Casper Daily Tribune Newspaper, March 13, 1924, Page 1

The Weather WYOMING —Somewheat _unset- fair. tled tonight. Friday probably Not much change in temperature. A Newspaper for All the Family, Clean, Unbiased, and a Booster for City, County and State ‘ CASPER, EAPOT IS TIED Ur” JOINT RECEIVERS WYO., THURSDAY, MARCH 13, 1924 Che Casper Daily Trine _ NUMBER 120 BY INJUNCTION: ARE APPOINTED “Battle of Teapot’? Involving Marines Reviewed in Probe JAUGHERTY PROBE SENSATIONAL DIVORCED WIFE OF SUICIDE IS GRILLED ON PARTNERSHIP DEALS Jesse Smith and Attorney General Worked To- gether in Financial Matters, Probers Told; More Witnesses Called. WASHINGTON, March 13.—Whiskey deals for par- dons for a federal convict, deals to permit illegal showing of prize fight films, stock deals and various other alleged deals of a highly sensational nature timony at the senate committee inve: General Daugherty. two hour session replete with Stinson, di- wife of Jess W. Smith, “bumper and friend” of the attorney general, testified Smith had told her that he and Mr. Daugherty stood to make $180,000 through showing of the CarpentierDempsey prizefight pictures, which the attorney general ‘would not prevent. onel J. Darden, who Smith told her, she said, “had been trying for years to get some letters through the gov- ernment.” The committee has sub- “poenaed Darden, but has been un- ‘able to, find -him. The mysterious “little green house ‘on K street” which the witness sald ghe understood was owned by Ed- ‘ward B. McLean, the Washington piubiisher, again figured in testi- mony as the “shack” near Colum- bus owned by Daugherty, Smith and others. ‘There were meetings and deals at ‘this place, Miss Stinson said, be- eause they could be private. 2 Reverting to a “blind” account of Smith’s with the Ungerleider stock firm, Smith told her she said, that he kept {t blind “because of his con- nection with Harry Daugherty.” Smith told her she said, that the expenses of the Smith-Daugherty apartment in Washington were “considerably over $50,000." “They were interested in things Jointly and he thought he could pay hig part from the remunerations,” she continued. In New York after the Dempsey fight Miss Stinson sald, Smith ‘in- troduced her to Joe Weber, the ac- She sald she overheard a conver- Bation between Smith and Weber re- lating to “a Mr. Solomon” whom she believed was Weber's brother-!n- law. “There was discussion of how they could get a parole for him," she said. Senator Wheeler aske ‘Was any talk of “fixing. “That was the conversation, which it was about,” she said. Then the witness described a con- ‘versation she said she overheard be- tween Smith and Joe Webor, the actor, It related to getting a parole for “Mr. Solomon,” tho actor's broth- erinlaw: Tho tnik. she said, was how to fix it with Daugherty.” Smith, she said, was “afraid to talk at firsf—me being a third party.” There were several talks about the Solomon parole, she said. “Was there any reference to any money transaction in it?’ Asked Senator Wheeler. “Hy, said he's awfully cheap, plied Miss Stinson. “‘He wants something for nothing—i don't know whether we -will do anything about it or not. Mal Daugherty, the attorney gen- eral’s brother, who attended the hearing and Miss Stinson diverted to say she had told him she had de- termined to “tell the truth.” “Isn't that $0?" she inquired, call- ing to Daugherty. “Does the com- mittee want me to answer that?” Daugherty demanded. Senator Wheeler waved to him not to reply. The eleven thousand dollar ac count with Ungerleider and company Which Mal Daugherty took over as executor of Smith's estate was brought in. Daugherty had told her, Miss Stinson said, that it really be- longed to her. When she hired a lawyer named Bennett to take up her fight for it, she said, the lawyer Tetired from the case because she if there _| noon. aeaneed today’s tes- igation of Attorney ‘was determined to come to Washing- ton and testify in the senate hear- ing. The lawyer, whom she {dentified as “Smith Bennett" wanted to com- municate with tbe attorney general about it, Miss Stinson said, and re- fused to return her papers, Mal Daugherty advised her, she said, to draw @ check on his bank for Bennett's fee and he, Daugherty, would “take care of it,” although she had no account there. describing how she-came to 6 to testify, Miss Stinson ad- ded: “I admit that Jess Smith recetved money. I don’t go on what the Newspapers say—tit's a fact. The lawyer, Bennett, the witness said, had