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, Calif —(?)—Edward L
Doheny and directors of the Pat-
American Petroleum and Transport
company, today faced a bill of com-
plaint demanding an accounting of
$10,000,000 stockholders allege they
Jost in the fraudulent Jease of the
Elk Hills naval oil reserve.

The complaint, filed in behalf of
Prank H. Kunkel, Cincinnati, and
other shareholders, declared the loss
resulted from the cancellation of the
lease by a decision of the United
States supreme court alter the com-
pany had spent several million dol-
jars in the development of the field.

BARGAIN WITH FALL.

‘The lease was negotiated for the
government by Albert F. Fall, then
secretary of the interior.

‘The $100,000 delivered to Fall by
E. L, Doheny, Jr, tn the much dis-|
cussed “little black satchel” was de-_
clared in the suit io have heen given.
by the stockholders and used as a
bribe. An accounting of this exchange
also is asked

Kunkel sets forth in the complaint
that neither he nor any of the
plaintiff stockholders had any
Knowledge of the negotintions and
deseribes Doheny’s conduct of the
deal as a “fraud not only against
the United States, but also against
the Pan-American company and its
stockholders.” Doheny 3s charged
with dominating the affairs of the
company when the lease was signed.
 