891.51A/914

The Minister in Iran (Dreyfus) to the Secretary of State

No. 734

Sir: With reference to my telegram No. 1057 dated November 12, 1943, I have the honor to enclose the text of the law passed by the Majlis on October 24, 1943 authorizing the engagement of sixty Americans for the American Financial Mission and a list of positions in the Mission both filled and vacant.

This law would probably have died still-born in the committees of the Majlis had it not been for the “show-down” precipitated by the recent resignation of the entire Millspaugh Mission. The passage of this bill, while it was not considered as important as that of the income tax bill, was absolutely necessary if the Mission were to continue in Iran. As the Department is well aware, the previous procedure for the engagement of members of the mission involving a separate act of the Majlis in each case, led to interminable delays and the occasional loss of qualified men who were unwilling and unable to await Majlis action.

[Here follows discussion of personnel problems.]

Respectfully yours,

Louis G. Dreyfus, Jr.
[Enclosure]

Law of 1 Aban, 1322, for the Engagement of Sixty Americans

  • Article I. The Ministry of Finance, on the recommendation of the Administrator General of the Finances, is authorized to employ up to sixty (60) American citizens, including those already engaged, for [Page 558] the various branches of Finance administration that come-under the Ministry of Finance and the Administrator General of the Finances.
  • Article II. These persons may be paid annual salaries ranging from $3,500 to $12,500, payable in the U.S.A. and exempt from the Iranian Income Tax. After one year’s service in Iran, not more than five of these men may be paid salaries up to $15,000.
  • Article III. The period of service shall be four years. The commencement of service shall be as from the date of his departure from the U.S.A.; and, after the lapse of eight months, the Iranian Government or the said person shall have the right at any time to terminate his services; but either party must notify the other party of his intention to cancel the contract four months before the date of termination.
  • Article IV. The lodging, fuel and lighting expenses of these persons shall be paid by the Government but they are free to receive instead an allowance equal to 20% of their salaries.
  • Article V. Travelling expenses to Iran and return for the said persons and their immediate families will be paid by the Iranian: Government and also their necessary travelling expenses inside the country.
  • Article VI. If any of the above mentioned persons should die prior to the expiration of his period of service, or, because of Government service, should become disabled, the Iranian Government will pay a sum equal to two years’ salary to the heirs of the deceased or to himself if he should be living; and also the return travel expenses of himself and his family. If death or disability should occur within the last two years of service, the said person or his heirs will be entitled to receive only the salary of the remaining period of service.
  • Article VII. If the employment contract of any of the said persons is cancelled because of causes other than those mentioned in Article VI, the Iranian Government will deal fairly with him.
  • Article VIII. For each American Director, an Iranian deputy director will be appointed and the Ministry of Finance is authorized to give each such deputy director a suitable rank and salary. The American officials will give to educated and experienced Iranians the fullest opportunity for employment and advancement.
  • Article IX. Other employment conditions of the said persons shall be in accordance with the provisions of the Law approved on 23 Aghrab, 1301.

This Law which consists of 9 Articles passed by the Majless on the session of 1 Aban, 1322.

President of the Majless
H. Esfandiary