News stories concerning preliminary negotiations for a cease-fire in Korea commanded major headlines in yesterday’s newspapers, but the optimism they ordinarily would have aroused was mitigated by the declaration of American Broadcasting Company Correspondent Ray Brock that the Russian army is preparing a full-scale invasion of Iran.

It is true the story sounds fishy because Moscow traditionally has its satellites do the fighting. Only if the Kremlin has decided to launch the third world war would it be likely to send a Soviet army into Iran. On the other hand, it will be recalled how the world discounted the rumors that Russian-backed North Koreans were about to invade South Korea, when such rumors were circulated weeks and even months before the actual invasion took place.

No one minimizes the seriousness of the Anglo-Iranian oil crisis. The Iranian government has brusquely refused to recognize that the World Court at The Hague has any right to interfere in the row and yesterday it was declared the Iranians plan to take over complete operation of the oil industry there within two weeks, at the most.

It should be kept in mind that the British have not categorically refused to accept nationalization of the oil industry. On May 29 the British foreign secretary stated his country was prepared to consider a settlement that would involve some form of nationalization and the statement has been repeated during subsequent negotiations. [Herbert Morrison] But Iran has declared it would not take part in any discussion unless the Anglo-Iranian Oil Company paid over immediately all the proceeds of the sale of oil since March 20, less operational expenses, with 25 per cent of these proceeds earmarked for future compensation.

This condition the British company declared completely impossible. It pointed out that the profits earned have not come from operations in Iran alone, but from world-wide activities, including the operation of what is probably the largest tanker fleet in the world.

It is manifest that Soviet Russia would like to control oil and it is equally obvious that the Atlantic would view the consummation of such a highly dangerous to their own welfare and world peace. Because this is true, tremendous potentialities are involved this most pressing of world problems — the problem of a safe and satisfactory solution of Iranian oil control.