Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-02-02
GEORGIAN IN CLASH
ON OIL PROBE IN
HOUSE COMMIT TEE

WASHINGTON, Jan. 81. - Differ
ences OF opinion cropped out again
today among members of the house
naval committee as to Wether Secre-
tary DENLY followed the policy rec
commended by his predecessor. jose
plus Daniels, for the preservation
Of oil for the navy
AS the committee renewed its in
curry into the Sinclair and Doheny
naval oil reserve leases. Representa-.
tive Britten, Republican. Illinois. de-
clared he proposed to show that Den
by followed in Secretary Daniels
footsteps"
This statement brought the re-
mark from Representative Vinson,
Georgia. ranking Democrat on the
committee that mo one believes that
but you"
"Ill prove it to you before we set
through if you will be fair" Mr.. Brit
ten retorted.
Admiral IeStlIleS
The exchange came after Rear Al
miral I4atimer, judge advocate gener-
al of the navy. had reviewed now MI.
Daniels in 1920 recommended leSls-
lation to permit the navy to nego-
tiate for tank construction Tor the
storage of naval oil. Authority tnen
granted by congress, it was brought
ont enabled Mr.. DENLY to arrange
with the Doheny interests for tank
construction at Pearl Harbof,
Hawaii, out OF royalties for oils from
the California naval reserve.
Admiral Latimer testified that
DENLY. after becoming head of the
navy department, saw it was neces-
sary to take action to prevent deple-
ton of oil in the naval reserves.
1.-The navy department had no or
ganization," the admiral continued
land Mr.. DENLY realized valuable
time would be lost in forming one.
At the time the interior department
had an organization which was han
ding oil production on millions Oh
acres. Mr.. DENLY believed this or
ganization was the proper one 10
act for the navy.
time there was a great effort on the
mart of various departments to avoid
duplication of work, and to econo-
mize."
Declaring he was not familiar with
the procedure followed in transfer
ring the California and Wyoming re-
serves from the navy to the interior
department, ---dmiral Latimer said
- ~ ixyc
the transfer was issued ''at the re-
quest of Secretary DENLY"
MIR. DENLY told me- the admiral
said, that he had initiated the trans
fer after investigating the question
and consulting with various ex-
perts.
Admiral Clears Daniels
Secretary DENLY initiated" trans
fer OF the California and Wyoming
naval oil reserves to the interior,
Rear Admiral Latimer, judge advo-
cate general of the navy, today told
the house naval committee.
The admiral said Mr.. DENLY had
told him he had initiated the trans
fer after investigating the question
and consulting with various experts. "
After becoming member of the
cabinet, the witness explained, Mt.
DENLY became convinced of the ne
cessity of taking prompt action to
prevent further depletion of oil in
the navy's reserves, but had no or
ganization in his department which
could function to that end.
Admiral Latiner said that even il
it Was proven that the DENLY and
Sinclair leases were tainted with
fraud and corruption" it might be
poor policy for the government TO
cancel them.
IF the government would lose
money" he added, "the government
would merely be cutting off its nose
to spite its face to throw up the con-
tracts. If. however. the contracts
are not to the best interests of the
public. they should be revoked.
Admiral Latimer steadfastly de-