The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1924-02-15

Sinclair, lessee Of Teapot Dome, will
be required to appear as soon as he
lands from Europe.
1t was investigation of McLean's
loan to Fall which opened up the
sensational phases of the oil inquiry.
Mclean, under questioning by Walsh
at Palm Beach some weeks ago, saio
Fall got checks for 100000 from
him but returned them uncashed
three days later.
Daugherty Cinched.
Postponing until tomorrow the
questioning Of Frank A. Vanderlip,
New York fnancier, regarding his
statement that the late President
Harding's sale of the Marion Star
ought to be investigated, the senate
Teapot Dome committee today got
testimony which showed:
That Attorney General Daugherty
gave informal and verbal" approval
to the naval oil leases and contracts
for exchanging oil for storage, under
which Doheny and Sinclair got the
oil leases.
That Daugherty's opinion was CIV
en- in the face of a written opinion
from a Standard Oil lawyer that the
proposed leasing plan was "absurd"
and illegal.
That Fall knew of the Standard
Oil lawyers opinion, but did not think
it necessary to ask formal opinion
from Daugherty.
That under instructions from for
mer Secretary Fall, the leasing of
Teapot Dome was kept secret, or
ders being issued to all in the interior
department to give out no infor-
nation.
Balm in his letter to Fall stated:
''NOne of us want Mr.. Doheny to
get into trouble and take it we
all want to do anything we can to
make it easy for him.
'Out of all this dispute about
the legality of the Ieases) has come
the suggestions repeatedly that the
opinion Of the attorney general be
obtained.
Il realize the objections to asking
such an opinion but / have thought
it proper to let you know the diff
culties -. that you might decide
as to whether you might not prop
erly ask the attorney general to put
in writing what l have understood
was his informal and verbal express
sion of opinion favorable to the ac-
ton the department has taken"
That Fall promised 10 see that
Sinclair "took care of" John Shat
er, owner Of several newspapers, who
claimed an interest in the Pioneer
Oil company's rights to Teapot
Dome.
That Shaffer has obtained $4,000
from Sinclair under an agreement
growing out of his claim.
Standard Oil Influence.
Assistant Secretary of the Interior
Finney testified that he was present
when arguments were heard by Fall
concerning dismissal of suit
against the Standard Oil of Cali
fornia, relating to the title of Section
SO, rich section of naval reserve
Number One.
Finney said no one was heard by
Fall except Oscar Sutro, Standard
Oil attorney, and that Fall there
upon dismissed the government pro-
ceedings and permitted the Standard
70 retain the section.
Finney said he now disagrees with
the ruling of Fall, but that he put
forward no protest when the decision,
was made.
Finney's testimony was marked by
the suggestion from Senator Walsh,
Montana, that Finney was not tell
ing the committee all he knew.
II want the record to show" said
Finney as he concluded his testi-
mony, "that am not consciously
concealing anything from this COM
mittee."
Walsh repeated that he could not
"resist the conclusion that Mr.. Fin
ney has not done all he could to
help the committee get at the facts"
Walshs statement was caused by
Finney's inability to explain definitely
why a formal opinion was not OBJ
tanned from Daugherty and his state
ment that he could not remember
sending out the order for secrecy
regarding the Teapot Dome lease.
Falls Secrecy.
Senator Kendrick, Wyoming, asked
Finney why he had denied the Tea
pot Dome contract had been signed
for nearly. two weeks after the con-
tract was signed.
81 acted under instructions from
Secretary FALL" ginney answered.
"He told me to give out no infor-
nation"
Finney said his instructions were
that information concerning the Sim
clair lease must be withheld until the
Doheny lease was signed.
"What reason do you believe actu-
ated Fall TO keep the Sinclair lease
quiet7n
II don't know. l surnise he want
ed to make them both public at
once
Walsh read memorandum TO
bureau chiefs about that time which
IL Il. L.. - =.