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could have same size coal-shod at Makala as wo have. Itu-jam i« inhabited cove between
Moskat and Mattrah ; it is favourite summor anchorage for French Suri dhows, but is exposed
to north-west winds prevailing during winter, and const quently quite uneuitcd for coal depot
though position is favourable for commanding entrance to Mattrah harbour and could bo easily
fortified. Fagan adds decision of Her Majesty’s Government not to allow any site outside
Maskat harbour lor French c» al denfit is generally known, and strongly urges that it bo main­
tained. I would further observo that the arrangement suggested object of which is very
transparent, is not in accordance with the proposal mado by tho Frenoh Ambassador in his
interview with Sanderson on 18th April, nor with tho Amhassdnr’s letter to fiord Salisbury
of 4th May, and it is quite inconsistent with the communication made to the Sultan as
directed by your telegram of 2nd .I unc. I consider we should insist on coaling station being
inside Maskat harbour, and l urgently deprccato any further withdrawal from tnc position we
haTo taken up under instructions more than onco repeated from Ilcr Majesty’s Government.
377. Tho Froneh Government was informed on 10th August that the
British Government, could not agree to Iliyam site and tho offer of tho third
shed, Makalla cove, was renewed (Secretary of State’s telegram dated 18th
September).
378. Major Pagan reported that Sayyid Faisal’s bias in favour of tho French
was duo merely to tho fear of English designs. Ho was never favourable to the
English, was further alienated by our failure to assist Urn in 1895 and finally
was imbued with distrust of tho English by Ottavi. His behaviour in tho
quarautiue affair proved his suspicions. Tho stoppage of subsidy foiled to bring
him in as ho simply coasod to eubsid se tho tribes, who'had lost all their
prominent leaders and wore deterred from
Secret E , October 1899, Nor. 24—3V
attacks on Maskat and Mattrah by tho
British notification. Income from customs ($ 470 a day)—and the Sultan had
lately confiscated the estate of a Baluchi murdered at Sib, worth $25,000—kopt
the Sultan in funds. He had lately utilised Abdul Aziz to deal with tho Bon
lluwakah garrison at Rostak; ho would never cease to cause anxiety
to the Government of India and would nsver of his own free will allow British
influence again to predominate at his Court (Major Fagan’s letter dated 28th
September).
379. In his despatch No. 37 (Secret), dated the 11th August 1899, the
Secretary of State offered certain remarks
Secret E„ October 1899, Noi. 24—39.
as to the question of resuming paymont
of the subsidy to the Sultan of Maskat, and recommended such a course as
being the best means of re-establishing a good understanding with tho Sultan.
It was thought that the arrival of Captain Cox at Maskat ou appointment as
Political Agent would bo a good opportunity to presume payment of the subsidy,
and that though the question of arrears would ari?e, he might be able to get
the Sultan to agree to the balance of the Maskat indemnity being met out of
the arrears, «n which case tho punitive tax could bo abolished.
380. Tho following letter was issued:—
No. 1509-E. A., dated Simla, the 2nd Ootober 1699,
From—H. S. Bibnss, Esq., C.8.I., Otficioting Secrotary to tho Government of Indio, Foreign Depart­
ment.
To—The Political Resident in the Persian Gulf.
With reference to my loiter No. 747-R.A,, dated the 25th May 1899, and j'our Jettor
No. 78, dated the 29th May 1899, 1 am directed to enclose a copy of a Secret despatch No.
37, dated the 11th August 1899, from the Secretary of State for India regarding Maskat
affairs.
2. Should Captain Cox, upon arrival at Maskat, be received in a friendly spirit by the
Sultan, and should be, after making himself acquainted with the circumstances of the situation
report in favour of a resumption of the subsidy to the letter, the Government of iudia would
be inclined, subject to your advice, to acquiesco in 6uch a proposal.
3. A9 regards the arrears of the subsidy due since the Inst payment for November 1898,
these should only bo paid, subject to the deductions necessary on account of the repayment
of the loan granted to the Sultan in 1897 and to tho display on tlie part of the Sultau of a
sincere desire to resume friendly relations, and of a disposition to defer in future to the advice of
the Government of India. The monthly payment of the subsidy should probably bo resumed
first, and tho payment of arrears held over until the Government of India havo been satisfied
by Captain Cox and yourself of the bond fid** and loyalty of the Sultan. It would also be
desirable, in the opinion of the Government of India, to liquidate from these arrears, fcne
balance of the indemnity due to British subjects for the losses incurred in the rebellion of 1895,
a proposal which would have the further advantage of enabling tho Sultan to abolish at once
tho punitive tax levied on tho export trade. By these measures oil outstanding accounts
would be Buttled; and it would he possible to make a fresh plart at Maskat with fair cuauces
of success, Captain Cox ahould bo directed to report upou these proposals.