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File 357/1919 Pt 2 ‘RAILWAYS IN PERSIA’ [‎429r] (862/1150)

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The record is made up of 1 volume (573 folios). It was created in 5 Dec 1921-28 Jan 1931. 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. .

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Vv
LjnsDocjmHt^Jte PropjrtjiHij_6dtanniejy 2 tyi^, ermilei
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persi^
confidential.
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1923
No. 1.
L Ma y 9-]
Section 3.
Sir P. Loraine to the Marquess Curzon of Kedleston.—(Received May 9.
(No. 144.)
My Lord, , i Tehran, Afril 2, 1923.
I HAVE the honour, with reference to my telegram No. 63 of the 3rd March
list, to address your Lordship on the subject of the prospects of railway construction
in Persia.
The situation which has obtained for several years past is that the Persian
Railway Syndicate possess an option for the construction of two lines in West Persia,
granted at a moment when the Medjliss was in abeyance, but as yet unratified by
that Assembly, which is extremely jealous of the clause of the Constitution which
makes the legal validity of any concession, &c., dependent on its formal approval.
The syndicate has performed its obligations under the terms of the option and has
spent a considerable sum of money on survey work, which it would recoup in the
event of a concession being granted to it, and would claim the repayment of if no
concession were granted. It has submitted its proposals to the Persian Government
and awaits their reply, which ought to have been given in July 1922. The syndicate
is, I understand, prepared to undertake construction if called on to do so by the
Persian Government and subject to reasonable guarantees against financial loss.
Opinion in Persia in favour of railway construction is gathering strength, and
the present Prime Minister is especially sensible of the need for it. It may seem
surprising that in these circumstances the Persian Government should not have
closed with the syndicate’s offer. The reason for that omission is to be found in the
still widespread fear and suspicion of British political designs in this country and
in the belief, sedulously fostered by hostile or interested persons, that a British-
constructed railway would be a powerful instrument of political penetration. It is
obviously difficult at any particular moment to gauge the strength or sincerity of
these apprehensions, though I feel able to express the view that they are gradually
diminishing. What is certain, however, is that successive Persian Governments
during the last eighteen months have not proposed to the Medjliss to confirm the
option or to grant a concession to the syndicate, and have each alleged that to do so
in the present state of opinion would be to court a refusal and jeopardise the
prospects of construction. Two other considerations have influenced these Govern
ments : firstly, the fear of being accused of Anglophilism; secondly, the fear of
Russian displeasure and counter-demands. To the Western mind these difficulties
seem more apparent than real; to the Persian mind they are formidable obstacles and
practically unsurmountable until there comes about a complete change of opinion
here, which no Persian has the courage to advocate openly, but of which most realise
the desirability. The matter is thus allowed to drag on in the fatalistic hope that
some fortunate hazard will provide a solution. The well-disposed have actually no
objection to a British railway, but in order to save their patriotic face would prefer
that it should be camouflaged in the guise of an international company. The ill-
disposed still hope either that their opposition will be brought off, or that a non-
British competitor can be brought into the field and a situation created similar to
that of the northern oil concession . Practically everyone hopes, in the chaiactenstic
Persian fashion, that Persians will be paid for granting to foreigners the
inestimable privilege of constructing a railway system in this country, rather than
that Persia should pay for the railway communications which are essential to er
development and progress. This judgment may appear severe, but it is substantia y
correct. In the circumstances, therefore, my attitude, in discussing t e rai way
question with Persian officials or private individuals has been broadly ns . a ’
as a well-wisher of Persia, Great Britain would be glad to see her adopt a serious
programme of railway construction; for herself, Great Britain is m no iuri} o
undertake the task, but, if convinced that Persia really wants railways and is pre
pared to provide for them out of her own resources, she is ready to give _
That the Persians must make up their own minds on the subject, i e N f QTir |
construction, there is a first-class British syndicate able and ready to construct and
[307 i—3]

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Content

This volume contains papers relating to the construction of the Trans-Persian Railway. It contains material relating to:

