501.BC Kashmir/5–2849: Telegram

The Acting Secretary of State to the Embassy in India

secret

390. Urtel 593, May 26.1 In your discretion seek early opportunity discuss US position re Kashmir along fol lines:

Dept shares Bajpai’s apprehension that possible results of inescapable relationship between Kashmir dispute and Ind Pak credit standing may be misinterpreted in certain Ind quarters as US attempt use its credit-granting power to bring pressure on GOI. As Bajpai aware US has scrupulously avoided attempts bring pressure on GOI by this means or any other. Hard fact remains that shld Kashmir situation deteriorate to point at which resumption hostilities becomes strong possibility, Dept will be faced with difficult decision re degree its support of assistance to both Ind Pak from Point Four and Smith-Mundt programs, Ex-Im Bank, IBRD and IMF. Resources all these small in relation global demands and must be put to most productive use. In face strong possibility that Ind Pak might resume fighting in Kashmir or on broader scale, Dept cld hardly give assurances subcontinent wld be suitable area for effective use these resources.

From beginning Dept has been deeply concerned re two aspects Kashmir dispute: its threat to stability and progress in South Asia and its effect upon US–Ind relations. Throughout 1948 Kashmir dispute was serious obstacle to development US–Ind coop in various fields. After cease fire effected and until quite recently Dept able take position within US Govt that dispute proceeding to peaceful settlement and no longer constituted obstacle. As consequence considerable progress has been made in preparing way for tangible US cooperation with Ind. This progress now jeopardized.

Important factor this connection is attitude US press and public. At time cease fire effected and subsequently US Govt officials and press have frequently cited Ind Pak as peace loving nations which have effectively utilized UN machinery toward solution difficult problem. Shld efforts achieve truce agreement fail, US press reaction will almost certainly be adverse to both Ind Pak and questions may be raised re future stability of subcontinent.

While Dept believes latest UNCIP proposals equitable reasonable compromise, it less concerned with Ind rejection these specific proposals than with loss momentum toward settlement which was so [Page 1714] hearteningly evident last Dec Jan. Ind Pak attitudes then seemed reflect confidence peaceful solution whereas now GOI emphasis on military position in its comments on UNCIP proposals may be construed as indication GOI expects resumption hostilities. Although Dept remains convinced neither Ind nor Pak desires renewed hostilities, it must face fact that current lack of progress toward peaceful settlement prolongs precarious situation.

Bajpai restatement GOI continued anxiety contribute peaceful settlement encourages Dept to hope that way out present impasse will be found near future.

Webb
  1. Not printed. It reported on Ambassador Henderson’s conversation with Bajpai the previous morning. Bajpai stated that India appreciated everything that the United States had done and was trying to do in helping to solve the Kashmir problem. He emphasized India’s eagerness to contribute to a peaceful settlement of the dispute. (501.BC Kashmir/5–2649)