Memorandum, State Department Summary of Telegrams

NST (Navel Aide)348 DECLASSIFIED OFFICE OF E.O. 12065, Sec. 3-402 OF STATE State Dept. Guidelines, March VASHINGTON By DEB NLT, Date 9-10-8 September 22, 1952 TOP SEGRET SECURITY INFORMATION SUMMARY OF TELEGRAMS IRAN The official temporarily in charge of the British Foreign Office has told Ambassador Gifford that the British are very disturbed at the Department's attitude toward the activities of various US oil company representatives now in Iran. The Foreign Office believes that if the green light is given by the US Government for the purchase of Iranian oil, the whole moral and legal position taken by the joint US-UK proposal will be destroyed. While they admit that it may not be possible indefinitely to continue a total denial of the sale of Iranian oil, they believe that if the `embargo" is broken, it should be over the barrier of the US-UK position rather than through it as a result of a wink to private American companies from the US Government. Ambassador Gifford, in reporting this view, has urged that we not break the joint position which we have taken with the British as expressed by the Truman-Churchill proposal. He believes the effect of such an action on the British Government and public opinion would be very adverse, with many interpreting it as a move to permit American oil companies to profit at the expense of the British. Moreover, he fears that our position and that of the UK would be seriously weakened in other places in the Middle East. TURKISH We have informed our interested Embassies that, STRAITS after full consideration of the political and psycho- logical factors and despite the military desirability of accom- plishing the operation, the Secretary has concluded that from an over-all political point of view the Turkish Straits should not be mined at this time and plans to so inform the Department of Defense. Although it is fully appreciated that the project is of considerable military importance and our military authorities believe it would be of use only if the mines are laid before hos - tilities come, we cannot guarantee that it will ever be politically feasible to accomplish the actual mining in peace time. However, TOP SECRET SECURITY INFORMATION