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to the end that the Agreement may be enforced in its true sense. Towards this end it appears that it will not be possible to make use of the advantages and privileges granted thereunder unless an arrangement is made primarily with regard to the means of transportation of goods. Last year a large quantity of Iranian goods, especially carpets, was left accumulated in the southern seaports waiting for transportation. If it was not for the Legation's assistance some goods might have deteriorated. Furthermore, if the Iran Carpet Corporation, which manufactures and exports rugs desirable in the American market, as well as other Iranian exporters find out that their shipments would not meet with difficulties, they would thus be encouraged and enabled to prepare the needed goods for transportation. Now that the Agreement has been voted and trade between Iran and the United States will be carried on a fixed basis, the interested authorities and exporting merchants expect the Legation and the authorities concerned to afford the necessary facilities especially in connection with the means of transport. It goes without saying that war conditions and large army shipments create hindrances or difficulties in the matter of trade and transportation of commercial shipments. However, if an arrangement is made that commercial vessels carrying American goods when unloading their cargo in Iranian borders would take Iranian goods including carpets, it is certain that the trade deadlock would thus be alleviated and the ground paved for the days of improved trade conditions and for the promotion of

The Legation's courtesy will be greatly appreciated in kindly inviting the attention of the appropriate authorities to this matter and informing the Minister of the result.

(Seal of the Ministry of Foreign Affairs)

800.8890/1076 : Airgram

The Secretary of State to the Chargé in Iran (Ford)

WASHINGTON, March 28, 1944—3 p. m. A-26. Despatch no. 786 of January 7, 1944 14 enclosing translation of note from the Ministry of Foreign Affairs dated December 15, 1943. Your inquiry with respect to increasing transportation facilities for moving Iranian exports to the United States has been discussed with the appropriate officials of this Government. While wartime restrictions control with respect to nonessential cargo, we are informed that the only large tonnage item that has not been lifted from Iranian ports in recent months is wool, which we have not bought because the Russians and British wanted it for essential purposes. A proposed wool quota of 3,000 tons was approved with a D rating on March 8, 1944 by the Shipping Priorities Advisory Committee, and it is believed that shipping facilities will be provided for this.

14 Not printed.

While shipping facilities in that area are now easier and a shortage of shipping space may not be a problem, there are other aspects that have to be considered such as the need for avoiding port congestion and delay in getting vessels to other points. For these reasons shipping authorities have to exercise discretion in accepting goods for shipment. It is believed, however, that little difficulty should arise except in cases of large shipment of a thousand tons or over which are more likely to cause a delay in the movement of vessels. As port congestion is reduced, and it is understood it has been reduced in that area, there should be less danger of larger tonnages delaying vessels.

Information with respect to probable amounts of goods available for shipment would be of interest to the shipping authorities here.

All efforts, consistent with necessary wartime controls, will be made to move goods offered for shipment.

HULL

IRAQ

SETTLEMENT OF CLAIMS FOR DAMAGES SUFFERED BY AMERICAN

NATIONALS DURING THE 1941 REVOLT IN IRAQ

390G.115 Singer Sewing Machine Company/7: Airgram

The Minister Resident in Iraq (Wilson) to the Secretary of State

BAGHDAD, May 12, 1943—10 a. m.

[Received June 5–5:13 p. m.] A-25. Reference:

(1) Legation's despatch no. 1938, June 2, 1942, regarding the difficulties in obtaining compensation for American losses during the looting of June 1941 in Iraq.

(2) Legation's despatch no. 2003, September 24, 1942,2 describing method by which British subjects in Iraq received payment from Iraqi Government for their losses during the period of looting.

(3) Legation's despatch no. 66, November 11, 1942,2 regarding payment by Iraqi Government for Jewish losses in pogrom and looting of 1941.

As the Department was informed in the final paragraph of third despatch under reference, on November 13, 1942, Legation again addressed a note to Ministry for Foreign Affairs, requesting a reply to its previous note of June 2, 1942 which asked what arrangements had been made for the compensation of American citizens and firms for their losses. After long delay, in a note dated March 31, 1943, the Ministry asked for a list of the names of American nationals whose property was looted, with details of this property "in order that the Iraqi appropriate authorities may investigate the matter.” The Ministry suggested that if the Legation preferred, it might ask the persons concerned to report directly to the Investigating Magistrate, Judge Murad Al-Shawi, “in accordance with the procedures adopted in this respect."

