Your telegram 336  paragraph 6.
Ubani disclosed to us this morning that he has discussed this platform with Nehru who considers (a) that no steps should be taken to form an Indonesian Government in exile pending treatment of the matter by the Security Council;
(b) but that if the Security Council fails to achieve a Dutch withdrawal, to effect a release of political leaders and otherwise to provide satisfactory solution, a Government in exile should be formed.
I asked Ubani where it was contemplated that it might be set up.
He replied that it would probably be India 'since India is the centre of Asia'.
2. Soedarsono is arriving in Delhi today, in company with Oetoyo the Indonesian representative in Singapore. Oetoyo is expected to return to Singapore after a short stay.
3. Ubani nevertheless pressed the point of action being taken outside the Security Council by friendly countries including Australia. He spoke of political as well as economic sanctions suggesting that Australia and New Zealand might break off diplomatic relations with the Dutch, apply various economic sanctions and perhaps provide volunteers and arms. He hoped that his various views would be passed on by you to New Zealand.
4. Ubani stated yesterday that Burmese Charge d'Affaires has informed him that it is the intention of Burmese Government to impose economic sanctions against the Dutch by denying them shipping and air facilities. Asked when this reported decision might take effect he replied that Burma would await India's lead.
He has also seen Siamese who have said guardedly that if action of this kind by neighbouring countries is likely to be successful they would join in on it but would otherwise hold aloof. Having now seen the High Commissioner for Ceylon and Pakistan, he said today in a somewhat vague fashion that 'Ceylon will also be much influenced by whatever step is taken by Asia' and that 'Pakistan will not lag behind India'.