856d.00/9–1749: Telegram

The Chargé in the Netherlands (Steere) to the Secretary of State

secret

805. Boon expressed optimism last night about prospects agreement RTC and said UNCI had been extremely effective and helpful in Hague. At same time he was pessimistic, even somewhat bitter, about certain aspects RTC and its aftermath.

Said Indos were unqualified and unwilling reach reasonable financial-economic agreement and that Netherlands inevitably would have write off large share Indo debt for sake agreement. Said financial negotiations made most difficult for both sides by lack any indication outside help, particularly US, which could be counted upon. Insisted Netherlands authorities and realists generally are reckoning upon prolonged highly insecure and unsettled post-sovereignty conditions; that numbers Netherlands interests in Indo being sold chiefly to Chinese and that large evacuation Netherlands nationals will accompany withdrawal Netherlands troops.

Steere