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              aion, but, on Mr. Thomson’s representations, the Shah withheld his approval.
              The Persian Minister for Foreign Affairs told Mr. Thomson that he had strongly
              advised the Shah to decline all Railway Concessions which would place the
              trado of Persia under the control of Russian Custom House regulations, and
              had recommended the opening of the trado routo to the Persian Gulf by rail
              to Shuster and the ICarun River to Mohammorah. He said that on this  ro-
              presentation the Shah ordered the Resbt-Tchoran Concession to bo sot aside.
                  84. On 4th November 1878,* Mr. Ronald Thomson telegraphed to His
                                            Excellency tho Viceroy that the Rcaht-
                        DUry No. 0190-E.
                                            Teheran Railway Concession to the French
              Company had been granted, notwithstanding his opposition, and the urgont
              representations of tho Russian Minister in favor of a direct line from Tiflis to  a
              Russian Company, to which Mr. Thomson also strongly objected. The Con­
              cession, though granted, was not to be sent off to Paris'for some days after. Mr.
              Thomson said that tho Minister for Foreign Affairs had told him unofficially
              that he might consider the Karun navigation question as conceded, and that tho
              Persian Government would allow the construction of a railway from the Karun
              to Teheran by an English Company, on the same terms as the Resht-Teheran
              line. In a letter to the Marquis of Salisbury, dated 20tii November 1878, Mr*
              Thomson, however, stated that the navigation of tho Karun had not yet been
              conceded. He says that the Persian Minister for Foreign Affairs was alive to-
              the advantages to bo gained by adopting the views of Hor Majesty’s Govern­
              ment, and had urged the mattor on the Shah, verbally a9 well as in writing,
              and was so confident of having persuaded His Majesty that ho assured him h&
              might consider the matter as sottled. He explained that tho Foreign Minister
               has to contend with determined opposition on tho part of the Shah, which, though
              it had temporarily been withdrawn, has unexpectedly again revived. The
               6nly way he can account for this opposition was that it might arise from
               misgivings as to the future value of Mohammorah to England being so great
               that we might, having once obtained a footing there, take advantage of an
               opportunity to secure its possession. If this Burmiso was correct, he said it
               would throw light on the otherwise unintelligible opposition of the Persian.
               Government during the last three years.
                  86. Though the Shah had, for the moment, shown indications of renewed
               opposition, the Persian Minister for Foreign Affairs has expressed himself as per­
               fectly confident of being able to overcome this, if not immediately, at no very
               distant period. The Minister had many difficulties to contend with, his tenure
               of offioe being by no means seoure. Mr. Thomson believed him to be loyally
               endeavouring to aid Her Majesty’s Government in the matter, and said ho would
               allow no opportunity to pass of stimulating his efforts, with, he hoped, the ulti­
               mate result of overcoming the Shah’s opposition.
                   86. Mr. Thomson bad ascertained that the Persian Government have asked
                From Her   Cbirp6 d' afhirti, Teheran, that of Russia to giVQ them an &SSUr&UOO
               Ho. i»3, dated 20th October i87s. to Lord Salisbury, that no restrictive conditions will he placed
               by the Russian Custom House authorities on the transit of goods by tbo Resht-
               Teheran line. This the Russian Government declined to do. They did not con­
               sider it advisable that tho line should be constructed at all. The Russian
               Minister has strongly recommended that Persia should make arrangement*
               which would place Teheran iu communication with Europe by railway, through
               Tiflis and the Caucasus. Mr. Thomson says that the Russian Minister,told
               the Persian Minister for Foreign Affairs that—
                  11 Russia was about to oonnect Kars with Tiflis by a line of Railway which  was intended
               for strategic purposes, and this lino would l>e continued by Alexandropol to Julfa..  . A branch line
               from the Tiflis-Poti Railway would be carried through to Botoum, giving access  to tbo Black
               Sea, and the Railway, which did not at present extend beyond Vladikafkaz, was forthwith
               to be completed to Tiflis through tho Cducasus. This section of the line was, ho said, a <w»tly
               undertaking, and the Concessionaries to whom the work was being entrusted demanded a
               guarantee from tho Russian Government which, however, they were willing to pay, provided
               arrangements were made with Persia which would admit of the line being carriod through
               from Julfa on the Russo-Persian frontier to Teheran by Tobriz. The Russian Government
               woa therefore anxious that if Persia should adopt that route, and ii tho event of t un
               complying with this desire,' Mr. Ziuoview said, that not only would his Government complete
               the hue of railway on their lido up to the Persian frontier at Julfa, but they would do. all
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