The Washington times., 1924-02-08
SUMS
PAID FOR .
LAND,HE
SAYS
Declares Belief That Sinclair
and Doheny Made Deal to
Divide Navy Reserves.
By International News Service.

By International News Service.
In one of the most savage ar
raignments of a public official
ever made in the Senate, Senator
Walsh D.) of Montana, leader Of
the attack upon the naval oil re-
serve leases, today demanded that
Secretary of the Navy Edwin n.
DENLY Immediately resign from
the Coolidge Cabinet.
81 want to see him driven from
office with all the Odium that
possibly attaches to his going,
that his fate may serve for all
time as a warning to those who
might otherwise fail the republic
as he has failed" Walsh declared.
Negotiations back of the leas.
ing of the Teapot Dome oil rec
serve were described in detail
by Fred G. Bonfils, publisher Og
the Denver Post, when he ap-
peared voluntarily before the
Senate Public Lands COMMITTEES
this morning.
Bonfils declared that he was
in Washington on his way to
Charleston, S. c., to accompany
a party of newspapermen on tha
naval transport Henderson to the
fleet maneuvers off Panama
when he learned that he had been
summoned as a witness and ha
fastened to offer the committee
such information as he had.
Tell US what you know about
contract for part of Teapot DomeI
Senator Walsh said.
Some time after it became
known that Teapot Dome was
leased. Leo Stack came and showed
me a contract he had with COM
panies which held a prior location
for acreage in Teapot Dome" said
Bonfils. He complained they had
leased the tract over his head, des"
pite his contract, to Sinclair. He
wanted me to help him to enforce
his rights.
to go to Stack, the contract was to
be divided as follows" Bonfils said.
Stack was to get 461s per cent;
Bonfils, himself, 23A per cent; Bon
fills partner, Mr.. Tammen, 23K per
cent. and Bonfils' attorney, H. H.
Swartz, ~ per cent.
but because of the suddeness
and secrecy with which the COM
tract was made, I made some in
vestigations and consulted oil men.
I had heard rumors and suspi.
cions.
Story Told BY Reporter.
80 l sent a reporter, Mr.. Stack.
lebury, to go and investigate ana
see how the land lay. Stacklebury
came back with an astounding state.
ment. / went over it.
"Stacklebury was cautioned
against disclosing his business or
the purpose of his mission to New
Mexico. Bonfils added. ITO do so,
he was told, might result in great
bodily HARM"
"Who gave those cautions?"
asked Senator Adams Dem. of
Colorado.
"a great many people," he an.
swered.
Bonfils stated his newspaper did
not publish the stories because
they were libelous If not true" and
that if sued for libel, "it would
have been difficult to furnish the
proof"
Published Some Stories.
Bonfils said some stories were
published concerning the Sinclair
lease, copies of which were sent to
Senators. Shortly afterwards, he
said. Senator Kendrick Dem.) OF
Wyoming, introduced the resolution
demanding an investigation.
Later, Bonfils said, Col. j. w.
Zevely, Sinclair's lawyer, came to
see him in Denver and asked him
to visit Harry F. Sinclair in New
York. Bonfils said he then went to
New York and met Sinclair to dis
cuss suits which he had launched
against the Midwest Oil Company
which was given the lease to prop.
erty claimed by Stack.
Bonfils then told of final settle
ment made by Sinclair to end the
suits.
"We met at the Muehleback
Hotel in Kansas CITY," said Bon.
fills. Sinclair was to give us $3.50.
900 in cash and give us 320 acres
Of oil lands somewhere in Teapot
Dome which Me were 10 select
This was drawn up IN a contract. -