751J.00/2–2654: Telegram
The Ambassador at Saigon (Heath) to the Department of State
1550. Repeated information Paris 472, Vientiane unnumbered. Prince Souvannaphouma, Prime Minister of Laos, called on me today. He said that his government was seriously concerned at Nehru’s offer to arrange a cease fire on lines presently held by opposing forces, as if such an armistice were arranged, it would mean that three-quarters of Laos would be in Viet Minh hands. Nehru’s suggestion seemed all the more mischievous and designed to help Communist cause because Ho Chi-Minh had invaded foreign country and so-called Viet Minh Nationalists were now engaged in international aggression.
In this general vein Prime Minister felt that present invasion of Laos was purely political in objective and timed to coincide with Berlin Conference.
In general review of problems facing him, Souvannaphouma showed his usual courageous optimism, although he did not disguise fact that his little country is beset with difficulties. One of his immediate tasks is to secure agreement of French to a payment of Laotian conscripts at same rate as Laotian regulars. (French now assume cost of all military expenditures in Laos.) French thus far have taken line that conscripts owe their military service and should be paid a pittance. However, Souvannaphouma points out that to impose differing rates of pay in one army will be most deleterious to morale. On other military matters Prime Minister says he has secured Navarre’s agreement to his proposals. Thus Navarre will undertake to increase equipment [Page 1079] and staffing patterns of present light battalions to make them regular battalions. Likewise Navarre has agreed that after military situation of Luang Prabang has been clarified both Laotian and French Union Forces will be used in a general cleaning-up operation to sweep Bolovens Plateau which for some years has been permeated with Viet Minh infiltration.
Souvannaphouma thought that if these two military objectives could be realized Laos would in fact emerge from this campaigning season stronger than ever. Laotian army now totaled some 24,000 regular troops under arms, plus 50 companies of 125 men each of auxiliary forces.
Souvannaphouma was opposed to any break-up of present Associated States monetary and customs union, but pointed out that if Cambodia should refuse to continue in this association it would be difficult for Laos to remain alone in union with Vietnam as the greater economic superiority of latter country would place Laos in a most disadvantageous bargaining position. Prime Minister complained that Vietnam has not yet paid Laos its share of last year’s customs receipts totaling some 230 million piasters, or approximately half of total national budget.