refused to go on with her case unless she would tell him all she knew about the “Washington sit- uation.” t e next day he agreed to con- tinue her: case. ‘He is a partner of Robert F. Wolfe, an attorney of Columbus. I don't know whether that means any- thing to you, gentlemen,” she said. Miss Stinson said she already owed Daugherty’s bank over $7,000 and Daugherty told her he “would not run the check through the bank.” She sald she asked Bennett if Daugherty’s advice was a “frame- up." Bennett told her to go ahead. Mal Daugherty having gone to Florida, the bank officials refused to return the check cancelled. to her. she said, in a long detailed recital of the incident, adding that she pre- sumed the check had been taken care of. Mal Daugherty had asked her to get her papers’ from Bennett, she said, after she told him that they disclosed things “with reference to Washington.” ‘When at Columbus last July, Miss Stinson told Daugherty she knew of Smith having deposited large sums of money in Daugherty's bank. Daugherty admitted knowledge of the money, Miss Stinson sald. Mal Daugherty was lending Smith “a lot of money” for stock specula- tion, she said. “I have seen seventy-five one-thou- sand dollar bills in Jess Smith's possession,” she added. “What he did with them I do not know. They Were not in his estaie.” How Smith got the $75,000 Miss * (Continued on Page Four) Oo LATE SPORTS --LARAMIE, Wyo., March 13— Busns high school was eliminated from the state basketball tourna- ment by Evanston high school, leav- ing 17 schools still in the running at This afternoon's and to- night's games are expected to re- sduce the number materially. Today's Scores Powell, 13; Dougias, 6. Evanston, 27; Burns, 14. Cowley, 17; Basin, 9. Nine Stations Will Broadcast Marconi Address NEW YORK, March 13.—Nine ra- @a stations in Great Britain each using a afferent wave length, will begin broadcasting at 6 o'clock to- night (eastern standard time), an address by William Marconi which it is hoped will be heard around the world. Arrangements have been made with listeners with special re- ceiving sets in California and in Shanghai, China, to cable at once ig they are able to hear the address. If they are successful, radio will have covered the world. —__- FIRES STILL HOLD UP MINE RESCUE WORK CASTLE GATE, Utah, March 13, By The Associated Press.)—Sey- a smal Poe to burn at 8 o'e'nck t! morning in mine number 2, Utah Fuel " two bocies—bringing the total recov- ered to 180 — had been taken out since last night. According to, offi- cial Mst 173 men went down in the mine last Saturday when the threo explosiims occurred and on this basis 43 miners are unaccounted for. ——._—__ Aeroplanes were recently success- ful in collecting taxes from a tribe in Mesopotamia who had refused to pay. P R ES s COOLI DG E WASHINGTON, Mar ‘ch 138.—How American marines INSISTS ON TAX REDUCTION NOW BY DAVID LAWRENCE. (Copyright, 1924, The Casper Tribune.) WASHINGTON, March 13.—Congress and particular- ly the Republican leadership, has been placed on the de- fensive by President Coolidge who in a special message has demanded that all explanation be put aside so that a joint resolution be adopted making effective imme- diately the twenty-five percent cut in income taxes pay- able this week. ‘The two houses were more or less surprised to receive Mr. Coolidge’s sharp reminder that prompt action would be appreciated by the coun- try and while there was some com- ment to the effect that Mr. Coolidge might have acted sooner the fact is congress has had the proposal under consideration for more than ® month and has simply neglected it. The resentment of the country if such develops, against the failure of the government to give the tax- payers the benefit of the 25 per cent reduction on 1923 incomes is being discussed on all sides and the presi- onty| dent Is being commended for having taken the step which clearly re- eves him of responsibility for con- gressional delay. The administration has thought right along that if the proposal were to come to a yote neither party could afford to block action. The Joint resolution however, has rested in committee and while those who have net wished to report it to the house are defending their position on the ground that the senate would not act the latter body has not had the opportunity and there has been no way to tell what the senate might do as joint resolutions have sometimes gone through in a Sifty. The more the president urges congress