106. Telegram From the Embassy in Iran to the Department of State1
743. Shah’s Moodiness. FinMin Amuzegar evening 17th told me that following our conversation 9th (Embtel 702)2 he sought to explain to Shah valid reasons for delay in US decision re second tranche interest rate. Amuzegar said he found Shah unreceptive. According to Amuzegar, Shah is in glum mood, convinced that Washington is determined to retaliate for his having made steel mill deal with Soviets.
Amuzegar said that in addition to second tranche interest rate issue, Shah cited “What Americans are doing to my brother and sister” in Gudarzian case. According Amuzegar, Shah simply cannot conceive that top U.S.G. leadership could not, if it really wanted to, secure prompt justice for Prince and Princess.
I told Amuzegar that by coincidence two U.S.G. attorneys, Kearney and King, presently in Tehran with purpose of explaining to Shah extent to which USG has gone to clear Prince and Princess.3 I noted it boils down [Page 188] to our determination to have Gudarzian locked up, but this requires necessary Iranian witnesses. Amuzegar said this is precisely what irks Shah, who is convinced that Ebtehaj, as great and good friend of top American leaders, would not fail to testify if that were truly U.S.G.’s desire. Fact that Ebtehaj has refused can in Shah’s view, according to Amuzegar, only mean that USG really suggested Ebtehaj not testify and all this is aimed at making Shah squirm because of steel mill transaction.
Amuzegar emphasized that he himself realizes all this is pure moodiness on part of Shah but it exists nevertheless. He pleaded that USG make some gesture, as for example quick word re second tranche interest rate, to help break intensified feeling Shah has that USG is determined to take punitive measures against him. Amuzegar said Shah’s belief that USG is undertaking punitive measures is heavily influenced by his brooding over Pakistan’s plight vis-à-vis U.S..
- Source: Department of State, Central Files, POL 15–1 IRAN. Confidential; Limdis.↩
- Dated November 9. (Ibid., DEF 19–8 U.S.-IRAN)↩
- Telegram 759 from Tehran, November 20, reported that the Ambassador, Deputy Assistant Legal Adviser Richard D. Kearney, and Assistant U.S. Attorney Robert King had had a 1-hour audience with the Shah that morning, during which they had emphasized that the U.S. Government had expended great efforts in seeking to put Gudarzian in jail but would not be able to proceed on fraud charges if Ebtehaj and Daftary were not available as witnesses. The Shah expressed his inability to understand why the American system of criminal justice could not convict Gudarzian of forgery or perjury, but he did not indicate willingness to relieve Ebtehaj’s apprehensions about testifying. (Ibid., POL 15–1 IRAN)↩