Despite the policy of repression pursued by the Dutch the national movement could not be crushed. On the other hand, the young national revolutionaries under the leadership of Achmed Sukarno founded the Indonesian Nationalist Party (Perserekatan National Indonesia–P.N.I.) in 1927, which advocated complete independence.

Soon the party, due to orational skill of its leader (Sukarno) gained mass following. This greatly alarmed the Dutch authorities. It, therefore, dissolved the party and imprisoned Sukarno and three other leaders.

In the meanwhile the Indonesian students studying in Holland and other European countries founded Pehimpunan Indonesia, another party under the leadership of Dr. Mohd. Hatta. This party believed in the policy ,of building up nationalism gradually with the support of an elite than enrolling the support of the uncoordinated masses.

Dr. Hatta represented Indonesia in the League of Anti-Imperialism, and Colonialism an Asian students organization set up for the propagation of national freedom. It was at this forum that he came in contact with Jawaharlal Nehru, who was a prominent leader of this movement.

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These political parties, specially the P.N.I., laid great emphasis on the idea of Indonesian unity and gave a call for one nation, one flag and one language. The party also adopted the emblem and symbol of free Indo­nesia and used national anthem at this meeting.

To deal with the growing nationalistic feeling, the Dutch Government took to repression and in 1929 arrested Sukarno, Hatta and other top leaders. These leaders where subjected to trial and sentenced to various terms of imprisonment. This sent a wave of indignation throughout the country.

After release, Sukarno-Hatta-Sjahrir joined hands and provided a fresh impetus to the revival of aiui-imperialist forces, which lay dormant for the time being. The Dutch Government again adopted repressive measures and interned these political leaders after arrest.