§ Colonel YATEasked the Secretary of State for Foreign Affairs, if he will make it a condition in the agreement for the next loan to Persia that the payment of the claims of the British and Indian merchants, amounting now to over £75,000, shall rank with the claim for compensation for the attack on Mr. Smart, the British Consul, and his escort as a first charge on that loan.
§ The SECRETARY of STATE for FOREIGN AFFAIRS (Sir Edward Grey)The case of Mr. Smart is most exceptional, the attack having been made on one of His Majesty's Consular Officers proceeding to his post. The Persian Government at once recognised the gravity of the matter and have agreed to settle it as soon as any adequate funds are in hand. As regards other British and Indian claims I would refer the hon. and gallant Member to the answer returned to his question on the 29th February, to which I have nothing to add. I cannot say whether the payment of commercial claims will be one of the objects of the next loan. The first object of any loan must be the restoration of order.