Expropriation

The last hope of compromise in Iran seemed gone. Backed by the young Shah, astute Premier Hussein Ala had tried to slow down the headlong drive of Iran's National Frontists for expropriation and nationalization of the Anglo-Iranian Oil Co., had apparently won the extremists over to a go-slow policy. But last week the Front brushed Ala aside, made nationalization an accomplished fact.

The Deed Is Done. The National Frontists were goaded by the fact that the Communist Tudeh party was trying hard to take over the popular anti-British movement, was yelling that the Nationalists were selling out to the British. Without notice to the Premier, Dr. Mohamed Mossadeq, Frontist leader and Majlis (Parliament) speaker, called a meeting of the parliamentary oil commission, rammed through a report that recommended immediate expropriation of A.I.O.C. The Majlis unanimously made the report the law of the land, provided for a commission to work out details within three months. Majlis members knew that dissent would invite assassination by Nationalist fanatics.

Hurt, angry and soundly defeated, Premier Ala handed in his resignation to the Shah. Then the Shah conferred with his next choice for Premier, Sayid Zia Eddin Tabatabai, 58, white-maned ex-newspaperman and model farmer, who had helped the Shah's father to power in 1921. But the Majlis roughly brushed aside the Shah's candidate, nominated Mossadeq himself to head the government that would take possession of A.I.O.C.

The Shah was furious, but he had to bow: he summoned Mohamed Mossadeq to the palace to appoint him Premier. Cracked an American observer: "Not satisfied with oil, the Majlis has gone on to nationalize the Shah."

The Threat Remains. Thin, bald and aging (70), the new Premier is a rich landowner who was educated in France, has an honorary LL.D. from Oxford. In a country where political skulduggery is the rule, he has remained an honest man. He is rated an able orator, often gets so worked up in his speechmaking that he faints; he is then revived and, after finishing his address, is carried out feet first.

A violent enemy of what he considers "foreign encroachment," he has tangled bitterly with American advisers to the Iranian government. He is anti-Russian as well as anti-British, only slightly less anti-American. There is no evidence that the new Premier's government will be able to operate nationalized oilfields--or even maintain order in the country. Iran trembled with reports that the Tudeh party was getting arms from across the Russian border, that violent demonstrations were being plotted.

London unhappily resigned itself to A.I.O.C.'s expropriation; it would try to make sure of vital oil from Iran by control of its transport and marketing. If the flow of oil is menaced by violent outbreaks, London let it be known that British warships can reach Iran's oil ports within 48 hours' sailing time.

Moscow let it be known that it regarded the presence of British warships in the Persian Gulf as "an intention to pressure Iran and actively intervene in her internal affairs."

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