The Birmingham age-herald., 1924-02-02
Oil Man Says His Com pany. Retains Former Secretary At Salary
 Of $5O,OOO Per Year
REPRESENTS TT ON
 AFFAIRS IN MEXICO
Had Also Employed Gregory,
 Garrison And Lane Of Old Wilson Cabinet
M'ADOO ASKS TO BE
 CALLED BY COMMITTEE
Statement Declares His Law Firm Had No Connection
 With Oil Leases

WASHINGTON, Feb. 1.--Edward F. Doheny, who was recalled Friday at his own. request to be questioned fur ther in the Teapot Dome scandal, tes- titied that William G. McAdoo is on his payroll as counsel at $50,O00 a year. Doheny said he engaged McAdoo soon after the latter left the Wilson Cabinet at the end of the war and had paid him probably $26O, 900 in fees thus far. Mo .Adoo was engaged solely to protect Do heny's Mexican interests and had noth- ing to do with obtaining leases from the United States government. the oil man said.
 Doheny revealed that he had at var ious times engaged three other members of the old Wilson Cabinet to represent him in oil litigation, former Secretary of the Interior Franklin K. Lane, for mer Secretary of War Lindley M. Gar rison and former Attorney General Thomas w. Gregory, who has been se- . lected by President Coolidge as the Democratic lawyer to prosecute the govs ernment's case for cancellation of the Doheny and Sinclair leases.
 Will Not Retain Gregory
 Within an hour after the President learned of Gregory's former connection he announced that his employment in this case might be embarrassing to Gregory "and perhaps otherwise would be improper" So Coolidge is now looking for another Demo 3ocratic lawyer whose past affiliations would not embarrass him now. Senator Walsh of Montana, who has uncovered the present scandals, is prominently mentioned in this connection.
 Doheny also testified that he gave a lawyer named Leo J. Stack $5, 900 to committee on public information during the war, in connection with an effort to get Josephus Daniels, then Secretary of the Navy, to lease Teapot Dome to Boheny. ke
 Other developments were:
 1. Falls note to Doheny for $100,000, which the oil man handed to the com mittee with the signature torn of. He said the signature had been given, to his wife so that in the event of his death the note would not appear in his estate. His purpose, he said, was to prevent his executors from passing Fall for pay ment, as he had no desire to recover the loan unless Fall was able to pay it.
 Fall Able to Testify
 7. The report of the Senate committee of physicians, who stated after examin- ing Fall that they found him in goo [ physical condition, except that he
 under some. anxiety, and that the.
 no reason why he could not appe,i. , be questioned by the Senate committee. Fall was then summoned to testify Sat urday morning.
 3. Adoption by the House of the Walsh resolution directing President Coolidge to begin suit to cancel Teapot Dome and California leases.
 In the Senate debate was continued on the resolution calling for the dismiss sal of Secretary of the Navy Denby.
 Further sensational disclosures are anticipated when the Senate oil com mittee gets at the books of W. B. Hibbs, stock brokers with whom many Sena- tors and others in public life have bro kerage accounts. Hibbs, subpoenaed by the Senate committee to produce his books for 1921 said that it would re- quire q truck to convey them and that some of the records could not be ob- tained at this date. This did not deter the Senators, who insist upon learning of the stock transactions handled by Hibbs during the time the Teapot Dome deal was being made. They believe that these records will show that some of the insiders who knew of the Teapot Dome deal before it was finally made public, made thousands of dollars out of stock market speculation.