The Birmingham age-herald., 1924-01-23
PROSECUTIONS ]. .. '. MAY FOLLOW
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 Grattan T.. Stanford, counsel for the Sinclair Consolidated Oil corporation, testified today that both Mr. Sinclair and Mir. Zesely had told him of this loan and that Mir. Zevely said he had on Long Island. Taxation One Reason
 Stanford also testified that one of the reasons for the organization hy Mir. Sinclair, of the Hyva corporatiUh. the books of which the committee seeks, was that "of taxation"
 $. The idea. was that Mr. Sinclair would organize this corporation" said Senator Walsh, democrat, Montana, 50 that his income would be taxed at 121a per cent instead of the income tax he would be required to pay upon his Prl- yate income, which would be subject to rising sur taxes!'
 That was one of the reasons, stan ford replied adding that organization or such private corporation was com mon thing. Stanford told the com. mittee there was no secret" about the departure of Sinclair for Europe not withstanding the evidence given here yesterday" Senator Walsh wanted to know, If the act was "advertised- and Stanford replied that Sinclair mad given an, interview to newspaper cor respondents at the dock.
 That was when he was getting away" asked Senator Walsh. .;
 Not when he was getting away when he was leaving,' retorted Stan- ford.
 Stanford said he knew 30 days ago S,s- IL l~A &<x k<, ks.r.n ao and that it had been his purpose to sail immediately after Christmas, but was unable to Go so because he had not tlen been excused by the Senate com mittee.S Tie witness said there were important business matters in Europe requiring Sinclair attenliOn,s Archie Roosevelt, who announced 10 fhe com mIttee yesterday his resignation from the Sinclair interests, salu me knew Of no business demanding trip to Europe by Sinclair. v X 4,
 Never Referred To Paypent
 Regarding the alleged $6S,OOO pay ment to the foreman of Falls New Mexico ranch, Stanford declared Sin clair never had referred to such mat ter in discussion of his arIairs with hlm and added that neither had Wahi- berg ever. mentiOned' stcn Il ,,lin. ,o him.. He first heard of it yesterday, he said, when he read about IL in tme newspapers. .N
 Efforts to trace the source of the mysterious memorandum presented to the committee yesterday and to find q way to get the books of the Hyya corporation for detailed examination. occupied most, of the time of the com mittee today. Stanford said he had carried the books to Sinclair's home a few days before the latter's departure for Europe, as Sinclair wanted to ex- anime them.
 Earle W. Sinclair, brother of Harry F., and associated with most of the Sinclair oil concessions, was unable to say whether his mother or the sister of Mrs. Sinclair was in charge of the Sinclair home at this time. He said he was not an official of the Hyva cor pofati0na and consequently had hesi- tancy ill seeking to obtain the books. He added, however. that he would en- deavor to>iocate them to save his mother from coming to Washington.
 Stanford interrupted 10 say that if in the light, Of Sinclair's testimony that neither he nor any one on his be- half had ever paid any money to Fall, the committee still insisted on seeing the books, he would send a cablegram t0, Sinclair to come home as soon as possible. He estimated that Sinclair could return after q week in Europe and added That he thought Sinclair should, have opportunity to submit the books himself. et
 ss,-, In Interest Of. Friend :. The committee was unable to get m more light on the memorandum read into the record yesterday, and which related in most of it's details to Falls desire to- obtain. the Harris ranch, which he afterward participated in and his attempts to interest friend a stock breeder.
 John HOlland,, secretary to Senator Walsh, testified that he got the mem: orandum from E. G. Hill, present clerk of the committee, when he asked for certain telegrams sent to the com mittee by Fall and Edward Mclean. Washington newspaper publisher. be- fore Senator Walsh went to Florida to examine Mir. Mclean. .4,
 Hill testified he never had seen the mennerandum until. it was produced yesterday; that some of the papers he had given Holland were in the clerks desk when he took over the clerkship from Farley Eccles. The latter reiter- ated his statement that he had seen the memorandum yesterday for the first time and that it was not in the com mittee clerks desk when the desk was turned over to Hill. , "
 < Senator Walsh insisted the memo -