Lok ANKCICD, Aug. 28-—(A.P)-—A DI
of complaint demanding an accaunt-
Way of $19,000,000 was filed on the U.
B District court Monday against
Edward L. Doheney and the Pan-
Ameriran Petroleun and Transpurt
company. The bili which charges that
stockholders of (he company lost this
swum through alleged fraud on the
part of Doheney i the lamous Elk-
hilly off acnndul, was (led by a Las
Angeles faw finn on behalf of Frank
Hi. Kukkel. attorney, of Cineinnan.
‘ho brought the vil m the tnterest
of tumself and other Mockbalders.

The bill declares that the $10,000,-
008 wax lust by (he stackitolders solely
because Daheney acted fraudulently
in connection with the leasing from
foriner secretary ot (he interior Albert
B. Fall of the Blk Neva! Oil
Reserve. and th large sums
spent in development’ of the Melda
themselves, and aisewhere in con-
nection iwih the deal Tt demands
that an accounting be made ty
Doheny and thet such money as wa

expenced in the alleged giving of a
$100.00 bribe to Fal, amd in the de-
velopment of the frmudulently leased
fletds, ba returned to the stockholders.

  

 

 
 
Los Angeles, Aug. 28 (AP) —

A suit against E. L. Doheny and
the directors of the Pan-American
Petroleum Transport company by
etockholders of the latter corpor-
ation who allege that the share-
holders were the real losers in
the Elk Hills naval oil reserve
leasing scandal, was on file here
today.

The complaint, filed yesterday
in behalf of Frank H. Kunkel of
Cincinnati, and other sharehold-
ers, declares that the stockhold-
ers lost $10,000,000 as the result
of the cancellation of the fraud-
ulent lease. It asks that Doheny
and the board of directors be com-
pelled to render an accounting.

The $100,000 which was de-
livered to Albert B_ Fall, former
secretary of the interior, by E. L.
Doheny. jr., in the much discus-
sed “little black satchel,’’ was de-
clared in the suit to have been
the rightful property of the stock-
holders. An -aceounting of this
exchange, which the complaint
branded as a bribe, was demand-
ed,

The lease, which was negotiat-
ed in behalf of the government by
Fall, was cancelled by a decision
of the United States supreme
court after the Pan-American had
spent several million dollars to-
ward developing the Elk Hills,
Calif., oil reserve and on the
building of oil storage tanks at
Pearl Harbor, Hawaii.

Kunkel’s complaint sets forth
that neither he nor any of the
plaintiff stockholders had = any
hand in the leasing negotiations.
Some time ago, aceording to the
suit, demand was made upon the
board of directors of the company
for the accounting but nothing
was done about it.

The suit demands that Doheny
personally be compelled to reim-
burse the stockholders for the al-
leged losses.
 