[B.P.] saw Prime Minister Nehru August 13 and on a subsequent date. At both meetings when he endeavored to point out to Nehru the errors which the Indians were committing in Nepal in the implementation of their policy, he was cut off short and told that because of geographic location Nepal was going to have to develop under the aegis of the GOI. B.P. tried to point out that Nepalis were slowly but surely developing a nationalist spirit, that this nationalist spirit could be channeled into agreeable Indo-Nepal relations which could be mutually beneficial to both countries, or it could develop as a hard core of absolute independence from all other nations, or it could develop in such a way that Communists under the guise of nationalism and with the aid, abetment and tutelage of the Communists in Tibet (possibly with the help of Indian Communists as well) could establish a Red regime on the southern slopes of the Himalayas.
When B.P. asked Nehru what Nehru’s intentions were for Nepal, Nehru reportedly was very angry with such a direct question and answered only to the effect that he, Nehru, wished to see a strong economically prosperous Nepal develop.
On the Communist issue, B.P. claims Nehru lectured him severely to the effect that for the next ten years there would be no danger from Communism to India or Nepal, because “China has her hands full with her own problems.” (In our conversation this morning the USSR was never mentioned). In B.P.’s opinion, Nehru might possibly be correct with his ten-year prognostication if he is thinking only about armed invasion of the sub-continent. However, B.P. pointed out that even with plenty of problems on their hands in China, Korea, Indo-China and Tibet, the Chinese Communists and/or their Tibetan, Nepali and Indian cohorts could still carry out enough disruptive tactics, especially in the fields of economics, industry, finance and state administration, to seriously hamstring and thwart the efforts of any but a very strong, stable national government.
[Regarding American TCA (Technical Cooperative Assistance)], B.P. said that until July 1953 he had been “quite friendly” with Paul Rose [head of the U.S. Point Four Program in Nepal] in Kathmandu and that although they had not discussed politics as such, B.P. thought Rose “understood his mind.” B.P. had occasionally visited Father Moran’s school [at Godawari] and had discussed many of his problems with that gentleman. He had over the previous year been in contact with other Americans and certain other foreigners, including British Ambassador Summerhayes, and certain FAO [the UN Food & Agriculture Organization] people who had been to Nepal on inspection trips. During the August conversations, Nehru had brought these contacts to B.P.’s attention and in no uncertain terms had let it be known that the GOI did not approve of such activities, and that such contacts should cease, especially contacts with Americans. B.P. went no further than to say that Nehru had spoken deprecatingly about America.
B.P. claims that the usurpation by the GOI of the most prominent place in Nepal’s economic and political situation is borne out by many facts. Among many which he mentioned [were that] M.P. Koirala is under the direct jurisdiction of the GOI. The GOI has also directly controlled the King. [U.S.] Ambassador Bowles’ endeavors to break through that barrier were unsuccessful. For example, a [U.S.] expert [on administration] by the name of [Merrill R.] Goodall, who is supposed to have been assigned in Nepal for a matter of three months as an adviser, lasted only two weeks before GOI forced his recall. The [American] TCA program in Nepal has been hamstrung, primarily by GOI intransigence, if not by design, which was reflected through the Government of Nepal’s lack of cooperation in getting its projects rolling. [An FAO expert] told B.P. it appeared to him that the GON was purposely holding back cooperation with TCA on the orders of the GOI.