The Birmingham age-herald., 1924-03-24
GRAND JURY TO GET CASE OF SINCLAIR Senate Committee To Ger tify Oil Magnate For
 Action a COURSE CHOSEN a AFTER DEBATE Alternate Plan Was To Have Sergeant-At-Arms
 Hold Him - WRIT OF ERROR
 GUARDED AGAINST Reporter To Explain Story Of Hays Admission Of 75,000
 Share Payment

: WASHINGTON, March 23.--The Senate oil committee decided to recom- mend that the Senate certify Harry F. Sinclair to the district attorney of the District of Columbia for grand jury proceedings because he refused u answer further questions put by the committee. :. Some of the members Cf the com mittee anticipated that an effort will be made in the Senate to have the lessee of Teapot Dome ha1ed before the bar of the Senate on contempt charges, but they said that in this case the controversy undoubtedly would result in court proceedings which would work out to the same purpose as the committees recommendation.
 Two Courses
 The decision to recommend that the case be given to the local authorities came after the committee had deliberat- ed over two possible courses---that adopted and an alternate plan to com init him to the custody of the sergeant at-arms of the Senate until he was ready to answer questions. It was decided that if , the latter plan were followed the oil operator undoubtedly would gain his liberty on writ of error.
 Harold Vivian, reporter on the New York Times, will be called by the committee tomorrow to be ques. tiOned about story he wrote for the Times stating that it was under stood Will H. Hayes, former republi. can national chairman would tell the kha rNk sl. r,f Sinclair oil stock figured in the settle ment of the committee deficit was true. s
 Hays Denies Story t
 Mir. Hayes on the witness stand yes terday denied that any stock trans action had taken place but said Sin clair had agreed to contribute $75,- 000 10 the committee.
 The committee decided not to eall read telegram from him denying that he had given out the story of the stock transaction. M
 Carmi A. Thompson of Ohio, one of the Coolidge managers, will be heard by the committee this week in an ef- fort to clear up gossip that an "oil deal figured in the deliberations at the Chicago convention in 1920 which nomi- mated Warren G. Harding for Presi- dent.
 Al Jennings, former Oklahoma train robber, and now an evangelist, also is to be heard in connection with his asser- tions that a million dollar fund was used to nominate President Harding. Jennings, who was subpoenaed in Cali fornia, is expected to arrive in Wash iItgton Tuesday and probably will be put on the stand at once.
 :, The time of the arrival here of Fred W. Upham, republican national treasurer, to testify as to the Sinclair political contributions is uncertain. Mir. Upham is in the west but the com mittee expects to hear him some time this week. He was instructed to bring all records bearing on funds received from the oil operator
 To Hear Oelschrager
 Martin J. Powers, attorney, and Charles B. Oelschlager, architect, both of Philadelphia, will be called this week for questioning about charges by Oelsehlager that Powers had told him he was to get in on the Wyoming oil reservations through close connection with Attorney General Daugherty.
 Both the oil committee and the Daugherty committee have now crossed each others paths at various places, especially in connection with the ru- mors of an oil deal at the Chicago convention, but the committee chair men give no indication tonight as to whether there would be switching of witnesses from one committee to another in an effort to disentangle and reassort the evidence in sequence.
 Committee Statement .a
 The democratic national committee in a statement tonight with the ap- proval of John Barton Payne, former secretary of interior, replied to charges that n democratic administration set a precedent for leasing of naval oil re- serves. &
 What the Wilson administration did" the statement said, "was to fol- low the national policy established by President Taft and by congress when it passed the leasing lay to protect and conserve the naval reserves-to keep the oil for the use of the navy for some great emergency; while Secre- taries Fall and Denby deliberately de- fled this national policy and secretly leased the reserves, thus destroying the reserves"
 The statement said that not single claim was allowed noi q single lease made as to naval reserve No. 1. As to reserve No. 2 it was found that claimants had brought in about 50 pro ducing wells. These, under the man. datory provisions of the leasing act were leased to the claimants. With approval of the secretary of the navy and the president offset wells were leased where it was apparent that pri yate wells were draining the reserve As to the reserve No. 3-the Tea pot Dome," the statement said, "all oi fhe clnims were rejected and no leases