The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-05-31
KEEPING UP
With
THE NE WIS.
BY LUDWELL DENNY

BY LUDWELL DENNY
ID OBERT w. STEWART, the
IN Standard Oil of Indiana chair
man who participated in "a con-
temptible private steal" and then
successfully defied the United States
Senate and John D. Rockefeller. Jr..
was to test his strength today with
the District of Columbia Supreme
Court.
The charge is contempt of the
senate. The maximum penalty is
$1,000 fine and one year in prison.
Harry F. Sinclair, partner with
Stewart in the Continental Trading
Company's $3080,O00 deal, recently
was convicted by Washington Jury
Tor similar contempt, but is out on
appeal.
AS Stewart goes to trial. the SEN
ate Teapot Dome committee will
meet to reconcile majority and mi
norlty reports on the Continental
case and to prepare for investiea-
tlon OF the new" oil scandal IN
volving charges of illegal leases OH
tanned from the Government in
l92O-2l in the rich Salt Greek field
of Wyoming.
VI the two committee reports on
the Continental deal. submitted IN
the Senate this week, that of the
majority characterized it as a "nri-
vate steal" While the minority re-
port of Chairman Nye stated the
transaction probably was for a slush
lund TO corrupt political officials.
ME purpose with which the
Il Continental Trading Companv
was organized remains a mystery"
SAID the majority report, written bv
senator Walsh, Democrat. Montana.
1t seems now, however. to have
been the ill-gotten gains of a
contemplate private steal, the
the speculations of trusted officers
ocT great Industrial houses, pilfer-
ing from their own companies
roobing their own stockholders the
share Of the Doodle coming TO one
OF the freebooters, serving in mart
as the price of the perfidy Of a mem
Der OF the Presidents cabinet"
inns latter reference is to the
part OF Sinclair's share of the
poodle given to Secretary of the
interior Fall of Teapot Dome i'll
lame, IN addition to his $160,0O0 net
concealed contribution to the Hard
ing campaign deficit fund.
The minority report. which Nve
said supplemented rather than dis
agreed with the Walsh report.
stated!
1t must be borne in mind that
the Inauguration of these investiga-
tlonS IN 1922 was at the time that
distribution of the CONTINENTAL
profits was taking place, and the
participants in the profits imme-
dlately became cautious in the use of
the Liberty loan bonds into the
purchase of which the profits of the
company were turned.
In fact, the testimony received
by the committee discloses such eau
ton on the part of at least one par
elephant, namely, Robert w. Stewart.
There is, under the circuma
stances, ample ground upon which
to base the belief that the entire
profit was intended for propaganda,
corrupt and slush purposes"
But the chief difference of opinion
between Walsh, Democrat, and Nye.
Republican, concerns the latter's
statement that the oil mems political
contributions we're mon partisan"
In the sense that contributions are
not made because of enthusiasm for
any one party, but for the sake of.
such returns as might be won
through the winning party"
The Walsh report made no men
ton of the fact pointed out by Nye
that Doheny Democrat, and Sin
clair, Republican, each had made
contributions to both parties.
DUT none of these questions con-
Nd corning the purposes of the
Continental deal, and the guilt OF
the four Sinclair and Standard
officials involved, is to enter the trial
Of Stewart, which was to open TO-
day.
This jury case has to do solely
with the charge of Senate contempt.
From its strictly legal aspect, YER
dict of guilty like that in the al
most identical Sinclair contempt
case, would seem assured.
The legal question simply is
whether Stewart refused to answer
certain Senate questions, and the
committee record proves indisput-
ably that he did refuse.
The jury may be influenced, how
ever, by the fact that Stewart on
later appearance before the COM
mittee answered some questions he
declined to answer before. But, the
judge already has ruled that Stew
arts second testimony to the COM
mittee did not cancel the contempt
charge.
Actually, Stewart in his second
Senate testimony told the commit
tee only what it had already dis ,
covered for itself-that he received
approximately a quarter share of
the $3,08O,000 profits. On his first
appearance he denied all knowledge
Of the apportionment of the
Doodle"
Despite these revelations, Stewart
this spring was reelected chairman
of the Standard Oil Of Indiana, with
Rockefeller interests refraining from
voting.
On April 81, however, Rochegeller
asked for his resignation, which he
refused. At the same time the
United States Chamber of Com
merce condemned those involved in
the oils scandals, without actually