Evening star., 1928-04-10
$4,000 Securities Delivered
to Bank by Everhart,
Cashier Says.
MEMORY OF WITNESS
PROVES TO BE FAULTY
Roberts Calls for Books of Former
Seoretary's Land and Cat
tie Company.

Dome lease, by plunging into the mat
ter of the defendants payment Of Lib
erty bonds to former Secretary Albert b.
! Fall Of the Interior Department.
Owen j. Roberts. special Government
prosecutor. had just scratched the sur
face with l.. r. Rule, assistant cashier
OF the First National Bank of Pueblo.
Colo, Government witness. when he
found himself against an obstruction
| furnished by Rule In the form of faulty
memory which caused him to express
surprise at the nature of Rules testi-
mony.
Tells Of Liberty Bonds.
| Obtaining permission from Justice
| Jennings Bailey over objections of the
| defense. Roberts began to probe into
witnesses recollection and developed
| for the first time In the two conspiracy
| trials that Rule is a former vice presi-
| dent Of Falls cattle and land company.
Rule related that May 30, 1922, NJ. r.
| Everhart. Falls son-in-law. delivered
| 100000 in Liberty bonds. which he put
| in a safe box in the name of A. B.
Fall" Rule said the bonds we're kept
there In his bank until October 5 of the
same year. when they were sent to
Ell Paso, Tex. Later. $4,000 worth of
the same Issue came back. were pur-
chased by his bank and credited TO the
Three Rivers Cattle & Land Co. OF
which Fall was an owner.
Roberts sought to obtain from the
witness his testimony as to who owned
the original 5000 in bonds, but the
witness could not recall. Roberts then
| read his previous testimony at another
trial which showed Rule said Everhart
told him they were Mr.. Falls bonds"
AS Roberts called for the books of the
Three Rivers Co. which were produced
in court by Mark Thompson. stock
holder In the concern, intimate friend
of Fall and attorney for him in the
Fall-Doneny trial, Justice Bailey halted
the proceedings for luncheon.
Statements to Jury.
This rapid-fire getaway into the Tea
pot Dome trial was close on the heels Of
statements from both sides to the Jury.
chosen yesterday afternoon, as to what
the Government and the defense ex-
pected TO prove Roberts, speaking for
the Government In a one-half-hour
opening statement. charged conspiracy
| between Fall and Sinclair whereby Sim
clair obtained the lease on Teapot Dome
and Fall received over $2500 in Lib
erty bonds and cash from the oil mil
| lionaire Roberts secuted the conten-
| tiOn of the defense that the money re-
ceiVed from Sinclair by Fall was for
part ownership of the Fall cattle COM
| panv and also for loans and stated
that there is no document or writing TO
| give credence to this defense.
We will show you that Fall favored
! Sinclair and favored others. and that
Fall got these payments from Sinclair
not on any business basis, Upon this
| proof the Government will ask you 10
| find there was conspiracy 10 deprive
| the Government of the United States of
| It's property and its rights"
1t had been expected that the de-
| fense would reserve its opening state
ment until completion of the Govern
ment's case. but Daniel Thew Wright,
Of Sinclair counsel. arose and delivered
an address Of nearly three hours to the
| jury. Wright attacked the subject from
the very beginning. traced IL down
| through act OF Congress. executive or
ders, departmental procedure. side
| tracking now and then with explana-
tions Of geology and oil subjects of a
| technical nature, which he illustrated
with blackboard diagram and ended by
| declaring the defense would prove Sin
third interest In his cattle ranch, S25,-
600 for legal services after the Secra-
| tary's retirement from Office and S35,-
| 600 as loan for an irrigation project
on the New Mexico property.
Justice Interrupts.
| AS he was about to conclude his
statement to the jury. which he char
| acteriZed as tedious" Wright declared;
1T Is time somebody was telling jury
about the facts IN this case"
Justice Bailey promptly interrupted
and told Wright that those remarks
were not proper" and that he should
| limit himself 10 a statement OF what
he expects to prove. Wright then con-
| cluded with this statement
! Il expect the evidence TO show that
II not only viii be your duty, but your
pleasure, to render a not guilty verdict
without leaving the box"
! The first witness Of the morning was
| II. r. Quigiey OF the State Department.
who merely produced records To show
the tenure OF Office OF Fall and Edwin
DENLY. former Secretary Of the Navy.
He was followed on the stand by Rule
Sinclair Hears Argument.
AS Roberts got into his argument out
lining what the Government expects 10
prove by evidence. Sinclair sat back In
his seat listening intently and watching
Roberts closely, The prosecutor said
the Government would prove with
other things the following:
THAT In the Spring OF 1922 Sinclair
delivered TO Fall for Falls use and
benefit S233, 900 OF United States Liberty
bonds, that these bonds were turned
over by Sinclair to Fall under circum-
stances OF secrecy and suspicion wholly
| Inconsistent with good faith or with
ordinary business dealing, No receipt
was given. no written memorandum OF
| the transaction WAS made, the bonds
we're brought To Washington by Sinclair
| In his privately owned railroad car, and
the ostensibe purpose Of the delivery
was an alleged business transaction
which had no basis In fact,
THAT later Sinclair advanced TO Fall,
or In his interest. $4,000 IN cash, and
| later g25 900 In cash, again without any
reGeipt, without any record Of the pay
ment, without the drawing Of check
or without any OF the evidences Of u
| business transaction,
| Hits NJ Secrecy.
"That still later Sinclair delivered To
Fall $4,000 more In Liberty bonds
under circumstances OF great anspicion
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