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Sw ehel e June 2e ee — page two =< hygiene and proper supplies have been securede Salaries are established according to European standards. However, with all these facilities, Abadan workers are among the most revolutionary in all of Persia. Having received elementary education and enjoying better living conditions, they are more easily reached by a communistic propfaganda that uses small friction points and arousedi jealousies towards higher positions of British employees es. In Persian-owned factories, workers are not much better treated than are the farmers. However the high r standarus, as applied in Abauan, are a constant threat to Fersian industrialists and are - simultaneously with the low percentage paid by the British Company to Iran - the main reasons that account for the so-called nationalistic ®pposiiion to the Anglo-Iranian Companye " ihe intellectual classes - professionals and public cmpbyces - have a xádi ridiculously low incomedZ in comparison to the very high cost of living. They _ are the class of Persians that is the most open to communistic propaganda; a farmers, by their slave-like condition ana by their lack of exucation have, at least up to now, been excludes from political agitatione the so-called | intellectuals are the strongest and most faithful supporters of the Tadeh party. The latter, dirccted from hoscovw, is officially forbiduen, but meets under the eyes of the poiice, that is reguiarly bought before any Tudeh manifestation is to be helde For this purpose the party receives ample funds | from Soviet Russia and also from certain prominent Persians, like Frince Firouz, who are supporting Moscow for reasons of personal ambitionse = In the cities of course there is also the mass of unemployed, beggars, sick | people, living in misery and witnessing every day the luxurious lives of the | very rich. | From the social angle then, there is a potentially explosive situation that, | well prepared and used by Mscow agents, can lead in short time to a highly | revolutionary atmsophere. | From the point of view of public finances, conditions seem to be | getting worse since the starting of the conflict on the petrol questi one Today the budgetary crisis has reached a point where the governm nt is often unable | to pay their salaries to public servants in the provinces and cannot get the | adequate supplies needed for national defense. The consequences of this fact | are already showing. Administration, from the lowest to the highest, Lives | from curruption and can be bought at Moscow's will. As to the army, rumors | of a pending"coup dfetat"are increasing; such action might, willing or unwill play into Moscow's handse As a matter of fact - although army and police as | a general rule are still loyal - the infiltration of Tudbh forces is taking alrming proportions e ; With such growing oppoSition to Mossadegh!s government, there is | fecling bn Persia that the lrime Minister might not be able to keep his ; position in the next futuree Should he be forced to resign, a new government _ will likely be much more to the left. It is expected to have to offer at least three minister posts to fellow travellers of the Tudeh Party. This party itself would not enter officially the government,but would be Linked to all | public activities through its inofficial representatives and would hence be | able to undermine public life and administration to a degree that, on the day sg Saber by Mscow, Tudeh could take over the direction of Iran. this insecure political Situation is rendered more obscure still by the mysterious attitude of the Shahe He avoids taking any clear position at prese i Éz or to reveal in what direction, if any, he wants to use his powerful position — Sh @
