891.24/4–848: Telegram

The Acting Secretary of State to the Embassy in Iran

confidential   us urgent

307. Dept has informed Iranian Purchasing Mission US Govt able offer Iranian Govt immediately credit covering expenses ocean shipment to Iran surplus arms located Europe. Iranians will not be charged for repair, packing or shipment to German port.

Gen. Hedayat also told we hope provide credit covering repair, packing and shipment to Iran equipment located US but this cannot be definitely confirmed for several days. (Embtel 359 Apr. 81)

Dept suggested Hedayat ask Iranian Govt if it desires begin movement European supplies in advance confirmation our ability offer credit for repair and movement goods located in US.2 We pointed out certain components located in US and others Germany.

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Dept stated that in light current political tensions US not prepared furnish Air Force pilots deliver aircraft in Iran but to adjacent fields, such as Habaniya or Dhahran.

Dept also asked whether Iranian Govt willing and able send few selected pilots to Germany for training while aircraft are conditioned for delivery. Dept Air Force now querying US Air Force Germany determine if such training feasible.

Credit assistance for European equipment will be based on funds now available to US Army for handling surplus located outside US. Credit for equipment in US will be based on appropriation to be requested for next fiscal year to handle disposal to foreign Govts of military equipment located in US. Legislation will not specify aid for Iran but rather will be general fund for such service to any country requiring help. Bureau of Budget may be able direct Dept start delivery immediately in advance legislation.

Lovett
  1. Not printed.
  2. The Department advised Tehran, on April 14, that the Bureau of the Budget had given informal approval of such credit (telegram 327, 891.24/4–1448).