San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1924-03-18
Fall Wrote Cleveland Man
and Asked Him to Say
He Loaned 100000.
TESTIFIES
Says He Found Names Of
Several Lawmakers on
Oil Concerns Books. Y

ment officials and further testimony
about the famous 100000 loan to
Albert Il. Fall.
Brokers records submitted bv an
expert accountant showed that Attor-
ney General Daugherty had dealt in
both Sinclair and Doheny stocks since
h. entered the cabinet: that e. Bas-
com Slemp. now secretary to President
Coolidge. also bought some Doheny
stock before he retired from Congress
in 1929; and that there were records
Of dealings also by Senators Curtis
Of Kansas. ElkinS, West Virginia,
and Il number of representatives.
Slemp at the time was a member
Of the House. Other representatives
dealing in the stocks included A. Il.
Rouse. Kentucky; Wells Goodykoontz,
ncs- Virginia; Thomas J. Ryan,
New York. and J. H. Hines, Ohio.
Price Mckinney of Cleveland. then
testified that former Secretary Fall
had SoIsht late last year, when the
committee was inquiring into Falls
finances. to have Mckinney saw that
he had loaned 100000 to the former
secretary. That was before Fall
made the same proposal to T.. II.
Mclean.
AM vi sNtdIu
Louis T. Bond, who has examined
the records of number of brokers
offices. was the first witness. He is an
acco liant and attached TO the Fed
! eral Trades Commission.
Before his examination began the
committee reverted for a moment to
| the Marine expedition into the Tea
pot Dome reserve To clear off tres
| paSSerS. after the Dome had been
| leased to Harry +. Sinclair. Chair
! man Ladd read a letter from Major
General I.ejeune. commandant of the
Marine Corps, saving the expedition
cost Sl06J.
Attorney General Daugherty bought
| 100 shares of Pan-American 1.-THE
| Dohcny company that leased the Cali
! fornia reServe) and sold il at a prof
| it of Sj43.i0. the accountant said.
l Mr. Daugherty himself has disclosed
I previously that he had some deal
ingS in Sinclair stock both before and
after he entered the cabinet.
The attorney generals account with
W. Il. Hibbs and Company of Wash
iugtou was opened in November. 1921.
Bond said in his own name and sub
Sequently changed 10 the name of
| W. W. SDaid a member of Hibbs and
Company.
! ON October .. 1922, the attorney
general sold 500 shares OF Sinclair
Consolidated and on October ~, he
purchased an equal amount of the
same stock. Bond said.
Curtis Bought Shares.
Senator Curtis. who is the assist
ant Republican leader of the Senate
was said by the witness to have
bought 100 shares of Sinclair Con,
solidated on February %. 1922. The
records indicated it was straight
purchase"
Senator Elkins bought 500 shares
Of Sinclair Consolidated on Novem-
her III. 1922, at a cost of S302..i.l.l-
lfIe sold 700 shares on May ~. 1925-
at S2T2,924 and took straight lie
livery" on the remaining 1000 shares
Bond told the committee that Siemp
| bought 100 shares of Mexican Petro-
leum for "P. W. Slemp" and sold
them ut n net profit of SJS1. Hs
then bought ON June %. 1922, 1000
shares of Mexican SeabOard. another
Sinclair company, and sold at prof
it of S14S4.3S.
Representative RYAN. the witness
said. dealt in Ji00 shares Of Sinclair
stock and 200 shares of Doheny stock
in 1922 aud 1923 and realized n net
profit of SS64j.
Representative Rouse. accordil-; In
Bonds reports, bought 100 shares OF
Pam American Petroleum ut SSI -
and there was no record Of any sale
! Representative GoOdykontz was shown
| 10 have made a net urutit OF S-.h
in Sinclair Consolidated and Mexican
| Petroleum.
House Members Involved.
| Representatives Hines bought anu
! sold To the extent of $500 shares ct
oil stock but Bonds report did not
show whether there was loss or
! gain.
The Sinclair Teapot Dome lease
was signed April :, 1922, and the
Doheuy California leas" December II,
1922.
Pricc Mckinney of Cleveland t'sti-
| fled before the oil committee taat
/ Albert Il. Fall had written him late
in 1923 asking him 10 agree 10 say
I he had loaned Fall 100000.
Mckinney said he declined TO do
| 50. because he had not made any
| loan To the former interior secretary
Mckinney said he did not reply 10
Falls letter making the request. an,
! {. I. InaSc. All Sou-iu-AaNs fi0t'N''
! him at Cleveland.
What did Chase say?' asked Sena-
tor Walsh.
Il did most Of the talking" the
witness said. Il said | had not mace
the loan, aud l could not say that
had donc 50.
Mckinney said he had known Fan
many wears and had had some buSi-
ness dealings with him. He added
thar he was not interested IN Oh
| land.
The witness was on the stand less
than fifteen minutes. He was follow
! ed by Henry WoodhOuse. Of New
/ York. who was questioned about Ms
published charges that the pohens.
! interests had agreed 10 sell much OF
/ the California naval oil reserve output
10 British interests.
/ Owned Turk oil Land.
| Woodhousc said he had owned one
sixth Of the Chester oil concession IA
/ Turkey.
Launching into p long recital, the
witness said that Doheny had organ
| ized M 1919. in company with Brit
| iSh oil and steamship interests. the
Rehabilitation Petroleum. Company
which under 2 contract was q have
first call ON the Dohrny oil output
both IN the United States and Mex
! jC0.