AMERICAN OIL SCANDALS.
"FRAUD AND CONSPIRACY." RIGHTS ILLEGALLY OBTAINED RICH CALIFORNIAN RESERVES. GOVERNMENT'S FIRST WIN. By Telegraph—l'ress Association—Copyright. (Received 7.H0 p.m.) A. and N.Z. MONTREAL. May 23. A message from Los Angeles states that Federal Judge Raul McCormiek decided that tho Elk Hills naval oil reserves in California, with a potential value of between 200,000,000 and 300,000,000 dollars, wero obtained by the Pan-American Petroleum and Transport Companies, belonging ,to Edward Doheny, through fraud and conspiracy. The Judge has ordered that tho reserves be returned to the Government as the companies wero not lawfully entitled to develop them. This is tho first suit arising from tho oil scandals that has been won by the Government. Doheny states that ho will appeal to the Supremo Court against the decision. The Government has instituted a suit to cancel a number of other contracts and leases. Another Government suit has been commenced to cancel the Teapot Dome leases. Tho question of tho reindictments of Doheny, Sinclair and Fall, in connection with charges of conspiracy to defraud tho Government, which wero recently dismissed, is being considered, but no decision has been reached.
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New Zealand Herald, Volume LXII, Issue 19031, 30 May 1925, Page 9
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187AMERICAN OIL SCANDALS. New Zealand Herald, Volume LXII, Issue 19031, 30 May 1925, Page 9
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