Your telegram 108. [1]

It is true the Republic has been disappointed in Dubois, who is
not nearly as sympathetic as Graham. Moreover, the Americans have
now replaced the Belgians as the confidants and advisers of the
Dutch. Dubois openly pointed out this to me but implies that
Herremans' lack of grasp of the situation forces him into the
position. It is, however, too early to speak of reasons. On the
contrary, there is now a wave of hope following the two days tour
with the President of the Republic and Hatta [2], on which Dubois
was openly impressed with Soekarno and the spirit of the people. I
know that he is also critical of Vredenburch and Riphagen as Chief
Dutch negotiators.

2. During this month, probably commencing approximately the middle
of May, the Dutch are holding a conference at Bandoeng of
representatives of states, of states to be, and of representatives
of minority groups outside the Republic. Its primary task will be
to work out a plan for the structure of the United States of
Indonesia and to take an Indonesian share in the blue print of the
Netherlands-Indonesian Union. The Republic fears that the Dutch
will bring up for discussion matters which are at present the
subject of their negotiations and obtain agreement on proposals
which the Republic has already rejected. This would put the
Republic in an unfavourable light rejecting proposals which appear
reasonable.

3. I fear that the Dutch policy will be to press the Republic to
accept such proposals and that this pressure may be reinforced by
the Americans. The best safeguard would be to have proposals
acceptable to the Republic agreed to by the Committee on which the
Republic could, if necessary, go to the Security Council, in the
event of a breakdown in talks.

4. I am therefore endeavouring to obtain the Committee's
acceptance of proposals set out in my telegram 106 [3] but I am
not optimistic. The Dutch are already bringing pressure to avoid
another 'Christmas draft message'. [4] Van Vredenburch has told
the Americans he would walk out of talks if the Committee
presented formal proposals.

5. The question of formal presentation of proposals to the parties
is not as important at this stage, as obtaining formal agreement
in the Committee to the plan itself. So far the Americans have
countered my proposals with suggestions unsatisfactory to the
Republic which would
(a) delineate states before the Constituent Assembly is appointed
and only in Java, Sumatra and Madura;

(b) eliminate the Republic as a going concern during the period of
an interim Federal Government before the United States of
Indonesia is established.

6. I believe the solution of the dispute will eventually require a
stronger attitude by the Americans.