Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-02-12
TEAPOT DOME GALE SHAPES
CLEAN GOVERNMENT ISSUE
AS CHIEF CAMPAIGN PLANK
Taxation Is 0yershadoWed,
Conference on Bonus Pre-
dicted by LaWrenCe-Ru-
nnorS of Dark Deals
RY DAVID LAWRENCE
lLeased Wire Service to The Journal.)
(Cnnrr1rhE 1904

kNOpNrlgHls IVA.
WASHINGTON, Feb. 9.-Clean
government will be the paramount
issue of the 1924 campaign.
Taxation has been. overshadowcd.
The soldier bonus will be disposed
q by a compromise. The Democrats
will take the offensive and ask the
country to return them TO power on
the ground that their record Of adj
ministration was not sullied by any
misuse of power.
The air is full of rlIrlors an,
everywhere one goes there are
whispers all tending 20 inciriminate
persons of prominence with mis-
conception of their personal relation
ship to the positions they mold. If
half the stories which are being
talked about are ever brought out
under oath before the s2c2te inves-
tigating committee, the sensations
of the past three weeks will be tame
compared with the disclosures 10 be
made.
Boiled down to fundamentals, the
big question is who in the govern.
ment knew ahead of time abo,it the
making of the oil leases? Who tipped
off friends so that operations in the
stock market might be profitable?
Who in the government is enEa ged
in stock market speculation based
Upon the acts of the government it.
self? And where shall the line be
drawn between speculation and in
vestment?
Lease Values a Question
The usual tales, Of the roundabout.
efforts of the oil companies to gain
favor are being told and while no
one is talking about outright bribery
there are suspicious being expressed
that favors were extended in orde,
to bring about favorable viewpoint
toward the leasing of the oil re-
serves to private interests.
One of the most perpleXing phases
of the controversy is the diffe ence
Of opinion which seems to exist with
reference to the true value of some
Of the oil leases now under investi-
cation. Responsible persons arc
making the statement that some OF
the leases in question are really of
doubtful value and that the owners
know it, but that the latter had to
keep on making public statements
about the amount of money expect
ed to be made out Of the leases III
order to bolster up on the stock
market the value of the stocks of
particular oil companies involved. If
they admitted that the leases were
without value, the stocks would
tumble. If they admitted that large
sums Of money would be made, the
senate would get the impression that
the government had made a con-
tract unfavorable to itself.
Republicans Can Reply
Just how much did the oil com
panies know ahead of time concern.
ing the making of the leases? Did
they gather all outstanding claims
and arrange a settlement so that
the government would look with
more favor on the making of a lease
or did they settle the claims because
they knew the land was so valuable
that they could put out the claim
ants at low figure and ultimately
make more money themselves?
AS for the general leasing policy,
this undoubtedly will figure in the
answer to be made by the Republic
ans to the Democratic attack. Ger
tain leases were made under the
Democratic administration. While no
one has proved that any Democrat
received money or loans or any
other favor to make the leases. 1t is
a fact that private interests did Sc
cure leases under certain conditions.
Were these leases wisely made? If
not, then the Republicans can claim
that both the Democrats and the
Republicans followed the practice of
making leases.
The Democrats will say, of course,
that they made their leases in the
open and asked for bids. But should
the governments reserves be leased
to private interests? One day Presi
dent Harding in a conference with
newspaper men discussed the sub
ject to some extent. The criticism
of the Teapot Dome lease had begun
to develop and there was talk of an
investigation by the senate. Mr..
Harding declared with Vehemence
that it was all right to talk about
preserving the oil for the navy, but
if nobody would drill the wells there
wouldn't be any oil. and that if the
lands adjacent were being tapped
by private companies the govern
ment's supply might be drained.
Harding Against Control
Mr.. Harding never believed In
government development of its own
oil lands. He didn't want the gov
eminent to so into the oil business
He believed that if the government
entered into a contract with private
concerns which would find it to their
advantage to invest their money in
drilling operations, both purposes
would be served-the navy would
get it's oil and the private companies
, would make their expenses and re