NATIONAL INTELLIGENCE SURVEY 33; IRAN; GOVERNMENT AND POLITICS

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SE B 1 Mo N SECR APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 NATIONAL INTl11lO WE StlEM FMICATON5 the bosh unit of the NO to the iYomwio! Srwvt7, whith iy now published in a bowed th0pw hmme to that oopits of $toter Pet f bhobilir ton be updom on an kkty W basis:. these tb*W. �C prow, The SNWY, oolsopmeolo usitd f bluets the Itorto". t?Ni sort Ge00. tophy, tonspo lotion tend t Ant%4 fotft% S ci&xv. and I,t1eNiNence and Secwirr, pto0 We lk ptwm t It 4 4 to*wvr sonic thopws, pottitsrlotlr Science and Mtlelli me and Ste,, oy, Ow oto nor peHinent to an cow mfr are produced watt r+efr, Fwt low tole wins ftquititlN only ntininlol Nis 1eohttanr, the G*W"W Sutwrr corerrW Alan be board into one .olwe Supoententittg the Cene+of Sryrwry ii the NS low r"Mce foe book, o too* telooft e P- 6itorioe oho: nuoNr wpdoto at sw. NsaftW 41010 fowtd in the Sut"r. An edioion of Ow fortbook on ow ecommy. the drfetne fomes� and ohe inwigente Allhough door l sectno+a on "w/ oopics wont port of the NIS PrW onl, W"AMtion Of these settions has been prowd out. Thole pt*. riousfr Produced wM caMow oo be n oiloble os WV at the nlojot Portion of the study is catsidete41 .old. A quotoetlr Irs+tirg of oll oeoi o* NS waft is publi %@d on the ln�erlroty Of A.Oaobk NIS rrbkof oft which is oho bowed +to ohe toncvttem do. deed Foctlwolk. The 1nMe awyr lists aN NO wfth by oleo mane and 1wnlbet artd incbdes clOnA cation and dot* of iss it thus fociltotes the ordetinN of NO uvwh as weN Os th& MOW cotologoW and utilbtotion. 1 c'issenwwtion. mod -ri0 copies Of NIS unas, Of srpotore ch0pters 01 1.'* Gant �ol Swroo con be obtoowd d rec*fr or thtouo 16o+iW ch0nnels han the C*oWW InteMjenctr Agency. the 0ener01 Su"tr A prepared IQ* the HIS blr the Ce+otoI I nwfogwo A9encr Ond the O haw lntA9e0 lt0 AVftT under d+t genetol direction Of the NIS Calrt~, It it t*wjw�04 edited. published, and deism+� noted by t'.tie Cootie WoNigence Agency. M 4 *4 r.aW-4 o"o 'MO `1 'Ebb MI 4% q.W qft vowM 'w tiMMw "..ww..r w w �w' w r 4wo .Am.w� .4 M1MM w Wrw t �f Mf*k4WMt tai t L9 vvt.xT tt.4t t 4t p APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 WARNING The NIS is National Intelligence and may not be re- leased or shown to representatives of any foreign govern- ment or international body except by specific authorization of the Director of Central Intelligence :n accordance with the provisions of National Security Council Intelligence Di- rective No. 1. For NIS containing unclassified material, however, the portions so marked may be made available for official pur- poses to foreign nationals and nongovernment personnel provided no attribution is made to National Intelligence or the National Intelligence Survey. Subsections and graphics are individually classified according to content. Classification /control designa- tions are: (U /OU) Unclassified /For Official Use Only (C) Confidential (S) Secret APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 This chapter was prepared for the NIS by the Central Intelligence Agency. Research was sub- stantially completed by January 1973. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 ,/YA" CoNTENIS TjJa G. IN Srilr. 4 .r.t.. t.. J, 1 to.. .tq t 1. Irtl.. I 1 ,.1 j t1 lrl. or :1, .,,.1 .1 1. Intntclurtirnt i I tegt.t. f nj I. ttt ..:r. r.l,,.`. 1, a. r lu ja..ttr t... al.tl.rlla H. Slnjefure aml futtr i/ntitic 111 the C/nwtttt ml I. C1111tal t;n t nlnit n! 1 h. 1,11 .1. w trjah. 1f. i, t.. 1 7 "fir: t trhahAilr+.h .trvl e�.� �.f ..1. .1. I %vt loth 4� Ilr.un 11 t 1. /aa s 1%�N. fa 1 11. 0. J. a r 1'.,Ijair. t. j. 9 .a if. I. fa.t sr t�n.. r -g.1314 11 dolt, .tt. 3 1r ajva.att.et:llr .4 l 1. +tM m 7t1.T APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 P age 3 1'v+mltnr,i ptactics rite+ 4*40i#4 In -In ctttlwill. srilitAlte. call. rlwi(.w t r+whtt 1 04 rin tion%. n. x,dltmA polkie� I. Ilwtiomtk- prlk'y 1`��I �kt-tttrinrrl fly Will. olnr%%ion with rrrnrrrlr.ir atwl �w il tlNwlrtn /.Iticit, rinlwwlied in 11 1+�'-111 Woolf- W%oltllson. details of r(�fonn IiK.jt,ldl- if-. hplons IAINI ir'llwlll. 3 Ffmiril"I itrillt, ptitr ipf. it a %wilion of political, ec�c.- p.+nr .rrwl. i.r .nitrr ratcnt, nidit.ity iri(1e- prt�l�'��r. lul4ocr Icrlwrrn Fail and West; trlaw Ndh I `S It r Ifew till will) West, r4sr call% I pirtw cntusthm with w(urity o/ 11rni4n (.IiI arwl volt lee%tetn Iran. %trained trlalirwra Mdll It.pt� junitNil in Arah- L.iach m4lir t. trlatirw+ with Afghani %tan, nrkey. rxtoun. fopi. CvxTo. a %i -imwinxmt of trlatwo" %atil the (:1 atlenipts to c %pand Mrl)r,rtwr� -A s il o INnahgtxYl and We%tern- .wirwlnl tr+lnitle%. 13 1 4 Page :3. IN-fense policy 29 Stwti MI intrrc� %t taken I,v Shah; concern with 1 011( and s(nithwe%terli Irvl; 111(mopoly of U.S. arms ended; CF;A'1'O; army civic action ptogtait. F. Threat% to government stability 30 1. 1)iscy)ntent anti dissidenev 1 30 Tight rein on political activity; opposition of Communists and 11(.11- Coniouuiist nationalists; seeds of discontent in landless agricultura! workers and in educated middle class; tribes; religious establishment. 1- 2. Subversion 31 a. Communist subversion 31 Neutralization of Tudch Party; history of ly c�onmunisni in Iran; Sovict occupation of Azarbaijan; assassination attempt against Shah; internal disagreements; party or- ganization; party line; Soviet diplomacy; party financing. b. Stude 33 21 Recruiting ground for antigoveinment or- ganizations; demonstrations; Confederation of Iranian Students. 21 :3. insurgency 34 Non- Commmnist insurgency, including the Kurds, i and Qashqai; Communist 3 insurgency, including the Tudch Party Revo- 2 i hitiunary Organization and the Marxist Leninist Tufan Organization. F. Maintenance of internal security 34 1. Security forces 35 2'- Strength, organization, and responsihilitics of the gendarmerie and the police. 2. Countersubversive and counterinsurgency measures and capabilities 37 Ample supply of legal weapons; SAVAK; role .,n(1 effectiveness of the gendarmerie and police; impurtance of reform programs. G. Suggestions for further reading 38 Chronology 40 FIGURES Page Page Pitt I 'fla- Shah 1 p/10(o) 14 Fig. 4 Seat distribution in parliament (cliart) 19 Fig 2 Tilt- Empttm% (photo) 15 Fig. 5 Refugee camp (hlioto) 2g Fitt I 1'.111y ;j-pn-a�nt.ation in Majlis (rt)ort) 19 Fig. 6 Internal security organization (cliart) 35 T APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 LEGISLATIVE Minister Chief, Supreme Of PRIME Commander's Court Staff, MINISTER Armed Forces ASSEMBLY SENATE or (Half of Prime Minister's Office Mailis membership Plan and Budget appointed Organization by Shah) National Intelligence Municipal Municipalities Governors Security Organization CABINET State Deputy Prime Minister for Development and Economic Affairs State Deputy Prime Minister for Parliamentary Affairs Justice Ministries for: Agriculture Information Natural Resources Interior Cooperatives Labor Social Affairs Rural Affairs Post, Telegraph Culture Arts Telephone Economy Roads Communi- Education cations Finance Science and Higher Foreign Affairs Education Health War Housing Develcpment Water Power Minister of State and Secretary General of State Organization for Administration and Employment Affairs 2 Other Ministers of State Interior Provincial Governors General Councils Province or Ostan District I Governors Councils District o. Shahres'on Municipal Municipalities Governors Councils or Shchrdari Subdistrict or Bakhsh I I Administrators I County or Dehestan Village Headman, Town and Village Councils o. Deh JUDICIAL SUPREMF COURT A Common Lc;. Special Courts Courts (Civil and (Religious P. Criminal) Military)' I I I Provincial I I High Courts I I I District I District Courts Religious Courts I I I Justices of Lower the Courts Peace T I Houses of Justice and Arbitration Councils KEY Control Election Cunstitutional Responsibility Representation Administration Supervision Appeal `Courts martial under commanding _fficer E L E C T O R A T E in each military district. "Administrative control uncertain. Structure of government APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 EXECUTIVE Government and Politics A. Introduction (S) Iran, a constitutional monarchy, has undergone rapid social and economic change and a reorienta- tion in foreign policy in the past decade, but at the same time it has maintained a high degree of po- litical stability. The ruling monarch, the Shahanshah King of Kings) Mohammad Reza Pahlavi, has developed from an indecisive youth at the time of his assumption of the throne in 1941 into a strong, determined, self- confide_it ruler. He is driven by the dream of guiding his country into the modern industrialized world in his own lifetime, and to that end he has undertaken a widescale reform program, labeled the White Revolution. With his country strengthened by domestic stability and economic gains, the Shah has loosened his post World War II dependence on the United States for economic and military assistance and has under- taken a rapprochement with the Soviet Union, once his archenemy. He has retained his basically West- ern orientation but is generally seeking recognition for Ira:i as a strong, independent force in inter- national affairs. The Shah is the second member of the Pahlavi dynasty founded by his father, who seized power in 1921 and was crowned Shahanshah in 1925. In 1906 and 1907, a primarily middle- class, nationalist revolutionary movement forced the then ruling Shah to accept a constitutional form of government. The Fundamental Laws (or constitution) enacted in those 2 years, together with subsequent amend- ments, provided for a bicameral parliament to which a Prime Minister and Cabinet approved by the Shah were responsible. Neither of the Pahlavi Shahs felt it necessary to abolish this system �which has proved flexible enough to be considered useful even in a time of rapid social change �and in prac- tice they have continued to wield decisive influence over the entire governmental structure. The Shah believes that Iran must undergo orderly social and economic modernization if it is to retain its present stability and avoid the vio- knee and revolution which have plagued much of the Middle East. The Shah is interested both in preserving his own throne and in the progress and prosperity of his people. Since 1961, therefore, he has been introducing fundamental reforms aimed at building a modern society and increasing the popularity of his regime. The program inJudes land reform, literacy and health improvements, na- tionalization of natural resources, modernization of higher education, and increased rights for women. Social reform has been accompanied by great ef- forts to modernize agriculture and speed the indus- trialization of the countr with the help of revenues from the Western oil consortium which produces and sells most of Iran's crude oil. The Shah believes that social reform and eco- nomic progress must precede the development of democratic political institutions. Political parties and elections, therefore, e.re maintained primarily as window dressing and as vehicles for advocating the Shah's program, rather than as a means for the expression of the public will. The Shah has said that as the people become better educated and illiteracy is eradicated, the people will "under- stand and endorse the ideas of other political parties." The parties, meanwhile, will have become defenders of the national interest as a whole rather than of narrow individual interests. In the mean- time, he claims, Iran must continue to be ruled with a firm hand. There is no effective vehicle in Iran for the ex- pression of basic opposition to the regime or its programs, nor is there any valid method of meas- uring political opinion or the level of political so- phistication. The Tudeli Communist) Party has been rendered impotent because of rigid control by the security forces and the confusion created by the Iranian- Soviet rapprochement. However, outbreaks of violence over the past 2 years �bomb- ings, attacks on police, and bank robberies to obtain funds� indicate the presence of antiregime groups whose procise training and direction are unclear. Nationalist opposition groups are also closely con- 1 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 trolled and have found olany of their pt,grams absorbed ivtu fill. Shah'% �'hit(� Iie% 'flit i(fit N611%. students Auld intellectuals, U'rtnerl� impl:lvilh'(� in their opposition to flit- monarchy. ha%(� oplo tut the status and material rewittils n %olting froth participatiotl in the establishment. Although the depth of popular loyalty to the Shall cannot 114� measured, it is very likely that the reforuA program has improved his image and that of 1h(. go%enm.ent generally. The grew �st dau.ger to security pnlhaF)ir lies in tile almost tot I reliance of the g overt fill tlhd structure on one naan -the Shah. Althot'gtl till� constitution nu%r pt, ides fot as orderly sitev( ssion, the Shah's death could produce a 1�; riod of se% ere instability. Proud of Iran's domestic seal. city :u141 ecollontic progress and freed of his f� �rinur financial autd psychological de pendcnce oil �he United Stakes. the Shah has launched as more aggressive and in- dependent foreign policy. The most important facet of this new policy is as normalization of political arici economic relations with the Soviet Cnion, which by early 1973 had extended over USS900 million in eco- nomic and military credits to Iran on highly favor- able terms. The Shah remains skeptical of the U.S.S.R.'s intentions and was upset by the April 1972 treaty between the U.S.S.R. and Iraq which lac: felt would give Iracf a freer hand in is anti Iranian activities. However, he apparenth� believes that the advantages of normalization outweigh Noe dangers. Since 1965 the Shah's major foreign policy pre- occupation has been the security of the Persian Gulf and southwestern Iran. He is convinced that radical Arab elements, especially Iraqi, are at- tempting to undermine Iranian authority in :he area and to foment subversion in the province of Khuzestan.' He also fears a further breakup of Pakistan( resulting in possible attempts to unify the Baluchi people in that country and in Iran. The Shah has undertaken an extensive program to -if- large and modernize Iran's air force and navy and is attempting to improve relations with the moderate Arab states and the sheiklidoms of the Persian Gulf. Although lie would like to cooperate with the mod- erate Arabs in maintaining stability in the area, the. Shah has let it be known that Iran intends to play the dominant role in the Persian Gulf. Despite his more active and independent foreign policy, the Shah remains basically pro Western in For diacritics on place names see r!;, list of names on the apron of the Summary Map in the Country Profile chapter and the map itself. 2 outl(,1,k fold sill t1�gatok 1114� ('31iff -11 Stal1i i e14rs1 sl ally. It:ln cil ill ifs rix-mlw AShilt s� n if s(,nealfaf ntenthmiasfi(ally ill tiff ('dotal treat% f ltgatli/alit'll i CEN1 a (11�It lisi%e alli,oxr it 1a/ ulc-Im Iiog 1 cltkey, I'aki. tan. at14) fit,. t tla( d kiln. +(tool, surd it potullasl�s looml of if aqhisfiY a10-11 olilit Ify 4"1111ipllivill Iwill Ihr Ullif1 Mello s. 'I 11(� tetlo% of tlxt.e plitcllit".s at th Stull'% (Iislool( the 11uMetil flit cTf1fMtlinul ovet to %enno -w a1141 tt a tlilturl` :and eNent of Iranian (lftllrol m the o f illdimm :ate irtitarit� in his tl�l:ltinn% %%ifh till Owl- I Still"- 11111 ili( (nitll(k tot llx f -S. pt( seAx in Iran renla,n. ,(,1tl. ii. Structure and functioning of the go-. em. nfent L Centra; government (C) 7 he voliNtifutior of Itan is a nnp�,so�c1 of fl1� F111)(aunt�ntal i,aw of ltAM. tl14� Soiygoh -it 11�nt.,i hcmdantental Law of 15KC. allot sa11selfnen! anivild- nu�llts. Since 1907, :he lannfiflltion hit!. ixrn amended (rill four thou%. It hits pt1%1.11 ill tihle itlld illlpreeist� (�n(ngh to tefilitl ifs It.ef111114�.. ell AI as Irian has emerit(A into a rapidly (Imulopitrtt Auld nlodernizint; start(�. At the same lime. .onu� pn%i� sions of the constitution, such :l. the n�gltin�oent that all legislation Ix� snhnlitted for approval t, as committee of five theologiaall% attd that 111 ie. lx� provided for political and pr(-.. triad.- suctio never to have been .lnplenlentvit. The 1.rlun- Ciated ill the constitution are ill Ill my Cake% fell,- pered ht- lilt- phritse "exc-pt as otherwi.e pn%itled by law" or some %ariatimi of this phrase. The (mgt� 11-11 intent was to prevent capricious and h�r:nmt:al acts by the monarch anon to insure that all%� hillita- lions on the constitutional provNions would Ix- im- posed by the parliament. The government is defined as a constitutional monarchy, the powers of which are limited by a bicameral ler,islature. The formal powe,s of parka- naent closely resemble those of a European h ;gis- lature, but in practice the separation of executive, lc�gislaive, and judicial powers called for in flit- constitution has not been maintained, and the executive branch has almost always dominated the other two. The dominant position of the Iranian executive results from a strong authoritarian tra- dition in Iran along with intense loyatlty to and awc of the monarchy, it also results from the lack of cooperation and discipline among the intensely individualistic Iranians, who do little to contest the executive branch. