Show Democrats to Insist On Naval Iava Oil Leases Cancellations at Once I W WASHINGTO WASHINGTON Jan 26 By A. A P. P P.-An P. An offer to have recon recon- to the government the recon recon-j rich naval oil reserve in CaU California ornia and other oil contracts entered into o by bythe bythe bythe the Pan-American Pan and Transport company after E. E L. L I Doheny had loaned Albert B. B Fall then secretary of the interior on his personal personal- note nate was wasI submitted today to the senate oil I committee by Gavin McNab counsel counsel coun coun- sel for Mr Doheny The offer carries a single stipulation lation that lation-that that the company be reimbursed reimbursed reimbursed for expenditures made in inthe inthe the Pearl Harbor government oil reservoir development and willing willingness ness is expressed that payment be made in Jn oil from offset wells sunk in the California reserve at the re request request request re- re quest of ot the government to prevent drainage ge of that field These wells would then be surrendered Although this offer is s a modification modification modification cation of the original l proposal for should a boa board dof of pf ep ex exI experts ex- ex I p d determine that tha the that the contracts o tr s' s were riot not wise 1 gelius- gelius as and the best that the i government gover h could have m made de the cor decided to transmit it to the senate senate Monday Monday Mon oon day without recommendation In Inthe Inthe Inthe the committee discussion objection was raised that the offer had not been signed by Mr Doheny but by his counsel Some senators ex expressed expressed ex- ex pressed doubt of the wisdom of f passing upon the tho proposal in that form DEMOCRATS INSISTENT Independent of the Doheny offer leaders reached an at agreement today whereby a a. substitute substitute substitute tute for the Caraway Teapot Jome dorni lease cancellation resolution will wll willbe be offered in the senate Monday I with a view to Its speedy adoption probably on that day It will wll be bein b bin bein in the same general form as a n. resolution resolution resolution res res- offered in the house today toda by Representative Garrett of or T t unessee u- u the Democratic leader after a conference with Senators Walsh Democrat Montana who has hat had the lead in the prosecution of the oil Inquiry and Caraway The resolution would author authorise and arid request the president to Institute institute In In- In Institute immediate legal proceedings looking to annulment of the Teapot dome Wyoming reserve lease to tc tho the Sinclair interests to to enjoin further extraction of ot oil from the thi reserve and to employ special specia counsel who shall have have- charge 01 or o othe orthe the prosecution of such litigation anything in the statutes s touching the powers of the attorney general or the department of justice to tc the contrary notwithstanding J ANOTHER RESOLUTION I A similar resolution respecting I the California naval reserve lasto lease las to the Doheny interests was off offered of of- of- of fred f red by b Representative Garrett but some members of ot the senate I committee said such a resol resolution Uon would be withheld by the senate senal until antil there had been discussion of ot the Doheny offer There was mation however that unless the Doheny proposal was submitted in ir writing over the signatures of ot Mr Doheny himself the resolution might night be pressed at a later time tIthe I While the senate committee was war reexamining Archie Roosevelt sonI son of f the former president and G. G D. D Wahlberg former secretary to tc Harry larry F Sinclair in an effort to I get et more light on the relations between between be he- be- be tween Sinclair and Fall all President Coolidge called on the interior de department de- de for expert advice as to the he wisdom of the policy under which the Doheny and Sinclair in interests in- in crests obtained leases from Mr Fall ahl for the California and Wyoming Wyoming Wyo Wyo- ming ring oil reserves r STATEMENT AWAITED A public statement of the gov governments government's governments government's gov gov- Intentions both as to criminal and civil proceedings may maye maybe be e made by President Coolidge after fter the interior department and the he department of f justice have I I con concluded their Investigations and Mr Ir Fall has had opportunity to explain to the senate committee his ls financial transactions with Mr Doheny and Mr Sinclair The former secretary was to have lave ave been heard Monday but Chairman Lenroot announced tonight toIght to- to night Ight that his examination had hadeen been seen een deferred until Tuesday both hoth Because of his this physical condition and ind the impending senate debate on n the Teapot dome cancellation resolution Mr Fall remained con- con to his bed today at at- atthe the home ot f J J. J W. W Zevely Mr Sinclair's personal personal per per- onal attorney who disclosed yes ves- ci day ay that Sinclair had loaned rl Mr Fall in Liberty bonds after Mr Hr Fall left the th cabinet