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                         The Customs Preventive Department have kept a careful watch on
                     smuggling between Kishin and Bandar Abbas town. Several houses   were
                     searched, and fines amounting to over Rials, 60,000 (about £700)  were
                     collected from those found in possession on contraband articles, although in
                     some eases the goods were old or the owners produced their Customs receipts.
                     Secret Agents were employed to report smugglers. Reports were received
                     from Dubai and Bahrein of Dhows loading contraband cargo for Iranian
                     Ports.
                         When the order prohibiting the use of the Pah lev i hat came info
                     force in July, the Customs had orders to pass Kuropcan hats without the
                     necessary import permits. A sum equivalent to the value had to be depo­
                     sited.
                         In the month of July, a Customs Motor Boat fired at a Dhow landing
                     passengers between Bustano and Pohl (Clarence Strait) and wounded a
                     man. The man was brought to Bandar Abbas and received medical treat­
                     ment and recovered.
                         The Custom notified the public in August that anyone caug  ?ht smuggling
                     gold or silver out of the country would be shot, no matter 1  low small a
                     quantity was smuggled.
                         There was a great fall in the Customs revenue during the first four
                     months of the present Iranian year (1314) as the import of Yarn and
                     cotton piece goods, the chief imports of Bandar Abbas, were forbidden.
                         The examination of passengers’ luggage has been very strict and heavy
                     duty is charged on small article.
                        Aqayi Ali Amini, the op-mudir of Charbar committed suicide at
                     Kishm on 19th September and his body was brought to Bandar Abbas for
                     burial.
                        The export of cotton was prohibited from the 4th Mehr (27th Septem­
                    ber) and a Company has been formed to deal in cotton. A consignment
                    of 1800 bales cotton was cleared from the Customs and shipped to Germany.
                    Owing to this the price of cotton rose from Rials $.to Rials 14 per batman.
                        Five Baluchis suspected of smuggling were arrested and sent to Bandar
                    Abbas from Sirik in the month of October.
                        4. Finance Department.—Mir/.a Mohamed Ali Khan Zand held charge
                    till 9th December 1935. He was accused of helping Seyed Abbas Dashty
                    to export more Red Oxide from Hormuz than was shown in the permits and
                    has been suspended. Aqayi Wazien took over on 10th December 1935.
                        His Excellency Mirza Ali Akbar Khan Dawar, Minister of Finance
                    visited Bandar Abbas in February. During his stay he received the local
                    merchants and traders. He said he was shocked at, the filthy and miser­
                    able condition of the town and said improvements should be made at once.
                    He promised Government aid. He recommended 4,he formation of compa­
                    nies to buy sugar wholesale from Government and to sell it at a fair profit
                    to the public. The price of sugar was reduced to Rials 7 a batman for
                    crystal and Rials 8 a batman for loaf.
                       The Finance Minister ordered the Customs to hand over the Wharfage
                    tax (15 dinars per package) to the Municipality, and said the Customs were
                    to maintain the pier out of their own budget. Rials 9,000 the balance with
                    the Customs, was transferred to the Municipality. The Finance Minister
                    said he would try to allot a sum of Rials 100,000 annually for the improve­
                    ment of the condition and sanitation of the town and to establish a proper
                   Municipal hospital.
                       He amalgamated the Malieh office with the Customs. This has been
                   of great benefit to poor villagers who had to deal with the former. With
                   this amalgamation the extortion of money from the poor lias ended.
                        The Ministry issued telegraphic instructions to the Customs, that, with'
                    effect from the 9th June, the cost of loaf and soft sugar for the interior
                    (beyond the coastal Area) was to be reduced from Rials 17-50 and 15-45 to
                    Rials 13-20 and 12-GO respectively.
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