I am enclosing some background papers which would not have reached
Canberra at the time you left. These are-
(1) Personal letter [1] to McIntyre of the 10th January, with
Appendices.

(2) Translation of final speeches of Republican leaders on the
19th December. I have been given no proof of the authenticity of
these, but believe they are reliable. I intend to check with Hatta
tomorrow. [2]

(3) Report on the Indonesian situation as compiled by the Republic
Indonesian Office in Singapore. [3]

(4) Such military reports as we have received so far from the
field (one only). [4]

(5) Reports of the Committee of Good Offices to the Security
Council since January 8th. [5]

(6) Copy of a letter from Netherlands Delegation regarding the
Committee's visit to Bangka. [6]

(7) Notes on interview with Quentin Pope following his visit to
Central Java. [7]

(8) Brief outline of Netherlands policy in Indonesia. [8]

2. The outline of Netherlands policy is not, as you will see, a
deeply considered document, but I thought it might be useful to
jot down a short summary showing the consistent line taken by the
Dutch since the Japanese capitulation.

3. The formation of the Federal Government which is now the first
item in the Netherlands political programme has been delayed by
the resignation of the Governments in Pasundan and East Indonesia.

New Governments in these States have now been formed but it is
questionable whether they would have the support of the respective
parliaments. This is particularly the case in West Java.

Wiranatakusuna the head of the State admits he was pressured by
the Dutch, and the new Prime Minister Wiraatmadja is known to be
an opportunist. The Indonesian party which is the strongest
faction in the Pasundan parliament and which is insisting on a
policy of co-operation with the Republican leaders, will have no
representatives in the new government. It is note-worthy that the
Pasundan Parliament was abruptly dissolved on the 4th January and
has not been reconvened.

4. The Federalists are, generally speaking, a weak bunch.

Nevertheless the Dutch may not have it all their own way, even
with them. At the Federal Conference which is at present in
session, the East Sumatra and Madura representatives (who are real
puppets) introduced a resolution thanking the Dutch for the
military action. This was soundly rejected. The following
resolution was finally carried unanimously:-

'The Assembly for Federal Consultation, at their meeting of
January 13, 1949, at Batavia, wishing to attain as soon as
possible, by peaceable means, the formation of a Free and
Sovereign United States of Indonesia, is of the opinion that:

1. in principle the formation of a National Government for the
whole of Indonesia is necessary for the transition to the free and
sovereign United States of Indonesia;

2. the Decree Administration Indonesia during the Period of
Transition (B.I.O.) [9] be taken as a starting-point for the
formation of the above-mentioned Government;

3. before the formation of the above-mentioned National
Government, it will be necessary to consult prominent persons from
these territories not yet organized according to article 5 of the
Decree Administration Indonesia during the Period of Transition.'
Some Republican minded members of the Conference see in this
resolution a first move towards consultation with Republican
leaders.

Kindest regards to Colin and yourself.