NEW DELHI, Dec. 20—An authoritative Indian source said today that their Government was willing to negotiate with Zulfikar Ali Bhutto, the new President of Pakistan, though he is a long‐time adversary of India.

India welcomes Mr. Bhutto's selection as President, the official sources said, because he is a civilian and because India believes he came to power in an essentially democratic fashion.

Mr. Bhutto's political organization, the Pakistan People's party, won a large majority of the seats from the western wing of Pakistan in the elections for the National Assembly last December. In the same election, Sheik Mujibur Rahman, the Bengali political leader who is in jail in Pakistan, won an overwhelming victory in East Pakistan. It was Sheik Mujib's subsequent moves for autonomy that brought Pakistan's crack down on the East, and ultimately the war between the Pakistani Army on one hand and India and the Bengalis of East Pakistan on the other.

The Indian source said it was hoped that President Bhutto would remember that he came to power in the same way as Sheik Mujib, and that he would drop the charges of treason against him. Unless Sheik Mujib is released, the Indian Government fears, the Bengalis will be leaderless and the country they have proclaimed in East Pakistan, Bangladesh, will be torn by political bickering.

Bhutto Attitude Pivotal

The source added that India's terms in any negotiations over repatriation of Pakistani prisoners of war—they are now estimated to number over 100,000—and over the disposition of captured territory would depend on the attitude that the Bhutto Government took toward India.

If Mr. Bhutto continues to be outspokenly hostile, India's negotiating terms will be tough, the source said. But if Mr. Bhutto is willing to move away from the policy he has long been noted for, India's terms are expected to be more conciliatory.

The source said that conciliatory terms might even apply to the mountain posts and pieces of territory along the cease‐fire line in Kashmir that India captured in the two weeks of fighting. India has previously said that she will retain all territory taken in Kashmir, since she considers Kashmir to be Indian and holds that Pakistan has been there illegally since 1949,

The Indians captured 36 mountain posts overlooking strategic highway in northern Kashmir near Kargil, other mountain posts at Uri in the west, and an important valley near Poonch.

In other developments today, Lieut. Gen. A. A. K. Niazi, the commander of the defeated Pakistani Army in East Pakistan, and Dr. A. M. Malik, the former Governor there, were brought from Dacca, East Pakistan, to Calcutta, India, by special plane. They were later taken to an unknown destination.

Reports from Calcutta said that India had also begun transferring large numbers of Pakistani prisoners to India by truck.

An official Indian spokesman denied that there had been widespread reprisals by angry Bengalis against Pakistani soldiers or the non‐Bengalis who supported the former Pakistani military regime.

“The law and order situation is as normal as you could expect in a country that experienced nearly 10 months of turmoil,” he said.

The four men who have been acting as a Bangladesh government are still in Calcutta, where they have been reported negotiating with Indian officials dispatched from New Delhi. The main subject is believed to be the return of 10 million Bengali refugees who are estimated to have fled to India since March.

These Bengali leaders, who are considered a lackluster group not widely known to the public, have been rumored to be leaving for Dacca every day, since Dacca's surrender Thursday.

Negotiations on Refugees

Two Swissair jets, in five flights, today repatriated members of the Indian and Pakistani foreign service and their families who had been caught in New Delhi and Rawalpindi by the war. In all, 137 Indians and 272 Pakistanis were transferred.

The Swiss Government has been representing the two enemies in each other's capitals since the war began Dec. 3.

Meanwhile, a single violation of the cease‐fire on the western front was charged to Pakistan today. An Indian military spokesman said it had occurred at a mountain post near Uri, where Pakistani troops and artillery have been trying to take back a position they lost during the war.