this week at the Boston Memorial Hospital under the care of Paul Dudley White, who attended President Eisenhower following his heart attack.  Davidson said that Lobo is also maintaining a suite at the Sherry-Netherlands Hotel, Room 1809, New York City.  According to Davidson, Lobo's current visit to US was not prompted primarily by need for medical examination but was made in hope of contacting US officials and securing US approval for CRAC plans.

1-Bufile (2-1423) (Davidson)

[page 2]
Memorandum to The Director
Re: Anti-Fidel Castro Activities

Davidson claimed that with knowledge of Lobo, Captain Rodriguez, and Rodriguez Couceiro, he has been in touch with Mr. McCray of the Central Intelligence Agency (CIA) during the past week.  Davidson believes that McCray is CIA expert on Cuba.  Davidson had advised McCray of Lobo's connection with CRAC and of latter's desire to discuss Cuban situation with responsible US officials.  According to Davidson, McCray expressed great interest at first and indicated he would immediately notify top CIA officials, including Allen Dulles.  In fact, McCray reportedly indicated to Davidson that a CIA representative would be in touch with Lobo at New York City on June 29.  Davidson said that, despite this assurance by McCray, Lobo has not has yet been contacted by CIA or other US representatives.

As a result, Davidson said that Lobo and other CRAC leaders have indicated that they may be forced to deal with Generalissimo Trujillo of the Dominican Republic and with irresponsible Cuban elements (referred to by Davidson as "riffraff") who have taken refugee in Dominican Republic.  In this connection, Davidson pointed out the CRAC leaders have up to now avoided any entanglement with Trujillo or Cuban forces in Dominican Republic (led by Jose Pedraza and Colonel Esteban Ventura), despite tempting offers to join forces.  However, CRAC leaders feel that if they do not get approval of US they will be forced to make a pact with Trujillo.

Davidson said that Lobo and other CRAC representatives did not desire any material assistance from US in the way of money or men.  He said that Lobo had already pledged to completely underwrite the campaign against Castro from the financial standpoint and that CRAC's military plans were already formulated without any reliance on US assistance.  He said that the CRAC leaders only wanted one assurance from US; namely, they wanted US to guarantee that when the attack against Castro is launched, and Davidson indicated it would come from Guatemala, US would see to it that there is no interference from Trujillo or Cuban "riffraff" in Dominican Republic.  Davidson said that he has already advised McCray of CIA of the foregoing as well as the decision of CRAC leaders to join forces with Trujillo if the US does not give its approval within the next day or two.

Davidson pointed out that, according to his information, Cuban forces in Dominican Republic plan to attack Cuba within next 20 days.


Concerning Lobo, Bureau files show his full name is Julio Lobo Olavarria.  He is reputed to be worth several hundred million dollars and for a number of years has been dominant figure in Cuban sugar industry.

According to CIA National Intelligence [CAN NOT READ] Cuba, Lobo, included as one of key Cuban personalities, has reputation for sharp and unethical practices and is considered strictly an opportunist politically.  He was born in Venezuela 10-30-98 and during World War II his firm, Galban, Lobo and Company, acquired unsavory; reputation for dealing in black market and reportedly contributed money to fascist groups in Cuba.  During 1942-1943 FBI conducted investigation of Galban, Lobo and Company and several affiliates, including his New York representative, the Olavarria Sugar Corporation, to determine whether they were engaged in pro-German activities; however, investigation failed to develop any substantial evidence of pro-German activities or other activities inimical to US interests.

I pointed out to Davidson that the facts he had to furnished appeared to involve a policy matter which is within the province of other US agencies.  I again reminded him the FBI is not in a position to set policy and that our function is simply to collect intelligence and conduct investigations where appropriate.  I also pointed out to Davidson that he had already given the facts in this matter to CIA and that CIA has presumably discussed the situation with the State Department, but that in view of possible significance of data we would disseminate it to the interested agencies.  I told Davidson that other agencies would be in a better position to properly evaluate this data if it was openly attributed to him and he readily agreed that his name should be disclosed as the source.


We are making appropriate dissemination under date of 7-1-59 of the information provided by Davidson to State Department, CIA, the military agencies, the Joint Staff, and the Department.  Facts related by Davidson are being set forth without comment.
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