119. Telegram From the Department of State to the Embassy in Indonesia0

3758. In farewell call on Robertson June 9 Mukarto made following points:1

1.
PNI Central Committee in recent Semarang meeting decided adopt anti-Communist resolution and call for Cabinet change with recommendation that Mukarto or Wilopo be appointed formateur. Sukarno indicated preference for Mukarto and he was returning Djakarta for this purpose.
2.
Mukarto would establish following as preconditions for forming or heading a government:
a.
PKI must be placed in opposition.
b.
PNI, Masjumi, and NU must work together.
c.
Armed Forces must support his government.
d.
Sukarno must make clear to people that he is prepared fight Communists.
3.
Hatta would probably not be included in government but would act as Cabinet adviser attending meetings but without any specific responsibility.
4.
U.S. assistance in constructing barracks for Armed Forces would be important step in strengthening pro-U.S. orientation Indonesian Army. Such construction might be financed by approximately Rupiahs 50 million of PL–480 funds and perhaps $5 million in foreign exchange.
5.
He would like be assured that any government he headed would receive U.S. moral and financial support.

Robertson replied that U.S. objective is a strong independent Indonesia, but prerequisite to any large-scale assistance to Indonesia is concrete demonstration that Indonesians prepared take action prevent drift toward Communism. Mukarto asked if formation of government of type he had described would receive U.S. support. Robertson replied establishment such a government would facilitate extension U.S. assistance.

[Page 218]

Mukarto said he would be in touch with you following his arrival in Djakarta June 20. Memo of conversation pouched. Request foregoing be closely held.

Dulles
  1. Source: Department of State, Central Files, 756D.00/6–1658. Drafted by Underhill on June 13 and approved by Robertson.
  2. A 5-page memorandum of this conversation was drafted by Mein on June 9. (Ibid., 756D.00/6–958) See Supplement.