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           Persian Government, the result being that the Governor of Kerman was directed
           to send Marwarced to Bandar Abbas to undergo an examination of his accounts
           at a meeting to be held by Hindu residents and others with the knowledge of
           the Persian Agent for Foreign Affairs, the case to be then brought to a final
           settlement and reported to the Persian Government.
            * Her Mnjoity's Secretary of State for Foreign   352. At this stage the case was report­
           Adairs.                        ed by Mr. Thomson to Earl Derby* with
            f Sec Political A., April 1876, No. 95*  the following remarksf:—
              “If Marwarced was a Persian subject, this mode of procedure would seem to be per­
           fectly regular. 33ut he is a British subject accused of defrauding other British subjects.
           According to the 7th Article of the Commercial Treaty of Turkomanchai between
           Russia and Persia and to the Treaty of Paris between England and Persia, which latter
           confers on us the privileges of the most favoured nation, the investigation and settlement
           of a case of this nature would be entirely confined to the Representative or Consul of Her
           Majesty the Queen and decided according to British law.
              “ But Her Majesty’s Minister and Consuls in Persia arc not invested with judicial
           power; and if the exercise of such power by Persian authorities over British subjects were
           once recognized, it might later be cited as a precedent, if not interpreted, as a surrender by
           us of an important Treaty right.
              “It struck me that the Resident at Bushire might possibly be invested with judicial
           powers by the Government of India, in which case I should have called upon the Persian
           Government to send Marwarced to Bandar Abbas to be there tried by the Resident or
           his representative. I accordingly asked Colonel Ross by telegraph whether he possessed
           the requisite legal authority : but he sent me the reply, ‘ I have not legally jurisdiction/
              .“ I now feel convinced that any further investigation of this case by the local author­
           ities of Kerman would be unadvisable, and that my best course would be to suspend
           further action in the matter pending the receipt of Your Lordship’s instructions. I shall,
           therefore, inform the Persian Minister for Foreign Affairs that it is my intention to withhold
           his letter to the Governor of Kerman until I receive Your Lordship's instructions.”
               353* The declaration by Mr. Thomson and Colonel Ross of their want of
           jurisdiction in the matter led, as will be seen by the notes in the case, to an im­
           portant discussion in the Foreign Department, the result of which was embodied
           in the following letters to the Mr. Thomson and Colonel Ross :—
            X No- 538*P , dated 23rd February 1876.  To the former it was said}
              “The Government of India dissents from the statement telegraphed to you by the
                                          Political Resident in the Persian Gulf that he
               Political A-, April 1876, No. 100.
                                          had not ‘legally jurisdiction’ to adjudicate
           upon cases between British subjects on the seaboard of the Persian Gulf. The Governor-
           General in Council maintains, on the contrary, that the Political Resident has such juris­
           diction, based on usage and prescription. If therefore Your Excellency considers it expe­
           dient to adopt the course indicated in your letter to the Earl of Derby, namely, to call upon
           1 the Persian Government to send Marwarced to Bandar Abbas to be there tried by the
           Resident or his representative. His Excellency in Council is not aware of any reason why
           this should not be done ; and in the event of your adopting this course, Colonel Ross has
           been instructed to proceed himself, or to depute one of bis Assistants to Bandar Abbas
           for the purpose of trying the case in question.
              “In the opinion of His Excellency in Council it is of importance that the Persian
           Government should not be led by silence on our part, to suppose that we could entertain
           their proposal that a case between British subject should be investigated by Persian author­
           ities within the limits of a jurisdiction claimed by the Government of India.”
            § No. 537*P*id«ted 23rd February 1876, Political   A copy of the letter to Mr. Thomson was
           A., April 1876, No. 99.        sent to Colonel Ross, it being added :§—
              “ In the opinion of the Government of India the undisputed usa%e of many years forms
           a large and sufficient basis and for the jurisdiction enjoyed by the Resident in the Persian
           ports, and you should continue to exercise that jurisdiction, and follow the accustomed
           Procedure, until you receive orders to the contrary. These considerations apply of
           course with greater force to disputes in which only British subjects are concerned.”
                     *       *              *       *              *
                                                                                            !
              Mr. Taylor Thomson has been informed that if he considers it expedient to adopt the
           course indicated in that letter, namely, to call ‘ upon the Persian Government to send
           Marwareed to Bandar Abbas to be there tried by the Resident or his representative,’
           there is no reaon why this should not be done. Should this course be adopted' by
           Mr. Thomson, you will either proceed yourself, or depute one of your Assistants, to
           Bander Abbass to try the case in question.”
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