§ 7. Sir THOMAS BRAMSDONasked the Under-Secretary of State for Foreign Affairs whether, under the Persian Agreement, the joint commission of military experts has been set up; and whether any munitions and equipment have been supplied to Persia by Great Britain?
Mr. HARMSWORTHThe answer to the first part of the question is in the 1976 affirmative. The Report of the Commission has been drawn up and is now being being considered. The question of supplying munitions and equipment for the uniform Persian Force, which it is proposed to organise, is also occupying the earnest attention of His Majesty's Government.
§ 8. Mr. BRIANTasked the Under-Secretary of State for Foreign Affairs whether, under Article 5 of Part I. of the Anglo - Persian Agreement, any schemes have been prepared for the encouragement of Anglo-Persian enterprise; and whether in such schemes preferential treatment is given to British subjects?
Mr. HARMSWORTHArticle 5 of the Anglo-Persian Agreement is being carried out, as far as circumstances permit, in close co-operation between the British and Persian Governments. A railway option has been given by the Persian Government to a British firm for a proposed continuation of the present Mesopotamian railhead on the Persian frontier to Tehran via Kermanshah and Hamadan. The Company's surveyors are at present at work in Persia. The answer to the last part of the question is in the negative.
Captain BENNIn view of that answer, can the hon. Gentleman say if the principle is not to give preference to British subjects?
Mr. HARMSWORTHNo. I understand it still remains with the Persian Government to decide whether or not they will accept or grant contracts.
Captain BENNDo not the Persian Government act on the advice of their British adviser, if he suggests to them to accept British in preference to other people's offers?
§ 11. Major ENTWISTLEasked whether any funds or any portion of the loan have been supplied under the Anglo-Persian Agreement; and has any interest been paid?
Mr. HARMSWORTHI would point out to the hon. and gallant Member that according to the provisions of the Per- 1977 sian Loan Agreement of 9th August, 1919, the loan to Persia was to be paid as required after the British Financial Adviser had taken up his duties at Tehran. The British Financial Adviser has now reached his post and is examining the financial position. The greater bulk of the loan is still available, and no interest has accrued as yet.
§ Lieut.-Commander KENWORTHYOn what Vote is this money charged?