Office of the Historian

891.6363 AIOC/10–2049: Telegram

The Ambassador in the United Kingdom (Douglas) to the Secretary of State

secret
London, October 20, 1949—6 p. m.

4222. Tehran’s 1309, October 14 to Department.1 Burrows said today [Iranian] Prime Minister Saed’s visit to UK entirely unofficial. He has, however, had talks with Foreign Office during which he raised question AIOC agreement and reiterated usual complaints re lack of assistance by West since war.

2. Saed stressed difficulties getting AIOC agreement through Majlis unless it is found possible make it more palatable. Since Saed somewhat vague, British suggested he commit his points to writing and said they would be glad consider them. We gathered, however, there is little if any chance British agreeing any substantial changes.

3. Asked if Iranians still pressing for renegotiation because of devaluation,2 Burrows replied affirmatively but added that Iranians have no grounds for complaint on this score. Royalties under new agreement are based on sterling price of gold and therefore unaffected, while AIOC could not reasonably be expected increase Iran’s share of profits to compensate for devaluation.

Sent Department 4222, repeated Tehran 87.

Douglas
  1. Not printed.↩
  2. Of the British pound sterling.↩