The Republicans returned from Bangka on 17th June to report that Hatta was not enthusiastic about the proposal for a personal letter to Van Royen referred to in my K.317. 
2. Hatta is concerned at the delay in restoring the Republican Government (see my K.318 ). He feels it unreasonable that he should be expected to undertake unilaterally such far-reaching commitments and has, therefore, instructed the Delegation to obtain from the Netherlands compensatory undertakings- (a) That the Republican Government will be restored at Djokjakarta by 27th June-the commencement of Rhamadhan.
(b) That sovereignty will be unconditionally transferred to the United States of Indonesia by the end of this year.
3. After lengthy informal discussions this week-end, the delegations have agreed upon the following compromise- (a) At a meeting to be held as early as practicable, the conditions for the round table conference to be formalised. (These conditions (see my immediately following telegram ) have been informally agreed to by the delegations and by some representatives of the B.F.O.) (b) At the same formal meeting, Van Royen to make an agreed statement committing the Netherlands to begin the withdrawal of Dutch military forces from Djokjakarta on a specified date and indicating that the withdrawal will be completed within a limited time.
(c) No publicity or formality to be given to the three documents for the cessation of hostilities, but on the day of the meeting, the letters of Van Royen and Hatta referred to in paragraphs 2 and 3 of my K.317 to be exchanged.
4. Van Royen's statement would not meet the deadline of 27th June, but should satisfy the Republican demands for a Dutch commitment to an early restoration of the Republican Government. Paragraph 2 of the conditions for the round table conference (see my K.320) is as far as the Netherlands Dutch will go towards meeting Hatta's demand for a fixed date for the transfer of sovereignty.
5. The Commission hopes to call the proposed formal meeting on Tuesday evening, 21st June, or Wednesday morning. This will give time to the Republican Delegation to confer with their leaders on Bangka and to Van Royen to consult with The Hague and Overseas Minister, Van Maarseveen, who is expected in Batavia tomorrow.