The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-01-15
PROBERS LINK
OIL DEAL AND
LOAN BY U. 5.
Senator Johnson Pins Down
Witness, After Refusal
to Show Records.
MELLON ENTERS DENIAL
Answers Patman Charges;
U. S. Neglect of Navy
Hit by Admiral.
BY PAUL r. MALLON
United Press STAFF Correspondent

WASHINGTON, Jar. 15.-The
Standard Oil Company Of New Jer-
sey received concession to oil
lands in Bolivia in 1922, thirty days
after American bankers made a
loan to Bolivia, it was developed be-
fore the senate loan investigation
today.
The statement regarding the
Standard Oil concession came while
Senator Johnson (Rep., CALI, who
is seeking to show a connection be-
tween loans to Latin America and
oil concessions, was examining
Francis White. assistant secretary
of state.
Previously, White had refused for
third time to deliver to the in
veStigators correspondence with the
American legation at Bogota, on the
grounds that it contained matter
incompatible with the public inter-
est"
When he offered to permit John
son to see the correspondence in
confidence, as he had done with
New York bankers, johnson refused
saying he would not permit his
tongue to be tied" in matter in
volVlng the interests of the Amer
lean people"
Mellon Denies Charges
While this was transporting in the
senate committee, the house COM
mlttee hearing on the impeach-
ment charges of Representative
Patman (Dem., Tex.) against Sec
rotary of the Treasury Mellon re-
celved a general denial from Mel
Ion OF any connection with oil con-
cessions or like matters.
One oil concession said to be
worth 100000, 900 from Colombia
granted ten days before a $4,000. 0oo
loan was made to Colombia now is
said to be in the hands of Mellon
and Morgan interests.
Mellon denied that.
He used his Office to obtain the
O~NNSAAA VAN
OIL concession from Colombia,
That he had discussed the con-
cession with President Olaya OF
Colombia.
That he owned a controlling in
terest in any corporation.
That he owned any shipping. al
though he did own stock in COM
panieS which owned ships.
| That he surrounded income tax
refunds and kindred matters with
undue secrecy.
Cites MELONS Advice
johnson, persiSting in his search
for some connection between the
loans and the oil concessions. read
an article from the New York Times
of Aug. 8, 1881. 1t quoted President
Olaya of Colombia as saying he
was optimistic about the future OF
Colombia, because of Secretary
Melons advice that if the petroleum
problems were settled it would
hasten Colombia'S recovery"
Assistant Secretary of State
White said he had copy of a. story
published in Bogota, indicating thai
Olaya had spoken approximately as
quoted. johnson asked him to bring
it to this afternoons session of the
committee.
Rear Admiral Upham, chief Of
the navy bureau of navigation. de-
clared today that unless congress
approves warstip building pro-
gram the United States will become
a second rank naval power unable
to defend our trade, our interests OF
our country"
Upham testified before the house
naval affairs committee at hearings
on the Vinson bill to build 100 war:
ships over a period of ten years.
Upham told the committee that
since the ratification of the Londor
arms treaty, the United States has
not authorized construction of g
single ship, and has not even built
those for which funds were previous.
i lV were apDr0nriated