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             I rnoko to tho Grand Vizier on tho subject last Monday, Ho rondo no remarks worth
         telegraphing, but I think ray words bad good effect.”
             277. From tlio following despatch it ig clear that Sir A. Hardingo verbal­
         ly explained to the Grand Vizier tho full scope of tho promise which he had
         given to tho Sheikh, and tho roasons which had led to such action being
         taken:—
                        Sill A. IUUDINGB TO THU MaBQUXB OJ LAN8DOWNB.
                                                         Tehran, December 6, 1909.
         {Extract).
         {No. 167.)
            u I epoko to the Grand Vizier on tbo first instant about Mohammerah and referred to the
                                        two notes which Mr. des Graz had addressed on
          8«crei E., Juno 1903, Nco. 887*366, Proceeding
         Vo. 810.                       the subject to the Musbir-od-Dowleh, and the last
                                        of which had not yet beon answered.
            His Highness thon endeavoured to argue that our interests wore not affected by any
         changes in the position of tho Sheikh, who was a local Governor like any other. 1 said I
         hopud he would allow mo to bo frank with him on tho subject. I bad no wish to call in
         -question tho Shah's sovereignty over tho Chief or people of Mohammerah, which His Majes­
         ty’s Government had always recognised.
            Our experience in Seistan had howevor been a lesson in the offects on our interests which
         a Russian Consul and Belgian customs officials, who were not always.judicious, could produce
         at the residence of a remote and ill-informed Persian Governor. On the Karun, as in Seistan,
         tho Russians had no bond fide commercial interests and their recent appointment of a Consul
         could have only political objects. Wo wero determined not to have, if we could help it,
         another Seistan in Mohammerah, and to let Sheikh Khazal therefore understand that if Russiau
         agoats attempted to intimidate him, or insinuate that they could bring pressure to bear on
         him owing to the influence which they exercised at Tehran, we on our side were ready to
         support him. It was because threats of this kind had beon used by Prince Dabija, Russian
         Cousul at Ispahan, when he visited Mohammerah, that 1 had felt obliged to intimate to the
         Sheikh that cur naval forces in the Gulf were more powerful than those of Russian and that
         they might be employed in certain eventualities for the purpose of maintaining the statue quo.
         in which ho aud we were alike interested.”
                         Sib A. Haedinoe to tub Musdib-ed-Dowleq.
                                                              December 6,1909.
            “No answer having boon received by this Legation from Your Excollenoy to tho note
                                       dated October 11, which Mr. des Graz had the
          Endo*uro 1, Proceeding No. 840, Secret E., Juno
         1803, Vo*. 837*366.           honour to address to you respecting customs
                                       ohanges at Mohammerah, and Your Excellency
        having in your reply to a previous communication on the subject said that tho matter might
         have to be referred to His Majesty the Shah and the Atabeg-i-Azain, I bud some conversation
        respeoting it with His Highness on the 1st instant.
            The Atabeg-i-Azam observed that he bad shared Your Excellency's surprise at the em­
         ployment by Mr. des Graz of the word * Karardud,' to describe the progress by which the
        Persian Government had effcolod certain administrative ohanges in a district whose ruler was
        its subject. His Highness however recognised that these changes as affecting British com­
        merce were a matter of legitimate interest to His Majesty's Government, and whilst deolining
        to ad mir. that the instruction given by him some years ago that Lynch Brothers should be
         ail yred to pay customs duties at Ahwaz and Shuster was a pledge perpetually binding the
        Persian Government, had directed M. Nausto discuss this question with mo with a view to the
        conclusion of a modus vivendi.
            I observed on my side that, while deprecating in tho strongest manner any suggestion
        that the use of tbo word * agreement ’ could be construed as implying on our part a doubt aa
        to the sovereignty of Persia over the Sheikh and people of Mohammerah, which His Majesty’s
        Government bad ulways recognised, we yet felt that the adoption of cortain measures towards
        the Arabs, such a9 the transfer to Europeans of funotions hitherto enjoyed by the Sheikh,
         might, by causing dissatisfaction and local disturbances, very seriously affect our interests. It
        was for this reason that wo considered that tho friendly relations existing between the Persian
        and British Governments and the assurances which the former bad repeatedly given us,
        justified us in asking for the fullest information as to tho exact nature of the changes proposed.
         His Highness assured me of hia readiness to meet our views in this respect, and when, a day
         or 60 later, I asked him through Abbas Kuli Khan for the text of tho arrangements with the
         Sheikh of Mohammerah which I understood had been or wero about Co be concluded, he
         replied that no written arrangements had beon made with the Sheikh, but that he was to have
         the titular rank of Hoad of the Customs and to receive an increase of salary amounting to
                [S969FD]                                           T
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