File 2678/1917 Pt 2 'Persia: financial arrangements; rouble exchange' [49r] (96/334)
The record is made up of 1 item (165 folios). It was created in 22 Oct 1917-26 Sep 1918. It was written in English. The original is part of the British Library: India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. Records and Private Papers Documents collected in a private capacity. .
Transcription
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0ie2/i96 (M« X»0)
ar Office,
lantian z: .B .1
20th ICay 1918
The Dlx^ector of Military Intelligence presents
his caiiplliients to the Under Secretary of State lor
Foreign Affairs, and with reference to Sir Charles
:^rling # $ telegram Ko*412 of the 14th ay, regarding the
increased financial demands pat forward by the Officer
Comaiandirig the mrsian Cossack Division, begs to transmit
the following observations:~
i # Plie following expenditure for tin is force has
already been sanctioned (vi<^ far Office telegram Ho.51847
of the 7th February 1918, a copy of which was transmitted
to the Foreign Office under cover of Major General sir
George Macdonogh's memorandum ??o«0162/196 (M.I.O) of the
3rd Imy ).
(a) Monthly subsidy of krtms 1,000,000.
(b) An increase of 25 on the present (i*e.February
1918} pay of rank and file per month.
(c) For the purchase of boots and clothing, a single
grant of krans 300,000,
2, As was pointed out in the memorandum above referred
to, the Persian Cossack Division, as at present constitut-d,
la an entirely unreliable force and Sir Charles Farlir^s
faith in this force is unjustified. Major General fir
George Macdonogfe is convinced Uiat in case of trouble in
Teheran, the ersian Cossack Division will either dissolve,
or take sides with the enemy. 3
3. Major General Pir George Macdonogh considers that
there are no grounds for sanctioning a further subsidy
over and above the amounts specified in paragraph 1 above.
The Under secretary of State
Foreign Office,
c? r i
and
About this item
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This part contains papers relating to the financing, by the British Government, of the Imperial Russian Army in Persia [Iran], particularly the difficulties in the acquisition of currency to pay troops, and policy developments concerning the role of Russian forces in Britain’s military and political strategy. The papers notably cover:
- The crisis in the rouble [ruble] exchange rate and authorisation of payments to the Russian Army of the Caucasus in local currency (Krans), due to the scarcity, unpopularity and devaluation of the rouble
- Discussion concerning whether the silver being imported by Russia from America (see IOR/L/PS/10/687/1) should be transferred directly to the British Government, instead of Russia, and the British Government advance funds to Russia for the purchase of Krans
- Tension between the Treasury and the War Office and Foreign Office regarding how much resource is allocated for the Russian Army in Persia, especially in light of armistice negotiations by the new Russian Government with Turkey [Ottoman Empire] towards the end of 1917
- Foreign Office enquiries concerning the possibility of the Indian Government dispatching silver bullion to the Imperial Bank of Persia, Teheran [Tehran], and the potential minting facilities in Bombay [Mumbai] in the event of Teheran refusing to mint silver Krans
- The composition and reporting structure of the Hamadan Board, set up to control British financing of Russian troops, and its dissolution after the arrival of Dunsterforce [Allied military force under General Lionel Dunsterville] in June 1918
- Financing of the Persian Cossack Division (under Russian command), by the British Government, and proposals in March 1918 to move the Meshed [Mashhad] detachment to Shahrud [Shahrood] in closer proximity to Teheran for the city's defence (if needed), whilst waiting for British forces to arrive
- The question of whether to continue or to stop paying the Russian troops in north west Persia, notably at Resht [Rasht] and Enzeli [Bandar-e Anzali], and the various considerations including: payments might end the reported looting of local banks by Russian troops; doubts about the potential effectiveness of Bicharakoff’s force [Colonel Lazar Bicherakov, also spelled Bicharakov in this item] to secure and advance British military interests, notably to prevent the capture of Kazvin [Qazvin] and possibly Teheran by the (anti-Qajar) Jangalis [Jungle Movement of Gilan]; the continued difficulties in obtaining Krans to finance the Russian forces and how much to pay them in relation to the claims submitted by Russian military authorities; whether payment of the remaining Russian forces should be contingent on Bicharakoff co-operating with Dunsterforce
- Whether, and how much, to pay the retrospective claims of General Baratoff [Nikolai Nikolaevich Baratov] for his disbanded force [the 1st Caucasus Cossack Corps, disbanded after the Russian ‘October Revolution’ 1917].
The papers mostly consist of minute papers of the India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. Secret and Political departments; copies of decyphered telegrams; copies of correspondence; and notes and letters by India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. officials. The India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. minute papers are annotated chiefly by John Evelyn Shukburgh, Secretary, Political and Secret Department, and officials of the Financial Department.
The main correspondents are as follows: the India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. , including various Financial Department officials; the Treasury; the Foreign Office; Sir Charles Marling, Envoy Extraordinary and Minister Plenipotentiary A diplomatic representative who ranks below an ambassador. The term can be shortened to 'envoy'. , Teheran [Tehran]; General Officer Commanding in Charge, Mesopotamia; and the Director of Military Intelligence.
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File 2678/1917 Pt 2 'Persia: financial arrangements; rouble exchange' [49r] (96/334), British Library: India Office Records and Private Papers, IOR/L/PS/10/687/2, in Qatar Digital Library <https://www.qdl.qa/archive/81055/vdc_100110327472.0x000068> [accessed 30 October 2024]
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- Reference
- IOR/L/PS/10/687/2
- Title
- File 2678/1917 Pt 2 'Persia: financial arrangements; rouble exchange'
- Pages
- 2r:35v, 36ar:36av, 36v:96v, 97ar:97av, 97v:109v, 109ar:109av, 110r:158v, 158ar:158av, 159r:165v
- Author
- East India Company, the Board of Control, the India Office, or other British Government Department
- Usage terms
- Open Government Licence