Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-02-11
MCADO0 TO TELL
STORY CONNECTION
WITH OIL GROUP

w dSuiuS tOIl. T. en-. JU--N llIlaIn u.
McAdoo, former secretary of the
treasury, and candidate for the DEM
ocratic presidential nomination, will
appear tomorrow before the senate
oil committee to tell of his profess
sional relations with the Doheny oil
companies.
Mr.. McAdoo will be the only wit
ness heard tomorrow and at the con-
clusion of his statement the commit
tee will consider the nomination of
Silas Fl. Strawn, of Chicago and for
mer senator Alice Pomerene, Of
OHIO, to be special government
counsel in the Oil lease cases. Some
opposition to them has arisen, but q
favorable report of the committee
and confirmation by the senate is
forecast.
Before reaching these nominations,
however, the senate will dispose of
the Robinson resolution demanding
the resignation of Secretary DENLY.
Under unanimous consent agree
mcnt the discussion of this resolu-
and voting will begin on all pending
amendments and finally the resClu
ton itself.
Although without verifcation ru-
mors persisted today Of pending cab
met changes. While no formal
statement from the secretary of the
Navy was made. it was understood
that he would not resign under fire.
Moreover. it was said that no sug-
gestion that he should quit had
come from the White House. 1t was
added that no intimatioh had been
made to the secretary That his con-
tinuance in office as q defender OF
the oil leases would prove embaraS-
sing to the special government coun-
sci in the court proceedings they
might bring to attack the validity OF
the transactions.
After disrosing of the Denly res
olution. the senate still will have be-
fore * the proposal for an appropria-
ton of $4,000 to dcfray expense or
counsel in the oil cases; the Dill res
oIution calling upon the state depart
ment for diplomatic correspondence
rs to negotiations for oil concessions
in Colombo. Mesopotamia and many
other fOreicn countries. and the
Wheeler resolution demanding the
resignation Of Attorney General
D2uGherty.
Mr.. McAdoo will appear before the
committee as Il voluntary witness.
He plans to tell the circumstances
under which he became counsel for
the Dohcny companies in relation to
| their Mexican affais. He will elab-
crate on his letter to the committee
in which he stated that his employ
ment had no connection whatever
with the leases of naval oil reserves
in Wyoming and California.
After hearing Mr.. McAdoo, the
committee on Tuesday plans to in
terrogate J. Leo Stack. of Denver,
Colo. regarding the contract Harry
+. Sinclair entered into with him,
and Frederic G. Bontils. publisher of
the Denver (ColoD Post for the pay
for the payment of $l.000.000 in set
tlement Of claims against subsidiar-
les of the Standard Oil Company Of
Indiana in Teapot Dome to which
Sinclair had testified he has paid
81 ,0O0, 900
Mr.. Bonfils. in his testimony yes
terday. explained that Stack had
contracts with the Midwest and Pr
oneer Oil Companies under which he
was to undertake to obtain the lease
of Teapot Dome. He charged that
these companies, f. J.. Doheny and
Sinclair had entered into n conspir-
acy under which Sinclair was to get
the Teapot Dome. reserve and Do
hery the California reserve.
Besides Mr.. Stack, there are about
q score of witnesses waiting in
Washington to he heard. These in
clude Thomas jefferson. foreman OF
Albert r. Falls New Mexico ranch.
who is to he interrogated as TO the
cost of improvements made on Mr..
Falls holdings and the alleged pay
ment of s6S000 TO him by Sinclair.