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.

  

 

 
 
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.

 
 