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It was obvious that the PPP Government fell victim to the Cold War mentality that prevailed the time. The rabid anti-communist ideology and policies practised by the United States Government could not tolerate any Government which it perceived as working contrary to such ideology and practices. The PPP from its inception was regarded by its opponents as "communist", especially since the Party openly stated that it was working towards the building of a society based on the principles of socialism.

The PPP's ideology of socialism and its contacts with socialist parties internationally were carefully documented. Governor Charles Wooley in a letter to the Colonial Office on 18 March 1953, sent details of what he claimed was the PPP's relationship with international communist organisations.

With the growing influence of the PPP, the Sugar Producers' Association agitated for the removal of the PPP from the scene even before the 1953 elections. It sent many reports to London complaining that the Governor (Wooley) was unable to deal firmly with the PPP to eradicate its influence. The Association even demanded his removal claiming that he was too tolerant. Anti-PPP persons also petitioned the British Government to prevent the PPP from taking office even after the party won the elections.

The PPP Government's programme of socio-economic reform was aimed at improving the lot of the working class. All of these actions were keeping with its pre-election manifesto, so it was hypocritical for the British colonial authorities to place barriers in the way of the proposed reform policies. No doubt, because these policies seriously challenged the control of the society by the privileged class, the British Government, fully supported by the US administration, decided to suspend the constitution and remove the Government from office.

The British Government's reasons for its actions were given by John Gutch, the Chief Secretary, in a radio broadcast on 9 October. Most of the reasons he gave pointed to the Government's alleged "communist" policies. He claimed that the British action was aimed at preventing "communist subversion of the Government and a dangerous crisis both in public order and economic affairs." The main points of his statements were:

1. The "faction in power" showed by their acts and speeches that they were prepared to use violence to turn Guyana into a communist state which would be used to extend communist influence in the Western Hemisphere.

2. The elected Ministers and the PPP were under the control of a communist clique who included Dr. and Mrs. Jagan, Sydney King and Rory Westmaas. These leaders participated in the work of the World Federation of Trade Unions, the World Federation of Democratic Youth, the World Peace Council and the Women's International Democratic Federation, which the British Government claimed were communist organisations.

3. Ministers used their positions as trade unionists to encourage strikes in the sugar industry and attempted to introduce legislation to control the trade union movement.

4. The Ministers used their supporters to intimidate the opposition and they tried to undermine the loyalty of the Police by planning to establish a People's Police.

5. The Ministers wanted to bring the public service under their political control.

6. The Ministers established the Pioneer Youth League to undermine the established youth movements such as the Boy Scouts and the Girl Guides.

7. The Minister of Education (Burnham) announced that he intended to remove the Churches from controlling the education system and to revise text books with the objective of indoctrinating children with PPP political views.

8. The Ministers established a Guyana branch of the "communist inspired" Peace Committee. They were also "disseminating communist subversive propaganda" and were directing "subversive activities." They were also supporting "communist terrorists in Malaya," and were deliberately fomenting "racial hatred."

9. The policy actions of the PPP Government were harmful and alarmed "moderate opinion."

10. The Ministers had no intention of making the constitution work, and their sole plan was to seize the whole country and run it as a totalitarian state.

At the end of his statement, Gutch announced that the British Government would appoint a Commission of Inquiry "to enquire into events . . . . which have led to this check in the political advance of the Colony and to make recommendations for a revised constitution."

Later that day, the Governor, Sir Alfred Savage, made a statement on the radio in which he repeated the "reasons" advanced by Gutch. Then on the 20 October, the British Government published a White Paper which was aimed at justifying the action of removing the PPP Government from office. It listed the "reasons" outlined in Gutch's statement and added the "accusations" that the PPP Ministers removed the ban on the entry of West Indian communists; introduced a bill to repeal the Undesirable Publications Ordinance in order to flood the country with communist literature; neglected their administrative duties; and misused their rights to appoint persons to boards and committees. [The Commission of Inquiry appointed subsequently in December 1953 detailed these presumptions as its findings in its report issued in September 1954.]