 

+ Los Angeles, Aug. .28-—(A.P.)—
Edward -L.; Doheny and directars of
the Pan-American: Petraleum and
Transport company, today faced &
DI of complaint:demanding an &
count-of * $10,000,000 steckholders
allege-they lost In the fraudulent
lease of the “Elk ‘Hilla naval oll re-
serve.” ee

Tha complaint, filed in behalé of
Frank H. Kunkel, Cincinnati, .and
other ‘sharoholders, declares’ the loxs
resulted from tha cancellation af the
leane by A‘décldibh’ “at the” United
States’ Shbréme court after the com-
pany BpOht ‘several millian dol-
lars inthe davelapment of the field.

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

The $100,000 dollvored to Fall-by
E. L. Doheny, Jr., in the much dls-
cuased “litle black axtchel” was de
clared In.the sult {a have been given
by the stockholders and used as ‘8
bribe’. .An accounting of bis x:

 

 

 
 ehangé also ia asked. |

Kunkel sete forth in the complaint
that neither he nor any. of. the plain-
tit! stockholders had ady Enowledge
of the. negotiatfane and ‘describes
Doheny'a conduct of the deal az 8
“traud not only, againat..the United
States but also against the Pan-Am-
eri company and ita .atockhold-
ers": Dobeny fe charged with dom-
inating the affaira. of, the company
when the lease was signed, »

‘The complaint ‘further deciares
that aince then ‘Doheny bas dlsposed
of bls’ cohtralling | interest inthe
eompanyto the Pan-American East-
ern Petroleum company which Is a)-
leged to be cantralled by the Btand-
ard Ol company af Indiana.

The sult demands that Doheny
personally be campelied,” to relm-
burs {he ‘atockhalders for the alles:
ed losses,” BSA .

Dohany retused to comment on the
complaint, declaring he wauld. sub-
mit it to Als attorneys before making
eee aaa meen gmk

    

 
 
Los Angeles, Aug. 27 (A bill
ef complaint demanding an ac-
of $10,000,000 was filed in
the U. S&S. district court today
against Edward 1. Doheny and the
Pan-American Petroleum and Trans-
po company. The bill, which
charges that e«tockholders of the
company lost this sum through 4l-
feged fraud on the part of Doheny
$m the famous Elk Hills ol! scandal,
was filed by a Los Angeles law
rm on behalf of Frank H. Kan-
el, attorney, of Cincinnati, who
b t the euit in the interests
of himself and other stockholders.
The bill declares that the $10,000,-
000 was lost by the stockholders
golely because Doheny acted frand-
wlently in connection with the leas-
from former Secretary of the
Anterior Albert B, Fall of the Elk
Hills naval oj] reserve, and through
farge sums spent in development
of the fields themselves, and else-
where in connection with the deal
Jt demands that an accounting b¢
made by Doheny and that such
as was expended in the al-
leged giving of a $100,000 bribe t
Fall, and in the development of th
fraudulently leased fields, be re
furned to the stockholders.
_ The complaint declares that neith.
er Kunkel nor the other stock
holders had any hand in the al

ery
money and that the board had don
pothing. He also demands tha
hen the accounting is rendered
court issue a decree and judg
againet Doheny com, pell ing
im personally to repay this mone:
te © wt) wlders,
 