891.24/259: Telegram

The Minister in Iran (Dreyfus) to the Secretary of State

312. Department’s 257, October 2. After sending my No. 289, September 14, I had several conversations with Prime Minister and Cabinet members concerning Millspaugh in which is [I?] stressed advantages of employing a person not only highly qualified but also familiar with Iran. Yesterday Foreign Minister30 called on me to say that Cabinet on Saturday formally approved employment of Millspaugh on understanding that he will be supported by capable assistants. I explained that this angle has already been given consideration by Department. Foreign Minister will telegraph Iran Minister, Washington of Millspaugh’s approval.31 Foreign Minister told me in confidence Millspaugh’s appointment had been opposed by Bader32 and Kazemi.

On Sunday Finance Minister withdrew a bill earlier presented to Majlis for appointment of a Swiss bank expert for Banque Mellie. This probably was result of my remarks to Cabinet members that a Swiss banking expert seemed unnecessary in view of contemplated employment of American Financial Mission.

Dreyfus
  1. Ali Soheily.
  2. On October 7 the Iranian Minister informed the Department that he had been instructed to engage Dr. Millspaugh on the understanding that he would be assisted by a competent group of experts satisfactory to the Department and to the Iranian Government (891.51 A/531).
  3. Probably Mahmoud Bader, former Minister of Finance.