Emergency Bill for Indonesia, reference your telegram 110 [1] and
my telegram 163. [2] It appears that a bill containing provisions
in final form for the setting up of the Interim Government in
Indonesia is in the process of being drafted.

2. In the meantime the Emergency Bill which is being debated by
First Chamber today gives authority to Netherlands Government
(subject to subsequent ratification by States General within one
month) to take all necessary measures of a general nature 'for the
preparation of and the transition to the new legal status'.

3. No specific measures have as yet been announced but I believe
these will eventually provide for the institution, as the
situation requires, of the part or whole of the administrative
machinery of the Interim Government. For example, it is reported
that BEEL is proceeding to Batavia to take up position of High
Commissioner. If this is so the government would, according to my
understanding, have to abolish formally the post of Lieutenant
Governor General and introduce that of High Commissioner.

4. The comprehensive Bill mentioned in para. 1 is presumably based
on recent discussions with Federalists and I imagine that
Government does not wish by its introduction now, to give the
impression that it is limiting the scope of further discussions
with Republicans.

5. The Emergency Bill, should as far as I can see, give Government
a free hand for making adjustments to final form of Interim
Government as between all parties concerned.

6. Text of Bill will be forwarded by next bag.