891.51A/1131: Telegram

The Chargé in Iran ( Ford ) to the Secretary of State

334. I think it advisable to warn Department that Majlis opposition to Millspaugh has not diminished, despite vote of confidence received by Saed, and that situation remains very threatening. It seems likely that Deputies will make determined, and quite possibly successful, effort to oust Millspaugh personnally, if not entire mission. This might be done by repealing part or all of his extensive executive powers, which I have no doubt would bring about this resignation.

British Ambassador agrees that danger is real and called me in yesterday especially to say so.

Many of Deputies have selfish interests to serve by eliminating advisers. In this connection, it is worth noting that attacks are almost entirely directed against economic side of mission, that concerned with rationing, distribution, transportation, etc., and that men in strictly financial work like Pixley93 and Le Count94 are ignored. Interested Deputies also may be able to win support of some who are sincere but have been misled by anti-Millspaugh propaganda or discouraged by apparent lack of tangible results of his efforts.

Millspaugh recently asked me whether Department would be willing to make representations to Iranian Government with view to checking opposition to his work. I asked Prime Minister whether it would be helpful to him if we formally expressed hope that Government would find means to support Millspaugh more strongly. He said he would consider and let me know after meeting he was to have with Millspaugh and associates to discuss mission’s situation.

I do not recommend action at the moment, but I think Department should be considering what attitude it should take in event Majlis seems on verge of repealing Millspaugh powers or otherwise forcing him out.

  1. Rex Pixley, Director General of Accounts and Audits in the Millspaugh Financial Mission.
  2. Walter K. LeCount, Treasurer General in the Millspaugh Financial Mission.