For the past two months, a bitter division within the Armed Forces Movement had brought government in Portugal to a virtual standstill and the country perilously close to civil war. Focus of the dispute was General Vasco dos Santos Gonçalves, 54, a close ally of Communist Party Boss Alvaro Cunhal and a woolly-minded Marxist ideologue who favored the creation in Portugal of a socialist state along Eastern European lines. Last week in an apparent victory for moderate forces within the M.F.A., Gonçalves fell from power. In the face of virtually open rebellion by...
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