The Omaha morning bee. [volume] (Omaha [Neb.]) 1922-1927, 1924-02-08
Cites Deals
of Standard
toCetLands
Senator Claims Company Has
Got Over $I00,O00,O00 in
Product Out of Navy
Reserves.
Demands DENLY Ousted

Washington. Feb. 7.-Senator James
A. Reed of Missouri delivered today.
scathing arraignment of thoss
whom he named as accomplices in
the navy oil lease frauds: Ex Secre-
tary of the Interior Fall, Secretary
Of the Navy DENLY. Attorney Gen.
eral Harry NJ. Daugherty and Z. L.
Doheny and II. F. Sinclair. the two
oil magnates accused OF bribing Ball
For the first time the Standard OIL
company Of California was dragged
into the full limelight Of the oil
scandal in the course OF Senator
Reeds expose.
Reed charged Standard Oil had
fraudulently acquired possession OF
sections Is and 3s in Naval Reserve
No. l. He alleged that the oil COM
pany had already extracted over
800. 900 900 OF oil out of the navy's
reserves.
tion calling for the dismissal of Sec
retary DENLY from the cabinet - SEN
ator Reed demanded that the govern
ment be rid Of DENLY on the ground
Of negligence and malfeasance In Of
flee.
Go hort Of Fall.
He cahrged that DENLY was a par
ticipant and accomplice Of Fall in all
the illegalities and misdeeds laid at
his door. with the exception Of the
acceptance of the 100000 from Do
heny and the subsequent purchase
Of Falls Three Rivers ranch in New
Mexico.
Attorney General Daugherty was
charged with connivance in perpetu-
ating Standard OILS Illegal operations
Senator Reed detailed how Standard
OILS attorney. Sutro. secured from
Daugheriy note staying Daurh-
erty's assistant from taking measures
10 Gust Standard Oil
! Other important developments IN
today's investigation were:
| l. Atlee Pomerene and Silas Strawn.
special counsel appointed by the presi-
dent TO assist the Walsh probe COM
mittee. advised the committee that IL
II compelled Fall 10 testify tomorrow
he would probably gain immunity
from prosecution for ofrenses with re-
spect 10 which he might testify. They
advised not allowing Fall to testify
unless he would waive his constitu-
iional privilege Of not having his
own words used againt him.
Released From Testifyine.
>. After receipt Of this advice. the
Walsh committee was informed by
Falls counsel that he would stand
on his constitutional rights. voted to
sacate his subpoena and release him
from further attendance on the COM
mittee.
}. So far as the COMMITTEES goes. te
Is stated. Fall is now free to go and
come as he chooses. II. however.
he attempts TO leave the country. tho
committee will hold the Department.
OF Justice responsible II an iufor1nss
,ion is not lodged agaipt him alleging
bribery.
4. The senate unanimously passed
the La Toilette resolution extending
through the present session of con-
gress jurisdiction OF the Walsh come
mittee Of the oil leases. This meets
Falls. contention OF last Saturday
that this jurisdiction had exrired
with the end Of the last congress.
5. The senate unanimously passed
the Walsh resolution oondemnins
Standard OILS title to sections Is and
Sc Of naval reserve No. l. and direct
ing Pomerene and Strawn, to prose-
cute for the return OF these sections
to the government at the same time
they prosecute for the cancellation
Of the Doheny and Sinclair leases.
Urge Fairness for DENLY.
=. lmediately after the Reed
speech two republican lawyer sena-
tors. Pepper and Edge. spoke against
the Robinson resolution. urging Dem
fty's removal. alleging tal the senate
ought not to prejudSe DENLY. who
might later come before them as =
Jury in impeachment proceedings.
and fbl under the magma charter.
DENLY deserved his day in court be-
fore being condemned.
:. Legal assistance for this View
point from the democratic side Of the
house was immediately indicated.
senator Bruce OF Maryland regretted
he must break with his democratie
colleagues and support the stand OF
senator Edge. Two or three other
democratic senators are expected 20
toin Bruce. Nevertheless the enx..
neers OF the Robinson resolution cx-
rect II 90 pass
s. senator la Toilette viii tonor~
row address the senate and IL expect.
ed 10 present new and startling evl.
ldence Of corruption and Of incomps.
tence aud connivance OF DENLY.
?. The Walsh committee resumes
its hearings tomorrow. A new ana
lnneNpected witness IL 20 appear in
the person OF Fred C. RonfiiS. pub
Usher ef the Denver Post I, ls IN.
derstood that he will be asked re-
NsrdinS the details ~ crusade hs
Instituted agains; the reapo, nonas
lease about the time Il was signed.
II is said he VIII Also he asked what
developments caused him To abandon
the crusade
/ {