741.90G 11/28: Telegram

The Minister Resident in Iraq (Knabenshue) to the Secretary of State

110. Referring to my No. 107 of November 27 and Engert’s No. 254 of November 21, a critical situation has arisen in respect to British-Iraqi relations which will result probably within a matter of hours in the fall of the present Cabinet or Iraqi defiance of British and [Page 715]resumption of diplomatic relations with Germany. Nuri resigned yesterday in protest but resignation not yet accepted or generally known. Iraqi troops are being maneuvered into strategic positions around Baghdad. Further details tomorrow.