The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-03-13

consider this information nee
ceSSary.
misinformed the committee on his
previous appearance.
Hays said he did not know what
the late Secretary of War Weeks
did with the $4,000 Sinclair bonds
he sent him.
He said the late John T. Pratt OF
New York had turned back $4,000
of the bonds, and he could not ex-
plain why Pratt sold $4,000 of the
bonds, as the committee has learned
The Pratt family was associated
with the Standard Oil group, Hays
said.
Then Walsh pointed out that H. S.
Osler of the Continental in 1928 had
the oil bond profits divided in fou.
packages of $4,000 each; that Hays
sent Upham and Weeks, $4,000;
that Sinclair gave $4,000 of the
bonds to Hays in one batch.
Sold Sinclair Stock
Can you explain that coinci-
dence?" Walsh asked
That's not a coincidence-that's
imagination, Hays replied.
DO you associate this Sinclair
contribution with the fact that Sin
clair obtained the Teapot Dome ma
val reserve from Secretary of In
terror Fall?" Walsh asked.
mo, I'm just like Secretary Mel
lon" Hays said. Il don't
Hays said he had several private
transactions with Sinclair and that
the Federal Trade Commission
agents had gone through every
thing in my Office about the mat
ter"
Nye brought out that the law
firm of Hays and his brother acted
~ attorney for the Sinclair Con-
solidated Oil Company in Indiana.
Thereupon Hays revealed he had
bought and sold "a good DEAL Of
Sinclair oil stock.
Il lost a good deal Of money" ne
added.
He said it would be difficult to say
when he first bought Sinclair stock,
but he made his heaviest purchase
in the spring of 1923.
Mellon Tells of Proposal
IT had telephone message from
New York from Will H. Hays stat
ing he was sending me a package
of valuable papers and was coming
to Washington and would see me
later" said Mellon, describing his
connection with the oil bonds.
The package was handed to me by
the messenger and laid it aside be-
cause I was busy.
when I walked home in the eve
ming I thought about 1t and next
morning 1 opened it and found it
contained $4,000 in Liberty bonds
THAT next day Hays didn't APP
pear and I took the bonds home for
safe keeping-because I had mislaid
the combination.
Later when Hays came and ex-
planned the purpose, I said to him
would return them. I didn't have
them in the Office so 1 said I would
send them to him. He was going to
Indiana then.
Later I sent the bonds to Hays in
New York by Parker Gilbert"
Mellon said he kept no record OF
the bond numbers.
Hays said he had a large sub
scription in bonds and he asked me
to take this lot for him." Mellon
said. II was to hold them or some
thing and make a subscription to
help pay the hangover debt.
Objected to Plan
'I objected to doing SO because
would not be making a subscription
of what it purported to be-a bona
fide subscription.
HE asked me to make what woulc
be loan and hold the bonds, but
to me that was the same thing.
Il said 1 would make a bona fide
subscription to the party to pay q
share of the debt. Some days after
ward I sent check for $4,000 tt
Fred w. Upham, Chicago, treasurer
of the committee. This was in ad-
dition to $4,000 I gave in the Hard
ing campaign. That was all I gave
During the campaign Hays hac
called me on the phone and asked
me to hold a luncheon in Pittsburgh
to help raise money.
"I had no connection with the
national affairs at that time.
was called because I was the lead
ing banker in Pittsburgh.
II saw Hays later in New Yorl
and he gave me a quota of $150,00(
for my district.
eve approached people of means
Most of them gave $4,000 each
which was the plan-no contribu-
tons over $4,000. We exceeded oul
quota"
Senator Walsh of Montana asked
if Mellon knew where Hays got the
bonds.
No Teapot Dome knowledge
ooh, from Sinclair" Mellon said
but he said it was not all to be E
subscription from Sinclair"
What was said about avoiding thu
} appearance of large subscription,
Walsh asked.
!, Mellon said he understood the
/ deficit was then something more
than a million dollars" None of hi