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LOS ANGELES, California, Aug.
28—Edward L. Doheny and direc-
tors of the Pan-American Petro-
leum and Transport Company fac-
ed a bill of complaint demand-
{ng 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
shareholders, declared the loss re-
sulted from the cancellation of the
lease by a decision of the United
States Supreme court after the
company had spend several million
dolars in the development of the
field.

The least 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., in the much dis:
cussed “little black satchel” was de
elared in the suit to have been giv:
en by the stockholders and used as
a bribe. An accounting of this ex:
change 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 anc
describes Doheny’s conduct of the
deal as'a “fraud not. only against
the United States but also against
the Pan American company and it:
stockholders.” Doheny {s chargec
with dominating the affairs of the
company when the lease was sign
at.
 
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LOS ANGELES, Aug. 28 —Ed-
ward L. Doheny and directors of
the Pan-American Petroleum and
Transport company, today faced a
bill of complaint demanding an
accounting of $10,000,000  stock-
holders allege they lost in the fra-
udulent lease of the Elk Hills Na-
val Oil Reserve. —

The complaint, filed in behalf
of Frank H. Kunkel, Cincinnati,
-and other shareholders, declares
the loss resulted from the cancel-
lation of the lease by a decision
of the United States Supreme
Court after the company had spent
several million dollars in the de-
velopment of the field.
 