Evening star., 1924-01-26

ldylng the evidence to determine
fraud. but both actions are di-
c purpose is to ascertain definite
self had no such document covering
the transaction.
Criminal Action Seen.
Evidence ALREADY adduced at the
hearing. which has been attended
since the beginning of the week by
Assistant Attorney General Holland
as the personal representative OF
Attorney General Daugherty. is re-
garded by President Coolidge as
pointing to criminal action, and il
was made clear after yesterdays
cabinet meeting, at. which the situa-
tiQn was discussed, that annulment
of oil leases involved would be sought
If convincing evidence Of fraud
should he revealed.
The President has no intention, il
was emphasized, 10 jump at conclu-
SONS, but he is determined that the
interests or the government shall be
protected and that any persons guilty
or wrongdoing shall be punished.
AS Mr.. Zevely was unfolding his
story TO the committee yesterday an
other move for cancellation Of the
Teapot Dome lease similar TO that in
the Senate was made in the House
representative Morehead, democrat
Nebraska, introduced a resolution 70
this end, the measure setting forth
that it appeared the lease was cor
ruptly obtained"
A further move for cancellation Of
the leases will be made Monday in
the Senate, but whether the original
caraway resolution VIII be pressed
or substitute offered By Senator
Walsh remains to be determined
Explaining that he had come TO
Washington four or five years ago
from MuskoSee, Okla, where he had
practiced law for thirty or thirty-five
years, Zevcly, in answer TO an inquiry
from senator Walsh. democrat, Mon
tana, stated that he had been in the
from 1896 TO 1902 or 1908.
What was the character of the
work You did in the Interior Depart
ment: Senator Walsh asked.
Was Inspector Here.
Il was an inspector III the Secre-
tarys office, coming here with Secre-
tary Francis, remaining under Secrc-
tary Bliss and for time under Secrc-
tary Hitchcock"
You are quite familiar with the
public land work of the department? ?"
with it, Yes sir"
Il wish you would tell US what. ii
anything. You had to do with the
execution of the lease of Teapot Dome
to the Mammoth Oil Company"
Il went with Mr.. Sinclair, in Decem-
her. 1921-l guess it was-to Three
Rivers, to discuss with the then Sec
retary Fall a matter pending in the
Indian office touching the sale of lands
in the Usage nation, and after We
spent couple of days there discuss
ing that l think Mr.. Sinclair meI-s
toned to Secretary Fail the matter
of Teapot Dome. / think he asked
whether it was going to be leased.
Secretary Fall said he was having it
investigated. and that his decision
would be determined by the report.
when We got home. about the lst
of February, Mr.. Sinclair filed an ap-
plication to get the Teapot Dome
lease. Thereafter it was negotiated
for and obtained in April
Have you given US the extent to
which the negotiations went at Three
Rivers"
so far az I know. ! had nothing
personally to do with it,
In substance, Mr.. Sinclair asked Sec
retary Fall if he was going to lease
Teapot Dome and he answered that he
was having the question examined.
Did not Sinclair then, in general
way, submit proposition to Mr.. Fall?"
l.
having been submitted"
DO you know anything about the
drafting of the general outline of the
propoSition?"
Later Knew of Offer.
subsequently ] did. / was some
times present at the drafting of the
lease"
Il am thinking of the document
anterior to the lease; the application.
u. "a. h. hos
clair submitted to Secretary Fall an
outline OF what he was willing to edo
in the matter of the lease of Teapot
Dome"
4 think that was in February. I
helped to prepare it,"
who coIlaborated with you?"
1T was prepared by myself and Mr..
Sinclair"
II have a memorandum bearing date
of February 3, 1922. Do you know any
between Mr.. Sinc-air and Secretary
Fall between the time you were i'll
Three Rivers ana the time of this
memorandum"
mo sir.
Did not you or Mr.. Sinclair know
Secretary Fall was willing to lease
Teapot Dome?"
II do not know. 1t may have been
referred to while Mr.. Sinclair was at
Three Rivers"
Indicates Fall willing.
This memorandum evidently pro
ceeds upon the assumption that the
request addressed to Secretary Fall
at Three Rivers by Mr.. Sinclair had
been answered in the affirmative by
Mr.. Fall-namely, that he was will
ing to lease"
The proposition laid down in the
application, if YOU choose to call it
So" was discussed by Secretary Fall
and Mr.. Sinclair at Three Rivers. Ii
may be that they understood each
lContinued on Page 3. Column g.