to confine itself to legisia- tion desired by the people the stronger will his position become in the opinion of his advisors who think the country is getting the impression that congress does noth- ing but investigate while important bills are neglected. Should congress bestir itself in the next few days and pass the Joint resolution sought by the prest~ dent it would, of course, be quite a feather in his cap, politically speak- ing, for it would place tho leader- ship of the Republican party in his hands. But even if the measure is lost, Mr. Coolidge's effort in the direction of immediate tax reduction will not hurt him. The Democrats have begun to raise the ry that Mr. Coolidge is playing politics. In any event, this is one of those in- stances where all factions agree (Continued on Page Ten) Roosevelt Tells of Sending Squad to Teapot to Stop Drilling of Mutual Company; Doesn’t Remember Protest ntered by Governor of Wyoming cleared Teapot Dome of trespassers after the oil reserve had been leased to Harry F. Sinclair was described today to the oil committee. Major General Lejeune, commandant of the Marine corps was the first witness in orders for the action were issued b Theodore Roosevelt, then acting secretary of the navy, who also was called to testify. This was in July, 1922, General Lejeune said, and George K. Shull then a captain of marines, was se- lected, after a conference with Sec- retary Fall to command the detail sent to Teapot. Four enlisted men were selected to accompany Shuler who now is treasurer of New York state. Roosevelt had ordered that men of “tact and discretion” be chosen, General Lejeune said, so as to avoid trouble. Shuler telegraphed on August 4 that his mission had been accom- plished. Later Fall wrote the navy commending Shuler for his work. Asked whether he did not regard this as an extraordinary use of the Marine corps, the General said he did no consider that point at all. He simply obeyed orders, ssistant Secretary Roosevelt testified that the request for the clearing of Teapot Dome came from Fall, who was quoted as saying he and the President wanted the “squat: " ejected as they were about to take out “off on which the govern- ment would get no royalty. Fall told him, Roosevelt said, that Secretary Daniels had taken similar action. ROOSEVELT’S MEMORY FAULTY ON PROTEST Secretary. Roosevelt did not re- call anything “very clearly” about @ protest from the governor of Wyo- ming against employing forces to remove trespassers. (Continued on Page Ten) JAPS OUST SINCLAIR SCOUTS QUARANTINE IS LIFTED SACRAMENTO, Cal., March 13.— Governor Richardson today issued a tion ltting the provisional quarantine placed three weeks ago on @ number of counties in central California because of an epidemic of foot and mouth d'sease in livestock. Nine counties are affected. —__ Famous Stage Magician Dead SAN FRANCISCO, March 13. — Dr. S. 8. Baldwin, 76 years of age, old time stage magician, who made six theatrical tours around the world, is dead here. He was promi- nent also in exposing fake spiritual- ist practices. French Franc Climbs on Loan NEW YORK, March 13,—Forti- fied by the $100,000.000 credit estab- shed here for the bank of France, the French franc mounted 15 points fo 4.35 cents at the opening of to- Gay’s forelgn exchange market and then soared another 11 points ‘to 4.46 cents. Tho rise, following ear- lier gains in London, was acceler ated by a rush of. short covering. BRIBERY CASE OPENED TODAY WASHINGTON, March 13. — Grand jury proceedings were begun here today in the case of the two members of congress referred to in a recent Chicago grand jury report having improperly accepted money. Assi nt Attorneys Gen- eral Daves, Willebrandt and Sey- mour appeared aided by J. W. H. as Crim, Special Assistant in charge of the case, in presentation of the evi- dence. One of the witnesses Elias H. Mortimer, a centr: in the ans bureau investigation here some months ago, and who | appeared before the Chicago grand jury. called was figure ve Surveyors Sent Into Russian Region Occupied by Japanese Taken Out On,Gunboat, Says Dispatch TOKIO, March 13.—(By The Associated Press).