The Washington times., 1921-04-10

had resolved to admit only rrench
subjects, besides Russian and Brit
ish subjects, to the Persian service as
Count Pourtales German ambas-
sador to Russia) has been instructed
to declare that the German govern
ment were fully prepared to acknowl-
edge the privileged position OF Rus
sia and England in Persia, but that,
on the other hand. II would have to
insist that no privileged position was
granted to the nationals of a third
power to the prejudice OF German ma
tionals."
Sir Edward Grey, great moralist
told Isowolsky in talks that followed
that the German attitude is easily
defended and mot unjustified" but
goes on to say that because OF invest
ments made this principle may not be
upheld.
Meanwhile some Belgians had been
placed in charge of the Persian cus-
toms administration. Though Grey
had announced that the Justihabie
principle of the Government could not
be upheld any longer. he was not yet.
sure that he had done the proper
thing.
Benckendorff to Is,colsky. Tel.
No. 81; dated March s-15, 1910:
- 81 shall therefore. conhne
my self to briefly capitulating Grey's
views. He is of the opinion that the
negotiations relating to the loan from
Russia to Persia should be concluded
with all speed In order to prevent any
interference on the part Of Germany.
He believes that our arguments
in favor of the appointment OF
Frenchmen lack solid foundation,
since the appointment neither of
British nor of Russian subjects was
contemplat ed.
Grey fears very much that the ar
rival of Russian re-enforcements IN
Persia will create an impression ex-
tremely unfavorable to the conclusion
of the loan.
that Grey has no objection to having
the Russian government inform the
German government OF the terms OF
the loan. since the Persian govern
ment may have done that anyway.
The. German Ambassador went on
to say that the appointment OF more
Frenchmen would lead to Persian
finances coming en:;rely under the
control of the French. and that in
this manner Germany's commercial
interests, together with those of
other nations. might be injured. He
pointed out that this would consti-
tute a violation Of the "Open Door"
principle: to which Grey replied that
he was mistaken. Nevertheless, Grey
advised Iswolsky that 1t would te
easier to settle this matter In case
only Russian or British subjects W w,re
involved. ......
As the result OF this Grey weak
ened, remembering that the attitude
- the Germans had seemed easily
defended and mot unjustifed" 20
him. He thought that German Off,
cials might be included, but pre-
ferred to hope that with Belgians
employed in the Persian customs
Germany might think it best to drop
the case.
SHUSTER FINALLY
GETS PERSIAN PLACE
In the end it was decided by the
Persian, to call in at least one
United States citizen. To this Saz-
onofr objected on the ground that
Persia was violating her understand
ing with Russia and Great Britain,
according to which no national Of a
Great Power was to enter the Persian
service.
Mr.. Shuster was admitted to the
Persian service because the British
government thought IL best not -
go into this matter. again diplomat
icaHy. Sazonoff did not want the
American to have anything to do with
Persian finances, because IT was not
known what the political quality OF
his efforts might be. ....
The American adviser arrived. anG
had trouble before long. Mr.. Shuster
applied methods that would have
made Persia a really solvent institu-
ton in a few months. Primarily, it
was a question of preventing the
revenues OF the country from being
stolen or misapplied by the French
and Russian officials.
The case os Mr.. Shuster kept the
wires hot. There are scores Of
communications dealing
with him. and while the American
was still under the impression that
he had the backing of the British,
he was being KNITTED" by them in
the most expert manner.
The upshot of 1t all was that
Shuster was ordered fired.
RUSSIA ORDERS
sHUsTER OUsTED.
Neratoff TO Benckcndorff, Tel
No. 1891; dated November 1886,
1911.
The ministerial council based its
findings on the consideration that
cur conflict with Persia has been
called forth by incorrect actions on
the part of the Persian government
and its agents in one special case:
that, therefore, the new demands
now formulated by us should not
exceed the limits Of the incident
and that this standpoint alone would
be compre he epsible to public opinion
in Russia and abroad. Hence we do
not intend to formulate claims irrel-
evant to the incident and therefore
demand from the Persian govern
ment:
"GD The dismissal OF Shuster and
Lecoffec. The dismissal of the other
officials appointed by Shustcr is en-
bodied in point 2.
"(2) The assurance OF the Persian
government that they will not ap-
POINT foreigners without having pre-
tZ...-