856E.00/7–1746: Telegram

The Ambassador in the Netherlands (Hornbeck) to the Secretary of State

secret

589. According to Helb, Acting Chief Political Section FonOff, Cabinet has reached decision on Indonesia which in broad outline envisages recognition de facto authority of republic in Java and Sumatra, exclusive areas under Allied control, with provision that after lapse unspecified period inhabitants Sumatra will be free to choose whether or not they desire remain within republic. On its side, republic must accept condition remain integral part Indonesian Federation as set forth in government statement February 10. Moreover, following guarantees must be implemented by republic: (a) Military truce; (b) security for internees; (c) establishment common administrative body for exchange info on food, public health and monetary problems; (d) full security for all nationalities; (e) suspension of propaganda against Dutch. Agreement to be drafted in form of protocol and to contain stipulation that in event its nonfulfillment on part republic, Netherlands Government reserves right reconsider entire question.

Re areas presently under Allied control, Netherlands Government agrees not to increase strength Dutch troops which will only be landed pari passu with withdrawal British forces. However, agreement will not exclude strengthening Dutch forces in outer territories under jurisdiction Netherlands Indies Government.

While any further concession on part Netherlands Government in recognizing authority republic over Sumatra will undoubtedly give rise strong opposition from reactionary elements parliament, informant stated Cabinet determined expedite solution to present impasse. At same time he indicated Government’s readiness conduct negotiations and conclude agreement even with Soekarno although distasteful because of his known collaboration with Japan, adding that in any event Soekarno will have opportunity demonstrate whether he seriously desires reach agreement with Dutch or wishes prolong present chaotic conditions.95

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Helb also stated Van Mook will shortly resume negotiations with nationalists in light Cabinet decision and, although in his capacity as head Netherlands Indies Government he has broad powers, he will be assisted by commission which will soon leave for Indies with authority delegated by Cabinet to make major decisions without reference back to Hague. Schermerhorn96 almost certain to be on commission and De Boer, Acting Burgomaster Amsterdam, and recently returned from Indies, likely to be another member.

Helb implied Netherlands Government resented recent pressure on part British to foster meeting of nationalists and Dutch in neutral territory outside Indies said unnecessarily forceful note embodying such suggestion was received from British either day before or day of Sjahrir’s kidnapping and that reply will be communicated to British embodying Cabinet’s decision. Referring to Frederick Kuh’s London story that British Government is considering possibility new peace conference aboard ship off Indies, he implied criticism of British FonOff for apparently “premeditated” leaks of this variety which create impression British are doing everything to end deadlock between nationalists and Dutch but are obstructed by Dutch reactionary elements in Hague.

Hornbeck
  1. In telegram 424, July 23, 7 p.m., to The Hague, the Department said it was encouraged by this information and suggested the Ambassador “reiterate keen US interest in early peaceful settlement, which can be achieved, in Dept’s view, only by conciliatory, liberal and realistic approach.” (856E.00/7–1746) In telegram 146, July 23, 7 p.m., to the U. S. delegation at the United Nations, the Department reported the information from The Hague and added “This Govt feels present moment inappropriate for US and Brit to extend good offices and remain opposed to having question brought up for consideration by UN. We always ready however to receive any suggestions which might lead to satisfactory solution of problem.” (501.AA/7–1246)
  2. Netherlands Prime Minister until May.