The Washington times., 1924-03-18
EIGHT u. S. OFFICIALS FOUND
TO HAVE DEALT in OIL

were prospecting in the southwest.
Last November, Mckinney said,
he was visited in Cleveland by
C. c. Chase, Falls son-in-law.
Mckinney created sensation
when he said Chase asked him to
say that Fall had borrowed" the
famous 100000 from him.
What did you say?" asked Sen.
ator Walsh.
Il told him I couldn't say that
I had or I hadn't"
Letter Had Same Request
Mckinney testified he also had
received letter from Chase request.
ing that he say Fall had borrowed
the money from him.
Mckinney then described q trip
he made to California with FAN in
1921.
ION the way back Fall stopped
off at Three Rivers and I came on
to Cleveland" Mckinney said.
Didn't Sinclair come to Three
Rivers shortly after that to arrange
the leasing. of Teapot Dome?"
II don't know q thing about that.
l am not interested in OIL"
With this answer Mckinney was
excused and Henry Woodhouse
New York publisher of the Scien.
tific Age, was called.
Woodhouse explained he owned
one-Sixth OF the Chester concession.
Woodhouse said he was born in
Italy, but is an American citizen.
He said ne had made q world
study of oil conditions and 1 am
considered an authority"
Il have just completed a text
book on the worlds oil supply"
Tells Of British Control.
For fifteen years / have been
collecting secret treaties and secret
negotiations on world oil. I have
written thousands Of articles and six
text books" said Woodhouse.
Walsh asked him to tell about an
article charging that E. L. Doheny
had organized a subsidiary company
to sell oil from the Elk Hills reserve
to Great Britain.
During the summer of 1921 Great
Britain had acquired about nine.
tenths OF the worlds oil supply.
They had even bought outright con.
troll in American companies, such as
the Union Company" Woodhouse
said.
In 1919, Woodhouse said, Doheny
went to London to make an ar.
rangement with Great Britain about
American oil.
On July Is, 1919, a company was
formed to exploit Mexican and
American oil, Woodhouse said. 1t
was called the British. M exican
Petroleum Company and he gave
the following as directors:
Lord Pirrie. Sir William Weir,
Sir Thomas Royden, Sir Peter Nc.
Clellan, Sir James Currie, Sir Alex
ander MCGUIRE, L. o. Soloman. Of
New York; e. Walker, of New
York; e. L. Doheny, ST., and e. L.
Doheny, jr.
"A contract was made with this
company and the Doheny group"
Woodhouse said, whereby the Brit
ish company would have first call
on the output of Doheny's oil in
both the United States and Mexico.
I'm substance. all British ships
in the United States would fuel at
Doheny's oil stations"
Ship Lines Interested.
Woodhouse testified that an ar
rangement was made also with
British steamship companies.
Besides having the call on all oil
supplies by Doheny, Great Britain
could use Doheny tanks in America
for storage purposes for use by the
British naval fleet, Woodhouse
charged.
"The American Government knew
only in slight way about this ar
rangement," the witness added.
This contract, however, was not
made public until published it.
''The British government supplied
the money for the company and
thus enabled Doheny to get on his
feet financially after he could not
raise money in the United States"
he said.
Did Not Have COntract.
WOOdhouse could not produce the
contract between Doheny and the
British company. He was then ex-
cused.
Following WOOdhouse's TESTIMONY
the committee adjourned until 10
o'clock tomorrow.