Evening star., 1927-10-16
BY WILLIAM HARD.


Harry F. Sinclair and Albert r.
, Fall 60 to trai here tomorrow with
four more court proceedings ahead
before the great naval oil legal drama
is concluded.
Washington has heen much en-
gayed in summing up the results ot
that dra:.ia to date and in forecast
ing the outcome of its remaining
scenes. The Navy Department finds,
in the first place. that the total
amount of oil taken out of the naval
reserve No. l in California and out
of the Teapot Dome naval reserve
in Wyoming under the DOheny
and Sinclair leases and under the
subsequent receivership proceedings
amounts TO less than $4,000. 900 bar
rels. Since the total amount of re-
coverable oil in the two reserves is
probably along about 800, 100000 bar.
rels, it is manifest that the Navy
has lost only A very small percentage
OF it's reserve oil supplies and that
in this respect the activities of the
Government toward combating the
consequences OF the Doheny and Sin
clair leases and toward stopping the
draining of the reserves have been
highly successful.
1t is noted. in. the second place,
that the financial punishment inflict-
ed upon Mr.. Doheny and about TO
be inflicted upon Mr.. Sinclair has to
be regarded as thoroughly complete.
Four Other Proceedings Pending.
While Mr.. Sinclair is being tried
in Washington there will be hanging
over him one of four further court
proceedings above mentioned. This
will take place in the United States
District Court in Wyoming in obedi-
ence to a: mandate from the United
States Supreme Court and 1t will
cause Mr.. Sinclair to say goOd-by 20
several million dollars.
The District Court. under the man
date, will be obliged to order Mr.. Sin.
clair TO pay over to the United States
Treasury the value of the oil which he
Withdrew from Teapot Dome. That
value is calculated by the Navy De
partment to be in the neighborhoOd
of 81 900 900.
Mr.. Sinclair will also be ordered to
reliruuish to the Government all the
works which he has constructed in
Teapot Dome, amounting in value -
perhaps $4,000, 900. He wiz ,G<o he
ordered to surrender to ..e Navy De-
partment without aan,censation the
storage tanks which under his lease
and contract he has built in the Ports.
mouth Navy Yard at a cost of more
than 81 900 900.
1t is believed that not one cent.
which by any process of reasoning
could he demanded by the Govern
ment from Mr.. Sinclair. will fail to be
wrung from him within the next few
months under the Supreme Court
mandate.
Facing Financial Punishment.
A similar statement can be made re-
garding Mr.. Doheny. together with
the additional statement that Mr.. DO.
heny faces further financial punish
ment in a cases which is still ot be
tried and which has quite generally
escaped public notice.
In the famous case involving his
general lease in Naval Oil Reserve
Number One in California, Mr.. Do
heny has already paid over to the
United States Treasury more than
S13,O00,000 for oil taken out He has
also surrendered to the Government
in that reserve various roads and
wells and other works which it cost
him more than $500. 900 to construct.
He has also relinquished without com.
pensation to the government naval
authorities all the tanks which he
constructed for storage of oil in the
Hawaiian Islands, together with some
100000 barrels of oil deposited in
them. representing in total an outlay
by him of somV 10000, 900.
Yet this is not the end of his finan-
"''' r"t"ibnt'"n 70" his dealings with