The note which it is claimed evidences this debt was as presented to the committee committee com corn today on behalf of of Mr r. Zevel Zevely EDITORIAL EXPLAINS The developments In tl tl-p tl 9 oil oU Investigation Investigation in investigation In- In were the subject of a conference today between President President dent Coolidge and nd John T. T Adams chairman of the Republican national national na na- na committee Mr Adams indicated in indicated in- in ted afterwards that his views on n the subject were set forth Inan inan in inan an editorial in the KaU National nal Republican Republican Republican Re Re- publican wl which concluded with Ute tile statement that every bet betrayal ayal of trust by whomsoever committed should be prosecuted with a view to punishment of ot the g guilty Chairman Hull of the Democratic Continued on page 5 DEMOCRATS TO IN ST I Continued from page 1 l. national 1 committee issued a statement statement state state- ment declaring that the Teapot dome naval oil scandal standing out as the greatest political scandal scandal scan scan- dal of ot this or any other generative generality has created an additional ional political issue for the 1924 campaign He Re said the Hie Issue I bluntly stated is whether the United States shall have corrupt government or clean government NOTE IS PRODUCED About the only new development In the rehearing today of ot Mr Mr Roosevelt and am irr- irr rr Wahlberg was the presentation by G. G T. T Stanford counsel for tor Mr Sinclair of two checks aggregating ant ana drawn to the order of S S. S C C. C Hildreth Hildreth Hil- Hil dreth trainer at Sinclair ir Rancocas Rancocas Rancocas Ran Ran- cocas stables under date of January January January Janu Janu- ary 14 Wahlberg testified these were the checks about which he spoke In his conversation with Mr Roosevelt concerning the Teapot Teapot Teapot Tea Tea- pot dome lease Senator reminded Mr DIr I Wahlberg that in his previous testimony testimony tes tes- tes- tes last Monday he had utterly utterly ut ut terly repudiated the check I portion of the and said that he probably had referred to six or eight cows sent to the foreman foreman foreman fore fore- man of Falls Fall's New Mexico l ranch and that Mr Roosevelt had misunderstood misunderstood misunderstood mis mis- understood him to sa say cancelled checks for tor sent to the foreman fore fore- I man Mr Wahlberg said that last Monday Monday Mon Mon- day the Hildreth checks had passed I completely out of his mind but that In reviewing the circumstances of the conversation held in his office ho he had recalled them and remembered remembered I that they had been on his desk at the time and he had re referred re- re to them In the conversation DOUBTS COW STORY Senator Walsh suggested that he had come to the conclusion that the story about the cows would not wash but the witness insist Insist- t ed he recalled the Incident clearly clear clear- clearly ly that he had referred to the checks as illustrative of the clear I difference dif dit- ference In compensation allowed some of ot Mr Jr Sinclair's and andI I that given to others The witness said the checks were on his desk for mailing and that they were mailed on the day of the conversation January 16 Ile lie was reminded that Mr 11 Roosevelt had said the conversation was on January 18 but declared that h he thought the date was susceptible of proof lie He also was reminded that Mr Roosevelt had quoted him as referring to cancelled checks whereas the Hildreth checks were not cancelled at that time I TRAINERS TRAINER'S COMMISSIONS Mr Hildreth identified the checks as as' as those he had received received for salary for tor 1923 and as his 10 per cent commission on the as winnings of Mr Sinclair's horses Inthe in inthe inthe the same year Mr 1 Hildreth prOdUced produced produced pro prO- a letter dated January 16 with which the checks were enclose enclosed en- en I dosed closed close Senator Pittman Democrat Nevada asked Mr Stanford to produce produce pro pro- pro pro-I duce the check book from which they were taken so that it might I be developed whether checks of ot a I lower serial number had been subsequent subsequent subsequent sub sub- sequent to the date on the Hildreth Hildreth Hil Hil- BUI I dreth checks i After the tho senate committee had i heard the conditions under which Mr Doheny would surrender his hIs hIs' leases Gratton T. T Stanford counsel counsellor for lor the Sinclair Consolidated Oil corporation was permitted to take the witness stand in advance of Archie Roosevelt He stat stated d that he desired to be heard with re regard regard regard re- re gard to the testimony given y yesterday yesterday yes yes- s- s by J J. J W W. Zevely personal counsel for tor Mr Sinclair to whom the oil oU magnate had loaned shares of ot Consolidated stock which were converted into cash for tor ZeVely's Zeve ZeVe- lys ly's benefit and In Liberty bonds which Zevely stated had been loaned by Sinclair's direction to former Secretary Fall ZEVELY ABSENT Explaining that Zevely was unable unable unable un