New Britain herald., 1925-06-19
VERDICT GIVEN
 IN TEAPOT DOME
tContlnued from First Page)

lessee, and Albert R Fall. lessor, conspired in negotiating the lease,
 The governments allegations of fraud and the charge that the Ieas- Ing of the big oil reserve was il- legal were set forth at length and Judge Kennedy then. plunged into his findings of fact
 The findings of fact then were aot forth in their chronological or der, Judge Kennedy set forth the governments first policy of conser- vation Of oil lands and how in April 1915 certain lands were designated as naval oil reserves,
 The decision then reviewed the Wyoming reserve and the arrange mcnt under which the navy was 10 receive fuel oil in exchange for crude oil royalties accruing to the navy under the naval oil reserve leases.
 RobiSon AbsolNed
 The decision dissolved Rear Ad. miral J. K. Robison chief of navy engineering; F.. C. Tinney, assistant secretary of the navy; H. Poster Bain, director Of the bureau Of mines: former Assistant Secretary Roosevelt Of the navy and several suhordinatos involved in the leasing negotiations, of all blame.
 "The defendant Mammoth Oil company was the creature of Stn- clair and should be held responsible for all his acts" inc decision said, 'The executive order of President Harding transferring jurisdiction of lhe reserve, was held 10 be legal.
 Fall Upheld
 The fact that congress was not consulted by Fall and Denhy is not significant, he declared.
 Fall was upheld in keeping the lease a secret pending completion of the Pearl Harbor oil storage lease with F.. l.. Doheny interests.
 The lease must be the legitimate child" of the then secretary of the navy. Denby. in view of the fact that Admiral Robson, his represen- tativc, vas in touch with both Fall and Denby al all times, Judge Ken nedy held,
 There is no substantial evidence to show that unnecessary secrecy Was shown by Fall in negotiating The lease the judge ruled.
 
 Bond Deal Legal
 The decision reviewed testimony relating how Sinclair paid about S1.006.00O to the Pioneer and Belgo oil companys for mineral claims they held in Teapot Dome, which former Secretary Fall required that Sinclair acquire in order to get a release on the reserve. The Conti- mental Trading company which the government alleged was used in a huge oil resale scheme as well as for passing Liberty bonds from Sin clair to Fall, was organized legally under the laws of Canada said the decisiOn
 Falls neglect to get an opinion rom the attorney general on the le- gaIity of the lease was mo more than an error in judgment in select i ing attorneys" Judge Kennedy held, pointing out that Assistant Secretary Einney passed on the question.
 sinclair Not Convicted.
 The governments contention that Sinclair was guilty Of fraui because bonds of the Continental Trading Go. were found in the possession of a relative Of Falls, cannot be upheld from the evidence offered, the de- cision asserted.
 The decision assumed that the oil transactions involving the Trading company: A E. Humphreys, Texas oil operator, the Sinclair interese and . he Midwest Oil company have been bona tide.
 Began In 1922.
 The tempest Of Teapot Dome had is inception in Washington early in April, 1922, when reports became current that the then secretary of the interior. Albert B. Fall, had ,easel the big Wyoming naval oil re- serve to Harry r. Sinclair's Nam moth Oil company. Reports Of the leasing were confirmed by MT, Fall himself after the senate. at the in . stance of Senator J. B. kendrck Of Wyoming, had demanded of the in terior secretary the facts in the case.
 It was April 21 Of that year when Mir. Fall reported the lease had been given Mr. Sinclair. The next step Of consequence vas the creation Of the senate oil committee. headed by Sen ator Walsh, of Montana, which probed long and deep into the trans action, giving the government infor nation upon which it based its suit for annulment on the ground O. traud and illegality,
 The suit was prepared by Owen ]. Roberts, Philadelphia, lawyer anI Alice Pomerene, former Ohio sen1- tor. who were appointed by Prcsi- dent Coolidge as special government counsel. It was filed in March, 1924, just a year before being brought to trial
 Exchange of Bonds
 In the year intervening between the filing of the suit and the triai Mir. Roberts and Mr. Pomerene ob- tained information which they said indicated an exchange of liberty bonds between Mr. Sinclair and Mir, Fall shortly after the lease was eX- ecuted, and their hunt for evidence WAIT NHN