The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-11-16
KEEPING UP
With
THE NE WIS
BY LUDWELL DENNY

bI LOOWELL OEENNL
Copyright. scripps-Howard Newspapers
WAsHI:I,NGTON, Nov, 10
w While the nation talked sea
disaster and the Hoover bull mar
ket, the law moved relentlessly to-
day against Stewart, Fall and Do
heny, three principals in the almost
forgotten oil scandals. :
At the same time word came from
Paris that French legal authorities
had decided to reject the Ameri-
can demand for extradition Of
Henry M. Blackmer, another oil
scandal principal, under indictment
in Denver for Justification of income
tax returns. Blackmer is credited
with having originated the $3,000,-
900 "rakeoff" in the Continental
Trading Company deal with Harry
Sinclair and Robert w. Stewart.
x-Secretary of the Interior Fall,
who borrowed 100000 from E. L.
Doheny, Elk Hills lessee, and re-
ceived 100000 of the Continental
Trading Company bonds from Sin
clair, Teapot Dome lessee, will be
brought to trial with Doheny on a
bribery charge. This announcement
was made here by former Senator
Atlee -Pomerene, after conference
with President Coolidge.
Pomerene is the only remaining
special government oil counsel,
since resignation last week of owen
j. Roberts of Philadelphia.
n II
THIS bribery charge grows out Of
4 the 100000 Doheny-to-Fall
loan" the first sensation of the
1928 senate investigation. The
money was sent by Doheny in New
York to Fall here in "the little
satchel," carried by Doheny's son.
Fall and Doheny were acquitted
by a District of Columbia jury two
years ago on joint indictment
charging conspiracy to defraud the
government in the Elk Hills lease,
which was made few months after
the "Ioan"
The date of the bribery charge
trial will be fixed after Pomerene
determines the state of the Defend
ants health, which has been I'M
certain. Fall, who also was indicted
with Sinclair on a conspiracy charge,
was unable, because of i'll health, to
attend that trial, in which Sinclair
was acquitted last spring.
Meanwhile, L. A. Rover, United
States attorney here, prepared today
to close the governments senate
perjury case against Stewart, chair
man of Standard Oil of Indiana
and one of the four participants
in the Continental Trading deal.
Stewart was called before the
senate investigating committee last
February and April. On the first
occasion he testified that he did
not profit personally from the Con-
tinental deal and that he had no
knowledge regarding who received
the bonds.
Later other witnesses testified that
Stewart received one-fourth of the
100000 bonds. In April, Stewart
admitted to the senate committee
having received thhese bonds, but
claimed he held them merely in
trust for his companies. (.
Il Il q
I'm the present perjury trial, grow
i ing out of this discrepancy in
his senate testimony Stewart con-,
tends that the senate record in.
accurately quotes him as denying
knowledge of the deal.
Senators Nye and Walsh, COM.
mittee members, are expected to-
be the last government witnesses
today. Walsh and two newspaper.
men already nave corroborated the.
senate record.
Paul Y. Anderson, st. Louis POST.
Dispatch, testified that Stewart
"was a very tricky witness" before
the senate committee.
Testimony showed that the bonds
were kept in Stewards PERSONAL
vault from 1922 to 1923, and that
coupons were clipped and REIN,
vested until the senate oil investi-.
cation began in 1924.
Stewart was acquitted last June
by a District Of Columbia jury on
a senate contempt charge growing
out of his refusal in February to
answer questions relating to the
Continental deal.