Page 712 - PERSIAN 8 1912_1920_Neat

«6 ANNUAL REPORT ON TEE PERSIAN GULP POLITICAL BE8EDENCY

Omani tribes may remain as a hinterland—no man can control them—to fight
amongst themselves and through fear to refrain more, every year the Sultan's
administration improves, from their habitual raid on his territory.
At the end of 1918 the Government of India had sanctioned a loan of 61
HU HlghoMt' Admlnlnration. lakhs of rupees to the 8ultan for the
repayment of his debts, conditional on the
reform of his administration in certain matters These conditions were tho
appointment of trained customs officials nominated by us who would reorganise
the customs and introduce a proper financial system into the State, the
institution of a proper Court for the administration of justice, the establishment
of a good school, and the enrolment and training of a levy corps for his own
protection.
After somo correspondence at the beginning of tho year under report
between His Highness and the Political Agent, His Highness accepted all the
conditions of the loan. Minor modifications were agreed to, namely that the
interest on the loan and tho first quarterly instalment of principal would not
be payable till after a year. His Highness was to fix his own privy purse by
agreement with the Political Agent after a month's working of the new system.
Gwadur and Dliofar were expressly excluded from tho control of tho Director
of Customs
It wap not till September of the year that the three Egyptian Customs
officials, whose services had been asked for to reorganise the Customs, arrived.
An arduous* task confronted them, as the whole system had to be completely
revolutionised if financial order was to he introduced. As has been exp&ined
in previous reports, His Highness used the Customs as his bank, homo wing
money from merchants on the security of the Customs, the merchants in turn
recouping their principal and interest by short payment of {Customs does. In
other words, for a sum of money down, a skilful Hindu bannia was able to buy
the right of free import for ever. It is true that the Customs under Mahomed
Keimea kept theoretical accounts of these transactions, but the appalling
abuses of the system need not be dilated upon.
The immediate steps taken were—■
(1) The appointment of*a committee to estimate the debts incurred by
His Highness on the security of the Customs, on the basis of
immediate payment.
(2) The abolition of all short payment of Customs dues.
(3) The institution of payment of duty at the current bazaar price
in dollars, not at the rupee price converted into dollars at the
pro-war rate, which meant a large increase in the rate of duty.
(4) The control of all income and expenditure in the Muscat and
Muttrah Customs by the Director of Customs.
The abolition of short payment'of Customs dues naturally roused a storm
of protests from, merchants complaining that their contracts had been broken.
The only remedy was the speedy ranking of the debts by the committee. This
was completed by 11th November, and it was found that the debts against the
Customs amounted to fi4,59,259 while the Sultaa had private debts of
B1,96,906. This gave a total of B6,66,165 on the basis of immediate payment,
and this total was over a lakh less than tho amount of the claims.
As it was clearly necessary for the Sultan to start with his reformed
administration unencumbered, sanction for an additional lakh of loan, giving
a total of 6£ lakhs, was asked for and granted. All debts were paid off in
cash or by supply bill on Bombay by 31st December.
The actual technical administration of the Customs was then taken in hand,
and a set of simple rules is being framed and will be published by His
Highness and made binding -by Political Agent under King’s Regulation. The
Customs is working well in spite of occasional friction between a too zealous
Customs official and a merchant who used to have matters all his own way.
The Director of Customs made several tours up and down the caa&*
Control is almost impossible at the smaller porta hut an effort was made to