Investigations

The chief events of last week in two leading Senatorial investigations (naval oil leases and Mr. Daugherty) were:

Oil:

P:An accountant of the Federal Trade Commission testified that on examining the books of W. H. Hibbs & Co., brokers, he had found three accounts: W. W. Spaid No. 4 (belonging to Mr. Daugherty), W. W. Spaid No. 3 (belonging to Jesse Smith) and W. W. Spaid No. 2 (belonging jointly to Smith and Daugherty). The books showed that Mr. Smith had made a profit of about $3,700 in Sinclair and Doheny stock.

P:Clarence C. Chase, son-in-law of ex-Secretary Fall, refused to testify before the oil committee, on the grounds that it might incriminate him. Another witness had declared that Mr. Chase had tried to induce a Cleveland man to say he had lent Mr. Fall the now notorious $100,000. The Senate unanimously passed a resolution, suggesting that the House start impeachment proceedings against Chase, who is Collector of Customs at El Paso. Chase submitted his resignation to Secretary Mellon who accepted it on the following day.

P: Al Jennings, former train robber, ex-evangelist, onetime politician and lately realtor of Venice, Calif., testified that he had had conversations with the late Jake Hamon, Republican National Committeeman from Oklahoma, in which Hamon had said: 1) that he bought the nomination of Harding in 1920 for $1,000,000; 2) that the late Senator Boies Penrose of Pennsylvania had received $250,000; 3) that Will Hays, Harry Daugherty and another man had each had $25,000; 4) that the New York delegation had been "very expensive"; 5) that Hamon had expected to become Secretary of the Interior and that "the Democrats had not left much of the public lands," but "he would get the rest of it." Will Hays and Senator Penrose's Secretary denied the accusation. As a witness, Jennings was "cool as a cucumber," and grinned, showing a row of gold teeth.

P: Dr. T. W. Sarderson, geologist from Minnesota, was called upon to testify in regard to Teapot Dome. He asserted that oil wells in adjoining fields might draw off most of the gas in the reserve, but could not drain away any considerable portion of the oil. C Harry F. Sinclair, lessee of Teapot Dome, who refused to testify before the Committee when summoned for the sixth time, was indicted by a Federal Grand Jury for violating Section 102, of the Revised Statutes--contempt of the Senate by refusing to testify on the grounds that the Public Lands Committee had no authority to require his testimony. Mr. Sinclair intends to fight the case to the Supreme Court and get a final decision on the power of Congress to compel testimony before its committees. The indictment contains ten counts for refusal to answer ten questions. If found guilty in the course of a year or so, Mr. Sinclair will be liable to a fine of $100 to $1,000 or 30 days to a year in jail, or both. If each refusal to testify is considered as a separate offense he would be liable to ten times the penalty. P: The new member of the Committee, Senator Spencer, Republican of Missouri, proved a Tartar, carrying the war of words into the Democratic camp and clashing with Senator Walsh of Montana. To the attempts of Senator Walsh to attach the Republican National Committee to the oil scandal by means of its campaign contributions, Senator Spencer countered by subpenaing officials of the Democratic National Committee and Senator Walsh's brother and attorney. Instead of Walsh alone, Walsh and Spencer now share the leading role of chief investigator. Daugherty : P: Following Mr. Daugherty's resignation from the Department of Justice, the investigating committee decided it would continue its job of making revelations. P: P. J. Van Vechten Olcott, Manhattan lawyer, testified that he had been approached and asked to furnish $10,000 to be appointed a Federal judge, and to pay $25,000 additional when the nomination was confirmed. He declared that no beneficiaries were named, except "the boys." P: A special agent of the Department of Justice testified that his investigations had been blocked when he started to dig too deeply into certain alleged War graft cases. P: Roxie Stinson, divorced wife of the late Jesse M. Smith, continued her miscellaneous testimony. Her most sensational remarks dealt with a "deal" in which five men made $33,000,000 in a few days. She did not care to reveal their names and the Committee did not press her. Indeed, when counsel for Attorney General Daugherty attempted to secure the men's names, the Committee upheld her silence. Questioning her in regard to her reluctance to mention their names, Senator Ashurst said: "Madam, if I understand your attitude, it has been that you are not a voluntary witness, and you do not care to and neither have you assumed such an attitude?" Miss Stinson: "I would like that to be made very clear. As far as I know, I am not given to fibbing, and you ask questions and I answer them as I know them." Senator Ashurst: "I think Senator Jones' question is most appropriate, and if I had been as quick a thinker as he is I would have asked it myself. Now, you came here--Senator Wheeler went to your house with two other gentlemen and brought you here?" Miss Stinson: "Yes, sir." Senator Ashurst: "Well, he performed a very splendid public service in forcing you to come and you are doing a service in coming." Miss Stinson: "And I am the martyr." tyr." So the names were not made known. The Committee professed to be absolutely ignorant of them. But the impression was given that the Committee, magnanimously, was shielding the name of President Harding.