By Associated Praga.
LOS ANGELES, Aug. 28.—Edward
j La. Dohney and directors of the Pan
i American Petroleum and Transport
feompany, today faced a bill of com-
laine demanding an accouating of
; $10,000,000 stockholders allege they
‘toast inthe friudulent lease of the Eik
(HIG naval oil reserve.
i fhe complaint, filed in behalf of
| Frank TM. Kunkel, Cincinnati, and
other sharehulders, declares the loss
fresulted from the cancelation of the
lease by ai decision of the United
nlates supreme court after the eam-
pany had gpent several million dollars
‘in the devciopment of the field.
| The lease was negotiated for the
i government by Albert B. Fail, then
i secretary of the interior. .
; The $100,000 delivered to. Fall: by
/ BE. T. Dohney, Jr. in the mueh dis-
cussed “little black satchel” was de-
pelared in the suit to have been the
righitul property of the stockholders
Pand used asa bribe. ;
Kunkel in the complaint describes
| Dohney'’s conduct ef the dealas a
“fraud not only against the United
States but alsa against the Pan
(American company and its stock-
| holders.” :
~The complaint further declares that
“Dohney has disposed of his controll-
‘ing interert in the. company. tothe
Pan Anierionn Eastern Petroleum
company which is alleged to be con.
trolled naw by the Standard Oil com-
sony af indiang, :
The suit demands that Dohney per-
sonally-bo gompelled to reimbuse the
-Btockholdergs for the. alleged losses,
~» Dohney refuied to comment on the
conplaint, declaring he would: submit
it te his attorneys before making any
ceine rae : :

 

 

     

 

 

     
 
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,
 