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1949-1951
The terms imposed by Tri-Partite Treaty of alliance signed on 29 January 1942 disavowed any designs against the territorial integrity of Iran or independence. Iran agreed to refrain from any act contrary to British or Soviet interests. <ref>[http://www.army.mil/cmh-pg/books/wwii/persian/chapter01.htm#b2 UNITED STATES ARMY IN WORLD WAR II], The Middle East Theater THE PERSIAN CORRIDOR AND AID TO RUSSIA, T. H. Vail Motter, CENTER OF MILITARY HISTORY UNITED STATES ARMY WASHINGTON, D. C., 2000. Library of Congress Catalog Card Number 52-60791. First Printed 1952-CMH Pub 8-1.</ref>
The terms imposed by Tri-Partite Treaty of alliance signed on 29 January 1942 disavowed any designs against the territorial integrity of Iran or independence. Iran agreed to refrain from any act contrary to British or Soviet interests. <ref>[http://www.army.mil/cmh-pg/books/wwii/persian/chapter01.htm#b2 UNITED STATES ARMY IN WORLD WAR II], The Middle East Theater THE PERSIAN CORRIDOR AND AID TO RUSSIA, T. H. Vail Motter, CENTER OF MILITARY HISTORY UNITED STATES ARMY WASHINGTON, D. C., 2000. Library of Congress Catalog Card Number 52-60791. First Printed 1952-CMH Pub 8-1.</ref>
After the CIA-backed coup of 1953, Prime Minister Mohammad Mossadegh was overthrown and the Shah returned to power. [[Ayatollah Ruhollah Khomeini]] emerged as an active critic of the Shah's increasingly autocratic government during this period. Khomeini was imprisoned and later exiled, but popular anti-government sentiment continued to spread. In 1979, the Shah fled Iran as Khomeini returned from exile. The Shah's troops were defeated by the rebels and in the following year, the Islamic Republic was established following a national referendum.
In 1949 the Angelo-Persian Oil Company negotiated an agreement with the Iranian government under which it would pay the government 25 to 30 per cent of its net profits, The British government controlled 52 per cent of the stock of the company. Under pressure from the the Shia clergy and members of the Communist [[Tudeh party]], the Iranian government led by Prime Minister Mohammad Mossadegh did not ratify the agreement and on May 2, 1951, nationalized ownership of the oil industry. In October Britain shut down Abadan, the world's largest refinery, on the Persian Gulf, and boycotted Iranian oil for the next two years. 30 per cent of Iran's national income previously came from oil exports. Iranian production fell from 424,000 barrels a day in 1947 to 59,000 in 1954, while Saudi Arabia rose from 246,000 barrels to 953,000, and Kuwaut from 45,000 barrels to 953,000.
After the CIA-backed coup of 1953, Mossadegh was overthrown and the Shah returned to power. [[Ayatollah Ruhollah Khomeini]] emerged as an active critic of the Shah's increasingly autocratic government during this period. Khomeini was imprisoned and later exiled, but popular anti-government sentiment continued to spread. In 1979, the Shah fled Iran as Khomeini returned from exile. The Shah's troops were defeated by the rebels and in the following year, the Islamic Republic was established following a national referendum.
On November 4, 1979, a group of Iranian students entered the US embassy and took a number of American personnel hostage, citing the overthrowing of Mossadegh in 1953 and accusing the embassy staff of preparing another coup against the revolutionary government. Some of the hostages, including women, African Americans and an employee diagnosed with multiple sclerosis, were quickly released. Others were held for 444 days before being allowed to leave Iran and return to the United States.
On November 4, 1979, a group of Iranian students entered the US embassy and took a number of American personnel hostage, citing the overthrowing of Mossadegh in 1953 and accusing the embassy staff of preparing another coup against the revolutionary government. Some of the hostages, including women, African Americans and an employee diagnosed with multiple sclerosis, were quickly released. Others were held for 444 days before being allowed to leave Iran and return to the United States.