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP0l- 00707R000200070040 -4 F srts litatth AINI k� se�I $of g'ArtmtN1111 i� 41400110- ruled In- Shalt. -%lodtamtltad 11C N4 4 Pahlat i. A�- s11ming ftenso -t in IA-f l aftet hi� fafhe t, lirira Sluff 1 wais /ortc+lwl to elsilicale foollonring fhe Iltitish Atl 4 n iM inr asiogr 1111( Itatt dating Nogld Nett I1, the itte".c4`tlt Shalt wa� fort atam- %cars an anc���ttaitl al ittscs4 k�at11t. The outfit n( 106 ctt ttnd e n7-t ho I n�' n tte h'1 n111Mttl canlc� in th (a tls� ItW4. 4611 1'tiolve %finisllt Malulls" tl lors:teleyi 1..041 his Natienl::) Fnmi flatly 1.1111 aike�sl eto a -atn: paistn e( %kilent attti�iltitish Astitaliogl. Sitxi- IIN� ratl- 1410%. hens,m the Shah Ilas tic�s-rloiN -11 into a clgl(h11 c1tnfN�tc�nl m�atar�h Celt is 11111� in t +glttcI /d hi� ihtdww anti his g o n rnlmo-tot. Ile i� krNrssn fort Iris eirtailrd know�Ietilgr o! ltanian affair- al rs ct) Icvcl and felt his Ability too Iomnnlate and ratty enll fr olicim s aitho challenge 1104� "Molut /f 11 x� Shah i ehia 1!111;. n(tet 20 years of note, synllolite d the Shah's pnlitie al e.nning of age anti hi� pride in Iran's pt +rgrrs� +nxh -t his mole�. Th-- rlallotate ci- lebrallan in 0"'th �t M, the 2..`" year� of the Iranian tit, trhr w hut104 r t6igrt -41 to ewnf hmitc iN- strt�rlgth of Ill nNntatc�l.r MINI to annise na tional 1 -wide. 11. /_trrtdirr� hranfb M Shah is the c hie( of stale awl head of the c- xrctlhsr branch Of the Iranian -rlt. Tfw Flimiamt�tt1a1 i.aw -s are ambigit as in delmi1w his ors crall pow w his h arc� a� de ft1indent on the forrce if his fo1-ivauhly a� om the- splvif off file comtitutktn. He .lotrs noI vole by dii,iter tttht. 6c catlstilaticgt tlr(ittes h it, se.tri As a fnost "44tH fi41c�tt i as a iMIlle 01R) Ic tit� prople to the per. UM a( the King" 'Nmerth -h-v%. the Shah ttnnnalh� use% his l !n defining Anti infc�rfn�lWA hit pr.w rn. As anximir i in IsN_;, the. c4x1�tittifiem jtisrs tit� :Yrncn to "Ili� lniplial Nlait -%I% beta sluff 1'.41114%1 and his male t!c�r:.- txlanl�." TIN'. eldr.t U301 horns n( -4 Prnian m isthi -t too a P411las i Shah is allhnllahcall lhe hrtr�appare�111- It a Shalt has 101 WWI. be- mar a,1*0111 an 6�ir�Apparrllt. �nhirtl to Ihr apfxlnal a( tit,� 14flis. the knrrr hells". ac ftirliam. -M. The- atfit;nal IW7 law gase the tight to the throne in perpt�tuit} to the Valalr dytl tsty l s. h it' h preceded G'... rahlasis i- lout the 1 4:2 atnt�ndmrnt ,121411 that nn tnemher 4.1 the Qtjar family cocild !e� appointed as heir apparent or recent. The Shah's half Irothrn ths�rrinn� an- hirligihle fur the thr4ott�. since their masher was a Qata in I%T the Shah. who now has two sans- took strpo too insurr an orderly transfer of pawer in the rsetll that he 4"nlld die 104�Mte the Crown Princl r!`ac'iN s 1104� into- of 20 on 31 00olx�t I9M). At the ~hall's 1111114 -s1.:: (;en.sfifoetll Asse�tnlly a:1s elected in Allitit�t il Nllich appraved it volmlitotional afte"fN;nr prtsiefitnt that fhe� Finpn -ss Nle ther of 1104� Co,wil irt:exr shall immedialck. asm1 me the testetlri� ettrk -ss the Shah has prey ioms apirlinh�d another pem"s mt rege�t11. The regetlt is to form a c,0411x�il of tegetwy cyrmllnecl of the Prime Min htet. the 111�446 of the two hnnic�s of parliament, IIN- (11ief )ttstiiti� (If the Suprettle Colirt, and four "ktNssk�dge�al lr lirtscms sell s1nell in the affairs of tit� stale." This camic! a ads the regent in 1114� fiuxticnls of the namart�11% until the heir. apparrilt tc�ache -s the age of 20. l file pres c.m.tifotienlal pn nisiems, file 'lallis wa% to select a. n-ito net afoot tIN� death of ON. Shah. 'i'lik cYfllld has k-it to a pr (Ni of leatletiess grrre-ttnnent anel Illiglt h:tse orft�IN--11 ihr is ir to disnlpti.r nlane�u- srtinst (..r fxosltiom. The I c+oiltinmis top ftrnicl.� that the Shah mar anxiint a !etnt> miry regetx.% e4nitx it whet lie h alsetll train the Conn. to ---:n pra dicr t he Shah has oftc-t1 follin%jd. i-at many yr:.rs, the Shah a mna to rnn- �ich -r file appritilml -Ill of :o n -stmt Iwf m. his (featb l"ttatily INN anse he feared scolse- cpn-fit political matx- %leering a-nld thteatetl his control ot #�sell his life- The tk�ci�ient to make- IIN� necrssan e+nrslitatiolul ame-txlme�tlf in low, a:I� a further incli4 �411e113 of the- Shills gnmilig "wlf- 4�omfie4 and of his faith in 11N. M }alf+ Ilxl ability of Em. prr%% Farah. who i� "flat. capa anti dt -eply infete in the S11ah's re(nnn pnmr..m. Never� fit�k�ss, the Stub', applrinittient of the Enoprev% as retitcmt arcs an mite nation in a coilillm whet(. wem -11 are. iu�f 114- ginning to gain cvlu,cl %x:ial anti politi- c al rights. 714� Shah i� 1Nfh titnlar head of st tc and sn. ptrtttr brad of Iht� ru �tuhsr Iranth of 11x� gor. o�tnni,�t1t. ;1. st in the F undiunental Lams. "Thee c�xc�cntiso� Pm%4 r h n�sc -ni'd to the Shah. that h to %A% nice lass atxl eletr1 c-s %hull lx- a arrietl ont M� fix� ttlini�te�rs state official in the august name co( iii. imit�riai %141 -%ty in such manner as the Lea- 4k�firx-�." TN- Shah i_.. howe et. sit�cifiealk (need 1r( pt�rsonal rt�sitlnnihih1% (or fix- actions of hK nitntstets anti eith mrvotire braoxh edfic�ials. It h the mini�te -n oho air rivni .ible for all mat- ten fo looth chamlrt�n of ittrliamc -nt. 111os flu- Shah h m ithrr rk�eted by the ist-ople nor rmnonsihle to parliam mit. which h ele�ctni by the PNIple. 3 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP0l- 00707R000200070040 -4 The Is4m.4.1s of film- ~hall, as %1�064-11 itiesl in tllm� Sulrytle tlelltatr 1'llmlanitWrlal I.aa of PO C, imhtde the� right h aloptoillt alool dislni%s all m illimuts aloof t thrt h4.a414 of gtrsrttntxhrt agetxie�s; to cerlfct all military ranks, 414Mr-t:llimm, and trlhet lrtotooitatt flit- in ltatiamettf; Lo iss11e� dt�t�ms�s and ettlt�ts for 111w entotir m�tt 411 all la%v% It1t tw/t to himfet fit th�lay errftmrtm�t f of tllm� law. to tcomnholld all the militat% totct�%, to Appoint tint- of IIN� r +NtittlN�tshil rof the rlppet 61414. lot iarliaroveld i lilt- ?nitrate 1. to call IIN� itrttharm�trt info 41tc�4,ial se- %04.111 4 t to the �hr 4-itlwt fit 10-1111 6111-w% under %pN�6al vita nmstatit to d4- 4-fate vt ar arxf atltx-lnd4. lvmv, aoo1 1A rrcQtrliale to alit�% aith ft%rt�istn ttatitns %%hich it Ntoodd iK" it1 tile� into�m�st of the %ute and the imsi to keep %oxt1 liv ifttr4, of .111 artlt�ininso lomm -f! in 1949. the Slwh has the poact to dissof.e eillNrt tot hmth chartthe�ts of Patlianie -nt ill t Rtl%�t its Will tie�%%" elux titoom Ali otlx�r attxaxlm4.nt. Pxsu�al ill 141.iA. ga%4. i N- Shah fix acklilitmal istn%et 411 t.- vic"%%itrg all fitlarxial 14.gis- latior pav4A by fire Maljlis and st- rxlinq it hark flit n�c�olnsidrtalitrlr it it (If" 1144 it's A�I No. .1i penal. The Malli� mAy just %11th hills mvr 16� Shall'% ohle�t-timis hr a Ihm,��fttoltths %oric of all ntrtnlrt-ts pm�se�ttt. %loharn mad pieta Sh .1h nminfaim t1140i-tngh c.rn� it.r1 o%vt rm�mlst�rs of the ruxulire Itatxh 4f qt n.- 4-ninN-nt. Tho�orrticalIv. the M :jh. chewrgr% each lrr.rm� Slinh14.r by infotma) Ioalkrf Aml ha. it% 4hoitr altpnnt�d fly the Shah. In pr .14#X4.�, he mto trolly %t�lo orx� of his fn1%tt,f frtt�tool% is 1' "w Nbuisft-t and 4.t4.t a %ihNtg 1111111etoo 4. onrt Iltt� priltic Minhte�t'% vivoct� of C'a1o;m -t nN�m1NQC, All tarlth< dalm 1116# idyl wet %1th the Shah'% aplinn.d. %rithirt Iho%t� itNltuh. I N� latihxh� all,mcd Iht- 1 Nlilli%tt�t in his WhA tit,rn 401 .1 (..1l /im�t t14.- ilm�ntl% ov dir .1tNlm111t of i split tl oiniml in Ir .1n at the firth�. IIN� tw o m +n� of f stri4n affairs. the 1111n1loo�r of tnntid.tnt� ttxloihisit tt�a.1rd tort Just %t-t%i. aloof fi ll- S11416 a%%o -nI tot O N� rrhandil aloof Iwfuti a1 .&mI0it41% of 014' rN�%r pr inN� Sfini%trr himst�If. Thc� Shah is itmulh� p.1Witt11ady tiow �ord in the (Imistimliorl of tilt� Nlini%ft�r of 1,1,'at. tltt� Alin� istes ill F:c%,:Nnny. Ilse� %littsh�r of lrtfrtior 1 ahtt control% iIN� gt ndatnNTi4. Alul Issolitt� 1. mml 1114� Alin. i%14-r cif Fcott igio Affalts. The Hanoi% of 411 catrtli- daft�a arc %uhinill"I to fho� M.116. N hich ftiritt.1lly .1ppril-w% till� 114-A >;41 ve rlnN'111. hil.lit -Alien 14 a rn%al dt�c�nw ftmmll% .#Ititotintitrlt the rN %r gn%rnr� ttN�nf c.ontp -t4�, 1 6. pt%x.�%%. Uncirr ffir icool%11ft1tiotn. 4 the� Caloiln�t minist4.rs atr indiridualk :111d vol. le�a li%rl rusltron�ihle� ter parliattN�nt; in practice they art #11114 1tNOte din a th responsible to the Shall. Tllm" Shaft also has conttolling, infloetrc�t- in the legislative hralx�h 44 gort-rnnrent. H is inf lut-nee� is ettrtrtle d (hrenlgh the feorce 14 his pur%om ilih� mid fllm� NO that, in pmadive, candidates for 1mrlia- 1 se�ah nilest me rt mills his approval before their nan can ix� enten�e) ear the electoral roNs. Tllm S11plift-mentaty 1`1111dameutal Law of iW7 s?i %t�% irim fist� right to feornn#lair legislation and to pre%e�nt it to parliament for passage into law, AI- thmigh thin pri ision is st�ldottl Mild, iegislation is tam�h ltmliloneil and almost tte% vimoed with tN1f tacit appro%-al of the Shah. Furthermore, the Shahs %ignatlrrt- is nrcrssary on ;1111 it-gislatire aet 64me it can be� poll into (.ffect, and his own atti- hoolt� tent and ;t hill alfc;4s the intlotrrtance attached 141 it al ool the slit -rd %%ilh which it is intplt-mented. F11tth4.ttmort�, the Shah's infloenc�e extends, di- to-t tl%- or indiret th. into mrnt gost�rnme�nt trgani- ratiotn and 11tlitivalh� itnlxttt:wt groups. i lc has restolar mcf- unit,% not 41111- %rill) all Cahirn�t min- ister. a1141 IIN� brad% of the Senate and Mailis, hilt %rich the 114..uls of all the sm itrity forces in the 4411111##), imfilding the chick of the arined ftrrces flic lrlllteti.11 0lard. the National intelligence and S,s 1tiiv thg.miiatio i 5AVAK the gendarnu�ric. anti the loolicr fort~�, and also with the chairman e:( tht� .1tional Iranian Oil Compam�, less rt-gu- Lilly. 111� also wri provinc�i.11 administrators. num- Imt% tit 1114. M.ljlis and 54.natc. and officials bolo%%� list Iloilo islurml h %t-1 in go%4 agencies and tninisttit In addition. the Sh .1h gives audiences to inlp41e�nti.11 c14.rg%m4.n. bazaar murc�h,41rts. Libor lt�.1t14.1s. itll.d tt-lon�setetatire s, and the press. The Sh.1h is that% alrlu to take %olindings about acti%�itics .11141 attifudt�% 111 gtretlrtnet.t .111d sex�ieh� and to 111.11,4. lots p ol.64�% and %rishcs kilowil and his in- 1111�nt4. felt at .oil h�%el%. Thr Simb 1% .1% Med by a Nlinistcr of Court. who 1% 11401 .1 nlm�rtdx�t of the Callinct blot who holcis minoteti.d rank. The dlltics of this minister include admimstr.11iIll of the Shah'% pst�tsott.rl hooschold and the proteltt0! a-mi.itt�tl %rith flit- ve rt. The \fin Wrt trf Cmirt is .d%%.1s a 1N�r%onal friend of the rolVal lalutlr He mid hi% subordinates have reach� rctt-ss to fort� Shah and are often used to bring informatism t, and from flit- r41%al famil�. He tends In hurld 41p a (ert,iu amrnmt of prestis:v hcc�ause of his ckn4�n4�%% to 11w Shah ;urd hi% ability to ar- t .1ng4. aptlttoontawnl% for 1 w r -wits outside gmrrnnlent. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 The Cabinet in early 1973 consisted of the Prime Minister, two Deputy Prime, Ministers (who also serve as ministers of state), three additional min- isters of state, and is other ministers.` The Supple mentary Fundamental Law of 1907 restricts the privilege of holding a Cabinet post to fuslilll Iranians, and It burs the soils, brothers, and paternal uncles of the reigning Shah from holding such office. Another constitutional provision forbids Cabinet ministers from holding other offices. This restriction is presumably the basis for the general practice of not drawing Illinisters from aniong 1pr'm- bers of parliament. Those few who have been named to the Cabinet gave tip their parliamentary seats. Little else is said about alinisterial qualifica- tions. The Shah may dismiss any or all of the min- isters, as may the parliament. The Fundamental Law of 1906 provides for min- isters to attend sessions of the Majlis and to take part in debate concerning proposed legislation and the administration of the law. The ministers are collectively and individually responsible to 'both chambers of the parliament and must appear before these chambers whenever summoned to explain their actions. According to the Supplementary Fundamental Law of 1907, when the Nlajlis or Senate, by a full majority, declares itself dissatisfied with either the whole Cabinet or one minister, the Cabinet or minister shlA be considered dismissed. When parliament is in session, it is co111111o11 practice for a new Cabinet to present its proposed legislative program to parliament for approval. It has also become common practice for parliament periodically to question ministers and other high ranking officials of the government. If the person who began the interrogation is not satisfied with an official's answer, it is possible for the entire. Senate or Majlis to censure the official or have him removed from office. Between 1941 and 1951 several Cabinet ministers were ousted in this manner. Since then, although the questioning may be sharp at times, a motion of censure has become quite unlikely unless the Shah engineers it. There is no tradition in Iran of having direct lines of responsibility from the Prime Minister to the ministries, and ministers are more likely to con `For current listing of key government officials consult Chiefs of Statc and Cabinet Members of Foreign Go+:ern- ments, published monthly by the Directorate of Intelligence, Central Intelligence Agency. cider themselves answerahle to the Shah than to the Prime N- linister. The discipline which a Prime Minister can exert depends upon his personal in- fluence and, more importantly, the extent to which the Shah will back him up. The Prime Minister play reshuffle: the Cabinet to discipline or reward Cabinet members, but these actions must, of course, be cleared with the Shah. In extreme cases, the Prime Minister can discipline his ministers through the threat of dismissal. Oil occasion, Prime Min- isters have used their influence with members of the parliament to have that body chastise refrac- tory ministers. �ich Cabinet minister draws up legislation on et .�nt or proposed activities in his own ministry, and the legislation is coordinated at Cabinet ineet- ings. It has become common practice for the Prime Minister to approve or reject the bills proposed by ministers for presentation to parliament, and Cabi- net Illec tions are thus often the scene of bitter internlinisterial conflict. If the Shah is personally interested in expediting a project, of enurse, the coordination process is much smoother. The Minister of Interior supervises all provincial and local administrators, who in turn administer and control elections. He also controls both the police and gendarmerie. As an important key to internal politics and security, lie is frequently consulted by the Shah. The Foreign Affairs \fin istcr's position is distinctly subordinate because the Shah is greatly interested in and generally fornitl- lates foreign policy, often conducting major nego- tiations himself. The plain responsibility of the. Ministry of justice is the promulgation and adinin- istration of the civil, penal, and commercial legal codes of Iran. The 'N- linister of justice recom- mends and the Shah appoints judges throughout the country, except those presiding over the lowest level of locally elected courts. The Minister of War is primarily concerned with administrative, personnel, and fiscal matters and represents the military before the Majlis. The Shah, as Supreme Commander of the Armed Forces, ex- ercises operational control of the services directly or through the Chief, Supreme Commander's Staff. The Shah is greatly interested in military policy, deployment, and equipment and plays a personal role in many aspects of military affairs�particu- larly in negotiations involving the acquisition of new equipment. