891.51A/376: Telegram

The Minister in Persia (Philip) to the Secretary of State

[Paraphrase]

49. Legation’s 47, July 8, 3 p.m. Nothing helpful was accomplished by American Administrator’s conference with Prime Minister and Minister of Court. An official communication sent through [Page 554] Finance Minister to Millspaugh contains draft of new contract. Millspaugh is informed these are last proposals of Government, and is required to signify his intentions before the 27th. The new articles show no important alterations in terms, according to Millspaugh, and are quite inadmissible. … His decision is to reject contract and when arrangements for departure are completed to start for America.

On the 20th an editorial appeared in Setareh-Iran, which represents views of Finance Minister, advocating employment of financial experts but no autocratic foreign officials.

Philip