Why did the Eisenhower administration accept South Vietnamese Prime Minister Diem’s refusal to hold the free elections mandated by the 1954 Geneva Accords?

He had fear of communists victory

Explanation:

In 1954, the United States government promised to help the Genova accord's provision to carry out a credible election for a unified government in Vietnam.

Notwithstanding, the Eisenhower administration harboured the fear that this election would result in a communists victory so, he in turned accepted South Vietnamese Prime Minister Diem’s refusal to hold the free elections.

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