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LOS ANGELES, AUE. 28,—Kdw ard
L. Doheny and directors of the Pan
American Petroleum and Transport
Company, today faced a bill of core-
plaint demanding an accounting of
$10,000,000 stockholders allege they
lost in the fraudulent lease of the
Elks Hills naval oil reserve.

The complaint, fied in behalf of
Frank H. Kinkel, Cincinnati, and
other stockholders, declares the
loss resulted from the cancollation
of the lease by a decision of the
United States supreme court after
the ‘company had spent several mil-
lion dollars in the development of
the field..

The $100,000 deliveted to Fall by
E. L. Dohney, jr., in the much dis-
cussed “Little black satchel” was
declared in the suit to have been
given by the stockholders and used
as:‘a bribe.

Kinkel ip the complaint describes
Dohney’s conduct of the deal as a
“fraud not only-against the United
States but also against the Pan
American company and its stock-
h@iders.”

The complaint further declares
that Dohney has disposed of his
controlling interest in the cowgpany
to the Pan American Eastern Pe-
troleum Company which is alleged
to be controlled now by the Stand-
ard Of] Company of Indian2.

_ The suit demands that ‘Dohney

personally be compelled to reim-
burse. the stockholders for the at-
leged losses.
_ Dohney refused to comment on
the complaint, declaring he woule
Submit it to his attorrfeys before
making. any announcement.
 
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,
 