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 The Ministry of Finance, through its work with the national budget, has influence over almost all other departments of the: government. The Prime '\linister sometimes holds the post of Minister of Finance himself. The ministry collects taxes and keeps track of all governmental revenues. It also administers certain government -owned enterprises, such as the tea and sugar monopolies, the Caspian Sea Fisheries, and national oanks. The ministry uses the arrled forces to collect taxes in recalcitrant tribal areas when necessary. Rapid economic and social development is of major importance to the Shah, and five of the seven new cabinet -level posts created since 1967 reflect this emphasis, i.e., the Minister of Agri- culture and National Resources, the Minister of Science and Higher Education, the Minister of Cooperatives and Rural Affairs, the Deputy Prime Ministry for Development and Economic Affairs, and the Minister of State for the Plan and Budget Organization. Overall responsibility for planning and monitoring economic development programs and for formulating a national budget rests with the Plan and Budge, Organization, a formerly in- dependent agency called Plan Organization) sub- ordinate since 1959 to the Prime Minister's office. It will operate under the direction of a newly formed Economic Council, composed of the Prime Minister, the -Ministers of Finance, Labor and So- cial Affairs, Cooperatives and Rural Affairs, Agri- culture and Natural Resources, and Economy, a Minister of State, and the Governor of the Central Bank. Th council is responsible for ensuring the general objectives of development plans and super- vising the preparation of the national budget. Another special agency which formally comes under the direct supervision of the Prime Min- ister's office but whose director reports almost daily to the Shah, is that of the National Intellitrencc and Security Organization (SAVAK This agency is in charge of collecting information on activities which might endanger naticnal security both at home and abroad, and it also performs covert action operations. Most routine activities of the ministries are supervised by undersecretaries and directors gen- eral, men of lesser rank than Cabinet ministers. A few high -level career civil servants remain in each ministry during changes in government to lend continuity, but changes in personnel at the Cabinet level often result in changes in many im- portant offices throughout the ministry. The Iranian civil service, composed of' approxi- mately 415,000 employees in 1972, has been over- staffed, grossly inefficient, and plagued by nepo- tism and corruption. A new Civil Service Code, hammered out in June 1966, attempts to cope with this situation by introducing a standard grade and payment system� sinlflar to that of the U.S. Civil Service requiring entrance examinations, limiting the alllotlllt of extra "allowances" which any em- ployee may receive, and reducing the number of employee categories. To implement the law, a State Organization for Administration and Employment Affairs (SORE) has been established, and the Secretary General of the SOAE has Cabinet status as Minister of State. Organizing an efficient, honest, standardized civil service is expected to take years, however, partly because of resistance by govern- ment employees to reform and because of a lack of clear administrative records. One of the most serious problems in the entire executive branch of government is the tendency among all personnel, including Cabinet ministers, to tell the Shah what he would like to hear. To some extent this problem is being lessened as the civil service arid the Cabinet are infused with better trained technicians and fewer old -line poli- ticians and first family members, but it still hampers efficient planning and execution of policy. b. fative branch Iran theoretically has an independent legislative branch, but parliament is in practice dominated both in form and substance by the Shah. Candi- dates for parliament are always cleared either by the Shah or by his security officials, and the elec- tions themselves are sometimes engineered to in- sure election of favored candidates. Although there are sometimes sharp debates in parliament, there is never criticism of the Shah, and bills which he supports are inevitably passed. The quality of Iranian legislators has improved considerably, as old -Iine politicians have been replaced by better educated representatives. Nevertheless, parliament, at least in rclation to issues important to the Shah, can still be called it rubberstamp. The Iranian parliament is bicameral, consisting of a lower house (illajlis- e- sllotcr(iye- illelli �the National Consultative Assembly) and an upper APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 house (Sena- Senate). The� M ajlis is by far the more impottant of the two. This house comis1% of 26S deputies ele�v tell by direct pilmilar note� frrne regiuna) e�011%titfef -116 s 41141 tedigious nfinotities for 4 -year terms, all of which v%pire� %ininflanewtltly. The present 2 \I ;tjlis %%as elected in )nly 1941 I. The house can facet and iN -gist work 411 legislation as sewn as hyo- thirds of the mpr�sentatiyes have assenthled in Tehran. At least one more th.rn half of the deputies present in the city al ally time is requir�d for a ynorfon. A simple majotitr rate of those present is Sufficient to decide any is-me. The Fundanfental Laws provide that the \Iajlis. must he called into session at least otuy a resit. but this provision has ixrtl igno A oat mca� ion. The wide authority granted file \lajli% in tilt� Ffmdamental 1-my of 19116 reflects the mcdomin ;mt politi-cal issues of that little: the arbilratr rule of the Shah and particfeiatly his uncontrolled (erl.ign horrovying which had :ankntpte�4) 11x� e41entty phis authority inclfeth�s apptova) of all Im tn-e e�� +ar*4 for flit- strengthening of the gmurntaetlt and king (lott). flit� regulation of state affairs, and the Cliff. Mihtioll of tttinistries 1 i.e.. approv:d of Citl inet nominees 1. A%idv front such gl.tll.tal pr0%i%i14tl%. 1114� subject given the ttlosl alluntioll in life ton%tile- tion is that of finance. (H it told of IT attic le% ton cerniait the� allthorit of file \Lajlis. %4-v4-tt (14-.1) -.%fill matters imlxrtant to the tation's o-conona%, inelod- ing levying tax. -s. dra%ying felt the 1td;l.t, seili11g state properties. gt.mling colnnx�rt i.tl tonecs%iom. obtaining loser s for the stale, and finatu ing and constnlc�ting national railways ant) te;ad%. The \f.afli% retains sole w%p onsibility for luming till the na- tional budget and for 414-aling %%fill other stale financial mallets. Thi% ;mthorit% is in pr.Klitc fe%ta- ally limited to p.as%ing oft lelit i4-s pr pm-41 .11141 infplcnf4-nted by the uxecfeliye br.111411. The Fundamental I.aw of I'X16 pto%ideh th.1t ses- sions of the \i ;ajlis IN� illicit to dw public .anti to journalists. There is a (omfitotio:.al pro%i %ion !for holding secret meeting%, lids the \1.1111% 4.111v1et pw. legislation in seurct. A hill m.1y lx� pre- .enitil to tilt- \iajlis in olt�n session and %ofell %t itiftefl 414.11.111.. The \Iajlis aplxints hlrlctiollal committers In de- bate various pit -tes of legislation prior to flit- di%- viission by the hill Innn4-. The -re are motaliy 29 to 31) sue�h e�omrnitlel.%, ifK-111ding at 1e�41%t 4 ftle to handle the legislatiotl prepared by 4'.kh tf the ntim%tri1.% in the Cabin4-t, in addition b wwral �others for Specific tylx�s of bills The most lxaetful individual in the fajlis is the slwaker. %1141 is clt�cte�d by Ilie etetir� hotlse at the first formal nnvuling of e:1c11 session. lie r4�c�orciles MA" Mail" a .1tuttitlur differences on a givetl piece of legWiltien. hell% to teconcile differences be- tv*4o�c�t1 Senate and \Iajlis versions of the same bill, Mid wont% the b:41lols ill the e *4fajlis to determiuc *4%11ethet it hill has passed cr (:tile(*.. fie sees the shah regfel:ttly wllt�ta 1athatlr�nt is in sessi:m. I'al.nty three assettlblies have been elected Iy the (t;mian lx,ple since the first \Iajlis wa% elected fit 1116. "i he lxarr given to the Shah in 19.19 to dissolve� eithct or iNOth houses of parlivneot has I cell o%ed UM(e against the \Iajlis. its 19.1.1 and 1961. life Fefndatnenta) 1wr of 1906 provided for an 1111N�t 111111%. of parliament. or senat1.. This house %%.a% not (alled into living anti) 1950, however. 1l.- o.t1se of file opinositintl of the \Iajlis and then otth� .11 the urging off the Sl ail. The \Iajlis feared that .1 Senate *4%4111141 ix� tonflxsed of the old -line elite a:11i a %trong sfeplxrt for the monarchy. This pnv "d to iN� the� rase from 1931 to 1953 when, in if %tri!c0c iwt%%cvn Ptime \Iini%tcr \losadeq and the shall, \I4ra41cy tentteelled the \Iajh% while the se�tat4- altllrnt iu%atiahly %uplxorted the Shah. The sl. -11.11e is o f1tn1vn1.(l of N) metnhers. all of whom are a1ps,intI'll hr the Shah and :311 are 4-14 -ctr d by dilco f 1NpoLat %fife�. la tontta%t to till. \Iajlis, half oil IN111� the' aplfintUd an41 elected Senator% 11111st he Irvine Tehran. and the rest from the 4 roviiiecs. The t4 nn of vat 11 So ndlot i% �1 %eats. "i he� F1eN1,11uet11.11 I'aw %l.ates that the regulations of flit Sf�n to trn1%t he approved by the \Iajlis. Nit Ill Imu tic. the Senate has lot�en all4m ed to reg+llate it% imll intettt.d ptfcedures. 'i'he i'rumdent of the so like- fit,- Slx�.akct of the Mailis. ox t tlpic�s an 11111wortmit lenitirn h+ the %irmtere of patliament; hv�. 1s4v. wo, the Shah llt tioxlucally, helps to recon- e 111. differcnlccs I"'Muen till- h%o houses, and Counts file %otl�% in the S4-11.114% 'I he Scn.lte's .41116)rity tht�or4-tic.dly extends to all tnalt4rr% %%fifth %an, IN- to- mi41ete�d In. the Mai ex- c opt thow rrlamiv. to f omoit 4 AclllaNy, however. the- se�nal4- 1% nnlch le.% illffiu�ntia) than flit- \Iajlis. It 11%11.111% p.1S %e s levi%lalton, mare oplickly and with I4-%% (lobate theto the lo*4%4-r home. Miring its hrit�f 111%14r%. the S4�11.114- ha% IN-en di%mi %ed duct. times ill 1462. 1 and liKil. Actttthug fi� thf� Ftood- o11enl.al Liu%. prolosed 14-gi%1atin11 tea% N. drafted 111 ahcr how-c of par 11.lmm11t, by an% one of the Ministries of the execu- 7 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 tive branch, or by the Shah. i\ -lost legislation is in practice drafted by the executive branch, and the legislature's function is approval or disapproval. NVheu the bill is passed by both houses, it goes to the Shah for his signature and is passed to the Prime 1\'linister for enforcement. In case the Senate an-.1 fail to agree on the disposal of a bill after it has been sent twice from one chamber to the other, the bill is submitted to a joint commit tee made tip of an equal number of representa- tives from each house. While this committee is meeting, the Speaker of the Majlis and the Presi- dent of the Senate hold informal discussions. Usu- ally, a compromise is reached. If not, the problem is presented to the Shah for his consideration. If the Shah approves the decision made by the Nfajlis, the bill is put into effect. If he sides Nvith the Sen- ate, or takes no stand, the entire issue is dropped for at least 6 months, after which time it may be reintroduced. The constitution makes no provision for judicial review of legislation other than to say that a com- .nittee of five theologians will pass on the Iavv's adherence to Islamic tenets. There is no known occasion, howcver, in Nvhicli such a committee has been convened, although some of the legislation in connection with the Shah's reform program has been opposed by many religious leaders. 2. Provincial and local government (U /OU) Iran has had a strongly centralized system of government in which local and provincial officials remain largely dependent on Tehran for decision making and financial assistance. This system was in- herited from Reza Shah, who found that tight cen- tral control was necessary to unify the loosely organized domains of preceding Qajar dynasty. In the 1960:s, however, the present Shah undertook a program to improve the quality of provincial and local governments, to decentralize administration, and to provide for more popular participation at the local level. The process has been slow, however, and in 1970 the Shah called for increased efforts to speed up the creation of local institutions in the interests of decentralization. Political, economic, and educational conditions have continued to ham- per local development, however, and control by the central government, appointed governors, and min- istries predominates. It probably will be many years before Tehran will delegate substantial decision- 0 making powers to local or provincial authorities, although this most likely would increase the effi- ciency of the government. a. Prurinc�ial Iran is divided into 14 provinces (ostans), each under the direction of it governor general (ostandar), and nine independent governorates (farnwndari kol) under a principal governor (farnwndar). The independent governorates are somewhat smaller in area than the provinces, but their administrative heads have all the powers granted to the governors general of the provinces. The provinces, many of which represent historic divisions of Iran, are: Cen- tral (Tehran), Gilan, Mazandaran, Azarbaijan -e Sharqi East Azarbaijan Azarbaijan -e Garbi NVcst Azarbaijan Kermanshahan, Khuzestan, Fars, Kerman, Khorasan, Esfahan, Baluchestan va Sistan, Kordestan, and Ja: ayer va Banader -e Khalij -e Fars va Darya -ye `Oman Ports and Islands of the Persian Gulf and the Sea of Oman, or the Coastal Province). The independent governorates are: Bakhtiari va Chahar Maliall, Boyer Ahmadi -ye Sardsir va Koliki uyeh, Semnan, Hamadan, Lorestan, Ilam va Poshtkuh, Yazd, Zanjan, and Bushehr. Changes in administrative divisions are made from time to time by the central government in response to economic and social developments. Each province and independent governorate is subdivided into districts (.shuhrestans), also ad- ministered by governor (known as a farmandar). In rural areas, each district is divided into subdis- tricts (or baklislis) administered by bakhshdars; and each subdistrict, into groups of villages, or counties (dehestans), administered by dehdars. Each group of villages is finally broken down into individual village units administered by headmen (katkhoda). In 1970 there were 151 shahrestans, 459 bakhshs, and 1,543 deliestans. Within the dis- tricts, any locality with more than 5,000 inhabitants is qualified to become a municipality (shahrdari), governed by a mayor (shalirdar) and, i,N some cases, by a municipal council. In 1970, there were 444 shalirdaris. The governors general and the principal gov- ernors report directly to the Minister of .Interior in Tehran and are usually selected b)' the Shah him- self. They are the executive officers of the provinces and are wholly responsible for the management of subordinate counties, the affairs of which they must inspect. The degree to which a governor general APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 can control his province depends primarily on his personal prestige, energy, and relationship with the Shah. This control is blurred by the fact that other officials possess the same advantages, since "lost ministries and some independent agencies have a field service i the province and, normally, the department heads in Tehran exercise direct con- trol over subordinate field units. The district governor is appointed by imperial decree, after having been recommended either by the governor general of the province or by the Minister of Interior. He is responsible for imple- menting the directives of the governor ,general, who in turn receives instructions from the Minister of the Interior. As part of the Shah's plan to upgrade: provincial government, the Ministry of Interior announced in Jul 1972 changes of posts of 75 farmandars in the largest local government personnel shift in 10 years. Promotions were given to 32 haklis�lidars �"lost of them university graduates �who replaced older, less trained officials. b. Local Although the Fundamental Laws required that popularly elected councils on the provincial and district level have some control over their own af- fairs, this provision was long ignored. In October 1962 a laNv was passed providing for provincial councils, to be formed by one member from each Of the lower councils within the province. No action appears to have been taken until 1970, when coun- cils were established for each of Iran's 151 districts and most of the 14 provinces. The district councils were elected by a combination of direct elections (in district capitals) and indirect elections (in the rural areas of each district). The provincial coun- cils were all elected indirectly by the district coun- cils of a given province. The elections were marked by widespread apathy stemming from doubt in the efficacy of the new councils, an inadequate job of educating the people by the government, and the problems inherent in conducting election:, in a still largely illiterate so- ciety with no tradition of popular participation in government. Local elections in October 1972 held no surprises and resulted in a landslide victory for the governing party. In municipal ities without elected councils, the mayor is appointed by a special division in the Ministry of Interior after recommendation by the governor general. When municipal councils have been chosen, the appointed mayors will be re- placed by shalurdars elected by the new councils. All other local officials will still be appointed in Tehran. Provincial, district, and municipal councils are to have limited authority in matters involving de- velopni nt projects, health, education, all(] munici- pal affairs. They will have the right to inquire into and supervise the spending of revenues and will be authorized to levy certain taxes for limited use. ]Decisions taken by these councils, however, will be subject to veto by the governors general and Ministry of Interior officials and will depend on the latter for their implementation. Most administrators of smaller units, from sub districts to villages, are selected by the ''Iinister Of Interior; however, in villages where land reform pleasures have taken effect, some administrators are chosen by their peers. Since land reform was instituted in 1962, numerous cooperative societies have been formed on the village level and have involved peasants �many of whom now are small landhol:lers �in the decisiorimaking process. In 1963, Tehran issued a decree calling for the estab- lishnleut of elected village councils, over 3,000 of Which comicils have since been chosen. These coun- cils are responsible for maintaining close