890g.01/179
The Secretary of State to
the Ambassador in Great Britain (
Houghton
)
Washington
,
July 13,
1926
.
No. 601
Sir: The Department refers to its written
instruction No. 627 of April 20, 1925,41 reviewing its position regarding the rights of
this Government and its nationals in Iraq and directing the Embassy to
propose to the British Foreign Office the negotiation of an agreement
with respect to such rights similar to that reached regarding American
rights in Palestine as set forth in the American-British convention of
December 3, 1924.42
Reference is made also to Mr. Atherton’s letter of February 9, 1926, to
Mr. Allen W. Dulles, then Chief of the Department’s Division of Near
Eastern Affairs,43 from
which it would appear that, in response to the Embassy’s
representations, the Foreign Office had expressed itself as not adverse
to entering into the proposed negotiations but as preferring, before
taking any steps to that end, to await the anticipated settlement of the
Mosul boundary question.
[Page 782]
Agreement with respect to this latter question having apparently resulted
from the decision of the Council of the League of Nations of March 11,
1926,44 and from the Turkish-British-Iraqi Treaty of June 5,
1926,45 the Department
desires you again to take up with the British Foreign Office the
question of the negotiation of the proposed convention regarding
American rights in Iraq. To facilitate a consideration of this matter
and as a basis for discussion, there are enclosed three copies of a
“Draft Convention between the United States and Great Britain—Rights in
Iraq,” one copy of which should be left at the Foreign Office together
with an aide mémoire recapitulating such verbal
representations as may be made on the occasion of its presentation.
In explanation of the enclosed draft of convention the Department sets
forth the following observations:
An endeavor has been made to follow as closely as possible the form of
the preamble of the British-American convention of December 3, 1924,
relating to Rights in Palestine (Treaty Series No. 728). Changes
(notably the incorporation of the Decision of the Council of the League
of Nations of September 27, 192446) have, however,
been necessitated by the special situation of Iraq.
Article I of the attached draft differs from Article I of the Palestine
Mandate convention in referring to “the Mandate exercised by His
Britannic Majesty over Iraq” rather than to “the administration of
Iraq”.
Articles 2, 3, 4, 5 and 6 correspond with Articles bearing those numbers
in the Palestine Mandate convention.
The difference between the wording of Article 7 of the attached draft of
convention and that of the Palestine Mandate convention is necessitated
by the penultimate paragraph of the above mentioned Decision of
September 27, 1924. In composition, this article, as drafted, is a
combination of the said penultimate paragraph of, the Decision and of
Article 8 of the Palestine Mandate. (See page 3 of Department’s written
instruction No. 627 of April 20, 1925).
With respect to Article 8 of the attached draft of convention, reference
is made to pages 4–6 of the above mentioned instruction No. 627, as well
as to the statements in the draft note set forth commencing on page 8 of
that instruction, with reference to economic rights to which the United
States is believed to be entitled in territory detached from Turkey and
with respect to which the British Government has given specific
assurances to which reference is made in that draft note.
[Page 783]
Article 8 will be seen to follow in general the provisions of Article 11
of the Mandate for Syria and the Lebanon, (see Treaty Series No.
695,47 page 5), and supplements the assurances set
forth in Article 11 of the Anglo-Iraq Treaty of Alliance of October 10,
1922.48 The content of
the attached draft of Article 8 is considered to be substantially that
of Article 11 of the Mandate for Syria and the Lebanon, the
modifications made having been effected in consideration of the special
status of Iraq. The Department considers, moreover, that the terms of
the attached draft of Article 8 carry out the assurances given by the
British Government in the correspondence mentioned in the Department’s
instruction No. 627 with respect to economic rights in mandated
territory. (See also confidential print of the Department entitled
“Mandate for Palestine”, May 12, 1926, page 15, et seq.49) It is also obvious
and proper that economic rights of American nationals in Iraq should be
assured on a basis similar to the basis embodied in the convention with
France in respect to Syria and the Lebanon. Particular attention is
called to the exceptional nature of the economic provisions of the
Palestine convention, with respect to which the position of the
Government of the United States has been fully reserved.
Articles 9 and 10 correspond to Articles 7 and 8 of the convention
concerning rights in Palestine.
The Department will be glad to learn the results of the Embassy’s
discussion of this question with the Foreign Office.
I am [etc.]
[Enclosure]
Draft Convention Between the United States and
Great Britain
Whereas by the Treaty of Peace concluded with the Allied Powers,50 Turkey renounces
all her rights and titles over Iraq; and
Whereas Article 22 of the Covenant of the League of Nations51 in the Treaty of Versailles provides
that, in the case of certain territories which, as a consequence of
the late war, ceased to be under the sovereignty of the States which
formerly governed them, mandates should be issued, and that the
terms of the mandate should be explicitly defined in each case by
the Council of the League; and
Whereas the Principal Allied Powers have agreed to entrust the
mandate for Iraq to His Britannic Majesty; and
Whereas, with a view to the application to Iraq of the principles of
Article 22 of the Covenant, the Council of the League of Nations [Page 784] on September 27, 1924,
adopted a Decision defining the terms of the said Mandate, as
follows:
(Here quote Decision); and
Whereas, as set forth in the Schedule hereto, the British Government
has concluded a new treaty with Iraq dated January 13, 1926, and has
submitted the text thereof under covering letter dated March 2,
1926, to the Council of the League of Nations52 which on March 11,
1926, approved the terms of such letter; and
Whereas the United States of America, by participating in the war
against Germany, contributed to her defeat and the defeat of her
Allies, and to the renunciation of the rights and titles of her
Allies in the territory transferred by them but has not ratified the
Covenant of the League of Nations embodied in the Treaty of
Versailles; and
Whereas the Government of the United States and the Government of His
Britannic Majesty desire to reach a definite understanding with
respect to the rights of the two Governments and their respective
nationals in Iraq:
The President of the United States of America and His Britannic
Majesty have decided to conclude a convention to this effect, and
have named as their plenipotentiaries:
- The President of the United States:
. . . . . .
