Evening star., 1925-01-28
Attorney General Tells Judi
ciary Committee Charges
Are Independent of Mon
tana Indictment Pending.
CONSPIRACY TO DEFRAUD
U. S. OUT OF OIL INVOLVED
Cabinet Member Makes Statement
in Controversy Delaying His
Confirmation as Supreme Court
Justice-Walsh Cross-Examines
Him on Issues Now Raised.

Him on Issues Now Raised.
Senator'S who are blocking At
torney General Stones nomination
TO the Supreme Court because oi
his part in the Wheeler case were
told fatty by Mr.. Stone today that
the proceedings against Senator
Wheeler not only would continue
but that he. as Attorney General ac-
cepted full personal responsibility
for them.
Facing Senator Wheeler and his
Montana colleague and counsel,
Senator Walsh, across the confer
ence table OF the Senate judiciary
committee, the Attorney General
SAID the evidence gathered by the
Department OF Justice for presenta-
ton to grand jury here next week
not only indicated a conspiracy to
defraud the Government, but led to
an inevitable impression that Sena-
tor Wheeler was connected with
some OF the actions complained of.
Says Cases Are Different
Without mentioning directly the
charge of some Senator's that Sena-
tor Wheeler is being ''persecuted" by
an attempt to try him far away from
home in a case already pending in Mon
tana, Mr.. Stone declared he regarded
the two proceedings as entirely in
dependent of one another.
Senator Walsh ross-questioned the
Attorney General a I length, but the
latter declined to go into details as
TO the evidence which is in the Gov
ernments possession and for the
hearing of which a grand jury was
impaneled today in the District Su-
preme Court.
The Attorney General said the pro-
ceedings here involved a case OF con-
spiracy to defraud the Government
out of oil and mineral lands through
the validating of permits held by the
Gordon Campbell Syndicate.
Principal Acts Here.
The principal acts were performed
at the Capitol" Mr.. Stone said. Much
of the evidence is documentary in
character, and is located in the In
terror Department"
Numerous overt acts" the At
torney General said, had been COM
mitted in the District of Columbia.
and he added that the evidence could
not be reviewed without giving the
impression of a possible connection
by Senator Wheeler with these acts.
Because of this, he had directed that
IN all fairness Mr.. Wheeler should
be given an opportunity to explain
his connection before the grand iury
The case could not he submitted
TO the grand jury without developing
senator Wheeler's connection" he
said.
Under Different Law.
Although the case bending in
Montana also involves the CampbeI
Iahd permits, it was brought under
an entirely different section of the
Jaw Jaw and charges specifically that
senator Wheeler accepted money 10
appear before the Interior Depart
nlent, atter his election to the Senate,
as counsel for Campbell.
MIR. Stone disclosed that ordars tb.t
the new case go to the grand iurv
mere had been given early in Decem-
ner' AFTER Assistant Attorney General
donovan had made a new examfna-
ton of the whole matter.
Ih1s examination was ordered by
the Attorney General, he said. last
August.
Donovans instructions, he con-
hhued' were to examine into the case
as wholly new matter. His report
was made early in December.
II reached the conclusion" said
Mr.. Stone, that the facts in the case
mad much wider scope than at first
appeared"
correspondence Is Read.
The Attorney General then read to
the committee recent correspondence
exchanged between himself and SEN
ator Walsh regarding the case
The letter disclosed that Mr.. Stone
had granted request of Senator
Walsh that witnesses for Wheeler
be summoned before the grand jury.
This witnesses included Thomas
Stout of Lewiston, Mont, whom
Walsh said "importuned Wheeler to
act as counsel; James II. Baldwin of
BUTTE Mont, law partner of Wheeler;
j.. NJ. Harvey, Eugene. Greg, once
an associate of Campbell; William
Spry, Commissioner of the General
Land Office; William H. Teely, Wash
1ngton attorney, who represented Camp
bell her IS counsel. and L. V. Beau
1ein. of Los Angeles, former counsel for
Campbell.
Mr.. Stone said that Stout, Baldwin
and Beaulein could not go before the
grand jury unless they signed waivers
OF immunity.
New Angle Involved.
Cross examined by Senator Walsh,
to the grand jury here was mot
wholly disSociated" from the case in
Montana, but that it involved new
angles. new witnesses and new docu-
mentary evidence.
Would the court in Montana have
jurisdiction?" asked Senator Walsh.
Il am willing to assume for the
purpose of argument that the Mon
tana court would have jurisdiction"
Mr.. Stone replied.
The Attorney General added, how
ever, that inquiry into the case by
grand jury here might develop evil
dence pointing to crime that would
not be indictable in Montana He
said one reason for bringing action
here was because the evidence in
the files of the Interior Department
would be available. He conceded
that certified copies could be sent to
Montana, but added there were other
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