856E.00/10–146: Telegram
The Consul General at Batavia (Foote) to the Secretary of State
[Received October 2—10:04 a.m.]
390. Lord Killearn went Singapore today, returning October 5, and First Plenary Session scheduled for October 7. Schermerhorn and Sjahrir lunched with Killearn yesterday in friendly atmosphere. Indo Delegation not yet announced but will be headed by Sjahrir who appears strengthened his position at Djocja.
Killearn does not know what proposals and counter-proposals may be made, but I learned from good authority that Dutch will probably agree recognize Indo republic in Java and Sumatra and lift ban against Soekarno. New republic may not be included in framework of kingdom. Dutch interests here and Indo relations with Netherlands and other parts of NEI will probably be covered in far-reaching treaty, perhaps, in nature of alliance.
Mohammad Hatta, Indo Vice President, stated that ultimate aim of Indo republic is nationalization of industries but this would be done only as fast as republic could recompense owners. This would have far-reaching effect on oil companies and plantation owners. No details yet worked out by Indos.
While paying my respects to members of Dutch Commission General, Schermerhorn alleged somewhat bitterly that United Nations including USA had let Netherlands down; and while “American press now more friendly towards Dutch it is now too late.”
Truth is everything is nebulous and no one knows what outcome will be but Van Mook is hopeful of settlement.