756D.5 MSP/4–1752: Telegram

No. 199
The Secretary of State to the Embassy in Indonesia

top secret

1177. Eyes only Cochran from Allison and Lacy.

In response Mukarto’s expression his personal opinion to Secy and Lacy on MSA issue Apr 211 Dept has left initiative with Indos in matter their possibly presenting us with request to replace their Jan 5 commitment under sec 511a of MSA 1951 with new commitment under 511b. Dept approves your intention (Embtel 1520 Apr 17)2 continue await “first move on part Indo auths Djakarta and then seek such Dept guidance as required” and concurs fully your summary Dept position on MSA, with fol qualifications:
Although it is possible Indo may “repudiate” its 511a commitment, Indo cld also with propriety attempt amend or replace 511a in coop and with consent US Govt (reftel para 5).
Although it is possible Indo Parliament may refuse to approve not only 511a but also 511b, Indo Govt on other hand might be successful in securing Parliamentary ratification 511b as alternative to 511a (reftel para 7).
In anticipation Indo move toward 511b, approved Dept position, reached in consideration urtel 1520 and after most careful study and agreement by all officers directly concerned with Indo, is as follows:
We shld continue our policy of leaving to Indo initiative on MSA issue on the chance that Indo will continue its adherence to 511a, obviously most desirable outcome.
If Indo asks replace 511a with 511b we shld grant request while indicating strongly that contd Amer aid can be justified only to extent it makes effective contribution to welfare of Indo and is genuinely desired by Indo Govt and people. Without setting deadline, our reply wld state that Amer Govt believes ratification by Indo Parliament of Econ and Technical Assistance Agreement, signed Oct 16, 1950, is essential to success econ and technical aid program. Nature our reply wld of course depend upon (1) nature Indo approach, (2) clearance interested US agencies, (3) any necessary consultation Congress.
  1. During a courtesy call on Secretary Acheson, the new Indonesian Foreign Minister expressed his personal opinion that he did not believe his government could hold to the present MSA Agreement. (Telegram 1144 to Djakarta, Apr. 22; 756D.5 MSP/4–2252)
  2. Not printed.