Monday, Mar. 17, 1924
Oily, Oily, Oily
The naval reserve oil scandals (TIME, Feb. 4 et seq.) came to a head many weeks ago when the Senate Public Lands Committee discovered that ex-Secretary of the Interior Fall had received an unsecured loan of $100,000 from Edward L. Doheny about a year before Naval Reserve No. 1 was leased to one of Mr. Doheny's companies. Since then nothing of equal importance has come to light. The investigation has wandered far afield digging up new tidbits to set scandalous tongues wagging for another day, after which a new name or new names were discovered to be be-oiled. Last week's 'daily contributions included: P: The discovery that Edward B. McLean (TIME, March 10), owner of the Washington Post and the Cincinnati Enquirer, is a special agent of the Department of Justice, at a salary of $1 a year. McLean's connection with the oil scandal is that he gave tentative assent to Mr. Fall's attempt to make the investigating committee believe that a newspaper publisher, not an oil magnate, had lent him $100,000. P: The publication of a telegram from Mr. Doheny to .Senator Walsh, investigator, saying "Merry Christmas from Mrs. Doheny and me to you and yours" and asking whether the Senator would take part with him in an oil venture in Montana. The telegram was sent before it was known that Mr. Doheny had lent $100,000 to Mr. Fall. Mr. Walsh replied by letter: "I should further appreciate very much indeed, the opportunity to be associated with you in some business enterprise. ... I cannot do so, however, because in the expansion of the business of a corporation such as you would organize, it would almost of necessity acquire leases from the Government, and while I am in an official position I hold it seems unwise for me to engage in any business dependent in any appreciable degree on Government favor. ... A merry Christmas and a happy New Year."
P:A speech by Senator Heflin in which he inferred that "the principal" referred to in one of the telegrams sent by one of McLean's employees was President Coolidge. The telegram said: "Saw principal, delivered message. He says greatly appreciate and sends regards to you and Mrs. McLean. There will be no rocking of boat and no resignations. He expects reaction from unwarranted political attacks. Bennet." P: The publication of two telegrams sent by President Coolidge to Mr. McLean at Palm Beach. One said: "Prescott is away. Advise Slemp with whom I shall confer. Acknowledge." According to announcement from the White House, the President had wished to see some one on political matters in the District of Columbia. Prescott, Republican City Chairman, was away, and the President was asking information on who should be seen in Prescott's absence. The other telegram read: "Thank you for your message. You have always been most considerate. Mrs. Coolidge joins me in kindest regards to you and Mrs. McLean." This was an acknowledgment for a telegram from Mr. McLean congratulating the President on his message refusing to comply with the Senate's resolution asking for the resignation of Mr. Denby.
P:Testimony by the man who had written the telegram referring to "principal" that "principal" referred to Senator Curtis, Republican Whip. Senator Curtis denied it. The White House declared that any conversation which the President had with the writer of the telegram (the editor of the Washington Post) must have been casual, since Mr. Bennet has not conferred with the President. Mr. Bennet himself said the remarks about "no rocking the boat" and "no resignations" were his own.