891.113/18: Telegram

The Chargé in the United Kingdom ( Matthews ) to the Secretary of State

49. We have made discreet inquiry, as requested in Department’s 14, January 1, 6 p.m. and learned that no agreement has been made by British and Soviets concerning output of munitions factories in Iran. The following further information which our investigation disclosed may be of interest.

When the British took Assab they found an Italian ship there loaded with machines for manufacturing machine guns destined for Tehran. This machinery had been in transit so long that, according to British experts, it would have to be considerably overhauled before it could be used. The British wanted to send it to India, repair it there and put it in operation there. The Soviets, however, who had heard of the shipment wanted it sent on to Tehran where they said it could be repaired and would be used. It was sent there about a year ago but it has not been found possible to get it repaired in Tehran.

About the same time that the Soviets approached the British about this shipment of machines, they also told the British that they would like to take steps to get the small arms factories situated in and around Tehran, which were idle, under operation. They were told that so far as the British were concerned they had a free hand to undertake this. To date, however, none of these factories according to what we have been told has been put back into operation. There is little likelihood we were also told that they will be put into operation because of the lack of raw materials and technical help which the Soviets apparently are not in a position to provide.

We gather that the British are not inclined, having once told the Soviets that they might try to get these factories operating, to make any effort now themselves to do so.

Matthews