ae ANGELES, Cal.—(4)—Ed ward
L. Doheny and directors of the
Pan-American Petroleum and Trans-
port company Tuesday faced a bill of
complaint demanding an accounting
of $10,000,000 which 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
other shareholders, declared the loss
resulted from the cancellation of the
lease by a decision of the United
States supreme court after the com-
pany had spent several million dol-
lars in the development of the field.

The lease was negotiated for the
government by Albert F. Fall, then
secretary of the Interior.

The $100,000 delivered to Fall by
I. L. Doheny. Jr... in the much dis-
cussed ‘‘little black satchel,”’ was de-
clare in the suit to have been given
by the stockholders and used as a
bribe. An accounting of the exchange
also is asked.

Kunkel sets forth in the complaint
that neither he nor any of the plain-
tiff stockholders had knowledge of
the negotiations and describes Do-
heny’s conduct of the deal as a
“frand not only against the United
States but also against the Pan-
American company and {ts stockhold-
ers.”

Doheny fis charged with dominating
the affairs of the company when the
lease was signed.

 
 
| Los Angeles, Aug. 27 (A)—~—A
bill of complaint demanting and
accounting of ten million dal-
Jars was filed in the United
Srates District Court today
against Edward L, Doheny and
the Pan-American Petroleum and
Transport Company. The bill
which charges that the stock-
holders of the company los:
this sunt through alleged fraud
on the part of Deheny in tha
famous Elk Hills Qi) scandal
was file dby the Los Angeles
law firm in behalf of Frank H.
Kunkle, atorney of Cincinnati,
who brought che sult in the in-
terest of himself and other
stockholders.
 