[JimVT]

I think it might be a place called Bandar-e Deylam which is on the southwest coast directly across Persian Gulf from Kuwait.

Just a guess....I couldn't find any currect reference to Dailam

[Semper Paratus]

The Mullahs may be ginning up "An Incident" to justify their next move.

[FreedomPoster]

The province mentioned in a post above is on the Caspian, and has a bit of a border with the Soviet Union.

Gilan Province.

see here:
http://globalsecurity.org/military/world/iran/images/iran1.gif

from here:
http://globalsecurity.org/military/world/iran/maps.htm

[Kenton]

Dailam is in the mountainous region on the southwest bank of the Caspian Sea. I don't think it's a city, but a region.