coopera- tion with the directors of the village agricultural cou]herativcs and for planning and implementing local social and economic projects. The elected municipal and village councils are a part of the Shah's effort to improve and decen- tralize the government and to achieve greater public participation in it. Teleran is also attemptin to in- crease the number and quality of officials at the local level. Efforts are being made to involve local and provincial officials in the preparation of the national budget so that local needs can be esti- mated more accurately. The Interior Minister has initiated recruitment and training programs to im- prove the quality Of district, municipality, and subdistrict appointees. i\lost of the emphasis thus far has been on improving efficiency rather than on decentralization, and the NN hole process is moving very gradually. I Judicial system (U /OU) Although the constitution prescribes the separa- tion of powers among executive, legislative, and judicial arms, the government traditionally has not E APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 separated tilt- executive and judicial branches, auul the latter remains subordinate to tilt- former. The Shah and the government, through the Prince \lin- ister and Minister of Justice, appoint judges on all levels of the court system and appoint, dismiss, and assign the Public prosecution staff. Further- more, the Supreme Court has no independent alt thority to review the constitutionality of latws or issues; it operates merely as the highest appellate Court i11 the land. The judicial system� although better administered than in the past, still suffers from manipulation� favoritism, corruption, and miscarriages of justice. Tilt- low salaries of judges make them vulnerable to bribery, and there is it tendency in the judicial establishment to prote �t families :and friends in making decisions. Lack of competency is a nothi-t problem, for few lawyers open I ;tw hooks after graduation from school. Finally, and probably most undermining. the government sometimes refuses to be bound by its own laws. The public is assarc that when the government decides upon a course of action, legal harriers "all easily. Lack of confi- dence ill the judicial system has caused Iranians to avoid recourse to it if possible; if forced to list- it, they summon all the influence their family has or can afford to obtain it favorable decision. At the close of the 19tH century Iran had two bodies of law: tilt- sharia, or religious law, and the secular law, known as the urf. 1 s, were admin- istered, respectively, by the Islamic clergy and tile Shah :s government. Neither system was stand arclized or codified in the modern sense, actin juris- diction was vague. Starting with the constitutional movement of 1906 and culminating ill the legal reforms under Reza Shah, the authority and func- tions of the religious courts were redmed, and all administration of law was brought under the central government. Gradually, civil codes replaced tilt- religious ones, and European lays codes sycre freely drawn upoii and adapted to Islamic principles. Marriage :ltd family laws were in secular form hilt followcc) the theme of tilt- old Islamic sharia pritiviples; religious branches were retained in some courts to deal with matters of personal status. 11% 1970. however. the remaining religious courts and branches :old all other courts were clearly organized under the \lim- istry of justice, and all courts of every kind anti level �.verc� obligated to hand dowrt verdicts ill compliance� with the established codes of 1�t\%.. 10 Courts are n;t c�onstitutiooall� booed by ally dc- c�recs (if they c�cntral or prciyrttcial governm ew that are contrary to existing law. 'I'll(- jury system is licit used exc�cpt in cases cif lxlitic�al crimes or in- fractions of tilt pros lacy. ill these it is ronstiht- tionally re(luired, but this provi%ion sucim to hart- been ignored. 'I'll(- court system is diyidt-d into five train lcycls. At the lowest ate local collrh duc by tilt- pcciplc in rural and ttrhan areas. In 19,2. there wort- ntun� than �1,(XX) stick courts, called home% af justiu- khans�- ye -ensaf serving sonny KIM yillatzw. ;md hamlets with ;(N) more plaimed. There also sse�n� 132 arbitration c�o.mvils (Arraye- daracri cicett-d in urbaut areas. witi 0 mon- underway. "these ch-ewd local ctimrts� called for in the Shah's While Revolution� mvert� established to bring the judicial system c�los�r to the lx�ople. to lessen tha� rwnic�ism of iraniam toward tilt- c�entrh. and tat inc�rcase public participation in govii -m u�nt. Appa runtl the courts are very l>,q,ular, since tiles have t-as�r) tilt- work load of other cobras anti have given the pul,liu easier ac�c�cm to jmticc ss ith a ntinitnunt of formality arn) im cast. Thu homes of jtstive haws handled more than it half million erwil and pt�n.tl cases and the c�ootx�ils of arbitration altno.t as half million mom�. Arbitration c�uuucils comi t of a chairman, two primary mum1 cr ant(] tan alternate mf-mlx�rs. They arc eh�c�ted by the emimiunity front a list of 31) candidates who haw bt�c�n sen�enrd by it contciittec whom. ntcnthcrship usoaII%. includes a \iinistry of justiec� official and officials of the Iranian polim and security scrvic�cs. The \lini%trw of Jnstiev aplNint% one adviser to offer legal advice to the votiti �il and to assore tilt- legality of tilt- Cottnc�il's dec�i%iom. 'I'll(- adviser is alo entpowt-n�d to reject dcc�isions det- u�d inromi%tcnt with irmian juri%imidt-mv and to tratmfvr the cases to tilt- rcgu- I:ar courts. "l he councils arc emilawen�d to inwe.ti- gate and adjudicate minor 6%i) disputes -mil cona- plaints, such as traffic avvidt�nts auul ItnIlc�rtw damage. whose s.�ttlentent thx�s not inyolwt- nton� than 141%10.(KK) alpow I"SS1321, as swell as minor offenses and misdemeanom whose Iwimlty dtx�s licit exceed2 months' imprisonment or it f inc of more thaua 111%1.2(11) S15.y(1). The houses of justice arc similar in mature to the arbitrattiom comicil%, hot there is nr. legal ad- %iser from thy� \linistry of justice to int -mve rulitiv%. Mendx�r% of the homes are chosen by the villagers APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 for their honest%� and good reputation, and, although III(. houses ;tre fa.r less Sophisticated than the arbi- tration councils. they have been quite effective. Most of the cases before houses of justice involve disputes bet\veen villagers over water rights, tres- Passing, and damage to crops clue to negligence. The remainder are of a more personal natllre, usually involving domestic disputes. Houses of justice are authorized to exan,ioe all claims not exceeding 1110AX) ($53). If all pal-ties agr (,c, tile\, may hear claims ii1olying movable� property valcd Ill) to 11ls20AX) S266 The houses of justice are authorized to fine persons onl\, up to Ii1200 $2.66 The next level of the court s consists of minor courts. whos judges are roughly equivalent to justices of the peace. and small municipal courts. They have jurisdiction over civil cases involving suits 11p to Iils50,000 $664 and petty offenses P,Illishable be find or up to 2 months' imprison- ment. Minor courts are presided over by a single magistrate. Next in the hierarchy of courts are the district courts. loc�atecl in larger towns, \yhich hear cases from areas composed of one more counties. )is- tric�t courts, consisting of a juclg(., a proscc�tlting attorney. and acs examining magistrate, have juris- diction in the first instance over major nliscle- meanors. punishable by fine of 11 da vs' to :3 years' imprisomncnt. and civil cases involving more than lils5010 0 $664 1 11cy also rcview cases appeale(l from the minor courts. Next in order are the provincial high courts, whic�11 are located in the provincial capitals and CoMist of two brvtc�hes. civil and criminal. '1�11c vigil branch, composed of two or three panels of iclges, investigates appeals from all lower courts. The c�rininal branch has authority in the first ill stauc�e over all offenses class( as crimes, which are punishable by from 2 years' solitary ccnlfir, nu�nt to eMec�ution; its various panels consist of either three or five judges. The highest court of the land, of ��hick tiler(. ,nay c�onstitationally only be one, is th(, Supreme Court. Located in Tehran, the court has the highest appellate jurisdiction. It resembles in certain Ways both the Supreme Court of the United States and the dissimilar Court of Cassation of the I. re,lei, but is not exac�tl� like either of them, ,1111011 it is sometimes referred to as the Court of cassation. Th(, Supreme Court of gran has au- thority in hc first instance in tile� trial of Cabille ministers. In addition, it adjudicates disputes as to th(, relative compete nec and jurisclic Pion of civil and military courts in solnc cases. It has 11 branches, or sections, of Four justices each. The president of the first section is tilt� Chief Justice of the Supreme Court. 'I'll( Attonwv G(,ticral, appointed by the Shah on nomination of the Milllster of Justice, *s chid' Public Prosect,tor and is attached to the Supreme Court. Iran also has special courts with limited juris- diction, the most important of wilic}1 are the mili- tary tribunals. 7 11`1 ever martial law is declared in au,y area, the Ministry of War can establish military tribunals which have the po\ver to assume respon- sihility for any or all cases 'outtalk' brought before the rc,(rular courts. There are two 1(,ycls of* military courts, the second of which sit as an appellate bode to the first. No appeal cal, he made from the second military tribunal c :ecept to the Supreme Court �and to this body only with the express permission of talc Shah, a permission seldom given. Usually the Judge Advocate General in charge of all military courts decides to assuage respon- sibility only for cases am olving yiolcnce, public order, subyersioll, and the press laws; matters such as credit eases, land litigation, and family affairs are left to the civil court syste m. Durutg a period of martial htm. military authorities pray slake arrests without Charges. enter houses without search war rallts, suppress the press, prohibit public meetings, and Impose a curfew. In addition to their authority during periods of martial law, permanent military tribunals are re- sponsible for trying all military Personnel for c�rimcs committed while on duty. Military tribunals also have authority it, the cases of all political cringes and infractions of the press 1a\\ Des�)itc the fact that the Fundamental Laws provide for the presence of a jury when such cases are heard. these cas ^s not tried by jury and they seldom reach the civilian courts. The Civil Servants Tribunal has scycral branches throughout Tehran and the provinces. It has respon- sibility for bringing to trial all cases of graft or corruption involving government civil servants up to the level of monsters. Anyone c�onvictccl by these courts of a major cringe can appeal to the Supreme Court. If at Cabinet minister is accused of a crime in connection with his respotlsibilitics as a member of the government. the Supreme Court serves as it court of first instance. 11 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 There are two disciplinary tribunals for those in the legal profession. One called the Ifigh Judicial Council �is for complaints brought against judges. The other is for complaints against actions taken by lawyers in their official capacities. Each of these tribunals consists of a single court in Tehran, anci there is no appeal. To become a judge or a public prosecutor, a Iran must be a graduate of either of the faculties of law, political science, or theology at the University of Tehran. The Ministry of Justice makes the final decision �often on political grounds �as to -whether an individual applicant is recommended to the Shah for appointment. For each branch of the court system there is at least one public prosecutor or assistant public prosecutor. These men are appointed by the \fin istry of Justice and have considerable powers in the court systen.l. It is to the office of the public prose- cutor that anyone wishing to initiate litigation must come to have his caw assigned to it particular court. Crimes against the state may be brought to the attention of the public prosecutor by the police or may be independently brought to court by the prosecutor's office itself. Prior to trial, the pblic prosecutor's office has authority to order arrests, isque search warrants to the pohce, establish hail, and order the detention of defendants without hail. Public prosecutors have the additional responsibility of observing how laws are functioning am. of re- porting any defects to the Ministry of Jus, cc, which has the authority to draft new laws or to submit old ones to the parliament for reconsideration. The Iranian penal code draws heavily oil the French Penal Code of 1801 �both for its under lying principles and for its structure. In accord with the French system, offenses are classified in groups can the basis of code; however, the Iranian code establishes four instead of three types of violations. The most serious offense is the felony, conviction for which lay result in death. Other penalties for the offense are imprisonment or exile for it specified time or for life as well as loss of civi rights. 1 he middle categories include serious misdemeanors and minor misdemeanors the French code has only a single category of misdemeanors). Included in the former category, as in the French code, are offenses such as robbery and arson. Penalties for these misdemeanors are imprisonment of over 1 month or a heavy fine. Minor misdemeanors are punished by imprisonment of over 1 week or it fine. The least serious offense, the infraction, includes 12 vagrancy, cruelty to animals, and traffic violations, all of .which are punishable by small fines or by prison terms of less than it week. Alternat �s to imprisonment, as specified in the penal code, are exile or obligatory domicile in a specified location under police supervision. The courts rarely order such punishment. Accommodations to Islamic law and society are most notable in the subsection of the code -which deals with crimes against morality. Article 1 ex- empts it man from punishment if he kills his wife for adultery, and it punishes him with only 6 months' imprisonment if he kills his daughter or sister under similar circumstances. No such license is allowed the women in the reverse situation, al- though a drive for equal legal rights for women is gaining momentum. Elsewhere. the code takes cog nizance of the Iranian patriarchal society and of the Muslim tradif:_n of sanctuary; if relatives of a criminal assist him, they are exempt from punish- ment, but all others harboring such an individual may be pmished by prison terms ranging from 1 month to it year. Violations of criminal ]a\\ are charged and tried in accordar_Le with it system adopted largely from tha! of France. A warrant is supposedly necessary before in arrest can be made, but exceptions are numerous. 'fhc. accused is theoretically protected by the requirements that he must be brought before a magistrate within 24 hours following arrest and that he has the right to be repre by counsel. Trials are not by jury� despite the provision in the Fundamental Laws for the presence of it jury in trials involving political offenses and ])reaches of the press laws and t1w verdict is reached by the court itself. Trials are public except in cases deemed to jeopardize morality or state security. During a trial, the prosecution and the defense are given equal opportunity to present their sides. If the de- fendant is not present, he may he judged in absen- tia, on the basis of the arguments of the prosecu- tion alone. Appeals from the decision of the court may be made within 12 clays by either the defense or the prosecution. As stated above, justice in Iran is not always dispensed in strict accordance with the legal code, and a defendant's wealth and politi- cal influence �or lack of it �tend to affect the mane, r in .which he is treated. Outside of the national legal system is a unique legal structure, called the Hamayanakan, which deals with personal states laws, including marriage and divorce, of the Armenian community. