Office of the Historian

113. Memorandum for the Record1

Washington, December 21, 1965, 2 p.m.

SUBJECT

  • Minutes of the Meeting of the Special Group (CI); 2:00 p.m., Tuesday, December 21, 1965

PRESENT

  • Governor Harriman, Mr. Marks, Mr. Komer, Mr. Gaud vice Mr. Bell,
  • Mr. McNaughton vice Mr. Vance, Mr. Karamessines vice Admiral Raborn, General Anthis vice General Wheeler

Messrs. Sayre, Davies, and Maechling were present for the meeting

[Page 202]

[Here follows discussion of other subjects.]

3. Progress Report on Internal Defense Plan for Iran

Mr. Davies briefly reviewed the memorandum, explaining that the recent agreement with the Soviet Union for the construction of a steel mill is another manifestation of the Shah’s desire for a more independent posture. He explained that an increasing ruble balance over the years would bring closer economic ties between Iran and the Soviet Union.

The Chairman asked if we are prepared to sell the ships and planes requested by the Shah. Mr. McNaughton replied that the question of ships is out. Mr. Komer suggested that we sell planes to the Shah and let the British sell them ships.

The Chairman pointed out that the Shah is concerned over our reliability as a supplier of spare parts for military equipment in light of our recent stand in Pakistan.

Mr. Davies said that the Bureau of Near East Asia supports the Country Team’s recommendation that future progress reports be submitted on an Ad Hoc basis. Mr. Komer expressed concern over the complacency of recent reports and apparent concentration on short term factors. He suggested that the Group keep a close watch on Iran.

The Group agreed with the Chairman’s recommendation that the Ambassador report quarterly by letter on the situation rather than through an IDP progress report and endorsed Mr. Komer’s suggestion that the letter report reflect concern for future contingencies.

[Here follows discussion of another subject.]

C.G. Moody, Jr.
Executive Secretary
Special Group (CI)
  1. Source: Central Intelligence Agency Files: Job 78–03805R, US Govt—Special Group CI & 303. Secret. Drafted by C.G. Moody, Jr., Executive Secretary of the Special Group (CI).↩