The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1924-01-25

Washington, Jan, 25,-(By the A.
r.)-Albert b. Fall was back III
Washington today under subpoena
to appear for examination. by SEN
ate Investigating committee before
which the sens sational disclosure was
made yesterday by f. l.. Dohney,
California oil magnate, that he had
loaned the former Interior Secretary
100000 in cash on his personal note
which remained unpaid.
The time Of the loan was fixed by
Mr.. Dohney as November 80, 1921.
OF some months before Mr.. Fall sign
ed the lease which gave the Dohney
interests control over the Naval Oil
Reserve in Elhills, California. The
purpose he said, was to enable Mr..
Fall to purchase additional ranch
property in New Mexico and he was
emphatic tnat it was purely person
al loan. Mr.. Fall had been sum-
moned for examination today but at
his request, Because of his physical
condition, his appearance has been
deferred until Monday.
On his arrival here late last night
from New Orleans he declined to dis
cuss Mr.. Dohney's testimony or to
make any other statement than that
he was a "sick man." Appearing be-
fore the committee as a voluntary
witness, Mr.. Dohney exp!oa,,1 {.
bombshell almost at the beginning Of
a carefully prepared statement in
which he argued vigorously against.
any construction that the pers onal
loan to Secretary Fall had any con-
~nection with the subseQ Quent award
TO his company Of government oil
contracts. Mr.. Dohney through his
counsel, Sabin McNab, proposed to
the committee that this company
would reconvey to the government
all interest in the contract if
board Of experts, to be named by the
expert, should find that they were
mot wise, desirable and advanta-
geous for the government to make
and the very best the government
could have obtained.
The date of the loan was given by
Mr.. Dohney in his testimony yester-
day. November 80, 1921, or more
signed the contract leasing to DOH
ney interests the California naval oil
reserves out of which committee
men reminded Mr.. Dohney he has
testified he expects to make profit
of $100,00O,0OO.
"Just 4 Loan
Mr.. Dohney declared to the COM
mittee.. however, that the loan had
mo relation to any Of the subsc-
quent TRANSACTIONS" that it was
made by him personally" and that
''in connection with this loan there
was no discussion between Mr.. Fail
and myself as to any contract what
ever"
"The transactions themselves. in
the order in which they occurred
Mr.. Dohney said. dispose of any
contention that they were influen-
ced by my making a personal loan
to lifelong friend"
The oil magnate testified that he
had advanced the money to enable
Mr. Fall to enlarge his New Mexico
ranch holdings and that he had fully
intended to collect the loan if Mr..
Falls death remained good and that,
if necessary, he had planned to EN-.
ploy the former secretary to look
after his Mexico holdings SO as to
enable him to repay the debt.
Still Unpaid
Responding to questions on cross
examination, Mr.. Dohney said the
note sent him by Mr.. Fall was un-
paid; that it bore no interest rate,
and that no interest had been paid
on it. He said he had drawn a
check for the 100000 on a New York
bank and that his son had taken the
! cash from New York to Washington,
receiving in return the note, which
! he thought was in Mr.. FalPs hand
writing.
The witness was unable to pro-
duce either the note or the check,
although he said he had conducted a
search for them before leaving Los
Angeles. He declared they were not
lost and possibly were in New York.
He was excused after three hours
on the witness stand with the un-
derstanding that he would endeav0r
to find the note and check for the
| committee.
Against Falls Statement
| Mr.. DOhney's testimony threw q
bombshell into what already has de-
veloped into one of the most sen
sational Investigations conducted By
a congressional committee in recent
years. In view Of It, Mr.. Fall will
be questioned when he appears before