133. Memorandum From the Secretary of State to the Director of the International Cooperation Administration (Hollister)1

I continue to be concerned about the Ceylon situation. If we locate the nuclear power station in the Philippines rather than Ceylon (with which I concur), if we give economic aid to India which is theoretically neutralist but benevolent to the Soviet bloc, if we give economic aid to Egypt which has its arms deal with the Soviet bloc, and if we cannot do anything for Ceylon which has been a staunch and helpful ally, then there is, I think, something seriously wrong.

  1. Source: Department of State, Central Files, 746E.00/12–2355. Secret. Drafted by Dulles. Copies were forwarded to NEA, U, C, S/P, G, E, U/MSA, and FE.