INDONESIA

Your 1052, paragraph 6. [1]

You should impress on Butterworth that in present delicate
situation Hatta has much less room for manoeuvre, than have the
Dutch. Consequently, while Critchley confidently expects that the
Republic will ultimately be able to accept the American proposals,
it is apparent that Hatta must proceed with caution for the time
being until he is certain that his position is clear. If he were
to come out immediately with unreserved acceptance of the
proposals, he might well alienate some of his more doubtful
supporters and upset present precarious balance. To press him to
show his hand at this stage would be to weaken his position. We
feel therefore that United States Government should not be too
greatly concerned with Republican reservations. it is the
Netherlands authorities who can most assist matters at this stage
by showing genuine spirit of compromise. In this connection,
Critchley reports that there are signs that American and other
pressures on the Netherlands are having some effect. The Hague has
telegraphed Batavia that it expects to be able to make a
'substantial contribution' by October 1st and the Netherlands
authorities have formally put off for at least a week the eviction
of Republican families from Batavia. The United States Government
can help greatly with continued firmness towards the Netherlands.