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 C. Political dynamics (S) The Shah is at the pinnacle of political power in Iran; it is lie who determines the direction and content of policy, the nature of political ac- tivity, and the conduct of elections. Below the Shah is a coterie of Cabinet officers, high level civil servants, political party leaders, military officers, and first family nietnbers whose political power is directly related to their influence with and access to the Shah. Since these persons have no independent pow; r base and are dependent on the Shah for their positions, their individual status and nienibership in the group at this level fluctuate with the Shah's attitudes and wishes. At the next level is a larger group of middle and lower grade civil servants, local government officials, nicni- bers of the reform program corps, and religious leaders �all of whom are expected to serve more or less as the Shah's political agents in the field. The great mass of Iranians, both rural and urban, have no direct influence on the political situation ai.d are generally apathetic. When they do feel strongly about all issue, however, their attitudes arc, in practice, informally passed along to higher political authorities and can, in fact, affect policy. This upward channeling of opinions is facilitaed by a unique Iranian institution, the clou;relt, or circle. It is comnion for educated Iranians to meet periodically in sniall gatherings of trusted friends and family members where information can be exchanged and opinions expressed with relative candor. Overlapping membership insures that key attitudes are disseminated and conveyed to people of influence and authority. Thus, although Iran's government is authoritarian, it is far from oblivious to rumblings from below and in fact on most issues demonstrates a remarkable sensitivity. Iran's large and heterogeneous bureaucracy is anotiwr vehicle for making known and obtaining political ;md per- sonal wants, a lth ough it is not always responsive and may alter facts. As advisers to the Shah are prone to adjust informa to advance their own interests, the data on which he bases his decisions are not always accurate. Political life in Iran has always been charac- terized either by a strong, authoritarian central government or by fragmented despotic power units, similar to the war lordships of pre- Coniniunist China. The necessity for strong government can be explained in part by the intense, individualism of Iranians, who tend to be motivated solely by self- interest and who give allegiance: to self, `anvil, religion, and tribe before government and nation. Both politics and government have traditionally centerers around personal contacts, influence, and the force of personality rather than institutions or political parties. For a decade, however, the Shah has been building modern economic and social institutions and encouraging these whose positions are based on ability rather than on whoni they know, Thus, traditional and modern ford -s can be sees, at every level of political power in Iran, and they are forced by the Shah to work together. With the passage of time, and progress in ini- plenienting the reforni program, doubts have lessened among nationalist intellectuals as to the government's sincerity in its desire to transform society. Despite consistent pressure from the top to inculcate a sense of urgency, sonic progranis have lagged in exer.tition; of primary importance. hou-ever, is the fact that none has failed. It wolild be difficult for political opposition of whatever origin to enunciate a comprehensive, integrated program more clearly in the national interest and substantially different from that of tilt� Shah. The economic and technical changes takiig place in Iran have made the country a more cohesive whole;, there is a greater sense of participation and more national consciousness aniong the people than at any time in the past. At the sanic tinie, the Iranian political system is seriously weakened be- cause it still ultimately depends on one man the Shah. Moreover, the economic, social, and admin- istrative modernization that has taken place has done little to create solid political institutions, and Iranians have not vet been allowed to exercise decisionni aking in the political arena. Political dissenters, at home and abroad, among Iranian students and opposition factions or indi- viduals describe the government as excessively authoritarian and paternalistic. The Shah has not permitted the development of political parties such as exist in Western democracies, firmly be- lieving that social and economic stability must be achieved first. ha effect, the Shah views po- litical activity as u.c nicans by which his pro- grain for modernizing Iran will be advertised and carried out. The only permissible political ac- tivity, therefore, is conducted by those who accept the validity of the Shah's program. It can be assumed that the rapid change and increased mobility within Iranian society since 1961 have had an inipact on tilt� political attitudes of the 13 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 people. but the absence of open caulpai(rniny auuf elections nntkes the extent or direction of such c�halwe impossible to determine. It is also ilnpos- sible to detcrulinc whether or slut thy.� people� would support or reject the c�c of the Shill's prograuls should tllc� Shah dic. Tllc 1� :111press is desi;;nated recent if the Shah dies before the Crnwn Prince reaches the age of 20. Almost cer- taillIv. the nlilitillw would step in it', first to sup- port hc�r "ov c�rnnlent, but beyond that ahuost uIy- thill" c�cndd happen. 1. Political forces (I ..S /111 /t 'I'll(- Shah took the throne in 1941 aid for many years was controlled by, rather than the nlaniptl- lator of, the political forces in ban. Ile labored under the shado'.1 of' his a,,res >i c, donlilwcrin'r self -made father, Reza Shah. Ile was intimidated by his Cabinct ulirlisters and failik and scented ('ncralh too selasitlc ,aid introspective to be all effcctive miler. A nun1, ,�r of factors ha\e c�ontrib- litcd to the Shah's dtlrin. the past 10 years into it strop,, confident monarch F i"nrc I 'I'Ilcsc are the success of" his third luarria.re with the birth of two till[](. heirs and Iran's pro(I�ess under his 1.4 0 dcveloplticnt programs. Probably most important is his desire to provc hinlscll a LVcat leader in his Own right, coupled with his awarcncss� finely attuucd by sc\ narroW escapes front ussassina- rioi- -that he is mortal alld that his time is liinitcd. Ilc is c11�krn by the� collvic�tion that Only he caul pull Iran into the 20th ccntury and that tuodc. zation nntst be acconlpil.0wd ill his lifc�tinlc. In recent yca: the Shah has scored all inlln�cs- sk chain of successes. %t home he has clot down or isolated potential ri\�atls, staked out his claini to be at royal revolutionary, and in the process has established his suprcillacy beyond question. Ile' has presided o\�cr remarkably rapid economic developnlccct, attributable ill part to his ability to squeeze enormous additional funds from Xestern oil c�ol"pauics. Oil the forcitrn front as well, the Shah has built an ilnatrc of indc�pcndcucc. Ile (]('ills ith the (-rr(.at I "')welts with assurance. and insists that his U.S. ally' should �ivc (r1cat wei(f11t to his apprcc�iation of rci.ionnf problcrns. In short, the Shut has bcconm it suprcnlely self confident fignrc� with ouch to be proud of'. He is intelligent and personable, if sonic tillles rllerc�uriltl. is fluent in 1� :u!'lish and F rcuc�h, a11d has a taste for sports, art, a.nd literature. Much of the Shah's education dealt with military affairs, ill which he is still decply interested and in which he considers himself an expert. The Shah bclic\ that in order to rcalizc his ,gals and to prescr\�c his Own position he nrltst firilik gasp the reins of power and insure that no other persoi or (,rronp can build tip an indc- perldetlt power base. With the firm support of_ the ncilitary and sccurit\ forces. he has succ�ceded. The Shah's r(.fornl progran1� undoubtedly motivated in large part In. a (rcm:ille concern for his courl- try �caul also be Seen as un astute� effort to holster a lld broadell his political support. He has adroitly used the traditional leVerS of poster While buildinU Iuodcrn cc�ouonlic and social skills and institutions. He lilts suc�cessfnlly rlrllffled both ultranationalists and traditionalists and, in 111ally instances, has brou-ht thellt into paarticipation in the reform pro(rranl. 'I'hc Shah who was 53 years of ate in Oc- tober 192) is still at times rlood', introspcctiv auld hyperscusitive. His ego lilts been inflated b cc�ononlic successes at honk a b his growing stature in international affairs, and he seems to be takirl on sonic characteristics of at prototypical dictator. He has surrounded himself with toady APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 FIGURE 1. Shahanshah Mohammad Reza Shah Pahlavi (U %Olt) )�e5- 1111,.11 Who have begun to insnlatc Rini from affairs outside the paiacc vv ;111s. f Ic is also cvhenu h cc.: etous of his pxvver :.nd show�% no sign of reliu- (plishin,g eve11 tilt- most trivial cf his prerogatives :though the Shah remains well read and well infornu�d about cve11ts in which he i% most intcr- 1,�sted, the give ;old -take of decisiononaking in hall is almost nonexistartt, with the Shah c�olrslvlot�ntl% staking decisions in it vac�urt111. This has led in- crcasiogly to the settling of important matters by last- minute decrees based sole\%� on enlotiooalisnl. h. Palace eliqcu� 1'he Sh ;th is surroulcl by it enteric of politici:ons. fancily, ntilitary officers, and others who are po- litical forces ooh� to the des'rce to which thev ha -c access to and influence with hint. 'I he court considered at one time to he the center of licelttiottsin�SS and deprav_ih�, of (T eruption ;111(1 in- fluence peddling. but the Sh;th has tightened Ili% control. and the court's role has dincinisht�c1. lic- cause their position dclu-nds on the will of tilt Shah, most nnenlhers of this group tc nd to he sycophantic in their devotion to his prograi n%. \evcrtheicss. it is probably ooh� M this level that there ore indepencleut thinkers who a1 %c have acc�es% to the Shah. Nlinist,�r of Court Asadollah .\lane. for e.xaolple, seems to he able to speak rel ;ttivcic frank\.� to the Shah. The Shah probable clepcil(k o1, this coterie to provide facts. figures. ;ot( l Slip port rather than to engage in any decision11laking. vw Shah's immediate fanih� has not always been an asset to hill) and has been kept ill setui- obscurity. The Queen Mother. once ;1111 inveterate intriguer, is novv seldom heard front, and the Shah's half brothers, reported in the past to be potential c�ontendcrs for the throne. now appear in public only to open sports events, present trophies. or offi- ciate at c�eretnonies too inc�onse(ptential for the Shah's personal attention. Princess Ashraf. the Shah's twin sister. was !or years the central figure in uearh� all the scandal c�nunec�ted %%dill the court. flcr intervention on behalf of her p:u;uuoors %vas notorious, and it \v ;is widely rtuoored that she was involved in stntt.g,gling (11 .She has become more discreet, however, and is even nodcrtaking u�nni- diplolnatic missions for her brother. Other members of the Paitlavi family and of the relatively large Oajar f ;uttily retain social infht- enec�, hot they have an (wer diminishing influence in political life. Access to c�onrt personalities is still considered important, however, to inst11e socc�es% in business and political aetivitics. 'lilt� Shall. on his %idc. relies on sonic 10 people to provide Ilion direct act ;-s% to nn :tjor interest groups. 'Ihc�sc� advisers itl- elodc 1� :111prc%% Fill 1'1 incess :\shrill; \I,ulochehr F(lbai. ehairnna n of the \at1(mal Irani :un Oil Coo1- p�on y and Ili% depot) Iic�r.a FalLth; Gener:d Ayadi. Ow S1:th'% personal pIl sic�i :ol. Sh:u�il I:ncuui, a sc�uutor ant; old time� politic�i;ul; Prinu� Minister Iw ev'da; \rdc%hir %itlivdi, former loreign nnini%tcr. :c�ocral Iloscin Farc1n1 %t; and Mini%tct� of Court \\.till. Tlwy do not %cork a% �t tc:u11; several. in Iac�t. art� rivals, a Situation that tilt Shah prolnibly eneooragc%. I�:nnpre%s Farith Figure 2 Ina% been by all ac�- coun1% .o irtfloeoce for good, wid. of all t1e c�onrt person;tlitie%. %Ile probably has Ibc most inflncoc�c on the� Shall. Sit(- i% intelligent and cosnnopolit:ul in ccoticuk ;owl appears to take he r ;tcSition sc�ri- rush�. Shc� ha% been active and eflective in prcntctiug %nci.d i� ir% aod. n>nlikc maul%' others connected %v it11 Ill( co11rt. %he ha% never b �n touched by Scandal. '1111� I:Il)pre%% i% of c�on%iderable Social ;utd political .t %i%tancc� to the Shah. She appears with Lin at c,trioc% Ittnction% and hits cvt�o Ioade provincial tours by Ilerself. a tank which is unusual for i t vc )MMI in Into. 11W il)lage slit proiec�ts �that of a be,ultihll :ltd talented vvontau devoted to her f:onily .111d to good %corks is especially n%eful ill Iran. 'I'll(- cnitorc had Locked before :un� %11th "lady FIGURE 2. The Empress Farah Diba (U /OU) 15 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 bountiful" tradition, and the attractive I:ntpress pro vides a basicall uscfol model of the modern Iranian wont :ut. Of more political significance are the Prime \fin- ister, other members of the Cabinet, high -level civil servants, and political party leaders. Th: -se arc the people -.vho arc educated, who discuss programs and policy with the Shah, who present many of the Shahs programs to the coontrv. who are reslxm- sibIv for executing the programs, and who joust with each other for favor in the Shah's eyes. The nature of this group changed during the IWO*s; its members are no longer chosen primarily on the basis of membership in one of Iran's first families but on technical and inteilechtal skills and the ability to get things done. Wealthy landlords and high religious figures have also faded as significant elements of this group primarily because of their opposition to parts of the refo.,n program. \fany of their children, however. remain prominent.) Cor- ruption is still a problem in Iran� but there is a growing sense of public service ;utcl dedication to progress. Iligh- ranking military and security officials can also be included in the Shahs immediate coterie, partly because he still depends upon them to pre- serve his thnru�. Although the Shah's economic and adininistrativv reform program theoretically threatens the sertior military officers, who have vested interest in the states quo, they appear to he complt�tel� loyal to the Shah. This loyalty appears to ex,vad down into the ranks of middle and j, .Jor grade officers, who are constantly screened for signs of political opposition. The Shah also relieve on the National Intelligence ;ue) Security Organization (SAVAK) not only to design strategy for neutraliz- ing the oppmsition but to organize political support for the government. c�. Middle da-.4% The next level of political life in Iran includes those who are more aware of and invoked in poli- tics than the masses but who are not important month to have frequent access to the Shah. This group includes local and provincial government employees; most of the Majlis representatives; num- bers of the reform program's health. Literacy, and Development Corps; loyal members of the clergy; and lower and middle grade civil servants. Although members of this group do not move in the higher circles of society or government, thev 16 are of great importance to the Shalt because they serve, in effect, as his eyes and cars atnotig the people. it is they who actually carry out many aspects of the reform program, who make up the membership of the political parties, an(I who cam- paign for office. The Shah must ttec�essarily depend oil their to explain, advertise, and advocate his pro grams and to give him virtually his only informa- tion regarding attitudes among the people as a whole. The transitl'on from traditional to modern society is perhaps most apparent at this level of political life. Local officials and many lower level civil serv- ants in Tchran are not highly cchtcatcd and tend to do things in the old way through personal con- tacts, knowing the right people, and favoring their families and friends. They are gradually being re- placed, however, by younger, better educated Iranians who have been specifically trained for their jobs and are learning to operate through or- ganizations and bureaucratic channels. This is cer- tainly true of most members of the reform program corps who have been scattered throughout the country. The newer group of government and Health, Literacy, and Development Corps mem- bers are bringing a new sense of urgency to the reform program. Many of them are people who would normally oppose the Shah as a dictator but who are pragmatic enough to join the bandwagon. The group could cause problems, however, should the momentum of social and economic change falter. The ulamu, or Shia clergy, once exercised con- siderable infhrcnce over town, village, and rural life in their role as religious leaders, teachers, and healers. Thew are beginning to lose this influence, however, as the people turn to government as a source of leadership. They have also lost it great deal of the infhtenc�e they once had in the political hierarchy because of their opposition to land re- form, women s rights, and liberalized divorce: laws. Among the peasants, the clergy probably retain considerable influence on social and spiritual matters, but they are carefully discotuagcd from participating in political activity unless it is in support of the government. "Though formal pressure groups are relatively rare in Iran, the most effective ones�such as the Chamber of Commerce, the Bar Association, the secondary school teachers, and several smaller groups of professionals �arc composed essentially APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 of Middle class and professional personnel. TIMore traditional pressure groups are the merchants' and craftsmen's guilds, which have a long history and which represent independent middle and IoNver class businessmen and artisans. Nlost lobbying is still conducted in the traditional way by contract- ing friends or acquaintances in power, informally and personally, father than through all organization. d. Lower class The great masses of Iranians �the