My telegram 17th October D No. 1941.  Paragraph2(B).
JAVA Mr. Dening (Chief Political Adviser to S.A.C.S.E.A.) arrived at Batavia 20th October and has now sent a brief preliminary appreciation of the situation in Java. The following are the main points. Begins:
(A) Although Batavia itself is quieter, the situation is deteriorating as it must continue to do unless active steps are taken.
(B) It would be hazardous to estimate the degree to which the entire population of Java supports the so-called Indonesian Republic. But the considered opinion of a British officer who has recently toured island is that support is very widespread.
(C) Moderate elements led by Soekarno and Hatta are losing control over extremists. This is probably in part due to the fact that the tactics of moderates have so far gained them nothing. This encourages extremists to believe that more drastic action is necessary. If the Extremists break away from the control of Moderates there is danger that internees may be massacred.
(D) There are indications that demands made by Soekarno and Hatta are maximum bids which could probably be whittled down. Demands are- (I) That no more Dutch troops should be landed in Indonesia under Allied protection or otherwise.
(II) That all Dutch troops now in Indonesia should be taken away and that until then they should not operate as part of the Allied Army of occupation.
(III) That the Netherlands Indies Civil Affairs Organisation (please see my telegram 25th August D No. 1557 ) should remain quiescent.
(IV) That until the Indonesian question is reviewed by the competent world authority, the present administration should in the interests of peace, order and security be recognised as the de facto Government of Indonesia.
(V) That the Allied Army of occupation with no Dutch elements included in it should merely confine itself to its two proclaimed objectives regarding (I) War prisoners and internees and (II) disarming of Japanese.
(E) The above terms have been included in a letter addressed by Soekarno to General Christison and in a press statement by Hatta.
(F) The Dutch are unable to exercise any effective authority in Java and their lives are in danger except where they are under British protection.