The Ambassador in Indonesia (Cochran) to the Secretary of State
49. ReDepintel January 5, 2 a. m.1 and Deptel 19.2 Told Hatta3 today French Assembly would probably ratify latter half January agreements of March 8 making Vietnam associated state in French Union. Also mentioned prospects Canada, Australia and possibly other Commonwealth states join UK in de facto recognition after Colombo Conference. Explained nature of recognition which U.S. might also extend was now being studied.
Hatta has little confidence in strength Bao Dai. Said Indo-China lacking in leadership. Anticipates collapse Bao Dai if French Army should be removed. Said he had known young Indo-Chinese leaders when he was student in Holland and that these were genuinely Nationalist. Said stiff attitude of French had driven these into arms of Communists and now working with Ho Chi-minh. Hatta appreciates danger to SEA of Communists gaining upper hand in Indo-China but has not sufficient confidence in Bao Dai regime to cause him decide in recognition in foreseeable future.