peasants, the tribesmen, and the urban lower class remain a political enigma. Certainly it can be said that the rural masses are no longer cut off from events in the rest of the country, since even the most remote village has its transistor radios, and health and literacy corpslllcll are found in many small rural villages whose previous contact with the govern- ment was confined to police and tax collectors. Land reforms in the rural areas and dhe growing economy and expanded services in the cities appear to be making a dent in the traditional apathy and cynicism of the Iranian masses. A new mood of progress and even some new trust in government beyond the traditional 'loyalty to the Shah himself) may slowly be replacing the usual fatalism. Most of the lower class particularly the peas- ants� seemed to be a conservative, relatively inert element in Iranian political life. The Shah's popu- larity with this class is probably higher than at any time in the past, and the people generally seemed grateful for the new services provided by the gov- ernment, but they were not all active force in de- manding change. Despite improvements in their economic and social status and their growing aware- ness of government as a force for change, most Iranian peasants seem to be apolitical. N`'llether modernization will create a sense of organized po- litical consciousness or produce active pressure for programs and benefits is problematical. It has never happened before in Iran �but then neither have the social and economic changes now sweeping the country. c. Political opposition The Shah faces no viable political opposition. The left has been rendered impotent since the declaration of the Shah's White Revolution and its ambitious reform program and by the fact that political oppositionists are carefully monitored by the security forces. At the same time, many con- servative elements, once ardent supporters of the Shall, have been disaffected by his reform program. Members of the religious hierarchy, in particular, view elements of the program �such as land re- form and women's rights �as striking at their power and interests. The government's continuing pres- sure against religious dissidents, combined with rewards for faithful mullahs, has severely weakened the religious opposition, which has not been suc- cessful in fomenting political opposition since the slid- 1960's. The conservative opposition suffers from the same disorganization -,nd disunity that characterizes the left. The gov, tactics, i, ge then with the conservatives' inability to agrea on a program or leader, prevent the conservatives from being serious contenders in the political arena. 2. Political groupings Political parties, which first made their appear- ance after the constitutional revolution of 1905 -11, still do not play a major role in political life. Candi- dates for elective office and for offices within the parties themselves are carefully screened, and the Shah has said that no organization can exist in the country unless it is in line with the revolution. Tlna Shah apparently believes that only when the entire population is literate and has a stake in preserving the status quo can political parties be allowed to suggest policies and campaign freely. Then, lie believes, parties will operate in the na- tional interest, rattler than for narrow personal ad- vantage. IIe undoubtedly fears that the free opera- tion of parties would endanger his throne and his program, but he also recognizes that Iranian indi- vidualism makes responsible organized political activity difficult. Ile has, in fact, attributed Iranian stability to the lack of freewheeling political parties. The limitations placed on the activities of po- litical parties make it difficult for them to recruit active, enthusiastic members. The middle and upper classes and the urban workers �tile major source of political party membership in many countries tend to be cynical about or disinterested in political parties. Those who are interested in running for office must associate themselves with a party, and the rank and -file membership of the parties there- fore consists largely of opportunistic members of the professions or businessmen who see some ad- vantage in associating themselves with Shah -ap- proved political activities. An opposition party has even more difficulty recruiting members and main- taining morale than a progovernlnent one. 17 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP0l- 00707R000200070040 -4 During the last years of the Qajar dynasty from about 1900 to 1925, secret political groups de- veloped to oppose the despotism of the Qajar Shahs, to oppose foreign influence in Iran, and to estab- lish contacts with Iranian political groups abroad. The Qajars were forced by a revolutionary move- ment to permit parliamentary institutions in 1906. The first Majlis, elected in that year, was divided into a conservative majority, represented by the pro- Soviet Moderate Socialists, and a radical mi- nority, represented by the revolutionary, pro- Britisli Popular Democrats. These groups were not stable, and they developed neither a broad popular foIlow- ing nor proper electoral m achinery. After a brief experience with parliamentary gov- crnment, the sessions of the \Iajiis were interrupted by foreign intervention and World War I. It was not untie the 1920's that the Majlis )net regularly. For most of the succeeding period until September 1941, Reza Shall suppressed the formation of ally parliamentary groupings as well as any political party outside the Majlis. The occupation of Iran by the United Kingdom and the U.S.S.R. during World War II and the abdication of Reza Shah in 1941 brought about the reappearance of political parties. For tile most part these represented cliques of influential politicians or occupational and re- gional groupings, but some were ideologically and class oriented. As political activity during the oc- cupation focused on Soviet and British competition for influence, on a conflict between the Shah and the aristocracy, and oil a conservative- con- flict, political parties cause to reflect these dif- ferences. Strong party activity first began in late 1949, when 1\'lohanlmad Mosadeq, a nationalist parlia- mentarian who had attracted a large: following in the Majlis, allowed himself to be placed at the head of a coalition of parties called the National Front. T il e l]lost important parties iI] the Nat ional Front were the Iran Party, the Toilers Party, and the Third Force Party. The Iran Party had been or- ganized in 19 by a group of engineers under Allahyar Salch. Strongly nationalistic and favoring social, economic, and administrative reform and a restriction on the Shah's powers, this small, loosely organized party was vocal enough to be included in the Cabinet at the tittle of the short -lived coali- tion with the Communist Tudeh Party in 1946. The socialist Toilers Party, organized in 1951, attempted to compete with the Tudeh on ideological grounds. 111: It was than comprised of two elements: a prag- matic coalition of supporters of philosopher-poli- tician i\'lazaffer Baghai in Kerman and in the Tehran bazaar; and the younger intellectuals who were followers of Khalil Maleki, a socialist who had abandoned the Tudeh. In 1952, l'lalcki split Nvith Baghai and established the pro- l'losadeq Third Force Party, also socialist oriented. Since Mosadeq neglected these coalition parties and their leaders after he became Prime i\4inister in April 1951, his own somewhat disorganized personal followers gradually bcga)i to think of themselves as represent- ing the National Front, now to be distinguished t.i some extent front its component parties. After the pro Shah coup against Mosadeq ill August 1953, the nexv Iranian government forced the National Front nndcrground, but it continues to exist to a limited dcgrcc. The I�an Party the Toilers Party, and the Third Force Party disappeared almost completely from the scene. Mosadeq died quietly, almost unnotiec�'., in 1967. Between 1953 and 1957, almost no legal party activity took place. In 1957, however, the Shah, on the assumption that a two party system would en- hance the appearance of democracy in Iran, ordered two of his close supporters to establish and lead a progovernment political party, called the Melliyun (Nationalist) Party, and an official opposition party, called the 'lardonl People's) Party. Depu- ties of the Majlis then in session were encouraged to declare for one or the other of these parties. Many deputies did declare party allegiance, but the number declaring for each party fluctuated con- tinually, and membership did not remain constant. Together with a number of independents, the par llanlent members of these parties contested the abortive elections of 1960 and 1961. New national elections were held in September 1963, despite declining efforts by the Tudeh and the National Front groups to obstruct them. The National Union, composed of political groupings pledged to support the Shah's reform program, was supported by a large majority vote. Prominent in the coalition %vas the group called the Progres- sive Center, led by Hasan Ali Mansur. The National Union, including the Progressive Center, and the Mehyun Party declined and dis- appeared as separate entities, and the function of majority or government, party was assumed by the Iran Novin (Ne \v Iran) Par v Hasan -Ali 'allslll' had organized the party in December 1963, and by APPROVED FOR RELEASE: 2009/06/16: CIA- RDP0l- 00707R000200070040 -4 March 1964, it held a strong, reform oriental ma- jority in the \iajlis, Mansur was assassinated by a fanatic member of the reactionary Devotees of Islam in January 1965. His brother -in -law, A1nir Abbas Ilovcycla, who was Minister of Finance, was then called upon by the Shah to be Primc Minister and became leader of the Iran Novin Patty. In the election held in August 1967, the Iran Novin in- creased its majority, with the renlaincler divided among the Mardom and the Pan -Iran party. The years 1965 to 1972 saw chances for the de- velopment of it 9vintine two -party system lessen with the increasing strength of Iran Novin and the emasculation of Iran's other parties. In 1970, the Pan- Iranists dealt themselves a mortal blow \with their opposition to the government's decision to give tip a long standing claim to Bahrain. The party's unexpected c ensure motion in the Majlis resulted in the dissolving of two Pan -Iran controlled intinic- ipal councils and the prohibition of Pan -Iran par- ticipation in the September 1970 elections. In the national elections of 1971, Iran Novin captured 230 of the 268 Majlis scats, Mardom, 37, and one for the new Iranian Party (Figure 3). In the Senate, 28 of the elected members are of the Iran Novin Party and two of the Mardom Figure 4). The Marl Party suffered a severe setback in Jul� 1972 when Ali Nagi Kani, secretary general of the party, resigned just six weeks before the elections, apparently as a result of the Shah's unhappiness over the freeswinging campaign he was conduct- ing. The lran Novin Party won these elections handily. MAJLIS" (Lower House) P IRAN NOVIN (New Iran) Party 230 TOTAL Mardom Party 268 Seats 37 Iranian Party 1 "All parties are progorernment. Chart does not indicate right, left, or center political orientation. FIGURE 3. Party representation in the Majlis, 1972 (U /OU) SENATE' 5th 611, 11967- 1971-75) IRAN NOVIN (New Iran) 27 (93%) 28 (93%) MARDOM 2 (3.596) 2 (7%) INDEPENDENT 1 (Progoverrtment; One halt of the 60 Senate seats are appointed by the Shoh arnl shoo no prsrty ufhlruhon The other hvlf ore elected PAN IRAN 5 (2%), (Revived 1967; disbanded 1970) IRAN-AN PARTY 1 (0.496) (formed January 1971) j INDEPENDENT 1 28 (1490) 1 TOTAL 198" 217�� 268 �*2 oddrhonol seats for Bohram �ere never fdkd Bohm,, n no longer clamed by /-an FIGURE 4. Distribution of parliamentary seats in the last three elections (U /GU) u. Iran Novin Party The Iran Novin (New Iran) Party, which is the most powerful leg .-d party in Iran, had its origins in a 39- member cluh �the Progressive Center �which Masan -Ali Mansur, an economist. established carp in 1961 when he was secretary general of Iran's now dissolved High Economic Council. I'll(- club was formed w10h the purpose of drawing up and recommending to parliament it program for mod- ernizing the country. Members of the club ranked among the country's intelligentsia and held high positions in the government. By 1962, the centers membership had expanded to 200. Mansur at that time claimed that the center had no intention of entering politics. The center continued to mature until June 1963, when the Shah appointed it as his own personal bureaa for economic and social studies. Working in committees, the center members 19 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 MAJLIS 21 st Majlis 22d MojGt 23d Majlis (1963 -671 11967-71) (1971-75) IRAN NOVIN (New Iron) 1140 (70%) 1 183 (84%) (86%)I (Progoverrtment; New Iran formed 1963) i MARDOM 1 30 (14.5%) I 28 (13%) 37113.6%) (Loyal opposition formed 1957) I PAN IRAN 5 (2%), (Revived 1967; disbanded 1970) IRAN-AN PARTY 1 (0.496) (formed January 1971) j INDEPENDENT 1 28 (1490) 1 TOTAL 198" 217�� 268 �*2 oddrhonol seats for Bohram �ere never fdkd Bohm,, n no longer clamed by /-an FIGURE 4. Distribution of parliamentary seats in the last three elections (U /GU) u. Iran Novin Party The Iran Novin (New Iran) Party, which is the most powerful leg .-d party in Iran, had its origins in a 39- member cluh �the Progressive Center �which Masan -Ali Mansur, an economist. established carp in 1961 when he was secretary general of Iran's now dissolved High Economic Council. I'll(- club was formed w10h the purpose of drawing up and recommending to parliament it program for mod- ernizing the country. Members of the club ranked among the country's intelligentsia and held high positions in the government. By 1962, the centers membership had expanded to 200. Mansur at that time claimed that the center had no intention of entering politics. The center continued to mature until June 1963, when the Shah appointed it as his own personal bureaa for economic and social studies. Working in committees, the center members 19 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 studied the country's problems and prepared a 17- principle program for what they described as the renovation of Iran. This was praised by the Shah, since the center's principles were consistent with the Shah's own reform program. The Progressive Center openly entered the po- litical arena in July 1963, when Mansur announced that his party, now grown to 300 members, would campaign in the forthcoming national elections. Mansur planned to send center candidates to par- liament in sufficient numbers to assure support for the Shah's reornl program. In the September 1963 elections, the center won 140 of the seats, which then numbered 200. Shortly afterward sur �who had been made Prime Nlinister �an- nounced that the center would henceforth be called the Iran Novin Party. The party has produced a 34 -point manifesto .which declares that all Iranians should have equal personal and social rights and are entitled to edu- cation and public health facilities. It recognizes the family as the foundation of society and emphasizes freedom of speech and of the press. It asserts that there should be free access to courts of law for all individuals and protection against unemployment and accidents. It advocates retirement benefits and old age peilsions. The Iran Novin Party's statement of party prin- ciples advocates private ownership and private economic activities encouraged and guided by the government. It argues for decentralization and ad- ministrative reforms and for the need to marshal manpo for the maximum use of national re- sources. It favors the expansion of labor unions, the factory worker's profit sharing scheme, and taxes based on the principle of social justice. It states that adllustinents should be made in the dis- tribution of wealth according to the country's eco- nomic and social conditions. It supports regional development, especially the improvement of eco- nomic and social conditions in the villages and the maximum use of cultivable lands through agrarian reform, The Iran Novin Party claims to have over I mil- lion members -an undoubtedly exaggerated figure. At the party's first congress, held in May 1967, the Political Bureau was formally approved as the highest governing organ in the party. In late 1972 the Political Bureau had 10 members, including the Prinie Minister, the secretary general, party leaders in both houses of parliament, and the chair- man of the party's Central Council. Before the W�C establishment of the Political Bureau, the Execu- tive Committee of the Central Council rain the party. The Central Council was increased to 500 members in 1971 and the Board of Directorate to 961. Both act as rubberstanlps for thc, Political Bureau. The large and unwieldy Central Council does little more than select the Executive Com- mittee. The Iran Novin Party has made active efforts to improve its organization at the provincial and local levels. The party has branches in many cities and towns throughout Iran. These provincial branches are governed by a directing body con- sisting of four members who sit on the party's 16- member provincial committee. In Tehran, the party has taken steps to set lip some 130 party cells (hotcze), each having approximately 20 incin- bers who are required to meet together with a party official at least once a week to discuss the party's programs, plans, and problems. The local and provincial bodies are represented on the national level through the Iran Novin Party Con,ress. A congress is supposed to con- vene every 4 years, the first in NIay 1967. The second congress of the party was held in Tehran in May 1971, in which some 3,000 party members took part, representing 150 party committees, party parliamentary factions, and other affiliated units. The development of a strong party organization at the local level is theoretically intended to pro- vide a channel through which local interests can be cominunicated to the highest party level. In fact, however, the chain of command is used most often to convey the wishes of the Shah and the party leadership to the local bodies. The party is more nearly a national organization than ever before, but its lack of independence and its reputa- tion as a mouthpiece of the government have prevented the development of real public support. h.11ardont Part/ The Mardom Party, which also suffered from the pall cast by the rigged elections of 1961, was revived in modest form in 1964 with the encourage- ment of the Shall, who was anxious to have a respectable opposition party. 