Your UN. 13. [1]

INDONESIA

Further to our No. 19 [2], latest United States proposals appear
to be reasonably satisfactory so far as they go, but in our view
would be of little real value unless accompanied by specific
proposals regarding terms for settlement of the fundamental
dispute between the Dutch and the Republic.

As regards progressive withdrawal of Dutch forces, any decision
should ensure that it is effected prior to elections. Past
experience for example in Greece has shown futility of elections
under occupation. In addition progressive withdrawal, with
corresponding transfer of responsibility to the Republic, should
commence as soon as possible and question of a specific time limit
for its completion might be discussed with United States and
Indian representatives. The main point is that the programme of
withdrawal by stages must be determined and drawn up by the Good
Offices Committee (or its successor), which must also police its
implementation.

Withdrawal and subsequent elections will, however, not in
themselves accomplish anything unless at the same time conditions
for a settlement of the Netherlands-Republican dispute are also
prescribed. There is no point in merely trying to bring about the
return to the status quo in the hope that the parties can resume
negotiations and reach a settlement. So far as we can see, United
States proposals concentrate on the need for an election without
specifying what powers and functions the elected body would wield.

Nor do proposals appear to offer solution to questions such as the
use of armed forces and the powers of the Crown representative.

You should insist that any resolution should go the whole way and
embrace terms of settlement which will do full justice to the
Republican position. Failure to prescribe such conditions would
leave matters virtually as they were before the police action.

There are other points which should be borne in mind:-

(1) Provision should be made for the observance of elections not
by a small group but by a team large enough and with adequate
facilities to ensure a general election.

(2) Care will be necessary on the question of garrison forces. The
Dutch will doubtless argue that their military action is completed
and that all forces at present in Indonesia are performing
garrison duties. Dutch garrison or base forces should be permitted
only in agreement with Republican authorities and only in regular
military centres such as Batavia.

(3) It seems clear that powers and functions of the present
Committee of Good Offices will have to be extended, and we agree,
as indicated in our No. 7 [3], that consular Commission should
lapse.