756D.5 MSP/1–753: Telegram

No. 237
The Secretary of State to the Embassy in Indonesia

restricted
priority

1006. Indo Amb today presented fol two Notes dated Jan 5, 1953 re (1) TCA and (2) Constab Aid.

1.

“Amb RI presents compliments to SecState and has honor refer to conversations between Govts US and RI on question econ and tech coop within framework special Tech and Econ Mission Agreement Oct 16, 1950.

Indo Amb also refers his note Sep 9, 1952 addressed SecState and notes from Emb US in Djakarta to MinFonAff RI Nos. 49 and 50 Sep 16, 1952.

Indo Amb has honor confirm understanding reached as result these conversations and notifies SecState as fols:

RI affirms it will act in conformity with its obligations under the UN Charter in promoting internatl understanding and good will, in maintaining world peace, and in eliminating causes internatl tension. In recognition mutual interest two Govts in promoting objectives Econ and Tech Assistance Agreement Oct 16, 1950, Govt RI will safeguard any funds allocated to or derived from programs of assistance carried out under that Agreement from seizure, attachment or other legal process, unless both Govts agree such process wld not interfere with attainment these objectives.’

“Amb RI has honor propose that if this understanding meets with approval Govts US, this note and note SecState concurring therein be considered as confirming this understanding, effective on date note SecState.

Indo Amb further proposes that Indo-US Agreement Jan 5, 1952 be considered terminated on date of concurring note from SecState referred to in preceding para”.

2.

“Amb RI presents compliments to SecState and has honor refer to notes from US Emb Djakarta No. 50 Sep 16 and No. 52 Sep 22, 1952 addressed to MinFonAff RI.

Indo Amb, in accord last para his Note Sep 9, 1952 addressed SecState, has honor propose that undelivered balance constab equipment authorized under Agreement Aug 15, 1950 be converted from a grant to an aid (sic) on a reimbursable basis. Equipment and materials which have been provided on grant basis under Constab Agreement Aug 15, 1950 will be retained by Govt RI on terms and conditions contained that Agreement so long as required for purposes for which originally made available and if no longer required for these purposes will be offered for return to Govt US.

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Amb Indo proposes that if this proposal meets approval Govt US, this note and note SecState concurring therein be considered confirming this conversion into an aid on a reimbursable basis.”

Instrs fol.

Acheson