Burton has discussed Indonesian situation with Critchley, who
agrees that the best procedure is to hold off Assembly discussion
until current negotiations at Batavia have had a chance. Critchley
is most pessimistic about the result and believes that the threat
of discussion in the Assembly is the only factor at present having
helpful influence. United States representative is apparently
acting under instructions not to embarrass the Dutch and the Dutch
in negotiations are confident they can bargain and stall until
they obtain the complete surrender of the Republic including the
army. Critchley believes that there should be strong pressure put
on the State Department now and at the Assembly holding them
responsible for lack of progress in negotiations and encouragement
of Dutch intransigence. Burton points out that while this might
from some points of view be awkward for Australia, it is not
nearly as awkward as the situation which will arise if the
Indonesian situation deteriorates and countries of the region take
enforcement action which they are now contemplating. Critchley
reports that the United States representative is pressing the
Republicans to accept the conference at The Hague after the
agreement to release prisoners and set up capital, if such
agreement is in fact implemented. Burton suggests you might have
opportunity of a frank discussion with the United States
representatives, warning them that if the matter comes to the
Assembly without real progress at Batavia, United States' attitude
would be brought into the question, not merely by ourselves but by
India and others.