Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-02-16
MORE DATA SOUGHT
ON EDITOR S LOAN
To SECRET AIRY FALL
Quizzing Of Vanderlip on
Speech Delayed Nonina-
ton Of Strawn Withdrawn
by Coolidge

WASHINGTON, Feb. 1.-THE sem
ate oil committee decided today to
undertake to run down another OF
the many sensational rumors that
have been sptread about the nation
al capital since the oil inquiry start
ed.
1t asked Edward 3. Mclean, the
Washington publisher, to come here
at once from Florida for question
ing about reports that $1,00O,000
slush fund had been sent to Wash
ington by New York financial in
terests.
Just what relation the fund is sup
posed to have to the oil leasing ne
gotiations is not revealed. A rumor
of such a mysterious fund has been
current here for several weeks, but
the uses to which it was to have been
put have been variously reported.
Like it's subpoena to Frank A.
Vanderlip, for questioning as to his
statements regarding the sale Of
President Harding's Marion newspa-
per, the committees action today
was taken as an evidence that every
possible avenue of investigation is
| to be opened up SO that the facts
may be established and unsubstan-
| tiated reports definitely disproved.
| Mr.. Mclean also will be question:
! ed further about his statement that
| he loaned Albert B. Fall 100000, and
his later testimony that the checks
! for that amount were returned to
| him by Mr.. Fall uncashed.
Nomination of Silas III. Strawn, OF
Chicago, as special government counr
sci in the oil land lease cases, was
withdrawn from the senate by Presi-
dent Coolidge late today.
VanderIip TO Testify
| Mr.. Nanderlip came to Washing
ton today, but the committee decided
to defer his testimony until tomor-
row, when it also will hear the state
ments of those who purchased the
Marion Star from President Harding
just before his death.
The senate oil committee produced
! a fresh flock Of sensations from witt
I nesSes today.
| John c.. Shaffer, publisher Of the
| Chicago Post and other newspapers,
testified that Secretary Fall had told
him in March, 1921, the very month
he entered the cabinet, that he was
going to lease Teapot Dome to Harry
+. Sinclair. AT that time Teapot
was not yet under Mr.. Falls juris-
diction
Mr.. ShafferJ told also how he him
| self had got a one-eighth interest in
the Pioneer Oil company, a Stand
ard subsidiary, in connection with
the Sinclair Teapot Dome leases.
and gave up nothing" in return. He
had an old claim pending. he said.
and Secretary Fall promised, merely
! for the asking, that he would be
taken care Of. s
DOugherty Is Quoted
A letter by III. Foster Balm, direc-
| tor of mines, written before the,
leases were made, and put into the
committee record, declared the
writer "understood'' that Attorney
General Daugherty had given an in
formal opinion upholding the Validity
Of the leasing policy. Mr.. Daugherty
previously has denied he gave any
opinion. The letter, addressed to-
Secretary Fall, suggested a written
opinion be asked from the attorney
general, but added that II realize the
objections to asking such an opin-
I ion."
| Oscar Sutro, counsel for the Stand
ard Oil Company Of California. tes-
| titled that he had suggested to As
sistant Secretary Finney, Of the In
terror department, that an opinion
| be obtained from Mr.. Daugherty,
but that Mr.. Finney replied that
| Secretary Fall thought it "unneces-
| sary'' to take such a step.
| u. c. Finney, assistant secretary
of the interior, testified that his rec.
objection was that Secretary Fall
told him short time before the Tea
pot Dome lease was announced that
| arrangements had been made with
| Harry Sinclair to give some land in
the reserve to John c. Shaffer, the
publisher
Disasrees With Sutro
Finney said he disagreed with
Oscar Sutro, counsel of the STAN
ard Oil Company of California, a pre-
vious witness, who held there was
no legal authority for the Fall
| leases.
The witness could not recall all
| the circumstances, but said he would
not deny Mr.. Sutro's testimony as to
their talk about the reasons for not
asking Attorney General Daugherty
for an opinion
| F'inney said there had been $50
| called bids for the onset wells IN
I the California naval reserve and the
Pearl Harbor tankage project. The
| bidders included the Standard Oil
Company of California, the Associat-
ed Oil company and the Doheny Oil
company.
| Asked directly why Attorney Cen
| eral Daugherty was not asked for
an opinion Finney said the secretary
did not regard it as necessary.
Finney said the Teapot Dome con-
tract was handled Every largely" by
| Secretary Fall.
Finney testified that Fall in.
structed him to issue statement de-
nying that leases had been entered
into week after Teapot actually
had been leased to Sinclair.
Why News Was Withheld
! Explaining how he came to sign
the Doheny-Pearl Harbor contract.
F'inney said Fall was in New Mex
CO, and wired him to sign after the
secretary had studied the summary
OF the bids sent to him at his home.
The real reason why the Teapot
lease announcement was held up,
| Finney said, was because Fall didn't
| want it made public 8untu the
DohenV lease TO the California re-