Memorandum from Henry Grady

134-43 July 11, 1951 FROM: GRADY x1222 Prime Minister sent for me this afternoon at 6:00 P.M. and gave me following letter for President. He will release it here tomorrow morning and I see no reason why Departnent should not release it at once: Text of message: Honorable Harry S. Trunan, President of the United States of Anerica. Dear Mr. President: I have the honor to acknowledge receipt of your friendly message of 4th July handed to me by His Excellency the Ambassador of the United States in Teheran just after the government of Iran had taken its decision with regard to the findings of the International Court of Justice at The Hague. I deem it my duty to thank you 85-I once again, Mr. President, for the care you have always taken in the welfare of this country. As I mentioned in my previous letter. the government and people of Iran recognize the government and the people of the United States as the stannch spporters of right and justice and appreciate therefore, with complete sincerity, the interest you are taking in the solution of the economic difficulties of Iran in general and in the oil question in particular. I am extremely glad to note your reference, Mr. President, to the sympathy and interest of the American Nation in the realization of Iran's national aspirations and the acceptance of the principle of nationalization of the oil industry; for Iran has had and is having no aim other than the acceptance of this principle by virtuelly of the laws ratified by the two Houses of Parliament, and has alvays been ready, within the terms of these lavs to take any measures for the removal of the present disputes; it is, therefore, a matter of great regret that, insofar as Iran can judge, no proposal or suggestion have been made, up to the present, by the former oil company denoting their acceptance of the principle of nationalization of the oil industry in accordance with the lavs ratified by the Parliament - laws which the government is duty bound to put into force. On the contrary, in their note of 29th June, the representatives of the former oil company made proposale which vere against the provisions of these laws and which resulted in the termination of the discussions. # granian oil controversy x134 56 Original not filed- 7/17/51.