Evening star., 1926-12-01
FALL TELEGRAM IS READ
TO SUPPORT SECRECY CHARGE

initial accompanying his report to the
Senate reads:
ITO the President of the Senate:
ION April 90 the Senate adopted a
resolution directing the Secretary of
the Interior to furnish the Senate
with certain documents, correspond
ence. paDers, files, executive orders
and all contracts for drilling Oil wells
on naval Oil reserves of the United
States. with all detailed information
relating thereto. I am today in re-
ceipt of letter from the Secretary of
the Interior. in which he advises me
of his compliance with the resolution
of the Senate and in which he makes
to me full and comprehensive re-
port. probably not contemplated in
me the details of the handling Of al,
naval reserves petroleum matters up
to the present date, including full eX
planation Of the contracts for the dis.
position of oil and the necessity for
such action as has been taken.
Had Entire Approval"
THE report, with the exhibits there.
to attached, am sending to the Sen
ate herewith, with the hope that they
NAV be referred to the Senate COM
mittee on public lands, for such ready
reference and information as they will
afford the committee in making the
investigation contemplated by the
Senate.
II am sure am correct in constru-
ing the impelling purpose of the Sec
retary of the Interior in making to
me this report. 1t is not to be con-
strued as a defense of either specific
acts. or the general policies followed
in dealing with the problems incident
to the handling of the naval reserves,
but is designed to afford that explana-
ton to which the Senate Is entitled,
and which will prove helpful to the
country generally in appraising the
administration of these matters Of
great public concern. think it is
only fair to say in this connection
that the policy, which has been
adopted by the Secretary Of the Navy
and the Secretary Of the Interior in
dealing with these matters was sub
mited me prior to the adoption thereof.
and the policy decided upon. and the
subsequent acts have at all times had
my entire approval"
(Signed) "WARREN G. HARDING,
THE White House"
Finney Again on Stand.
IlUSy was again put oi lAC oI0Au
when court reconVened at 10 O'Clock
this morning. half hour later than
it's usual hour.
Mr.. Hogan sought to bring out that
J. J. Cotter for the Pan-American
Co. was the leader in negotiations for
the Pearl Harbor contract and that
the Navy Department had objected to
the cost-plus plan.
Finney in his testimony established
this fact. He stated in response to
question that the Navy Department
had desired to put through the lump
sum plan.
Between January %, 1922, and April
IS, 1922, Finney said that he had talk
ed with Fall about the exchange Of
oil for the construction OF the
Hawaiian tanks and had told Fall
that the Navy Department had said
there was ample authority under the
act of June 4, 1920, to make the lease.
THAT was your opinion also?"
Hogan asked.
Eyes, that was my opinion then,
and it still is" F'inney replied.
Fall Was Not in Washington.
The greater portion Of the cross
examination this morning was of
highly technical nature, the real pur-
pose of the defense being to draw out
information tending to bear out its
contention that the lease awarded to
Doheny's company was a good thing
for the Government.
Mr.. Hogan asked Finney IL he had
had any knowledge Of the alternate
bid Of the Pan-American Co. prior to
the opening Of the bid. He declared
he had none. He testified that Fall