Coll 28/97(1) ‘Persia. Diaries. Tehran Intelligence Summaries.’ [‎352r] (703/807)

T Hjfrq Q GU ME N T IS THE PROPERTY OF HIS BRITANNIC MAJESTY'S GOVERNMENT
PERSIA.
February 4, 1942.
T7 V 'Section S.
i
CONFIDENTIAL.
[E 798/19/34]
Sir R. Bullard to Mr.
(No. 24.)
HIS Majesty’s representative presents his compliments to His Majesty’s
Principal Secretary of State for Foreign Affairs and has the honour to transmit
herewith a copy of Intelligence Summary No. 3 for the period the 13th January
to the 19tlh January, compiled by the military attache to this legation.
Tehran, January 20, 1942.
Enclosure.
Military Attache's Intelligence Summary No. 3 for the Period
January 13 to January 19, 1942.
(Secret.)
Persian Affairs.
Political.
The treaty is still in cold storage. It has not yet gone to the Majlis for
the second reading as, to avert the Prime Minister’s resignation, which was nearly
an accomplished fact, certain points, on which the Soviet Government have been
more complaisant than His Majesty’s Government, have been referred back to
London. Meanwhile, the press refrain from any mention of the treaty.
2. The dearness of living, the freedom of the press, the necessity for the
revival of agriculture and for a new economic plan are the main themes of
newspaper articles.
3. A strong desire is becoming evident among Persians to get America more
interested in Persian affairs. On the part of many this arises from the all-
pervading fear of Russia: America is regarded as possibly being in some
respects in a better position to oppose Russian designs on Persia than Great
Britain. But some Persians have a better motive. They realise that the existing
chaos in administration is not likely to be remedied by Persian politicians and
Ministers and that foreign help is necessary particularly to put the finances in
order. American Financial Advisers might in present circumstances find a fair
measure of support. The Chief of the General Staff would welcome American
control of the financial administration of the War Office. The Minister of War
has probably other views.
4. Conditions in the Ministry of Finance are reported to be extremely
confused. That the Government is faced with a serious loss of revenue and that
expenditure is greater than income is said to be about all that is clear. No
revenue is coming from the provinces in Russian occupation, nor from certain
other areas where Government authority is too weak to enforce its payment. The
Russians pay no customs on any goods imported by them, nor the British on
goods imported for any military purpose. Moreover, owing to the breakdown of
Persian administration along the frontiers, there is considerable smuggling in
and out. The abolition of monopolies has also upset the financial balance, and
the agreement with the A.I.O.C. for the maintenance of the royalties at the
pre-war level has expired. The Ministry of Finance has hitherto been unable
to make even an approximate estimate of the current revenue.
Officials.
5.—(i) Qiami, to be Deputy Ustandar and Farmandar of Kermanshah. He
has previously been Governor of Arak.
(ii) Colonel Abdull Ali I’timad Mugaddam to be Deputy Chief of the
Gendarmerie.
[26—27]