  • The Persian Railway Syndicate’s attempt to enlist the aid of Rabbi Joseph Saul Kornfeld, the United States Envoy to Persia [Iran], and the British Foreign Office’s subsequent unfavourable attitude towards the Syndicate
  • The Persian Railway Syndicate’s proposal to invite American companies for the construction of railways in Persia
  • The concessions for the Mohammerah [Khorramshahr]-Khanakin [Khanaqin] and Khanakin-Tehran railways
  • The proposed railway from Khanakin to Tehran and the estimated cost for the three principal divisions of the railway
  • The restrictions of the British Government on the Persian Railway Syndicate’s grant of a loan to the Persian Government
  • The possibility of a ‘fusion of interests’ between the Persian Railway Syndicate and the Stronach Dutton System of Road Rails Limited
  • The possible extension of the American Chester Group’s railway concession from Turkey into Persia
  • The plans of the Prime Minister of Persia [Rezā Khān Sardār Leader of a tribe or a polity; also refers to a military rank or title given to a commander of an army or division. Sepah] for a railway line extending from Ahwaz [Ahvaz] to Khorramabad, Dizful [Dezful], and Sultanabad [Arak] to Tehran
  • The endeavour of an American group to obtain a concession for a line from Mohammerah to Khorramabad and Tehran
  • The expenditures of the Persian Railway Syndicate for the Khanakin-Tehran and the Mohamerah-Khoramabad surveys
  • The possibility of forming a Railway Syndicate with the Anglo-Persian Oil Company and Standard Oil Company
  • The Persian Government’s decision to carry out a survey of the Mohammerah-Tehran-Bandar-i Gez [Bandar-i Gaz] railway line with the assistance of a German engineer
  • The Consortium industriel pour l’Orient’s proposal to build a railway connecting Meshed [Mashhad] to the Tripoli-Homs Line
  • The preference of the British Army Council and the Air Council for an East-West rather than a North-South railway in Persia for strategic reasons
  • The exploitation of coal and iron deposits in Mazanderan [Mazandaran] for the construction of railways in Persia, and the concerns of Russia about a Trans-Persian Railway connecting the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran. to the Caspian Sea
  • The Act of the Persian Majlis [Parliament] for the construction of the Persian Trunk Railway
  • The Persian Majlis’s Passage of the Bill for Railway Survey and Construction
  • The Persian Majlis’s passage of the Railway Construction Bill, from Mohammerah and Bandar-i Gez to Tehran
  • The Persian Majlis’s passage of a law for constructing a railway between Khor Musa-Mohammerah-Bandar-i Gez;
  • The Persian Majlis’s authorisation of the Minister of Public Work to employ foreign experts for the construction of the Railway;
  • The inauguration of the Bandar-i Gaz-Tehran-Ahwaz Railway in the presence of the Shah of Persia [Rezā Shāh Pahlavi]
  • The British concerns and preference for a British rather than an American firm to build the Southern Section of the Railway
  • The passage of the Railway Survey Law by the Persian Majlis and the contract between the Persian Government and the American company Ulen, and two German companies, Philipp Holzmann and Julius Berger-Siemens Union [sic., Siemens Bauunion] to carry out a complete survey of the Railway
  • The contract between the Persian Government, represented by Minister of Public Works [General Ḥabib Allāh Khān Shaybānī], and the Persian Railway Syndicate, represented by MD Carrel and MNS Mavrogordato
  • The contracts between the Persian Government and the Persian Railway Syndicate for the constructions of ports at Bandar-i Qays and Khor Musa (Bandar-i Shahpur) and a dam over the Karun River at Ahwaz
  • The plans for building the line from Bandar Shapur north of Ahwaz, and revival of the line from Hamadan to Tehran
  • The construction of the railway lines from Bandar Shah and Khor Musa, the diversion of German resources to the construction of electrical and cement works, and the postponement of building a port at Khor Musa
  • The reservations of the British Minister in Persia [Robert Henry Clive] about the construction of the Railway as opposed to motor roads in Persia, and the subsidisation of the enterprise through the tea and sugar monopolies
  • The increase in the cost of the Southern Section of the Railway and predicted opposition of the Persian Government
  • The visit by the Shah of Persia to the Southern Section of the Railway, his unfavourable impression of the state of the railway, and the American Minister in Persia’s advice to Ulen and Company to stop working on the railway in case of difficulties with the Persian Government
  • The cancellation of the contract between the Persian Government and the Persian Railway Syndicate over delayed payments, and the agreement between the German and Ulen groups within the Syndicate to work on the Northern and Southern sections of the Trans-Persian Railway respectively
  • The Anglo-Persian Oil Company’s concerns about the Railway providing greater access and mobility to the Russians
  • The dispute between the Persian Government and the German-American syndicate for the construction of the Railway
  • The negotiations between the Persian Government and the German companies Julius Berger Konsortium, Philipp Holzmann, and Siemens Bauunion for the construction of the Northern Section of the Trans-Persian Railway
  • The possible takeover by the Batignolles Construction Company of the building of the Southern Section of the Trans-Persian Railway from the American and British companies Ulen and Company and Stewart and McDonnell
  • The Persian Government’s appointment of Suzuki Hajime from the Japanese Railway Department’s Engineering Bureau
  • The breakdown of negotiations between the Batignolles Construction Company and the Government of Persia, and the latter’s decision to proceed with the construction of the remaining sections of the railway
  • The proposals of the Batignolles Construction Company to the Government of Persia in the absence of a contract
  • The extension of the Southern Section of the Railway from Khor Musa to Dizful, Hamadan and Kazvin [Qazvin], and the Northern Section from Tehran to Sari and the southern coast of the Caspian Sea.

The volume also includes the following sketch maps:

  • A sketch map of the Trans-Persian Railway, from Khor Musa to Sari and the coast of the Caspian Sea, showing the ‘Line Completed’, ‘Line Surveyed’, and ‘Division between the Northern and Southern Sections’ (f 14)
  • A sketch map of the Northern Section of the Railway, showing the routes to Pahlavi, Semnan, and Balfurush [Barfurush], with a second map of the Southern Section, showing alternative routes and termini, running either from Mohammerah or Khor Musa to Dizful and Hamadan (f 156)
  • A sketch map showing the existing and projected railways in Persia (f 204).
Extent and format
1 volume (573 folios)
Arrangement

The papers are arranged in approximate chronological order from the rear to the front of the volume.

The subject 357 (Persia: Railways) consists of two volumes, IOR/L/PS/10/793-794. The volumes are divided into two parts, with each part comprising one volume.

Physical characteristics

Foliation: The foliation sequence (used for referencing) commences at the inside front cover with 1 and terminates at the inside back cover with 573; these numbers are written in pencil, are circled, and are located in the top right corner of the recto The front of a sheet of paper or leaf, often abbreviated to 'r'. side of each folio.

Written in
English in Latin script
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File 357/1919 Pt 2 ‘RAILWAYS IN PERSIA’ [‎429r] (862/1150), British Library: India Office Records and Private Papers, IOR/L/PS/10/794, in Qatar Digital Library <https://www.qdl.qa/archive/81055/vdc_100110106183.0x00003f> [accessed 11 June 2026]

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