501.BC Indonesia/10–748: Telegram
The Acting Secretary of State to the Consulate General at Batavia1
496. Usgoc 165. Fox, Soemitro and Zimmerman (Neth Trade Commissioner) met with Dept officers Oct 7 for discussion transaction described Usgoc 158 Oct 7. Zimmerman expressing opinion transaction would be agreeable his Govt undertook secure final commitment NEI authorities. Soemitro stated he was authorized commit his Govt without further instructions. Fox agreed remove American-Indonesian Corp from transaction to end that deal is between Soemitro and his [Page 409] principals on one hand and Neth authorities on other. Fox stated however it would be necessary for him continue advise Soemitro in matters of procurement and in operations requisite paying for textiles. This was agreeable Dept officers. They emphasized Dept’s position this matter result its desire Hatta receive consumer goods this character to enable him continue fight against Communists.
In course conversation Zimmerman, stating he assumed speed was essential in this matter, asked Soemitro if Repub Govt would buy textiles from Neth in Indonesia with understanding textiles purchased by Repub in US could replace Neth textiles so advanced. Soemitro replied he thought Hatta could not risk criticism which such transaction might involve but he would ask his Govt for further instructions this matter. Zimmerman said he would determine whether his Govt could engage in such transaction.
- Repeated as 513 to The Hague.↩