INDONESIA.

State Department clearly do not think it possible at this stage to
persuade the Dutch to comply with the letter of the January 28th
Resolution. [1] Their line of approach is to press the Dutch to
clarify their proposals and to come forward with further
assurances. They consider this should be done either before or
immediately after the Security Council meets.

The United States position in the Security Council will probably
be along the following lines:

(a) Concern at the failure of the Dutch to comply with the
Security Council Resolution.

(b) Insistence that the Republican Leaders must be given full
freedom of movement to consult with Republican Leaders in Sumatra
and Central Java.

(c) Stress on full role for the Commission.

(d) Statement that Dutch proposals are vague and obscure.

(e) Request for full details.

The State Department consider it quite impracticable for the
conference to commence on March 12th. It would be impossible in
such a short time for the Republicans Hatta and Soekarno to
present a Republican point of view. Although they feel The Hague
is not the best site for negotiations, they are not inclined to
favour New York and are considering the possibility of suggesting
Ceylon or Baguio.

The State Department does not have a clear picture of the present
attitude of the Republicans following Koets's visit [2] to Bangka.

They believe, however, that, providing that the Security Council
remains adamant, particularly regarding the re-establishment of
the Republican Government and maintenance of the Commission's
authority, the Republicans will probably agree to participate.

United States hope that, before any negotiations, the Republicans
will be able to reach some measure of agreement with the
Federalists.

In our conversations with the State Department, we have stressed
that the Security Council must follow through its decision, and
that the Dutch proposals fall far short of compliance. However, we
believe that the above is a realistic summary of trend of United
States thinking. We have not had an opportunity of discussing
nomination today by the Dutch of Republican Representatives to The
Hague talks, but the State Department is alive to the possibility
that Dutch may proceed to hold conference unless the Council acts
quickly.