The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-02-23
Missing Denver Witness
Gets $750,OOO Out of
Continental Deal.
ATTORNEY FACES QUIZ
Securities Are on Deposit in
New York; Political
knowledge Denied.
BY PAUL MALLON
United Press Staff Correspondent

WASHINGTON, Feb. 23.-Henry
M. Blackmer, missing Denver Oil
man, got $750000 of the Continental
Trading Company bonds, his attor-
ney, Karl c. Schuyler, told the Sen
ate Teapot Dome Committee today.
Schuyler said that Blackmer told
him in Montreal in July, 1923, that
he get that amount out of the mys-
teriouS deal of oil men in 1921.
From the same bond profits, Harry
Sinclair, oil man, gave $233,000 to
former Secretary of Interior Fall
and $4,000 to the Republican IA
tional committee.
Il asked Blacknler if any of the
profits of the Continental Trading
Company were used in a political
way or in any way to help Sinclair
get the Teapot Dome lease" Schuy-
Ter said. HE said he absolutely
had no knowledge that they were"
Feared Civil Suit
Schuyler said he told Blackmer
he probably was liable to a civil
suit from the Standard Oil Com
pany of Indiana for his part in the
deal. He said Blackmer also thought
he was liable and that, therefore,
he had fled to Europe when process
servers attempted to get him to
testify at the Teapot Dome civil
suit.
Blackner agreed to let Schuyler
have the bonds SO that. legally, they
would pass cut of his possession,
Schuyler said.
At that time they were in a safety
deposit box Of a New York bank
in the joint names of George Z.
Holmes, George Gordon Battle and
Schuyler, the attorney added.
Bonds Are in New York
Later, I took the bonds at Black
mer's request and deposited them at
the Equitable Trust Company and
they are there now" he said.
There are $763,000 of the bonds
there. hand you the serial num-
berS. will let any member Of the
committee inspect them"
Schuyler said Blackmer, now in
Europe, had authorized him to tell
his story to the committee today. He
said he advised Blackmer to let him
make a statement, even though it
was bound to result in much litiga-
ton over the bonds and, perhaps,
great monetary loss.
Il had nothing to do with the
activities of the Continetal Trading
Company and had no personal in
terest in it," Schuyler said.
Schuyler's testimony brought the
traced total OF Continental profits
to $1,919,600 and left $1,16O,40O yet
to be traced
Andrew j. Leakin and Mrs Myrle
Norton of the Treasury Department,
were the next witnesses called
They produced 162 coupons, each
cashed for a $1,000 81 per cent Lib
e~ty bond, representing profits of
the Continental.
Bankers as Witnesses
Mrs. Norton was excused tempor-
arily to check the coupon numbers
further with the serial numbers Of
Continental bonds; and N G. Len
festey, cashier of the National City
Bank. New York, then was called
Lenfestey said the coupons that
passed through his bank we're de-
posted by James E. O'Neil
He identified three-fourthS of
them, showing O'Neil had collected
the interest on about $4,000 of
the Liberty bonds he took.
John Mooney. assistant cashier of
Blair & Co., New York, testified his
company bought $3,513,OOO in Lib
erty bonds IN 1922 for the Hyva
Corporation, and IN 1924 sold ST.
100000 Of the bonds for the Hyya,
which is the personal family hold
ing company of Harry F. Sinclair
Walsh said it had been shown
that "some" Of these were CONT
mental Liberty bonds.
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