'File 10/1 IV Bahrain Oil Concession' [‎157r] (326/476)

Ghiex Local Representative. .It was agreed, in the light of
the opinions expressed Dy the Treasury solicitor and by the
Legal Aaviser at the India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. , that there was nothing in
Gomition G scheduled to the Indenture of 12th June 1930
which would entitle H.M.G. to demand Major Holmes' s
dismibsal, he oeing exclusively a servant of the Company;
and that s ince H.M.G. had approved the appointment of
or Holmes tiiey had no further say under the terras of
Condition G, (though they had of course the right to insist
that the Company saw to it that the terms of that Condition
were observed by Major Holmes) except that their consent
would Dc necessary under trie terms of the Condition before
the Company could determine his appointment. They would thus
have to rely on being able to convince the Company that in
tne inuerests 01 the company as well as those of H .M.G., it
was desirable that Major Holmes should be replaced. The
meeting also considered the possibility of advising the
Sheikh of Bahrein to exclude Major Holmes from his
territories, in view of his misrepresentations of His
Excellency's attitude, but decided that the political and
other objections to this course were so strong that it should
not be considered save hi the last resort.
4. After exhaustive di suUt,sion oile conclusion was
reacned that the best course would be, without requiring
Major Holmes's dismissal, to Indicate to the Company the
circumstances in which he had been appointed; the fact that
"tne basis of discussion had at the time been that the Chief
Local Representative should be persona grata to H #M.G. as well
as to the Company, in the interests of both parties; to add
that the latest developments made it impossible for H.M.G.
any longer to regard him as a satisfactory channel of
communication or a satisfactory incumbent of the post; and
to/