856D.2553/12–1351: Telegram

The Ambassador in Indonesia (Cochran) to the Secretary of State

secret
priority

855. Gibbon called twelfth. He let me know Leibacher arriving alone about fifteenth. Said he had managed get Roem1 postpone mtg his mining comm from thirteenth until eighteenth, fearing that before Leibacher cld be consulted, comm might take definitive decision on recommendation it wld make to govt.

Roem lunched with me alone today. I told him of encouraging Indo picture I had given to my govt and also to active and prospective private investors during my recent visit to US. I told him I had been genuinely sincere in assuring my people American capital wld be given square deal in Indo if such capital gave govt square deal on profits and did not exploit labor. I said Hatta had confirmed to me few days ago I was correct on this assumption.

I told Roem I now understood his comm was working on certain studies that might lead to recommendations to his govt. I expressed confidence he wld be just as fair and sound in his new position as he and Hatta had always been in their relations with us. I assumed no definitive position wld be taken on Stanvac matter by his comm until at least Leibacher had arrived and had time for consultation with Gibbon and either one or both of them then had opportunity for further discussion with comm.

Roem made point his comm had already had Gibbon and his local associates in on several mtgs and thought situation had been explained fully to them. I responded it was not simply case of Indo govt giving explanation from its side. I said it vital responsible official from Stanvac hdqrs New York be here and have opportunity present views in answer to any plan being considered for recommendation by comm before comm’s report submitted. I recalled to Roem how difficult we [Page 756] used to find it in our UNCI negots when one side took entrenched position. I urged full exchange of views and extreme patience in negot before any definite plan shld be evolved. He agreed to desirability such procedure. He definitely promised no action wld be taken before Leibacher arrives and comm has benefit his views after he brought to date on situation by Gibbon.2 Re Deptel 614.3

Incidentally Roem, who has travelled extensively Indo past few months, said he was gratified find unmistakable evidence Commie influence in labor movement declining. He cited growth anti SOBSI union of oil workers until it now numbers around 26,000 out of total 50,000 workers. He said similar trend among Chinese, definitely away from Commie side. He said one of his Chi informants warned him however that Chi Commies still infiltrating dangerously.

Cochran
  1. Mohammad Rum, previously the Minister for Foreign Affairs in the Natsir Cabinet.
  2. In telegram 622 to Djakarta, December 13, the Department of State told Ambassador Cochran that Mr. Prioleau would not arrive in Djakarta until December 18, at the earliest. However, Mr. Prioleau hoped that the Ambassador would hold his conversation with Dr. Hatta in an effort to soften the Indonesian position which Mr. Leibacher would have to confront in the meeting scheduled for December 18. (856D.2553/12–1351)
  3. Dated December 11, p. 751.