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SENT DEPARTMENT 2601, REPEATED INFORMATION SAIGON 388, LONDON 654.

SECRETARY STATED THAT IN CONSIDERING VICEROY WE WERE ADVANCING INTO TO SECOND PROBLEM WITHOUT HAVING SOLVED FIRST. HE DID NOT RPT NOT EXPECT VICEROY BE ABLE DECIDE ON ALTERNATE TO DIEM AND TO SET UP MACHINERY TO IMPLEMENT OUR IDEAS. HE STATED THAT OUR JOB WAS TO CREATE THIS MACHINERY. AT PRESENT TIME WE MUST CONCERN OURSELVES WITH PRESENT PROBLEM, NOT WITH NEW INTRIGUES. HE ASKED MENDES WHAT HIS ADVISERS HAD SUGGESTED AS ALTERNATIVE. MENDES REPLIED NO RPT NO ONE SPECIFICALLY AS YET BUT THAT HE PREFERRED ALLOW ELY SPEAK ON THIS SUBJECT.

ELY REPLIED THAT HE WAS MORE CONCERNED WITH CURRENT PROBLEMS OF DIEM GOVT THAN WITH QUESTION OF POSSIBLE NEW GOVT. ONLY CERTAINTY IS THAT NO RPT NO MORE TIME CAN BE WASTED. ELY MENTIONED HUU, TAM AND QUAT AS AMONG MANY PERSONALITIES WHO MIGHT BE USED. MENDES ASKED IF THERE WAS NO RPT NO PREFERENCE. ELY SAID NOT RPT NOT YET. SECRETARY ASKED WHAT WAS WRONG BETWEEN QUAT AND SECTS AND ELY REPLIED THAT IT WAS RESULT OF AN OLD FUEDFEUD [SIC] DATING FROM TIME QUAT WAS MINISTER OF NATIONAL DEFENSE AND HAD TRIED ABOLISH SECTS PRIVATE ARMIES. MENDES ASKED IF THERE WAS NO RPT NO GOOD PROVINCIAL GOVT AND ELY REPLIED NOT RPT NOT SUFFICIENTLY GOOD TAKE ON RATIONALNATIONAL [SIC] RESPONSIBILITIES.

SECRETARY WENT ON TO SAY THAT WE MUST EXHAUST ALL OUR PRESSURES ON DIEM 44696PERMAMENT RECORD COPY