The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1924-01-25

Senate action on his motion to abrO-
gate Teapot Dome lease but would
await presentation Of a substitute
plan next week by Senator Walsh,
Montana.
Daugherty TO Florida.
Announcement that Attorney Cen
eral Daugherty, whose name has been
brought into the case, would leave
for Florida, but would keep in touch
with the situation.
Conference at the White House be-
tween President Coolidge and Secre-
tary Of the Navy DENLY, who APP
proved the leases.
Many conferences among senators
who are more deeply stirred over
Teapot Dome than anything else at
present in the public mind.
Fall Kind to Dohenx.
"Mr. Fall has tried to keep my
name out Of it," Doheny said.
"Ths loan has nothing to do with
the lease obtained in competitive
bidding from the Government"
Doheny leased naval oil reserves
number one and number two in Cali
fsrnia some months before Harry F.
Sinclair leased Teapot Dome.
Committee Room damned.
Doheny's short white mustache
hung down over his lips. AS he spoke
he peered thru his gold trimmed spec
tacles directly at Senator. Walsh,
across the table.
The hearing room was jammed to
the doors ten minutes before the
hearing started and capital police
stationed outside turned scores away.
Doheny was accompanied by his
counsel, Calvin McNab.
Assistant Attorney General Hol-
land, who was sent up by direction
Of President Coolidge to listen to the
evidence, was present.
Lowest Bid Got Oil.
Doheny said his bid for the Cali
fornia reserves was 'the lowest re-
ceived by the government"
Two proposals were submitted by
him, Doheny said. He read a letter
sent to him by Fall notifying him that
his bid had been accepted.
Doheny's first contract covering
reserves one and two was signed
July IL, 1921, several months before
he made the loan to Fall.
Doheny's startling announcement
was received in silence by the COM
mittee.
He continued reading his state
ment in a high-pitched, firm voice.
The bid was specifically for royalty
oil but it included a provision for
leasing naval reserves numbers one
ard two in California which were
leased.
Doheny read rapidly and members
Of the, committee and others that
packed the room strained to catch his
words.
Seven Officials Involved.
Senator Walsh cross-examined Do
heny after he had finished his state
ment.
off there was any collision it in
volved seven members Of the navy
department and two men of my own
company" Doheny said in answer to
the first question. He explained all
nine persons were involved in the
lease.
my California manager objected
to both contracts because we assumed
such great obligations. We almost
came to blows over it," he said.
Mr.. Fall had nohing to do with the
study Of the conditions under which
the contract was made"
Fall Gave Note.
Walsh brought out in examining
the witness that Fall gave Doheny
personal note.
~ left it at home, l think, or it
may be in New York." he said.
Doheny promised to send the note
to the committee.
Arranged Loan by Telephone.
Negotiations for the loan were cara
ried on by telephone on November 80,
1928. Doheny was in New York and
Fall in Washington.
~ have known Fall for about 30
years." Doheny said. 1--WE were
bound together by strong ties of
friendship. / followed him all thru
his career. was fortunate and Sem
ator Fall was unfortunate.
Doheny was overcome with emo
ton at this time and was unable to
continue for a few seconds.
when he told me about his mis-
fortune, told him any time he need
ed money to come to me.
"He spoke at that time about get
ting 1t from Ed Mclean, but told
him to come to me.
Gave Fall Cash.
81 told him I didn't need any Sc
curity for it."
Doheny said he gave the money to
Fall in cash in a satchel. He said he
got the money from his bank, Blair
and Company in New York, by cash
ing check.
II don't know whether he asked
A =.