The Legation replied in a note dated April 5, giving all the information desired, and also wrote to each American claimant suggesting that he approach the Investigating Magistrate directly. However, Judge Al-Shawi disclaimed all responsibility for compensation of their claims, saying that he was empowered only to prosecute looters, if the complainants had any evidence or witnesses to produce. The matter thus stands that after two years of correspondence between the Legation and the Ministry for Foreign Affairs, there has been no success in the Legation's efforts to obtain compensation of these claims, although British and Jewish claims in much larger amounts have been settled.

* For previous correspondence concerning this subject, see Foreign Relations, 1941, vo. III, pp. 486 ff., passim. * Not printed.

The Legation hesitates to press the matter without the Department's instructions, which have been requested in each of the despatches under reference. The total amount involved in personal claims is I.D.661.610, with I.D.16,236.498 in commercial claims. The Legation feels that the Iraqi Government should at least settle the personal claims unless it wishes to render itself liable to accusation of discrimination against American citizens. The Department's instructions in this matter are again requested.

WILSON

390G.115 Singer Sewing Machine Company/7

The Secretary of State to the Chargé in Baghdad (Gaudin)

No. 105

WASHINGTON, November 16, 1943. Sir: Reference is made to the Legation's airgram no. A-25 of May 12, 1943 and previous despatches concerning claims for damages suffered by American nationals during the Iraq revolt in 1941.

It is noted that claims have been presented to the Iraq Government by three American individuals for property losses estimated at I.D. 761.610 [661.610), equivalent at the official rate of exchange to $3103.56 and that American commercial firms have claimed property losses estimated at I.D. 16,236.498, equivalent at the official rate of exchange to approximately $65,000, of which I.D. 14,193.048 represents the claim of the Singer Sewing Machine Company for losses of sewing machines and shop equipment.

It is not apparent from your despatches that the Iraq Government could be held responsible for the disorders which resulted in the losses under reference or that they failed to take reasonably adequate measures to prevent the losses or to punish those responsible therefor. In the absence of evidence that the Government of Iraq could be held legally liable for the losses resulting from mob violence the Department, in accordance with a generally accepted rule of international law, would not be warranted in pressing the Government of Iraq to compensate American citizens who suffered property losses as a result of the disorders in Baghdad. However, if the disorders and the resulting American losses could reasonably be attributed to the failure of the responsible Iraq authorities to (1) take necessary and available

3 One Iraqi dinar was equivalent to one British pound sterling.

measures for the maintenance of order, (2) afford reasonably adequate protection to the property of American citizens in Baghdad or (3) apprehend and punish those responsible for the losses, the Department desires to receive a full report of all facts and circumstances which would afford a basis for a legal claim against the Government of Iraq.

If evidence of the legal liabilities of the Government of Iraq should not be obtainable, you are authorized to suggest to the Iraq Foreign Office, that, in view of the compensation paid in behalf of British nationals and considering the relatively insignificant total of the American claims, it would appear to be advisable for the Government of Iraq, in order to avoid any question of discrimination against American nationals, to compensate American claimants on the basis of reasonable evidence of the value of their property lost as a result of the disorders. Very truly yours,

For the Secretary of State:

BRECKINRIDGE LONG

4906.11 Crouse, Raymond B./9-2344

The Minister in Iraq (Henderson) to the Secretary of State

No. 449

BAGHDAD, September 23, 1944.

[Received October 9.] Sir: I have the honor to refer to the Department's instruction No. 105 dated November 16, 1943, and to the Legation's Airgram No. A-25 of May 12, 1943 and previous despatches concerning claims for damages suffered by American nationals during the Baghdad riots in 1941.

As the result of oral representations made to the Iraqi Ministry for Foreign Affairs along the lines suggested by the Department in the last paragraph of the instruction under reference, the Ministry has sent the Legation a check to the amount of Iraq Dinars 661.610 ($2,650.00 approximately), "as a grant to those American nationals who sustained losses during the May and June, 1941, incidents”. A translation of the Ministry's conveying note is enclosed (enclosure No. 1).

This sum satisfies in full the claims of the three American individuals who suffered losses during the riots. It is not, however, intended to cover the losses sustained by American commercial firms. The Legation, in its note No. 142 of September 19, 1944, (copy enclosed as enclosure No. 24) reminded the Foreign Office of these claims and stated that it assumed the Government of Iraq intends

* Not printed.

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