"ملف 8/15 سلسلة الجزيرة العربية - ١٩٣٣-١٩٣٩" [و‎‎٢‎٧] (٤٣٤/٥٣)

47
4. In the meantime, the sea-water distillery, or condenser plant, continues
to supply the town with drinking- water of a kind at the rate of about 84 gallons
per minute, and the English engineer in charge anticipates no great reduction
in demand for his product, in spite of its greater cost, on account of the lack of
confidence in Waziriya water on the part of those who are able to afford the
other.
5. A copy of this despatch is being sent to the Principal Secretary of Stale
for Foreign Affairs and to the Department of Overseas Trade.
(47)
(Received on 4th Novevmber 1933, uMh Political Secretary’s letter No. 42, dated
19th October 1933.)
Enclosure in Foreign Office covering letter dated 13th October 1933.
The following were the main points of interest in a general conversation
which I had with Mr. Philby yesterday afternoon. As I have reported from
Jedda Mr. Philby now-a-days speaks to me pretty freely. I told him that I made
use of what he told me for the information of His Majesty’s Government but
that, subject to this, he could always rely on me to respect his confidence and
avoid compromising him.
State Bank.
Mr. Philby spoke of the breach between the e^-Khedive and Shadid, of
whom he (Mr. Philby) now has a very poor opinion, though he was greatly
impressed by him in Jedda. He considered it clear that Shadid had misrepre
sented to the Saudi Government in the spring his position vis-a-vis of the ex-
Khedive, from whom he pretended to have received full powers to treat and
conclude an agreement. After getting the contract, he had avoided meeting
Abbas Hihni. He had embarrassed the latter more particularly by getting
the Saudi Government to make out drafts in his own (Shadid’s) favour to cover
their share in certain expenses and by evading a request from the c.T-Khedive
to hand them over. The amount was not great but it was a dirty business, as
Abbas Hilmi was morally responsible to the Saudi Government. According to
Mr. Philby the err-Khedive, with whom and whose entourage he has been in touch,
wants to behave honourably, but is not keen on the bank affair, which would
only attract him, if he could get British financial backing. Everybody con
cerned appears to consider that Shadid’s arrangement with the Saudi Govern
ment was impossible. Air. Philby has outlined in the Khedivial circle
(apparently without any mandate from the Saudi Government) his ideas of
a workable contract, providing for a much smaller capital and a loan of sav
£stg.l00,000 instead of one of £gold 200,000.
This record of a friendly conversation over the tea-table maV not be exact
in every particular, but it represents with sufficient accuracy the' main lines of
what Air. Philby told me.
(48)
(Received on 12th November 1933, with Political Secretary’s letter No. 43 dated
26th October 1933.)
Enclosure in Foreign Office covering letter No. E.-59231234125, dated 18th
October 1933.
. The following were the main points of interest in a general conversation
which 1 had with Air. Philby yesterday afternoon. As I have reported from
Jedda Mr. Philby now-a-days speaks to me pretty freely. I told him that I
made use of what he told me for the information of His Majesty’s Government
but that, subject to this, he could always rely on me to respect his confidence
and avoid compromising him.
Saudi Financial Situation.
Air. Philby expressed disappointment that
alleging their preoccupation with the Yemeni
posed to use any part of the money received
California to effect part payment 'of their lJie uuismnm™
balance of which he estimates at something like £150,000 gold, including the
debts m which he is interested (Marconi, Standard Oil of New York, Sha?qielq
the Saudi Government
danger, seemed indis-
fi’om Standard Oil of
debts, the outstanding-