Log Angeles, Cal, Aug. 28—(P}—
Edward L. Doheny and directors of
the Pan-American Petroleum and
Transport company, today faced ao
lnl of complaint demanding an ac-
counting of $10,000,000 stockholders

Ellege they have lost in the fraud-
uient lease of the Elk His nayal
cil reserve.

The complaint, {led in behalf of
frank Ho Kunkel, Cinelnnat!, and
inther shareholders, declared the loss
‘resulted from the caucellation of
| the lease by  deciston of the
Uniled States supreme court after
the company had spent several mil-
llon dollars in the development of
the field. *

The lease was negolleled for the
government by Albert I" Fall, then
aecreinty of the interior.

The $100,000 celivered to Fall by
EH L, Doheny, jr. in the much dls-
cussed “Wittle black satchel” was de-
elared in the suit to have been
inven by the stockholders and used
as & bribe. An necounting of this
exchange also is asked.

Kunkel sets forth in the com-
qualnt thal nelther he nor any of
tha plaintiff stockholders had any
anowledge of the negotinuions and
describes Doheny’s conduct of the
aenl as a “fraud not only against
the Uniled States but also against
{the Pan American company and its
ttockhalders,” Doheny is charged
with dominating the affalrs of the
company when the iease was signed.
 
| Los Angeles, Aug. 28.—(AP)—2id-
ward L. Doheny and directors of the
Pan-American Petroleum and Trans-
port company, today faced a bill of
complaint demanding an accounting of
$10,000,000 stockholders allege they
lost in the fradulent lease of the Elk
(Hills Nava! Oil Reserve.

‘The complaint, filed in behalf of
Prank H. Kunkel, Cineinnati, and oth-
er shareholders, declares the loss re-
‘sulted from the cancellation of the
lease by a decision of the United
|States supreme court after the com.
/pany had spent several million dollar:
‘in the development of the field.

| The lease was negotiated for thi
'government by Albert B. Fall, ther
‘secretary of the interior.

The $100,000 delivered to Tall by FE
'I., Doheny, Jr., in the much discussec
little black satchel,” was declared ii
the suit to have been given by th
stockholders and used as a bribe. Al
accounting of his exchange also i
asked,

Kunkel sets forth in the complain
that neither he nor-any of the plain
tiff stockholders had anv knowledge o
the negotiations and describes Dohe
ry’s conduct of the deal as a “frau
not only against the United State
but also against the Pan- Americat
;company and its stockholders.” Do
iheny is charged with dominating th
| niintyuneiste come y when the leas
was signed.

 

 
 