un- un- un able to be present today Stanford submitted to the committee in his behalf a note under date of May 28 1923 for 2 payable in twelve months which Fall had given given given en to secure the loan of the Liberty Liberty Liberty Lib Lib- erty bonds Stanford wanted to withdraw the original note and substitute substitute sub sub- statute in its place a photostat but this the committee refused to perI per per- I mit Two cancelled checks drawn by Zevely upon the J. J J. J corporation one for dated November 8 1922 to the order of William Thaw from whom Zevely claimed he purchased purchased purchased pur pur- chased a home on Long Island and the other under the same date for 2125 to the order of James N. N Strong as commission in negotiating ing the real estate transaction were also turned over to the committee by Stanford The committee was told by Stanford Stanford Stanford Stan Stan- ford that he had received a cablegram cablegram cablegram cable cable- gram from Sinclair in Paris stating stating stat stat- I ing that he would expedite hi his business and return to the United I States at the earliest date possible I Replying to a question from Senator Sena- Sena top tor Walsh Democrat Montana Stanford stated that he would cable Sinclair for tor Information as to the location of the books of the Hyva corporation a holding company privately privately privately organized by Sinclair and ask his permission to bring them themI I before the committee He said he heI I expected to receive a favorable re reply reply reply re- re ply from Sinclair SMOOT TAKES HAND Archie Roosevelt then was asked by tho the committee to review his previous testimony Senator Smoot Republican Utah declaring that the universal opinion after his former former former for for- mer appearance and the subsequent evidence given by G. G D. D Wahlberg was that nothing definite had been arrived at especially with reference reference refer reter- ence to the cancelled checks for which Roosevelt had stated Wahlberg Vahlberg told him had been drawn to the order of the manager of the Fall ranch In New Mexico After explaining the length and character of his service with the Sinclair company compan Roosevelt was asked by Senator Smoot whether he had discussed with any anyone one inthe inthe in inthe the Sinclair company besides Mr Wahlberg the matter of payments made by Sinclair to Fall WITNESS WORRIED Yes I have he replied I have done it this way I have asked them if it it could be bo possible le leI that such things could happen I havo have been worried about it it I do donot donot donot not want to get any more people into this than I can help What the committee wants are aro the facts in the case and we wo are altogether unconcerned as to who shall be be bec c called said Senator Smoot There is n nobody bodY with whom I have discuss discussed d the cases who had any definite information I have confided to them m my suspicions and have hav asked them if it there was anything anything anything any any- any any- thing to them I was particularly whether I should anxious to know resign from the tho company When did you first think of re resigning re- re signing I have always always thought I could make more money if it I resigned and went into bus business ness for tOI myself TALKED OF HARD TIMES Then you know of ot no one who stated they knew of ot any fraud r on the tho part of ot Sinclair Consolidated ten company In these leases leases- Oil No sir I can definitely state that Telling T the committee e that he I had been worried about this thing for tor several reasons especially be because because because be- be of ot his brother Theodores Theodore's cause connection with the navy department department department depart depart- Roosevelt related his visit ment Wahlberg's Vahlberg's office and their to conversation to which he had pre pro testified especially with cancelled checks reference to the loan and Mr Wahl- Wahl I for a Wahl- Wahl r suggestion that 1 If he was called bergs here's he would be expected to lie Wahlberg rg has complained to him 1 several times the witness said al hard times general about his gen WITNESS IS SURE about Sinclair Sinclair Sinclair Sin Sin- Did he be say anything clair helping others and not helpIng helping helping help help- Senator Smoot asked ing him im I I dont don't think so You are ate quite sure he said d the cancelled checks were checks sent manager of the Fall r f to the That is what 1 understood You do not think you could be mistaken I do not see how I could be He lie did not say y foreman of the Sinclair ranch I do not think he mentioned that thata at a at all witness declared that he had hadnot hadnot The any checks during his talk seen not with Wahlberg Vahlberg explaining that the conversation had been held at a window Led by the questions of the committee the witness repeated his former testimony of his telephone telephone telephone tele tele- phone conversations with Wahlberg Vahlberg at 1 30 and ana 7 1 o'clock last Monday morning the day of their previous appearance Ce before the committee |