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751G.5/8–2350 meaningless gesture,, However, it wld legally establish a Viet Army presumably with distinctive insignia and to this extent represent a step forward. We believe need for action so great we must give consideration every possible action within practical limitations.

Nor does DEPT intend ignore obvious corollary Alphand Pleven request 200 billion francs two year period for establishment Natl Army. Paris may inform French this question receiving active consideration and comment thereon will be forthcoming soonest.

For UR CONF INFO matter of formation NATL Armies will be brought up in conjunction our discussions IC at FONMINCONF preliminaries of which commence today, UR and Paris recent reporting this related SUBJS of which UR 265 Aug 23 outstanding have been very helpful.

ACHESON

FE:PSA:DMCoors WMGibson

Rh