One of the influential factors which changed Hojabr Yazdani as a great capitalist is using economic rents and misusing banking loans. In 1340s and 1350s, a great part of interior investors in banking domain were people who in were close to Muhammad Reza Pahlavi and the court.
These people include Habibullah Sabet Pasal and Hojabr Yazdani. The 6-day war between Arabs and Israel in 1346 S.H. and preventing the Arabic countries oil to be exported to Israel made oil price be increased.
This measure by Arabic countries made Iran exploit the most to export oil using this opportunity. Iran’s oil income which was 17 million dollars late 1320s became more than20 billion dollars late 1350s.
Entering oil dollars into the country caused the Baha’i organization to use it to develop itself.
Due to the influence of the Baha’is and supporting their economic activities by the Shah, Hojabr Yazdani the agent of this cult entered into banking world without having banking specialty and knowledge about economy. The entrance of Yazdani into banking domain followed two main aims:
I) He wanted to be the chairman of a bank,
II) He concluded that if he were influential in banking, he would gain profits.
At first, Hojabr purchased various companies’ shares and had great loan’s supported by Ayadi, Nasiri and Houshang Ansari, the minister of finance, but the companies related to him prevented paying their debts to the bank and the bank never reacted seriously.
Issuing he was a bad cheque from a bank account, he was purchasing that bank’s stock and before the cheque returned, he deposited the necessary sum.
One of the phenomena of the banking system of Iran during 1350s was the presence of the great industrial groups as the main stockholders of at least a bank. For this reason, Hojabr who was active in other economic domains entered into the banking domain, too.
One of the main reason for Hojabr Yazdani to ask bank license from the central bank was not to feel any shortage of others. In 1354 S.H., Hojabr Yazdani was going to take license to establish a bank supported by Ayadi and Nasiri, but his request was denied due to not having banking records.
The remarkable note which indicates the rent nature of Pahlavi government is that he eventually didn’t achieve his goal despite of the financial experts’ views and the suports by the politicians and Pahlavi court.
Hadi Amini, one of the famous officials of the national bank narrates: “Hojabr Yazdani said to me to tell to Khosh Kish that you disagreed me with establishing the bank, but I bought the Saderat bank and the Iranian bank’s stocks and owned two banks despite of your disagreement.
In fact, Hojabr’s influence was to such extent that the banking and financial experts couldn’t stand against him. The lobby circle of Hojabr was too extensive. Even, Khosh Kish himself whom Hojabr claimed he didn’t accompany him was in Hojabr’s service when banking regulations and organization provided him leeway.
Now, it is not bad for this note to be emphasized that this masonry Baha’i (Khosh Kish) has managed the national bank for years and helped Hojabr to encroach the assets of the national bank very much. In other banks, many people helped Hojabr.
The Iranian mine and industrial development bank was founded by the Iranian Zionists (Sharif Imami’s band, the greatest master of Iranian masonries and the head of Senate parliament and etc.) cooperated with foreign banks which were being controlled by the Zionists. All industrial activities and also a great part of the country’s wealth were in their hands. Apart from this bank, Zionists, Baha’is and Masonries controlled all mixed interior and exterior banks completely, too.
Apart from using friendship capitalism, he exploited different bayonets, too to confront against the national bank’s resistances. For instance, he purchased bankrupted bank’s stocks of fraternities.
Having great loans from various banks, he was purchasing the stocks of private banks’ stockholders.
Yazdani purchased nearly 75 percent of the stocks of bank of fraternities 5 times more than market price, but due to banking debt of 75 million Tumans, the central bank disagreed with his managing on the bank of fraternities despite of Houshang Ansari’s – the then minister of finance – supports.
To buy the shares of bank of fraternities, Yazdani had 105 million Tuman loan from the national bank managed by Yosof Khosh Kish. According to regulations of the central bank, he could just have 40 million Tumans loan. Pursued continually by the central bank, Hojabr refunded the loan.
To refund the national bank loan, Hojabr had 100 million Tumans loan from the Saderat bank while he could just had 25 million Tumans loan from the Saderat bank.
Hussein Fardoust writes about purchasing the Iranian bank by Hojabr Yazdani:
“One day, Ebtehaj the managing director of the Iranian bank called me and said he had not had any position the Iranian bank because he had sold all bank shares, buildings and furniture to Hojabr Yazdani.”[۱]
Ebtehaj writes about the Iranian bank purchaser and his 70 million Rials debt:
“Hojabr Yazdani was a wealthy person who had a close relationship with the system of government particularly Nasiri, the head of security organization. He was purchasing various bank shares for a while. He wished to own a bank like some wealthy people.
In addition to Sederat bank, Yazdani had shares in the Shahriyar, Iran and England banks, too. To escape from the same fate of the Saderat bank (the scholars and the religious), Yazdani announced in the press that Hojabr Yazdani doesn’t have any share in the mentioned bank.
The remarkable note is that even the Shah thought that Hojabr Yarzdani is a front; that is, he is the pioneer of a front of wealthy Baha’is who have given their money to Hojabr Yazdani to invest for them. On the other hand, Hojabr Yazdani was moving on the head of an organization; although he superficially entered into a banking investment in a real form.
A year before the Islamic Revolution, Yeganeh writes in his diary about the destructive activities of Yazdani in banking and economic system of the country:
“Hojabr Yazdani was the greatest borrower in Iran. Although his debt was 5 billion and six hundred million Tumans to the banking system, he was going to control about 8 other banks including the greatest private bank of the country called the Saderat bank.[2]
As said before, Hojabr exploited his relations in the court and also his influence in security system to have loan and exploit banking system; for example, some orders issued by the court to support him were issued when the Shah was in Switzerland and for recreation and during this period of time general Ayadi was supporting Hojabr all-out. In such circumstances when Ayadi was doing the Shah’s jobs when he was at trip everything was in favor of Hojabr Yazdani.[3]
Abrahamiyan believes that late 1340s, people such as Hojabr Yazdani established great commercial emperors due to personal relationships with kingdom descendants, old investors and multi-national companies.
On Bahman, 1357 S.H.; after escaping from the prison, Hejabr left Iran to go to the United States using a forged passport. Then, he headed off to Costa Rica. He became busy animal husbandry and banking and owned the second great bank of Costa Rica.
Hojabr Yazdani lived in Costa Rica until death.
Source: Reza Qaribi, the Baha’i plutocrats and the Pahlavi regime, pp. 279-295.
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[۱] Hussein Fardoust, the emergence and falling Pahlavi, vol. 1, pp. 375-376.
[۲] Muhammad Yeganeh’s memoirs, pp. 199-203.
[۳] Muhammad Yeganeh’s memoirs, p. 200.
