By Associated Praga.
LOS ANGELES, Aug. 28.—Edward
j La. Dohney and directors of the Pan
i American Petroleum and Transport
feompany, today faced a bill of com-
laine demanding an accouating of
; $10,000,000 stockholders allege they
‘toast inthe friudulent lease of the Eik
(HIG naval oil reserve.
i fhe complaint, filed in behalf of
| Frank TM. Kunkel, Cincinnati, and
other sharehulders, declares the loss
fresulted from the cancelation of the
lease by ai decision of the United
nlates supreme court after the eam-
pany had gpent several million dollars
‘in the devciopment of the field.
| The lease was negotiated for the
i government by Albert B. Fail, then
i secretary of the interior. .
; The $100,000 delivered to. Fall: by
/ BE. T. Dohney, Jr. in the mueh dis-
cussed “little black satchel” was de-
pelared in the suit to have been the
righitul property of the stockholders
Pand used asa bribe. ;
Kunkel in the complaint describes
| Dohney'’s conduct ef the dealas a
“fraud not only against the United
States but alsa against the Pan
(American company and its stock-
| holders.” :
~The complaint further declares that
“Dohney has disposed of his controll-
‘ing interert in the. company. tothe
Pan Anierionn Eastern Petroleum
company which is alleged to be con.
trolled naw by the Standard Oil com-
sony af indiang, :
The suit demands that Dohney per-
sonally-bo gompelled to reimbuse the
-Btockholdergs for the. alleged losses,
~» Dohney refuied to comment on the
conplaint, declaring he would: submit
it te his attorneys before making any
ceine rae : :

 

 

     

 

 

     
 
' Los Angeles, Calif.—)—Edward L.
‘Doheny and directors of the Pan-
American Petroteunt and Transport
Scompany, Monday faced a bill of com-

' ptaint demanding an accounting of

| $39,000,000 stockholders alegre they

fast in the fraudulent tease of the Eik
. Hills Naval Oil reserve.
The complaint, filed im behail of

Frank H. Kunkel, Cincinnss:, ant
other sbharehniders, declared the toss
!resulted from the caaceliation of the

lease by a decision of the Umited
States Supreme court after the com
; pany had spent several miliion dollans
In the development of the field. The
‘lease was negotiated far the govecn-
‘ment by Albert FL Fall. theo secretary
fof the interior.

The $196,500 delivernd to Fall by E.

L. Doheny Jr. in the much diss
ttle black satchel” was deciar
the suit to have been given by the
holders and used as a bribe. An
-accomntngs of the exchange also cs
asked,
Kunkel sets forsh in the complaint
that nether he nor any of the piain-
dM stockholders had any knawiedse
of the negotiations and desermbes Do-
heny’a conduct of the deat as a “fraud
not oniy against the United States but
aiso against the Pan-American com.
pany and its stockholders” Doheny is
charged with dominating the affairs
of the company when the lease was
mignesd],

 

 

 

 

 

 

 

    

 

 

 

 
 