13y 1965, the party was attempting to fulfill an opposition function by criticising tactics of the majority party and occa- sional.'y by arguing against government legislation. Nevertheless, the party remains essentially in ad- junct of the establishment. Party leader Ali Na(Ii hani resigned only 6 weeks before nationwide city APPROVED FOR RELEASE: 2009/06/16: CIA- RDP0l- 00707R000200070040 -4 and provincial council elections. Kani had spear- headed an unusually active cainpaign attacking the policies of the Iran Novin Party. Kani's aggressive tactics irritated the conservative faction of his party, and the press has speculated that these con- servatives forced the secretary general to step down. The Mardom Party had been the object of increas- ing criticism from the Shah, who prefers a more leisurely development of the loyal opposition, and the royal court may have had a hand in Kani's downfall. Kani's resignation will probably cause the Mardom Party to lose its recently acquired vitality. The Nlardom Party has great difficulty in main- taining the morale of its membership and in recruit- ing new members. Ambitious young Iranians either find membership in a permanent opposition group useless or are frustrated by the group's "me- tooism." Party members are periodically heartened by rumors �such as those circulated before the par- liamentary elections of August 1967 �that the Shah plans to increase the size of Mardom representa- tion in parliament. When the Mardom Party came out of the 1967 elections with fewer representatives than ever, it went into doldrums, from which it has not emerged. In 1969 the party lad 28 mem- bers in the NIajlis and two in the Senate; in 1971 it .von 37 lower house seats, but in an expanded Majlis, and its percentage share remained about the same. Nevertheless, the Shah is determined to maintain the appearance of a two -party systern in Iran and is not likely to allow the Mardoin Party to disappear entirely. The Mardom Party claims over 200,000 mem- bers, but this figure seems greatly exaggerated. The High Council of the party, composed of about 133 members in 1967, is elected by the party na- tional congress and studies and approves party policies and programs which are usually submitted by the Central Committee. The Central Committee is the real locus of power in the organization. Composed of 15 members, the Central Committee formulates and executes policy after pro forma review by the High Council. The party has not created a local or provincial network comparable in any way to that of the Iran Novin Party, partly explaining the beatings it takes at the polls. c. Iraiiinri Party The small Iranian Party began functioning in January 1971, after the demise of the Pan Iran Party. Dr. Fazollah Sadr, a Majlis deputy and former deputy leader of the Pan- iranists, is the new organization's secretary general. The Iranian Party appears to have picked tip the fallen super- patriotic mantle of the Pan Iran Party but is moderating the stridently reactionary rhetoric of the Pan Iranists. The new party captured one seac in the 1971 elections. 3. Electoral laws and practices Elections in Iran are aimed at improving the democratic image of the government and at giv- ing the people a sense of participation in the governing process rather than at allowing the free expression of the people's will. The electoral process is firmly controlled by the government though more subtly since 1961. Control is achieved through the weeding out of undesirable candidates and through sometimes blatant manipulation at the polls. Consequently, elections are viewed by most of the population with apathy and, in more politically aware circles, with cynicism. Despite active "get out the vote" campaigns, many Iranians do not exercise the right to vote, as it is a foregone con- clusion that the government party will win a sub- stantial majority. Iran's Fundamental Laws provide for two types of elective bodies, the national parliament and the provincial, district, and municipal councils. Three sets of electoral laws, however, are in effect; in addition to laws governing elections to parliament and to municipal councils, an apparently unimple- mented set of laws governs provincial and district council elections. Many of the provisions in each set of laws are similar. To vote in any election in Iran, one must be an Iranian citizen of at least 20 years of age who has resided in his electoral district for at least 6 months; in the case of Senatorial elections, a voter must be at least 25 yeirt cif age. Among those barred from voting are insane persons, foreign nationals, criminals and political convicts, regular members of the armed forces, and police and gendarnieric officials who reside in the area over which they have authority. Women were enfranchised by decree in Nfarch 1963 and voted for the first time in national elections held that same year. To be eligible for candidacy in any Iranian elec- tion, one must be all Iranian national of at least 30 years of age and literate in the Persian language; in the case of Majlis candidates, one cannot be over 70 years old. Barred from running for office 21 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP0l- 00707R000200070040 -4 are persons who are ineligible to vote, the ,:ons, brothers, and paternal uncles of the Shah, gov- ernors general, judges, finance agents, magistrates, prosecutors general, Cabinet ministers, and all other heads of government departments. Lesser govern- ment officials can become candidates but must resign their appointive offices if they are elected. In order to become a candidate for the Majlis or the Senate, most candidates must also be Mus- lims. Exceptions are one Jew, two Armenians, one Assyrian, and one Zoroastrian, who represent re- ligious minority groups in the Majlis. To run for the Senate one must be over 40 years old and must have had experience as a Cabinet minister, ambassador, governor general, state prosecutor gen- eral, deputy in the Majlis for at least 3 terms, judge for 20 years, senior army officer, or university pro- fessor for 20 years. One may also qualify if he is a landlord or merchant who pays all annual tax of at least R1s500,000 (about USS0,660) or is a lawyer with long experience. Candidates for parlia- mentary seats need not have resided in a specific constituency for a given period of time, although it is necessary for a Candidate to be well-known to his constituency. In order to become a candi- date for a municipal council, one must have re- sided for at least 3 years in the district from which he seeks election. INIembers of the Majlis, members of the Senate, and members of municipal and village councils are elected by direct elections. '!he procedure by which all Iranian elections arc conducted is the same. Voting is supervised by the Ministry of In- terior througiu its provincial representatives. SAVAK also maintains an active surveillance over the whole procedure. Representatives of national government ministries, the governors general of provinces, the governors of districts and subdistricts, and the mayors of cities and towns appoint committees which arrange for the popular election of election supervisory councils. These councils, with the help of the local gendarmerie and city police, oversee the general popular voting. It is also provided in all electoral laws of Iran that the supervisory councils may be dissolved or may have their composition changed by Ministry of Interior officia'.., if the councils prove to h�aidicap the smooth progress of the elections. The supervisory councils and ministry officials share the responsibility for announcing to the voters the date, time, and place of voting, the names of 22 the c:uulidates, the qualifications for voting, and tic manner in which it voter must prove hicscif qualified to vote. Voters must register and obtaic an electoral card prior to election clay. The men- bers of the supervisory council in�e preseet in the polling places duriig election clay to check the identity and electoral cards of all voters, wituess their balloting, and mark the electoral card as the voter leaves the poll. Supervisory council nembers who count the votes after closing the polls are authorized to discard those ballots which are illeg- ible or improperly filled out. The number of deputies is proportional to the population, one deputy for every 100,(x)0. In the last 10 years the cie.ber of deputies has increased from 200 to 263. Complaints against the nvner in which t,lt,c- tions are carried out must be sent to the appropriate supervisory council, which, ?n the case of national parliamentary elections, investigates the complaints itself. In the case of ncuuicipal elections, a special committee appointed by tlut, mayor or district gov- ernment investigates complaints oil behalf of the supervisory council. 'There is no further recourse for those who object, except to send their com- plaints to the newly elected parliament or mu- nicipal council itself. In the past, riots protesting election rigging have been common, espcei illy in Tchran and other important cities. ;wring the ra- tional elections in August 1960, protests over rigging forced suspension of the elections. Following m w elections in January 1961, a series of public olenr- onstratlons led the Shah to dissolve the Majlis in May and rule by decree for nearly 2 years. Majlis and Senate elections before 1963 fre- quently lasted for several weeks and sometimes for months because of the practice of allowing the Ministry of Interior officials in each electoral dis- trict to select different dates for elections. Voting now takes place on the same clay all over the country. In the August 1967 parliamentary elections about 3.5 million votes were cast for members of the Majlis, and the Senate and for representatives to the National Constituent Assembly, which amended the constitution provisions relating to succession to the throne. The last parliamentary elections in July 1971 product a voter turnout cAinrated by Iranian officials at nearly 5 million. This is probably some- what inflated. I'he next elections should occur in the summer of 1975. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 D. National policies 1. Domestic policy (C) The direction and content of Iran's domestic policy are determined by the Shah. Since 1961, the Shah has bcconiv increasingly obsessed with the social and economic modernization of his coun- try. The tmbodinlvnt of his drive toward moderni- zation is the White Revolution, a program ulti- mateh' including 12 points: land reform; electoral reform; the Literacy Corps; the sale of govern nient factories; nationalization of forests; profit sharing, the Health Corps; the Development and Extension Corps; the village court system; admin- istrative and educational reform; regional develop- ment; and nationalization of water resources. The Shah is proud Of the accomplishments of his pro grani, but with each new step he seems even more anxious to speed up Iran's development. The re- form program has changed the iniage of the Shah in most circles from one of a rea ctionary tyrant to omc� of a progressive monarch. Reform has also taken the steam out of opposition movements and has brought tile government closer than ever before to the Iranian peasant. The core of the Shah's program is land reform, which he regards as the key to further economic de�vclopment and a wider base of political support. The first phase of the land reform program was enacted into law in January 1961, and it required the largest landowners to turn over to the govern- ment all their landholdings except for one rural village and its associated lands. The government then distributed ownership of the land to the peas- ants working it. The former landlords are being conipensatcd with shares in government -owned factories or with government bonds paid over a 15 -year period. Peasants who acquired land are paying the government for it, also over a 15 -year period. Since the landlord traditionally supplied seeds, draft animals, water, and tools to the peas- ants, the government has begun to establish co- operative societies to insure that the peasants are not without these supplies and that they have sonic authority in each locality to guide them and pro- mote inodern agricultural practices. In February 1965, the government launched the second phase, under which landlords were told they could retain only it certain acreage �the amount varying ac- cording to location and fertility �and were required to turn the remainder over to the government for 10,4ribu6) n to additional peasants. In late 1971, the Shah announced that his land reform program was completed. The government reported in mid -1969 that the distribution phase h ad been completed in 54,183 villages or hamlets, Nvith approxim 7,800 uncompleted. The legal settlement involved some 2.4 million farmers about two- thircls cf the agricultural labor force. It is not clear how many peasants still own their land �some apparently sold it back to the land lords�or what other complications have arisen in the distribution phase. Productivity apparently has not suffered, perhaps in large part because of favor- able weather conditions. The final phase of land reform inv olved the expansion of rural cooperatives and increasing productivity, and was begun in jan- uary 1966. In 1972, the government claimed that almost 9,000 rural cooperatives had been estab- lished, with a total membership of 1.55 million. In 1968, the government established the Agricultural Development Fund of Iran to promote the develop me,it of large scale, efficient agricultural organiza- tions as a supplement to small farms. By early 1972, 27 farm corporations with 9,170 shareholders were operating in rural areas. In a further move to boost productivity private investment in agriculture has been exempt from taxation until 1980. The exemp- tion applies only to those farms using modern tech- niques and thus favors the large agro- industrial units. The Plan and Budget Organization has al- lotted $35.5 million for rural development for 1972 -73. As the land reform program unfolded, the Shah found that the illiteracy of the peasants was a major obstacle to their understanding and enjoying the full benefits of the scheme. To remedy this, he ini- tiated the Literacy Corps in December 1962. This corps is composed of army conscripts who have graduated from secondary school or a university and who perform their military service by teaching peasants to read and write. The program is con- sidered the most successful of the. Shah's develop- ment concepts. By early 1971 over 71,000 military conscripts had served as literacy corpsmen in Iranian villages and had taught more than 2 million Iranians. Before the inception of the corps, only 8% of the rural population had received any edu- cation, but by 1967 the percentage was 20% and was continuing to rise. In a move aimed primarily at urban illiteracy, the government in 1969 pro- posed that each literate Iranian be required to spend several hours a week teaching anti- illiteracy courses for 6 months or to teach one illiterate to 23 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 read and write. The alternative would be to pay the price for the education of one illiterate� approxi- mately $144. There is no recent information o,: the progress of this program. Because the literacy corpsmen originally were spending much of their time in health and economic development activities, a Health Corps was formed in 1964 and a Development Corps in 1965 to relieve them of these subordinate burdens. The Health Corps consists of physicians, dentists, pharmacists, and medical assistants who are military conscripts and who are assigned to work in close cooperation with village councils to improve health and hygiene through lectures, films, practical demonstrations, and treatment. In 1971 about 2,500 were serving in the corps. Although the Health Corps probably is not as effective as permanently staffed medical facilities