— Japanese military authorities have frustrated F, by J: P. MeCullogh and D. veyors representing Sinclair northern section of the island an attempt MacLaughlin, American sur- oil interests, to enter the of Saghalien, and have taken the two on a Japanese gunboat from Saghalien to the port of Otaru in Hokkaido, it became known today. - The Americans, accompanied by a Russian guide, entered Saghalien from the Siberian mainland after proceeding by way of Kobe, Viadi- vostok, Habarovsk and Nikolaievsk. They were stopped at Alexandrovuk by military officials who declared a deterraination not to permit repre- sentatives of an American compan to conduct surveys under conces- ns from the soviet government, which Japan does not recognize. McCullogh and MacLaughlin are believed to have gone to Peking. The Japanes® press took occasion to comment on the possibilities of a stave issue between America and peau ria S hirkidéei roma arian a Propaganda Propaganda, a good word, with- out sinister meaning, got a bad reputation in recent years. The word came to be associated with the wholesale and organized sowing of dissension and,suspicion. Propaganda means the sowing of the truth in the minds of the people; certainly what the sower thinks is the truth. Newspaper publicity is the most effective known method of lezit!- mately influencing and molding the opinions of thinking. people. Current, day by day advertising of a merchant does not create all of the day by day business. The power of the advertising that has gone before has a cumu- lative force in that the newspaper has built up for the merchant a standing in the public mind. Don't o look that th news paper contact must be kept up else the momentum will gradually diminish, Japan oyer the valuable oll fields, Northern Saghalien nominally is Russian territory but now’ is under Japanese military occupation. Power- ful Japanese interests are planning oll: exploitation there under the auspices of the Japanese navy. The Sinclair Oil company holds a concession granted by the soviet regime to prospect for petroleum on Saghalien island but the Japanese have refused to recognize any agree. }Ways and medns committee. ment between Russia and any other country regarding these conces. sions so long as the northern por- tion of the island is occupied by the Japanese. The Japanese have spent large sums investigating the Saghalien fields. ‘DRY’ CHIEF IS CHOSEN WASHINGTO: March 13.—Ad- dison C. Townsend of Jersey City today was appointed divisional chief of the Minneapolis prohibition area, comprising Minnesota, North and South Dakota, Iowa, and Nebraska. stitution. VOTE ON BONUS BILL WILL BL TAKEN: MONDAY Paid-up Insurance Form Favorably Reported On by Committee. WASHINGTON, March 13.—The soldier bonus bill proyiding for paid up life insurance pollcies and cash payments to veterans not entitled to more than $50 was ordered fa- vorably reported today by the house An attempt will be made by the committee to bring the measure be- fore the house for action on next Moncay under suspension of the rules which would permit a vote on that day and prevent amend- ments. Two ‘Accidents; Injuries Minor W. Schwartz suffered a dislo. cated shoulder this morning in an accident while he was working. Fred Mohr, high school student, suffered an injury to his neck when this line of inquiry. He said Protest Made ] By Governor To Marine Use Use of the United States marines to stop drilling of the Mutual Oil company on section 20 of the Teapot Dome stirred up consideratle public indigna- tion in Wyoming tn July, 1922, and the ion was vigorously protested Robert D. Carey, then governor of Wyoming, ed at the time by partment was high-handed and unwarranted, in addition to be- ing illegal. Army afd navy forces of the country e&nnot be used in serving civil ses, it was pointed out. re was no redress, however, from, the aéti¢n taken, ag thw government is not Hable for damages, Captain Shuler arrived in Cas- per on a morning train with four non-commissioned officers and without waiting to take break- fast here, hurried to Teapot in an automobile. Orders on the Mutual company to stop drilling were served on G. H. O'Donell, |. Casper representative of the company, who was awaiting them at the rig. Drilling was immedjately shut down and the government seal placed on the rig, the marines returning to Washington a day or two later, KENYON WILL NOT TAKE JOB AS NAVY HEAD doing some athletic work at that in WASHINGTON, March 13. Judge William S. Kenyon today de clined appointment as secretary of the navy. Chief Justice Curtis D. Wilbur, of the California Supreme court, prob- ably will be tendered the post. The final answer of Judge Kenyon was transmitted to President Cool- idge late today after he had con- sidered for two days an offer of the secretaryship, made vacant early this week