INDONESIA

Your 75 [1] and our 81. [2]

1. United States are issuing a denial of rumours that they have
asked the new commission to go slow on the implementation of the
Council resolution [3] to give the Dutch time. They have no
intention of delaying to allow of time for alternate proposals. It
does however seem that the Dutch may be planning to by-pass the
Council's wishes by proceeding without negotiation and omitting
interim stages to the establishment of the U.S.I. The United
States Delegation here does not believe such precipitate action
likely but republican representatives claim to have confirmation
of Dutch intentions from The Hague and London.

2. Cochran now leaves tomorrow to see Spaak in Brussels and Drees
at The Hague. It seems most unwise for him to go to The Hague, as
if the Dutch should make some spectacular move while he is there
he would clearly be implicated whether rightly or wrongly. We
pointed this out to the United States Delegation but their
confidence in Dutch intentions rules out any chance of their
giving this aspect much thought.

3. Cochran himself however is disturbed at the prospect for the
future. He expressed this concern when he saw Palar this morning.

The Indonesians have stated that, should the Dutch ignore the
Council, guerilla warfare can be expected for years.

4. The way things are developing seems to us to be really serious.

If the Dutch persist with their unilateral approach, despite all
the warnings of International concern, the Council is going to be
faced at a very early date with a position which is both critical
and entirely new.

5. United Kingdom Delegation has nothing except what has been in
the press. They do however not rule out the possibility that the
Dutch may try the manoeuvre of asking the Council to hear the
Federalist Representative before they do anything further.

6. Nothing has been received from the Commission since
notification yesterday that the Commission had on 2nd February
addressed a letter [4] to the Acting Chairman of the Netherlands
Delegation asking for information at the earliest possible date
concerning the attitude of Netherlands Government toward Security
Council resolution of 28th January.

7. The Commission pointed out that the resolution requires that
unless the parties have reached agreement on an Interim Federal
Government by 15th February the Commission must report to the
Security Council and make recommendations for a solution.