891.24/284: Telegram
The Secretary of State to the Ambassador in the United Kingdom (Winant)68
5687. Your 6340, November 11. Provided Iranian consent can be obtained without objectionable pressure, Department has no fundamental objection to creation of purely Iranian currency commission as condition precedent to wheat agreement. Our previous opposition to commission was based upon understanding it was to be composed of British, Russian, American and Iranian members, which we felt would have been unacceptable to Iranians.
We assume Foreign Office contemplates action by Majlis to vest full control of currency in proposed commission. Please confirm this and indicate what would be relation of commission to Iranian Cabinet.
As Foreign Office is aware, Iranian Government is engaging a financial mission, under leadership of Dr. Millspaugh, in this country. It is also seeking an American to act as technical director of Banque Mellie, Iran. Under terms of Millspaugh’s proposed contract, which Iranians are reported to have accepted, he will have extensive responsibility for, and control over, Iranian national finances, and he will necessarily be vitally interested in the currency question. The technical director of the Banque Mellie will, of course, be directly concerned with currency matters.
Consequently, we feel that if the proposed commission is formed, there should be a definite understanding that upon the arrival of Dr. Millspaugh and the Banque Mellie adviser they will become members.
If you deem it advisable, you may point out to Foreign Office that [Page 195] inclusion of these two men would not change the essentially Iranian character of the commission, since they will be employees of the Iranian Government and will not in any way represent the American Government or any American business or financial interest.
We are repeating this to Tehran.
- Repeated to the Minister in Iran as No. 320.↩