in the villages, it has represented a sig- nificant step forward for Iran. The Development and Extension Corps num- bered about 6,000 persons in 1971. The corpsmen are also military conscripts who go out into villages to teach modern agricultural techniques and help establish cooperatives. They are thus closely related to the land reform program. In an atempt to involve the urban worker in the reform program, the government in January 1963 initiated an industrial profit sharing scheme in which workers were to obtain up to a 2070 share in the profits of their factories Employers under the plan were required to sign collective agree- ments with worker representatives aimed at en- couraging productivity, cutting costs, and reduc- ing ,vaste so that part of any increase in profits could be passed on to the workers in the form of income. The program has been criticized as having very limited success with the workers. A sampling of about o,, Third of the agreements signed indi- cated that the average bonus accruing to individual workers was only approximately $32.00 per year far short of the 20`/o allowed by law. A Ministry of Labor and Social Affairs official said at that time that his ministry tried to be responsive to worker complaints but carefully geared its policies to avoid discouraging management. Part of the problem is the reluctance of corporations to reveal their true profit picture. To increase public, as well as foreign, confidence in the government and to try to keep funds flowing into the programs rather than into the pockets of the administrators, the Shah in 1961 inaugurated an anticorruption, campaign. High civilian and mili- 24 tar; officials, including some who were thought of as friends of the Shah, were ;piled and charged with corruption in office. Although most were ac- quitted after lengthy court proceedings, the exer- cise served to warn officials throughout the hier- archy that tae Shah was serious about stamping out blatant misuse of government funds and materials. However, in recent years there has been a new up- surge of accusations of corrupt practices among high officials but no renewal of the anticorruption campaign. The demands on the government created by all the new programs initiated in the last 10 years produced clear evidence of the inefficiency of the government bureaucracy at all levels. Although steps had been taken by many ministries to stream- line their procedures in hopes of pleasing the Shah, it was not until late 1967 that administrative re- form was officially declared a tenet of the White Revolution. In 1968, the Shah reintroduced an Im- perial Inspectorate to hear and act on public com- plaints against the bureaucracy. In addition, com- mittees have been set up in the ministries to oversee administrative reform, and inspection teams have been dispatched to the provinces to study admin- istrative procedures there and to hear public com- plaints. Despite some public cynicism and the resistance of the entrenched civil servants, slow progress is being made both in improving admin- istrative procedures and in recruiting more highly qualified bureaucrats. In 1967, reform of higher education was added to the development program, and yearly education conferences have been held ever since. A separate :Ministry of Science and Higher Education was established aimed at improving higher education, promoting more independent research, and turning out greater numbers of vocational and technical personnel to help in implementing other facets of the reform program. In 1968, the government announced the beginning of a thorough overhaul of the university system and began by replacing all university chancellors. In 1971, the government turned its attention to elementary and secondary school teachers. About $6 million was allotted to provide bonuses, promotions, advanced training, and housing. To reduce the manipulation of elections on the local level and to enable the peasants to make their votes more effective, reforms in voting procedures were initiated in 1963, involving registration and the use of vote rg cards. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 Further steps toward equal rights for %women were taken in 1967 through passage of the Family Protection Law. Under the law, unilateral di:oree action by husbands is no longer possible, and women may initiate divorce proceedings. The law also provides for the protection of any children involved in a divorce action. A man must now gain court approval before he can forbid his wife to seek outside employment. If the first wife does not agree to her husband's second marriage, she may use it as grounds for divorce. As the Shale's re form prograw became an ac- cepted part of national policy and moved into the "nuts -and- bolts" phase of implementation, some of the initial zeal was lost. Nevertheless, steady prog- ress has been made in many phases of the program. At the very least, the program has probably im- proved the attitude of the rural populraion toward the government and increased the popularity of the Shall. Soule opposition to the program still exists particularly in the conservative religious community �but it is largely silent. In the case of the Family Protection Law of 1967, the original bill has been modified to avoid pressing social reform more quickly than the public is willing to accept. Some features of the program, oil the other hand, tend to generate pressure for additional change. In general, an attitude of progress and hope for the future seems to be pervading even pre- viously isolated villages �an attitude that '.):tides well for the regime only if progress continues. 2. Foreign policy (S) For much of its history Iran has been under the predominant influence of foreign powers. An im- portant principle of the Shah's policy and one which he inherited from his father, Reza Shah, has been to rid Iran of this influence and to assert the coun- try's political, economic and to some extent military independence. In terms of international politics this has meant maintaining more of a balance between East and West. While remaining committed to the West, the Shah has allowed the development of con- tacts with the Soviet Union and East Europe and has established relations with Communist China and Albania. While looking to the West for aid, he has fostered economic relations with the Com- munist bloc. While relying for external security of the United States and on the CENTO alliance, lie has bought some military equipment front the Soviet Union. His fear of Soviet military aggres- sion has been displaced to it large extent by his belief that radical Arab forces particularly those in Iraq �have designs on the Persian Gulf and on the oil -rich Iranian province of Khuzestan. The Shah deubts that the United States would defend him in case of it regional conflict not involving a Communist nation, and he is determined to line up other sources of support and supply in the Com- munist world in Western Europc, among the mtod- erate Arab states, and in South Asia. Iranian Sovict relations began to improve in Sep- tember 1962, when N' seow accepted t. Shah's piedge not to permit the establishment of foreign missile bases on Iranian soil and shelved its policy of open diplomatic and propaganda pressure to overthroxv his regime. The real turning point, ho%y- cvcr, came in 1966, %vlicn, after the Shah's visit to Moscow, the U.S.S.R. agreed to extend it credit equal to $289 million toward building a long- sought steel mill and related projects. Part of the credit is being used to build a machine manufacturing plant and to construct a pipeline to carry Iranian natural gas to the U.S.S.I1 as payment for this and subse- quent credits; deliveries of natural gas began in late 1970. Soviet economic dice has thus become it major factor in Iranian economic development. Plans were outlined in late 1969 for longer term cooperation in oil, gas inc.] other industries over the next 12 -15 years, and there are more than 1,500 Sovict economic experts in Iran. Soviet and East .10pean aid commitments total over 81 billion, compared with a total Western commitment of nearly $2 bill ion. Thcre have been signs, however, of Iranian dissatisfaction with industrial projects established under Soviet and East European credits and in some cases, such as the Soviet -built engineer- ing factory, the Iranians are seeking alternative participation by Western industry. In future barter deals the Iranians nlay be inclined to look for Com- munist bloc goods in preference: to projects. Iranian- Soviet trade has also developed. I3y 1969 the SovisA Union had already become the largest importer of Iranian exports other than oil. Iranian imports from the Soviet Union have increased markedly in recent years, and mutual trade will almost certainly continue to grow �a 5 -year trade agreement was signed in 1970 �with the stimulus of aid projects and the flow of Iranian natural gas exports. The first arms contracts with the Soviet Union were concluded in 1967 and comprised ground- 25 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 force equipment such as antiaircraft guns, armored personnel carriers, and other vehicles. In 1969 the Iranian Army ordered a large quantity of 130 -nun field guns, for which special training is also being provided. Soviet military credits extended to date total about $325 million and are being repaid in natural gas, which has been flared in the past. This easy form of payment, along with the fact that in- terest rates run as low as 2.5%, will probably en- courage further Iranian purchases, though not of major items such as airplanes and tanks, which would lead to an unacceptable level of Soviet in- fluence within L:.e armed forces. The expansion of economic ties with the Soviet Union has also had political benefits. It has to some extent appeased the neutralist and xenophobic sentiments of some Iranians who believed that their country was overly committed to the West, and the policy is believed to be well received by most other Iranians as well. Nevertheless, the S' is aware that the rap- prochement involves a Soviet effort to gain in- fluence in Iran and that the U.S.S.R. is basically opposed to his monarchy. He often mentions that the Communist propaganda beamed by clandestine radio stations outside Iran continues to criticize his regime and serves as the real measure of Soviet friendship. The numerous Soviet advisers and tech- nicians in Iran with various economic and military projects are closely watched by Iranian security and intelligence forces, and the number of students sent by Iran to Communist countries for training has been strictly limited. The Shah is also concerned over Soviet involvement with the radical Arab states and over the possibility of Soviet incursions into the Persian Gulf region. In essence, lie is attempt- ing to gain the economic and political benefits of association with the U.S.S.R., while continuing to strive against increased Soviet influence in his region. Iran has signed two treaties with the U.S.S.R.: those of 1921 and of 1927. Under the Irano- Soviet Treaty of Friendship of 26 February 1921, the Rus- sian Soviet Federal Socialist Republic reserved the right of armed intervention if Russian counterrevo- lutionaries or a third power attempted to use Iranian territory for military operations against it. In the 1 October 1927 'Treaty of Guarantee and Neutrality, the U.S.S.R. and Ira: agreed that neither would enter into any alliance directed against the security and independence of the other. Iran con- siders that these two treaties have been abi ogated by Soviet actions in Iran during and after World 26 War I1, but the U.S.S.R. has issued periodic re- minders that it regards them as still valid. Notwithstanding his detente Nvith the Soviet Union, the Shah is in no doubt that Iran's natural and most vital alignment is with the West. Reve- nues from the oil consortium of major Western oil companies constitute the main part of Iran's in- come in foreign exchange, the West supplies all major items of military equipment and the training for its armed forces, and the support of the United States and of the CENTO alliance is a major deter- rent to a possible Communist threat to Iranian ter- ritorial integrity. Iran's relationship with the United States, like that with the U.S.S.R., has also undergone a subtle change since 1965. Constantly rising Iranian oil revenues, improving agricultural output, the ex- panding economy, and the availability of outside credits have all served to reduce Iran's economic and psychological dependence on the United States. Although the Shah still regards the United States as his country's best friend, the self- confidence he has gained domestically has encouraged him to seek a broader role for himself and his country. The U.S. economic aid program in Iran ended by mutual agreement in November 1967, brit Iran continues to purchase most of its sophisticated military equip- ment in the United States, and the Export Import Bank underwrites some private U.S, investment. The United States concluded a bilateral defense agreement in March 1959 with each of the diddle East members of CENTO, including Iran. The agreement, which is specifically tied to the 1957 Joint Congressional Resolution to Promote Peace and Stability in the I4iddle East the Eisenhower Doctrine), says that the U.S. Government, in ac- cordance with the U.S. Constitution, will take "such appropriate action, including the use of armed forces, as may be mutually agreed upon" in the case of Communist aggression against Iran. In the period 1946 -71, the United States provided almost $2.6 billion in government loans and credits. The Military Assistance Program totaled $1.1 bil- lion, of which $504 million ,vere loans advanced $141 million has been repaid), and additional mili- tary aid has been extended. Military credit sales to Iran of $140 million and $200 million have been authorized for FY72 and FY73. Total U.S. private direct investment in Iran is estimated at about $600 million (including petroleum). There are more than 2,000 official Americans in Iran, including depend- ents, and more than 10,000 private Americans. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200070040 -4 Since 1965 the Shah's major foreign policy pre- occupation has been the security of the Persian Gulf and southwestern Iran, The Shah is convinced that radical Arab elements arc attempting to under- mine Iranian authority in the gulf and to foment subversion in the Province of Khuzestan, which has a large number of ethnic Arabs. The British withdrawal of its military forces from the Persian Gulf at the end of 1971 focused the Shah's concern on that area even more sharply. in F tovember, im- mediately after the British withdrawal, Iranian forces moved into the islands of Abu Musa (Jazireh- ye Abu Musa� Persian) and the 'I anbs (jazireh -ye Tonbe Bozorg� Persian). Abu 'Musa was divided between Iran and Sharjah by prior agreement with the Sheikh of Sharjah. The two Tunbs, however, were seized outright, and the Arab inhabitants were expelled; the Sheikh of Ras a] Khaimah had refused to come to any prior understanding w� .th the Shah. The Shah's assertive policy in the gulf has brought him increasingly into confrontation with Iraq. Since Iraq's 1958 revolution, relations between Tehran and Baghdad have ranged from cool to openly hos- tile. Irhn has supplied arms, money, and transit rights to the dissident Iraqi Kurds led by Mustafa Barzani and has looked for other ways to shake the government in Baghdad. In turn, Iraq has appar- ently permitted raids into Iran by pro -Iraqi Kurds and dissident Iranian Kurds resident in Iraq. Iraq also has reportedly assisted members of the Khuze- stan Liberation Front, which is composed of dis- sident Iranian Arabs who want to liberate that province. Another longstanding problem between the two countries involves the division of the waters of the Shatt al Arab, the river which separates Iran and Iraq in the south. Iran has long chafed under the terms of the 1937 treaty, which, except for two places upstream, sets the boundary on the Iranian bank at low water, and Iran has repeatedly sought to have the treaty renegotiated. The issue .vas re- vived again in 1969, when Iraq sought to enforce its rights in the river, and Iran responded by re- nouncing the treaty and staging a massive military buildup along the shore. The Iranian show of force was designed not only to force a new treaty but probably to serve notice that Iran has the will and the power to play the major role in the area. Relations between the two countries were severely strained (luring the latter part of 1971 and early 1972 with the large -scale expulsions of Iranian resi- dents from Iraq (Figure 5). From November to January, some 60,000 Iranians were sent across the ])order. Iranians reacted with restraint, however, and began a vigorous repatriation program for the refugees. Iran is not directly concerned in the Arab Israeli confrontation, in which the Shah's position has been one of fence sitting. Until fairly recently the Shah tended to regard the continuing conflict as being to bran's advantage. Ile felt that by occupying the Arabs in the west, the conflict gave Iran a freer hand to pursue its interests in the Persian Gnlf. With the establishment in the late 1950's of offices (diplomatic missions in all but n