891.03/4–1751: Telegram

The Ambassador in India (Henderson) to the Secretary of State

secret
niact

2879. 1. Saw Bajpai this afternoon his request. He referred to previous convs with me re GOI misgivings re provisions of food grain bill and of proposed food grain agreement and to tel from Madame Pandit setting forth convs same subj with McGhee. Bajpai said after giving matter full consideration in light Madame Pandit’s report GOI had decided not complicate situation this late date by pressing for changes bill and had telegraphed Madame Pandit accordingly. Madame Pandit instructed discuss matter further with Dept and to suggest in case bill passes that exchange of letters interpreting agreement be affected between two govts which wld make clear among other things that (a) both govts understood grant had no connection with India’s internal or fon policies; (b) personnel sent to India to observe distribution wld not have supervisory functions and wld merely observe distribution grain received as grant; (c) US wld be consulted re use of counter part funds but wld not interfere in GOI’s general planning and India wld have decisive role in use counterpart funds.

[Page 2147]

2. Bajpai did not read instructions to Madame Pandit to me and I made no notes. Therefore (a), (b), and (c) above shld not be considered as accurate paraphrase GOI instructions.

3. Bajpai said Madame Pandit also instructed try prevail on US Government not send special mission but incorporate observers in staff Emb. He added her tel made no ref matter publicity but GOI hoped US wld take moderate attitude this regard.

4. I told Bajpai I doubted Dept cld agree exchange notes of character indicated. It cld not enter into agreement either public or private which might appear not in keeping in letter or spirit with congressional legislation. I thought, however, it might be possible work out some kind exchange which wld meet situation.

5. From Bajpai’s remarks am inclined believe Madame Pandit impressed by what McGhee had said to her and had urged that GOI not make issue this late date of provisions bill.

Henderson