.;
- His Majesty the King of the United Kingdom of Great
Britain and Ireland and of the British Dominions beyond the
seas, Emperor of India:
. . . . . . .:
who, after having communicated to each other their
respective full powers, found in good and due form have agreed as
follows:
Article I
Subject to the provisions of the present Convention, the United
States consents to the mandate exercised by His Britannic Majesty
over Iraq as set forth in the said Decision of the Council of the
League of Nations and extended by the Anglo-Iraq Treaty of January
13, 1926, and Resolution of the Council of March 11, 1926,
hereinbefore mentioned.
Article II
The United States and its nationals shall have and enjoy all the
rights and benefits secured under the terms of the mandate to
members of the League of Nations and their nationals,
notwithstanding the fact that the United States is not a member of
the League of Nations.
[Page 785]
Article III
Vested American property rights in the mandated territory shall be
respected and in no way impaired.
Article IV
A duplicate of the annual report to be made by the Mandatory under
the terms of the mandate shall be furnished to the United
States.
Article V
Subject to the provisions of any local laws for the maintenance of
public order and public morals, the nationals of the United States
will be permitted freely to establish and maintain educational,
philanthropic and religious institutions in the mandated territory,
to receive voluntary applicants and to teach in the English
language.
Article VI
The extradition treaties and conventions which are, or may be, in
force between the United States and Great Britain, and the
provisions of any treaties which are, or may be, in force between
the two countries which relate to extradition or consular rights
shall apply to the mandated territory.
Article VII
With reference to the penultimate paragraph of the above mentioned
Decision of the Council of the League of Nations wherein it is
decided “that the privileges and immunities, including the benefits
of consular jurisdiction and protection formerly enjoyed by
capitulation or usage in the Ottoman Empire, will not be required
for the protection of foreigners in Iraq so long as the Treaty of
Alliance is in force,” it is agreed between the High Contracting
Parties that, unless the United States, whose nationals enjoyed the
aforementioned privileges and immunities on the 1st August, 1914,
shall have previously renounced the right to their re-establishment
or shall have agreed to their non-application for a further
specified period, these privileges and immunities shall, at the
expiration of the said Treaty of Alliance as extended by the
Anglo-Iraq Treaty of January 13, 1926, or of the mandate, whichever
may first expire, be immediately reestablished in their entirety or
with such modifications as may have been agreed upon between the
Powers concerned.
Article VIII
The mandatory shall see that there is no discrimination in Iraq
against the nationals of the United States (including societies,
associations, and companies incorporated under the laws of the
United [Page 786] States) as compared
with British nationals or those of any foreign State in matters
concerning taxation, commerce or navigation, the exercise of
industries or professions, the granting of concessions, or in the
treatment of merchant vessels or civil aircraft. Nor shall there be
any discrimination in Iraq against goods originating in or destined
for the United States. There shall be freedom of transit under
equitable conditions across Iraq territory. Special customs
arrangements, however, may be concluded with an adjoining country on
grounds of contiguity.
Concessions in the nature of a general monopoly shall not be granted.
This clause shall in no way limit the creating of monopolies of a
purely fiscal character in the interest of Iraq, and with a view to
assuring to the territory the fiscal resources which would appear
best adapted to the local needs, or, in certain cases, with a view
to developing the natural resources either directly by the State or
through an organization under its control, provided that this does
not involve either directly or indirectly the creation of a monopoly
of the natural resources in favor of the Mandatory or its nationals,
nor involve any preferential treatment which would be incompatible
with the economic, commercial and industrial equality guaranteed
above.
Article IX
Nothing contained in the present convention shall be affected by any
modification which may be made in the terms of the mandate unless
such modification shall have been assented to by the United
States.
Article X
The present Convention shall be ratified in accordance with the
respective constitutional methods of the High Contracting Parties.
The ratifications shall be exchanged in London as soon as
practicable. The present Convention shall take effect on the date of
the exchange of ratifications.
In witness whereof, the undersigned have signed the present
Convention, and have hereunto affixed their seals.
Done in duplicate at London this . . . . . day of . . . . . . .,
1926.
(seal) . . . . . . .
(seal) . . . . . . .
Schedule
of Documents referred to in the foregoing Draft
Convention and annexed thereto.
- 1.
- Anglo-Iraq Treaty of Alliance of October 10, 1922;
Protocol of April 30, 1923; and subsidiary Agreements
(British Officials, Military, Judicial, and Financial) of
March 25, 1924.
- 2.
- Anglo-Iraq Treaty of January 13, 1926.
- 3.
- Letter from His Britannic Majesty’s Government to the
Secretary-General of the League of Nations, March 2, 1926
(omitting Enclosure No. 2); and Resolution* adopted on March 11, 1926, by the
Council of the League of Nations with respect
thereto.
