71 “ After compliments. - In reply to your letter No C/929-10/12 dated the 20th Shauwal 1356 (23rd December 1937). I beg to inform you that I have taken notice of the conditions set out in your letter and that I agree to them. I will also follow the advice of His Majesty’s Government in regard to exercising the right of termination of the concession which (right) has been conferred on me by the Government in their Agreement with the Company which is referred to in paragraph 3(b) of your above mentioned letter on the subject of your Agreement with them (company). This is (given) on the understanding that the Agreement between you and the Company and your above mentioned letter are not against any right conferred onme by the Company in the concession agreement and its schedule. Usual ending.” 4 After the official agreement, the Political Agent in Bahrain proposed to Sheikh Sultan bin Saqr that he could, if he wished, give his permission for the opening of a bank or a branch or an agency in Sharjah. A proposal which the Sheikh approved.5 The British Government then wanted to use Sharjah Air Station as a military base in contradiction with the signed agreement with Sheikh Sultan bin Saqr al-Qasimi on 22 July 1932 as well as the Letter of Assurance attached to it. The letter stated “The representatives of the Company (Corporation) residing in Sharjah will have no official position, but will be representatives of a commercial firm.” 6 However, as oil had been discovered in some parts of the Gulf, the British Government wanted to have control over the oil resources being a source of potential wealth. It could not do so through economic agreements; as a result, it resorted to using its military muscles under the pretext of using the station in case of tension. The Acting Political Resident, who was himself the Political Agent in Bahrain and Acting Political Resident in Bushire, the 4 Ibid.,p.69. 5 Ibid., pp.58-59. 6 Ibid., L.P.&S/12/1966, P.Z.4664/1932, p.4. LETTER OF ASSURANCE
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