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                                          boon desirous of placing the Muscat Customs
                                          uudur the superintendence of a British oflicinl.
                                          In 1005 they suggested that an arrangement
                                          should he proposed (o the Sultan of Muscat for
                                          the appointment of a British head Customs
                                          officer. This official was to he nominated by the
                                          Indian Government and appointed by the Sultan.
                                          But, although a servant of the Sultan, it was to
                                          ho stipulated that, in eases of important differences
                                          of opiniou between him and IIis Highness, the
                                          latter should agree to accept the friendly arbitra­
                                          tion of the British Political Agent.
                                            Another feature of the proposal was a guarantee
                                          by India of the Muscat Customs revenue to the
                                          extent of 20,000 dollars a month.
                                            Circumstances were apparently favourable for
                                          such an arrangement, ns the Sultan had become
                                          dissatisfied with his own administration of the
                                           Customs. Owing to disputes he was unable to
                                           obtain from that source sufficient funds even to
                               To India Oniec,   scud a steamer to Zanzibar. It appeared, how­
                               March 23, 1005.
                                           ever, to Lord Lansdownc that any considerable
                                           change in the internal administration of Muscat
                                           would afford the French Government grounds
                                           of complaint or a pretext for a counter-move,
                                           lie considered that an arrangement might he
                                           made of a less far-reaching character than that
                                           proposed by the Government of India; and, in
                                           any ease, he thought that the matter should bo
                                           deferred until the conclusion of the Muscat
                                           arbitration.
                               India Ofliee,   Later in the year the Sultan applied to the
                               Novemljer 28,
                               1005.       Indian Government for a loan, and it was sug­
                                           gested that compliance with this request might
                                           afford a reason for bringing up the question of a
                                           reorganization of the Customs. Negotiations
                                           were, however, then in progress for carrying into
                                           effect the Muscat Arbitration Award, and Lord
                               To India Ofliee,   Lansdownc considered that, pending their con­
                               December C, 1005.
                                           clusion, it was inadvisable to deal with tho loan on
                               To India Office,   the proposed basis. Ite limited his approval to
                               March 20, 100G
                               [10128].    the grant of a small advance, in relief of the
                                           Sultan’s pressing financial difficulties, repayable
                                           from bis subsidy, without political conditions.0
                                            • Tho following loans have been made to the Sultan of
                                           Muscat from Indian revenues:—
                                            191*2. 1,50,000 rupees (10,000/.), advanced to Sultan for
                                             purchase of yacht.
                                            1904. 30,000 rupees (2,000/.), on condition ho was uot to
                                             lwrrow elsewhere.
                                            190G. 20,000 rupees (1,333/.), sanctioned, butnpparcutly uot
                                             taken advantage of, by Iiis Highness.
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