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                        Persian prohibition. They, however, evaded this difficulty by entering into negotiate,  on s
                        with a merchant named Agha Muhammad Rahim, who was also employed as a British news-
                        agent at Bahrein. This man   had obtained from the Sheikh’s Vizier a concession of a mono- -
                                                              .
                        poly of the local trade in arms, which the Chief had previously given to his Vizier, and he, in
                        his turn, now made it over to Messrs. Fracis, Times. Last year Messrs. Precis, Times fell
                        out with Agha Muhammad Rahim, and also with native merchants or buniahs. Civil pro­
                        ceedings were in due course instituted by Agha Muhammad against Messrs. Fracis, Times
                        which arc still pending, and then the Sheikh, quite independently of any action taken, or
                        any advice given by the British Resident, took possession in January last of the stock of
                        arms and ammunition stored up by Messrs. Fracis, Times at Bahrein. It was not until the
                        end of April last that the firm took the obvious and proper course of submitting their
                        protest against the Chief’s action to the Resident, and the matter is still under consider­
                        ation. The inquiry will throw light upon the proceeding of the British news-agent in
                        this matter, which at first sight seems to require modification.
                           "The main conclusion indicated by these facts is that the British consular authorities
                        in the Gulf were not aware of and were not responsible for the seizure complained
                        of; and that Messrs. Fracis, Times' losses at Bahrein arc entirely distinct from the
                        other seizures to which this statement refers. Their claim to restitution depends on the
                        result of the legal proceedings referred to and upon further inquiry into the circumstances.
                                  *         *         *          *          *

                            In conclusion, the following general remarks regarding British interests in
                        the suppression of the arms trade were made:—
                             Messrs. Fracis, Times, in their statement, dated 7th March, 1898, mention 3,800
                        rifles, besides ammunition, seized in their godowns in Bushire, arms and ammunition of the
                        value of £12,000 sterling seized at their depQt on Bahrein, and £700 worth of arms seized
                        on board the “ Baluchistan." independently of a stock of arms at Maskat which they value
                        at £9,000. If these operations of a single firm of Parsee and British partners represent at
                        all the magnitude of the trade in Belgian and British arms which other firms are conduct­
                        ing, the matter becomes one cf most serious importance. In the first place, such a traffic
                        is endangering legitimate British trade in other commodities with the interior. Serious
                        complaints have been received of the insecurity of the trade routes in Persia, especially in
                        Southern Persia. Her Majesty’s Minister at Tehran, in his letter of the 27th June last,
                        repeats the opinion expressed by his predecessor in these terms:—‘ There can be no
                        doubt whatever that the wholesale importation of arms of precision into Persia is dangerous
  J
                        to the peace of the country, and consequently injurious to our trade.’
                           “ From other parts of the Gulf the same injury to trader is reported. In the case of
                        the piratical attack* on the sailing vessel " Kalianpasa,” committed on the 2nd of December
                        near Saiban Point in the Shatl-el-Arab river, the crew were killed by firearms. This
                        outrage is not the only one of a similar character, and in April last the Assistant Political
                        Agent at Basra reported that Hasan Khyun intended to interfere with the steamers of
                        the Euphrates and Tigris Steam Navigation Company plying on the river. Then again,
                        on the Arab Coast, the intervention of the Indian Government to uphold the Sultan of
                        Maskat's authority has been more than once exercised of late years, and the arming of
                        the rebels is felt by His Highness to constitute an element of danger to the Sultan’s rule.
                        The attack upon the British survey party in Baluchistan and the murder of Mr. Graves on
                        the Persian side of the border, which followed the perpetration of several attacks upon the
                        persons and property of British subjects in the employ of the Indo-European Telegraph
                        Department, illustrate a condition of affairs which must be seriously aggravated by allow­
                        ing an illicit traffic in arms to continue. In this connection attention is invited to my
                        letter suggesting the need for systematic enforcement by the Persian Government of its
                        regulations against all importers and thus who are taking part in the prohibited traffic in
                        arms. Lastlv, there is the danger telt in 1880, when only caps, smooth bore guns, and
                        even flintlocks were being carried through Persian ports into Afghanistan. It was ascer­
                        tained by special enquiry that Baluch and Afghan Agents were, during the late frontier
                        disturbances, sent down to Maskat to await the arrival of the S. S. 1 Tresco ’ and * Balu­
                        chistan.’ The makers iu Belgium, who have supplied Messrs. Fracis, Times and others
                        with Martini-Henry rifles, procured last year from England the exact dimensions of the
                        chambers of the rifles used by the Indian Government; and although Messrs. Fracis,
                        Times & Co. state that the market is glutted, the traffic attained its highest dimensions
                        last year, when the Indian frontier was most disturbed. Several cases of the identical
                        cartridges which were exported from Manchester, but made in Belgium were found in
                        February last in the house of Mir Suka in Pasni, and Afghan caravans were in April last
                        awaiting in the neighbourhood of Bander Abbas the expected consignments. Unfortunate­
                        ly the tribesmen on the frontier almost invariably succeed in carrying off the arms of
                        those who fall in battle, and it is not to be expected that the arms which they surrender at
                        leisure should be their best weapons. But sufficient information has already been obtained
                        to show that the opinion expressed in July, 1880, by the Government of India, that‘the
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