Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-02-19
OIL LEASE PROBERS
SUSPEND ACTIVITIES
FOR TEN-DAY REST

WASHINGTON, FeD.' NV lth-
out debate. the house adopted the
Walsh resolution today, directing
the beginning of. proceedings to re-
cover Sections Ii and Sc within ma
val oil reserve No. 1 in California,
now operated by the Standard Oil
Company of California.
The senate oil committee, after de-
veloping sensations in startling
rapidity for month, has taken d
ten days recess.
Before adjourning last night it re-
&C testimony discrediting the
rumo~~ about the sale Of President
Ha~ding's Marion Star, which had
been c'-an circulation by Frank A.
VANDERBILT Also it received word
from Otto II. Kahn and B. f..
Yoakum that they had no knowledge
of any $1,000, 900 oil slush fund sent
to w. ington for distribution to
public officials and others.
The committee, in addition. ap-
prove he nomination of special
y government counsel in the oil lease
-cases-Atlee Pomerene, Of Canton,
o.. and Owen J. Roberts, Of Phila-
delphia. Mr.. Roberts was appointed
in place O. IS II. Strawn, of Chi
cago, whose nomination was with
: drawn Thursday by President Cool
tdge.
- nominations will be called up
soon in the senate, where Senator
Dill, Democrat, Washington, will
continue the fig on Mr.. Pomerene
which he 4~~ted in the committee.
Meanwhile, the counsel will proceed
with a study of the facts so as TO
speed the institution Of injunction
proceed gs to stop extraction OF OH
from the naval reserVes-the hfst
step in the contemplated litigation
for an1ulment the Fall leases
Stock Market Feels Effects.
Adjournment OF the commute
was simultaneous with break III
the New Yorl, stock market Whlch
result f-ro7 circulation of reports
that one big operator had become
bearish on the theory that public
CC4LldGDCe Hdu bCNOIi~ tAi4N'NA 'A-N@A~
by the oil disclosures.
Announcement of the adjourn
Yment came after the executive SEES
sion at which a favorable vote was
given to the special counsel, and it
was statea - recess was MADE nee
essarv. among other reasons, by the
enforced absence from washington
of Senator Walsh, Democrat, Mon
tana.
During the interim committee in
vestigators will go forward with
their work and the acts Of the fed
, eral 'rade commission will be able to
conclude their examination of the
> books of some of the brokers who
- have been subpoenaed by the com
nittee with the Jew to determining
whether. there were operations IN
oil stock by public officials at or
after the time the leases were made.
- Although the committee made
rapid progress this week in clearing
up it's witness list, many persons re-
main to be heard. Among them is
Edward B. Mclean, publisher of the
Washin gton Post, who has been
called from Palm Beach for ques-
-tioning with respect to the slush
Z fund report and also the checks for
800, 900 which he has testified were
returned to him uncashed by Albert
b. Fall. Harry f. Sinclair, who is
returning from Europe, may be one
of the first witnesses after the re-
y, cess. The committee desires to queS-
ton him particularly regarding the
unpaid loan of $25, 900 which his per-
srsonal attorney, ]. w. Zevely, has
testified he made to Fall within
three months after he had retired
y from the cabinet Moreover, it de-
sires to interrogate him further
about circumstances surrounding the
lease of Teapot Dome and confer
p .ences which he had with Fall at the
former secretary's New Mexico
ranch.
Will Question Payments
70 Other subjects which the commit
tee want to take up with him are
the conditions under which he
agreed to pay $1,0O0,O00 to the Pho
neer and Belgo Oil companies for
their claims, in the Teapot reserve
and the contract for the payment Of
another 81 600 900 to j. Leo Stack,
a Denver oil operator, and Frederick
c.. Bonfils, publisher of the Denver
Post.
\ Other witnesses for whom subpoe-
Aas have been issued include John 7.
King, former Republican national
committeeman from Connecticut,
and others connected with the asso-
citation for the protection of Amer
lean rights in Mexico. The commit
tee wishes to examine the books of
this organization with respect to eX-
penditures which the committee has
information it has made in Washing
ton.
Cost of the improvements made
to Falls New Mexico ranch will be
another subject of inquiry, as late
reports to the senatorial investigators
indicate that the sum was in excess
of that first reported to them. They
were unsuccessful in obtaining any
information on this matter from
Thomas Johnson, foreman of the
FAN ranch, who was examined yes
terday after a three weeks stay in
Washington.
Macon Row Watches