741.92/12–2145: Telegram
The Political Adviser in Siam (Yost) to the Secretary of State
[Received December 21—10:57 a.m.]
88. Wiwat returned to Bangkok December 20 carrying new text Heads of Agreement and Military Annex handed him previous day by Dening. New text embodies extensive concessions by British including those listed in Deptel 69, December 19.61 Other changes not listed Deptel 69 follow:
- 1.
- Heads of Agreement, (a) Revision paragraph C–2 along lines Anglo-US conversations (but no linking of paragraphs C–1 and C–2).
- (b) Revision paragraphs D–2, D–3 and D–4 as agreed in Anglo-US conversations.
- 2.
- Military. Revision paragraphs 14, 15 and 16–B as agreed in Anglo-US conversations. (AmPolAd comment: British would appear to have met US views on rice. There is, however, no mention in new text of Allied Claims Commission nor has our point re security clause been met.)
Wiwat confirmed that purpose of sale of gold referred to my 79, December 18, is to strengthen Siamese currency and encourage rice growers to dispose of product.
Wiwat also brought texts of letters to be exchanged between Dening and himself, which do not include points mentioned in paragraph 1 my 79. In view changed circumstances Siamese will probably not insist on inclusion these points in letters as long as covered in general way in communiqué to be issued at time of signature of agreement, Dening has still reserved right to introduce French issue but Wiwat thinks it unlikely he will do so. Dening desires Wiwat to return to Singapore about December 25 to sign agreement. Wiwat reports Dening’s attitude mellowed noticeably last few days. Siamese now prepared to sign as soon as receive word that US is satisfied. We would appreciate receiving instructions immediately Dept is ready for Siamese to go ahead.
Siamese cabinet overjoyed at substantial modifications in British terms and deeply grateful to US. Acting Secretary’s press statement62 has had wide publicity and great effect on official circles and public generally. US prestige has reached new high in Siam.