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4. Municipal Taxation.—In 1935 a King’s Regulation had been issued
by the Political Resident in the Persian Gulf making applicable to British
Subjects, with his previous approval, rules and taxes imposed by the Muscat
Government on their own subjects for the conservancy of the towns o( M a trail
and Muscat. On account of continued delays and procrastination on the
part of the Muscat State Officials the conditions required by the Political
Resident in tho Persian Gulf for his approval of the suggested taxes were
not fulfilled until March of 1938 in which month the Political Agent was
authorised to make applicable to British Subjects a Muscat Municipal Regula
tion issued that year imposing a tax of one anna per package on goods liable
to Customs Duty imported from abroad.
The object of the tax was to provide funds for the badly needed con
servancy of the towns of Muscat and Mutrah.
A Municipality has been formed made up of six Muscat subjects and
three British subjects nominated by the Political Agent and presided over
by Saiyid Hillal bin Bedr, formerly Secretary to the Sultan.
During the last quarter of the year some funds having become available
from the tax mentioned above, the Municipality at last commenced to func
tion and a certain amount of activity in clearing up some of the numerous
ruins, clearing and lighting of the streets, etc., is to be seen in Muscat and
Matrah, though the task ahead of the Municipality is a formidable one.
5. Events in Oman.—Nothing of importance took place during the
year.
6. General Communications.—Mr. G. Gilby remained incharge of the
local office of the Cable and Wireless Limited throughout the year. During
the greater part of July and August and again in December telegraphic
communications with the outside world were interrupted owing to the
breakdown in the Company’s cables.
7. Muscat Infantry.—Captain A. C. Byard, British Army retired, was
in command up to 31st July on which date his seivices were terminated and
he left for England. The Sultan has asked for the services on deputation of
an Indian Officer on the Active List of the Indian Aimy to take over the
command of the Levy and it is hoped that a suitable officer may be made
available in the near future, for this purpose.
8. State Finances.—The Muscat Government no longer supply informa
tion regarding the financial position of the State at the end of the year but
from inquiries made it may be safely assumed that it is solvent. It is under
stood that on this date the credit balance of the State amounted to
Rs. 2,48,000. This docs not include the debts due by the State to the local
creditors which amount to Rs. 71,974.
R. P. WATTS, Major, LA
Political Agent and II. B. M.'s Consul, Muscat,