Evening star. [volume] (Washington, D.C.) 1854-1972, 1952-02-10
New Try in Iron

ana OeVetOpmeuL mas U6Gn CHL6lul H0h 10 G1l-
courage false optimism ID announcing that it
has sent q new mission TO Teheran IN an EFFORT
to promote progress toward q settlement Of the
dangerous Anglo-Iranian Oh controversy. Never
theless the announcement suggests that there
is at least some reason to hope that Premier
Mossadegh and his government may feel more
disposed now than in the past to cooperate In
working out compromise designed TO serve the
best interests of all parties concerned.
To that end, acting as Kind Of mediating
agency the World Bank-at the suggestion OF
Pakistan's Ambassador to the United States
made its first direct move last December. At
that time it proposed, on purely tentative
and exploratory basis, that the Hationalized
properties of what used to be the British-owned
Anglo-Iranian Oil Company be placed. under its
trusteeship-a trusteeship that would finance
and operate the enterprise until London and
Teheran reached final settlement OF their long
standing and mutually injurious dispute. Ac-
cording to reports, Mr.. Mossadegh's initial reac-
ton to this idea was considerably less than IA
vorable, but apparently he was interested and
receptive enough to leave the door open to fur
ther friendly discussion of the sort contemplated
by the banks new mission.
The announcement of the mission-which is
headed by Robert L. Garner, vice president OF
the bank-haS been at pains to emphasize that
the objective is merely to attempt to work out
with the Iranian government basis OF agree
ment that will make possible definite proposals
leading to resumption Of oil operations" In
itself, that statement certainly does not promise
very much, but there is reason to assume that
Mr. Garner and his group would not have gone
to Teheran with the welcome of Mr.. Mossadegh,
unless they had had some prior indications OF
a fairly good chance that their talks with him
and bis colleagues would not be completely fruit
less To that extent, therefore, the undertake
ing-eve though it guarantees nothing-may
be regarded as relatively encouraging develop
ment. 5rz>-
What the Garner mission is reported to be
advocating is proposal to resume Trans oil
operations under trusteeShip board Of neutral
members This board-which would function on
an interim basis pending the negotiation of
defnitiye agreement between London and
Teheran-would manage the great refinery at
Abadan, sell the petroleum products and dis
tribute the profits In three equal parts: One to
the Iranian governments one to the World Bank
to cover it's financing of the project, and one
to the marketing group, which presumably would
be the Anglo Iranian Company The arrange
ment, If accepted, would be effective for two
years unless settlement were reached mean
while.
y It may well be. that Mr. Mossadegh will not
consent to such setup, but If he does consent,
the way will then be opened to sell the oil prod
estimated at Is million barrelS-now stored
at Abadan. Further, when these products begin
to move into world markets, it will be possible
to resume producing and refining operations on
a considerable scale, and Iran once again will
derive large income from the source that used
to account for almost half its total national
revenue. BY the same token, II the proposal is
rejected, tie country'S financial situation will
continue to deteriorate to the point of bank
ruptcy, which in turn could quickly lead to eco
nomic and political chaos of a kind that the
Communists are eagerly waiting for.
In these circumstances, the Mossadegh gov
eminent should feel compulsion to strive
earnestly with the Garner mission for rea-
sonable and just stop-gap compromise paving
the way for an amicable settlement with Britain.
Clearly, If the present situation is allowed to
keep on drifting from bad to worse, Iran, while
hurting other free nations as well, win be hurt
ing itself most Of all by playing right into the
Kremlin'S hands. a, II tassr<