by the retirement of E win Denby. WASHINGTON, March 13, — After forty minute conference with President Coolidge today, for. mer Senator Kenyon, cne time lead. er of the farm bloc and now a mem- ber of the United States court for the eighth district, who has been offered the cabinet place vacated Monday by Secretary Denby left the White House saying he would have a statement to make ater. White house officafls also prom- ied a statement within two or three Lours. Some of the judge's close friends indicated belist that he would a a Joseph R. Harker, presid inois Woman's College, ack. le, Il, hag the distinction of never going to college until after he was a member of a college faculty, SCOUT WORKERS ENJOY GREAT PROGRAM HERE Last evening’s gathering of pres- ent and potential scout officials pro- ved an important one and may be chalked up as*the red letter meoting of the scoutmasters’ hool now in Progress at tk First Methodis church under the per ion of H, Roe Bar ecutive, Wednes: s marked by the presence of several “distinguished” guests. ‘mer Governor Robert D. ¥. Lichty, president of tt Fuel and Iron company uperintendent of t all delive mem r’s troop No. 1. to the rs Following the usual struction in knot tying evitable f period of i SINCLAIR GIVEN THIRTY DAYS TO PREPARE CASE FOR ARGUMENT Judge Kennedy: Issues Temporary Injunction At Hearing Today in Court at Cheyenne. CHEYENNE, Wyo. March 13.—(By The Associated Press) .—Federal Judge T. Blake Kennedy today grant. ed a temporary injunction halting further development work by the Mammoth Oll company on the Teapot Dome oll reserve. Judge Kennedy named Rear Ad- miral Joseph Strauss of the United States navy and A. BF. Watts, vice president of the Sinclair Consotl. dated Ot! corporation as joint re celvers for the Teapot Dome prop- erty pending the final outcome of the Mtigation. The granting of the injunction and appointment of Tol lowed the filing by “Atlee Pomeretie and Owen J. Roberts, spectal gov: ernment counsel, of a bill in equity seeking annulment ‘of the Teapot Dome leass to Harry F. Sinclair and the Mammoth Oil company on the grounds of fraud arid frregue larity. Judge Kennedy granted the de fendants 30 days in which to plead in answer to the government com- plaint. No date was set for further hear- ing in the case. Opposing counsel Stated that on account of the In- volved nature of the action it would be impossible at this time to state when they would be ready for further hearings. Details of the injunction and re celvership will be set forth in an order requested by counsel for the government and which will be signed by Judge Kennedy after {ts revision in part. Pipe line and storage facilities and the pump station and working men's quarters, property of the Sin- clair Pipe Line company and 17 storage tanks belonging to the Sin- clair Crude Ol) Purchasing corpora- tion are excepted from the terms of the receivership. Government counsel asked that these properties be excluded as operation of some of them would be essential to disposal of oil im- pounded by the receivership, Tho temporary injunction halts the drilling of new wells and the receivers will be directed to con- tinue the operation of the wells and equipment only to such extent as 16 shall deem necessary to prevent Ke or damage, + O'Donnell of Denver appear ing for parties claiming right to a part of the Teapot Dome structure under claims antedating those of the naval reserve lease requested that these properties be excluded from the receivership as they are already under federal receivership. Government counsel went into conference with Mr. O'Donnell im- mediately after court adjourned to consider charges requested by Mr. O'Donnell. Tho name of Rear Admiral Strauss was proposed by govern- ment counsel as receiver and the do fendants in their reply requested a dual receivership on which both the government and the defendants would be represented. The sug: gested Mr. Watts as their lection. Opposing counsel stated that both Admiral Strauss and My. would serve without pay. receivers was fixed at $50,000 by agreem t The receivers, under the order requested by the government coun- sel will be auth ized to * ntinue the operation of the wells and equip- ment used in connection therewith only to such extent as they shall deem necessary to prevent loss oF damag ter a full tigation and conference w partie® here to or their duly accredited rep- nd for th purposs e hereby authorized sting wells now nd to produce pas t