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                          The sons of Shaikh Husain of Chahkutah, whom Sardar-i-Intisar was able to
                      use  last year on the side of Government against the rebel Ghazanfar-us-SuItanah
                      of Borzajan, themselves rebelled against the Clovernmcnt as a result of the tact­
                      less behaviour of the Militaiy and in the month of April, Shaikh Nasir Khan, son
                      of Shaikh Husain Khan, with some thirty armed men occupied Chaghadak (lately
                      the headquarters and farm of Herr Wassmuss) about 10 miles to the east of Bushire,
                      and bastinadoed the headman to whom the Persian Government had leased the
                      village. By the end of the year, however, most of the headmen' had been
                      rounded up and despatched to Tehran.
                         At the beginning of the year whilst the Kerman regiment was operating in the
                      Shibkuh region, the Officer Commanding seized all the Arab headmen—13 in all-r­
                      and sent them under escort to Tehran. This wholesale .arrest and deportation
                      seriously increased the unrest in that region, and the leading Shaikh of Tebcn,
                      Shaikh Muhammad bin Ahmad Khalfan, who escaped arrest mustered the re­
                      maining Arabs and at the close of the year was still holding out against Govern­
                      ment troops estimated to number between one and two thousand. Shaikh Muham­
                      mad bin Ahmad Khalfan visited Bahrain and ITasaand wished to proceed to Riadh,
                     but the Amir of Hnsa discouraged him from proceeding further than Hofuf. He
                     ultimately returned to Teben and on the 12th November attacked a Persian cus­
                     toms launch and shot dead an Inspector and wounded an Amniyah guard.
                         At a service held in memory of the deceased Inspector, Mulla Abdullah al
                     Fazil, a blind pleader and “ Rozakhah ” of Bushire made certain references to the
                     services rendered l'»y the late Colonel Muhammad Taqi Khan (supporter of Saiyid
                     Zia-ud-D'n and the late Khiyabani (a republican) both of whom were-viewed by
                     the present Shah as hig rivals. The Mulla was promptly placed under arrest and
                     deported.



                                                 SECTION 7.
                                                  Slavery.
                         During the year under review the following slaves were manumitte d by order
                     of the Ilon’ble the Political Resident:—
                          Slaves who escaped from the Trucial coast and took refuge at the Bahrain
                             Agency                                                15
                          Slaves who took refuge with the Residency Agent, Shargah   16
                          Slaves from Basidu who took refuge at the Bahrain Agency  4



                                                SECTION 8.
                                         Trade and Trade Facilities.
                        Trade.—Of conditions during 1930 it was generally said, by way of conso­
                     lation, that at least they could hardly be worse and that the commercially dis­
                     astrous situation created by the Government arbitrary control of exchange, was
                     too impossible to last. Events of 1931 were to show, however, that the Govern­
                    ment’s incursions into the realms of economics during the preceding year were as
                    nothing compared with what was to follow.
                        The year opened with gloomy prospects. Abroad there was no market for
                    Persian produce; at home prices for all commodities were rising ; the price of silver
                    was at the lowest ebb, the kran with it (as regards illegal bazaar transactions) and
                    any prospect of the gold standard being introduced at any early date doubtful in
                    the extreme. It was patent to everybody that the Government's control of ex­
                    change had proved a fiasco. In practice, as a result of the resale system whereby the
                    hanks were buying exchange on the condition, imposed by the seller, that it should
                    be resold to the person he designated, and from whom he recovered the difference
                    between the official and bazaar rate, the effect of the exchange law was merely to
                    penalise the exporter, who had to guarantee to sell exchange against his exports
                    at the official rate, while the importer, obtaining his exchange in the bazaar, could
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