INDONESIA

Following is summary given to us by Indonesian Representative of
aide memoire [1] from Hatta to Stikker after conversations first
week November.

'(1) The Republic is firmly determined that talks leading in the
direction of a political agreement should be held in the presence
of the Committee of Good Offices and be based on the Cochran plan
[2];

(2) The interim period shall begin as soon as possible, with
December 1st, 1949, as the target date for its conclusion;

(3) The interim period will fall into two phases; the beginning of
the first phase will be marked by the formation of a Cabinet by
the Republic of Indonesia and the representative of the Dutch
Crown; simultaneously there will come into being an interim
representative body nominated by the constituent states on the
basis of proportional representation;

(4) At the end of six months elections shall be held throughout
Indonesia for a Constituent Assembly;

(5) The second phase will begin with the election of a President
by the Constituent Assembly; the President will call upon any
individual to form a Cabinet, such individual thereupon becoming
Prime Minister;

(6) The members of the Cabinet shall be Indonesian citizens and
the Cabinet, to which shall be given clearly defined powers, will
be responsible to the Constituent Assembly;

(7) The Constituent Assembly shall delineate the member states,
establish a constitution for the United States of Indonesia, and
devise the statute of the Netherlands-Indonesian Union.'

Indonesian representative has also given us following summary of
Indonesian position at commencement of the current talks.

'Hatta maintains that the federal armed forces should remain under
the control of the interim government; the Dutch, however, are
anxious to vest control in the hands of the Crown Representative,
this subject is still in abeyance. The most difficult problem
centres around the powers of the Crown Representative. Hatta will
only go so far as to give him the power of veto and the right of
final decision in certain clearly defined matters.

Hatta is prepared to make a concession in the case of the Federal
Council and will not press for more than a third of the seats
being given to the Republic. Hatta is firmly of the opinion that
the Committee of Good Offices should remain seized of the
Indonesian question till the very moment the Dutch transfer
sovereignty to the U.S.I.'