611.88/8–1153

No. 340
Memorandum of Conversation, by the Officer in Charge of Iranian Affairs (Stutesman)1

confidential

Subject:

  • Iranian Concern over Apparent Cooling Relations between Iran and the United States

Participants:

  • The Iranian Ambassador
  • Mr. John D. Jernegan, NEA
  • Mr. John H. Stutesman, Jr., GTI

The Iranian Ambassador, at his request, called upon Mr. Jernegan at 11:30 a.m. August 11. He said that he was disturbed by the development of what appeared to him to be a somewhat unfriendly United States attitude toward Iran as evidenced by recent statements by the Secretary2 and the President.3 He discussed in some detail these statements and the political situation in Iran. He concluded by requesting that even though it might not be possible for the U.S. Government to give additional assistance to Iran, nevertheless he hoped that at least it would do nothing “injurious” to its relations with Iran.

Mr. Jernegan said that the U.S. Government seemed to face a dilemma in Iran. He recalled the President’s statement that it would be hard for the United States to give additional aid to Iran when the Iranians do not utilize their own resources. He reviewed our attempts to settle the oil dispute and pointed out that there seemed to remain only the compensation question to be settled. Ambassador Saleh replied that we should not expect Mosadeq to “reward” the British for having been in Iran. He said that the United States must not stick upon the compensation question, which he seemed to feel would never be settled amicably between Mosadeq and the British, but should concentrate upon the larger question of preventing Iran from falling into communist hands. He offered, however, no other suggestions than giving additional United States aid to the Mosadeq government and making friendly gestures as often as possible.

  1. Drafted by Stutesman on Aug. 13.
  2. See supra .
  3. According to telegram 312 to Tehran, Aug. 5, the press was carrying the text of a speech that President Eisenhower delivered in Seattle on Aug. 4 to the U.S. Governors, in which he said that Mosadeq had “moved toward getting rid of his parliament and of course he was in that move supported by the Communist party of Iran.” (788.00/8–553)