Foreign Relations of the United States: Diplomatic Papers, 1945, The Near East and Africa, Volume VIII

891.24/10–245: Telegram

The Ambassador in Iran (Murray) to the Secretary of State

Tehran, October 2, 1945—5 p.m.
[Received October 2—3:07 p.m.]

789. Following is the text of statement issued by Embassy to press September 29 and published by most local newspapers September 30 and October 1:

“Articles published recently in certain Tehran newspapers⁷⁸ have shown a serious misunderstanding of the position of American military units in this country and of the American Government’s policy in disposing of its surplus property in Iran. The following facts are furnished in a desire to eliminate this misunderstanding.

1. American troops first came to Iran in late 1942 with the express agreement of the then Prime Minister of Iran, His Excellency Qavames-Saltaneh.⁷⁹

2. Iran has been an ally of the United States in the war,⁸⁰ and it was understood by the American Government that the work of American troops in Iran directed toward the common victory was welcomed by the Iranian Government and people, who would have shared with the rest of the world the disasters of defeat if it had come.

3. Nevertheless, the American Government was willing to conclude a written agreement governing the status of American forces in this country. Negotiations to this end were carried on during 1943 but were abruptly suspended by the Iranian Government in December of that year. Although the American Government repeatedly expressed its desire to reopen negotiations, no action was taken by the Iranian authorities until March 1945 when the Iranian Minister at Washington advised the Department of State that the Iranian Government no longer considered an agreement necessary and regarded the whole matter as closed. It is clear therefore that the absence of any formal agreement on the presence of American forces in Iran is entirely the responsibility of the Iranian Government itself.

4. In carrying out their task, American Forces in Iran spent about $100,000,000 in this country, much of which went to provide employment for Iranians while most of the balance went into improvements in roads, railroads and ports and the construction of camps to house the American troops. These expenditures represent a part of the enormous costs incurred by the United States in fighting the common war, costs which have raised the national debt of the United States to unbelievable figures and which include approximately [apparent omission] million dollars in lend-lease delivered to the other United Nations.

5. With the termination of the war considerable amounts of American property in Iran, both fixed and movable, have become surplus to military needs. Much, if not all, of this property would be highly useful to Iran [during the?] transitional period when supplies from abroad are still difficult to obtain, and the United States Government has offered to negotiate its sale to the Iranian Government or to private persons in Iran at a fair price. In the case of fixed installations, this price will undoubtedly be far below their cost. However, there has been and will be no effort to force anyone in Iran, whether the Govt or private individuals, to purchase any of these properties. Anything whose purchase in Iran is not desired will be shipped to other countries where it is more needed. Preparations for shipment of some types of goods especially railroad equipment are already under way.

6. Since the American Govt obviously cannot use Iranian currency except in very limited amounts negotiations have been conducted with the Iranian Govt for an arrangement whereby rials acquired through sale of surplus property may be converted into dollars over a period of years. Although the bases of such an arrangement have been accepted in principle the Iranian Govt has so far declined to sign the proposed agreement. This may prevent sales in rials and force the removal from Iran of most American property.

7. The American Govt does not believe that any hardship would be caused the Iranian nation through the sale to it of installations and equipment which the Iranian Govt itself has stated are urgently needed and which would be of immediate benefit to the national well-being. Statements in the Tehran newspapers that the British Govt is following a different policy in this regard are incorrect since the attitude of the American Govt is shared by the British Govt. The British Govt is likewise endeavoring to negotiate sales of its fixed and movable surplus properties in Iran.”

Murray

78. In telegrams 776 and 778, both dated September 27, 1945, the Ambassador in Iran reported a press campaign of vilification against United States surplus property disposal policy in Iran in which leftist newspapers cited the absence of a treaty basis for the presence of American troops in Iran as justification for refusing to permit the United States to dispose of its assets there and denounced the United States as aggressors. The former telegram also stated that the Ambassador had registered the “strongest possible protest” with the Iranian Prime Minister and the Minister for Foreign Affairs and that he would give the full facts to the press (891.00/9–2745 and 891.24/9–2745).
79. See telegram 435, December 13, 1942, from Tehran, Foreign Relations, 1942, vol. iv, p. 315.
80. Iran declared war against Germany on September 9, 1943, see ibid., 1943, vol. iv, pp. 428 ff., and against Japan on February 28, 1945, ante, p. 526.