The Ambassador in Yugoslavia (Patterson) to the Secretary of State
[Received June 6—6:20 p.m.]
140. I had a talk today with Dr. Subasic, who arrived June 4, and found him improved in health and determined to do all he can to make his govt colleagues realize the necessity of creating a genuine democratic regime here.
He said that American opinion was entirely adverse to Yugoslav stand on Istria and Carinthia and he believed the American and British notes of June 299 should be accepted at once.
However I understand that the Yugos may object to pgh No. 6 on the grounds that they have deported no one and confiscated no property.
He was pleased with his talks with the Secretary, Mr. Grew and others at the Dept and impressed by the firmness of their decision not to provide economic help to Yugo unless satisfied that the regime here is democratic and stable.
He felt he had not been back long enough to comment on the internal situation but thinks it is “not hopeless”. He stated that the prime need, in order to build a democratic system here, is economic help from the US and he believes that all Balkan countries will be greatly influenced by the course of events in Yugo the key country.
In reply to my questions Dr. Subasic agreed that: (1) There is a complete dictatorship here today, and said “this must be changed, (2) there is no freedom of speech or press and added “but the first freedom the people must have is freedom from fear” (3) Ozna has “too much power”.
Finally Dr. Subasic said he understood what the four freedoms mean in America and that he is determined to see that Tito-Subasic and Yalta agreements are carried out in letter as well as in spirit.