Log Angeles, Cal, Aug. 28—(P}—
Edward L. Doheny and directors of
the Pan-American Petroleum and
Transport company, today faced ao
lnl of complaint demanding an ac-
counting of $10,000,000 stockholders

Ellege they have lost in the fraud-
uient lease of the Elk His nayal
cil reserve.

The complaint, {led in behalf of
frank Ho Kunkel, Cinelnnat!, and
inther shareholders, declared the loss
‘resulted from the caucellation of
| the lease by  deciston of the
Uniled States supreme court after
the company had spent several mil-
llon dollars in the development of
the field. *

The lease was negolleled for the
government by Albert I" Fall, then
aecreinty of the interior.

The $100,000 celivered to Fall by
EH L, Doheny, jr. in the much dls-
cussed “Wittle black satchel” was de-
elared in the suit to have been
inven by the stockholders and used
as & bribe. An necounting of this
exchange also is asked.

Kunkel sets forth in the com-
qualnt thal nelther he nor any of
tha plaintiff stockholders had any
anowledge of the negotinuions and
describes Doheny’s conduct of the
aenl as a “fraud not only against
the Uniled States but also against
{the Pan American company and its
ttockhalders,” Doheny is charged
with dominating the affalrs of the
company when the iease was signed.
 
| Los Angeles, Aug. 28.--(1—A
bill of complaint demanding an ac-
counting of $10,000,000 was filed in
the U. S. district court Monday
against Edward L. Doheny and
the Pan-American Petroleum and
Transport company.

The bill, which charges that
stockholders of the company lost
this sum through alleged fraud on
the part of Doheny in the famous
Elk Hills ofl scandal, was filed by
a Los Angeles law firm on behalf
of Frank H. Kunkel, attorney = of
Cincinnati, who brought the suit in
the interest of himself and other
stockholders.

The bill declares the $10,000,000
was lost by the stockholders solely
because Doheny acted fraudulently
in connection with the leasing from
‘former Secretary of the Interior Al-
Bert B. Fall of the Elk Hills naval
oil reserve, and through large sums
spent ip development of the fields
themselves, and elsewhere in con-
nection with the deal. It demands
that an accounting be made by Do
heny and that such money as was
expended in the alleged giving of a
$100,000 bribe to Fall, and in the de
velopment of the fraudulently leas
ed fields, be returned to the stock
holders,
 