| 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,
 
LOS ANGELES, Aug. 28.—()—
Edward L. Doheny and directors
of the Pan American Petroleum
and Transport Company, today
faced a bill of complaint demand-
ing an accounting of $10,000,000
stockholders allege they lost in
the fraudulent lease of the Elk
Hills Naval Oil reserve,

The complaint, filed in behalf of
Frank H. Kunkel, Cincinnati, and
other shareholders, declares the
loss resulted from the cancella-
tion of the lease by a decision of
the United States supreme court
after the company had spent sev-
eral million dollars in the devel-
opment of the field.

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

The $100,000 delivered to Fall
by E. L. Doheny, Jr.. in the much
discussed “‘little black satchel’ was
declared in the siut to have been
the rightful property of the stock-
holders and used as a bribe. An
accounting of this exchange also is
asked.
| Kunkel sets forth in the com-
plaint that neither he nor any of
the plaintiff stockholders had any
knowledge of the negotiations and
describes 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 is charged
with dominating the affairs of the
company when the lease was sign-
ed.
 