The Omaha morning bee. [volume] (Omaha [Neb.]) 1922-1927, 1924-02-26
Of
Californian
Is Probable
Move Given Impetus by Do
heny's Statement He Sup
ported Former Secretary
During 1920.
Undercurrent Is Strong

washington, Feb. Zo-oulstdHuAfs
developments today In the oil scandal
were as follows:
Z. L. Doheny's statement that he
had endeavored to secure the demo-
cratic presidential nomination for
William Gibbs McAdoo in 1920, while
the latter was under retainer for
him as counsel, inspired a renewed
demand that the former secretary of
the treasury withdraw from the
present democratic presidential con-
test. Democratic members Of both
the house and senate were most cau-
tious in discussing this new develop
ment but spoke their minds vigoT-
ously in private. The advisability OF
recalling McAdoo as a witness will be
considered. II is expected. at the next
executive session OF the senate in
vestigating committee
Attorney General Daugherty in
letter TO Senator Willis of Ohio ad-
mitted having bought and sold stock
| In the Sinclair Consolidated oil COM
pany. With the exception Of a few
shares. the stock. he said. had been
purchased prior to his taking office
In 1920. and so prior to the signing
Of the Teapot Dome lease in 1922. He
reiterated his desire for a full inyes-
tigation and defied his accusers to
prove any wrongdoing on his part.
Senator Willis on the floor blocked
move to obtain the immediate pas
sage Of the Wheeler resolution for
the investigation Of Attorney General
Daugherty's conduct of the Depart
ment Of Justice The resolution will
come up tomorrow.
To Halt Oil Flow.
Special Counsel Roberts and Pom
creme announced that under orders
from the White House they would be-
gin proceedings at once against
Doheny and Sinclair interests TO stop
the taking of oil from government re-
serves involved in the Fall leases.
The Sinclair action VIII be taken in
Wyoming and the Doheuy action in
California. The special counsel have
been advised TO centralize their work
where witnesses are most readily
available. Strong pressure Is lRiag
brought TO have this part Of the work
conducted away from Washington so
as to be free from the influence of
political factions in congress. Chi
cago is known to be under consider
alton.
{. Baseom Slemp, secretary 10 Pres
ident Coolidge. told members Of the
senate investigating committee that
he had advised former Secretary Of
! he Tns, -,fT III -
whole story Of the 500 600 loan AS
a matter of public duty"
McLean's Account Indefinite.
| Officials Of three Washington banks
submitted testimony and records TO
show that the total accounts carried
bys Mclean at about the time he is
said TO have given Fan sioe. 600 IN
checks varied between ss.obo and see.
too.
Director II. Foster Balm Of the hu-
reau Of mines. Interior department.
testified that he had Understood"
from Fall that Attorney General
Daugherty had voiced no objection to
the legality Of the leases during IN
formal" discussions at or after cab
met meetings. Balm asserted, how
ever. that he could not say Daugherty
had ever specifically approved the
LEGALITY. even informally. and added
that the Interior department had oh
/ jected TO the ides OF calling upon the
attorney general for a formal opinion.
Senator Walsh Of Montana accused
the republican national committee OF
deliberate and malicio2s nlisrepre-
sentstion" in charging him wtth
"fathering' the oil leasing policy nm.
der which the Fall -Dohenv- -Sinc.sir
contracts were signed. The commit.
tee replied by quoting pages from the
Congressional record and Characters.
ing the Walsh statement as "a ouib-
hle for the purpose Of Tnisrepresenting
the facts
May Call VIII Hsys.
The senate Investigating committee
took under consideration the advisa-
bility Of calling win II. HAYS. now
best known as ear Of the movies"
HAYS was member Of the late Pres.
ident Harding's cabinet during the
period in which oil leases were under
negotiation. The committee would
| Inv 10 aek MN 1T any promises We're
made 70 Sinclair or Doheny or their
representatives in return for their
support in the last republican ma.
,ional campaign
The committee will resume its pub.
lie hearings tomorrow morning when
telephone and telegraph company ~.
ieials viii be called upon te produce
| reeords ~ messages EXCHANGED H..
tween NashinSten and Palm Beach
a few weeks aeo in connection Vita
The statements ~ kNu ana Mclean
With reference - the famous Slee. .oeo
lean
Suepcenas We're issued tonlSht fsr
/ II, {. Wahlhers, late secretary tn
Harry r. Sinclair. and &. r. ClaSxett.
division manager ~ the Chesapeake
and Potomac Telephone COMPANY.
Claggctt is directed - bring before
the committee Wednesday All rec
ords Of telephone conversations cf
Albert r. F>aa Edward =. Mclean. !.
". Zevelv, W. q. nucks,eln. W. =.