National Affairs: Villains? Goat?

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Secretary Work renewed the contract. Last week, after the contract had been voided by Attorney General Sargent, Dr. Work cited a letter written by Senator Walsh last winter in which the Inquisitor had said: "I am unable to understand how the Government can escape the obligation to renew the contract. . . ." Dr. Work apparently ignored or failed to comprehend the whole import of what Senator Walsh had said. For Senator Walsh had qualified his view that the option was inescapable, by saying: ". . . except it [the U. S.] treats it [the lease] as void or voidable." Senator Walsh's opinion at that time was tentative. Further investigation of the Salt Creek affair was in store and Senator Walsh further said: "I have not been able to give the subject the study that it ought to have in order to arrive at a conclusion such as would be reached by a good lawyer."

Further Investigation. Last April, stirred by the Senate's activity, President Coolidge ordered the Department of Justice to look into and report on the Salt Creek lease to Sinclair. Attorney General Sargent turned the matter over to Assistant Attorney General William J. ("Wild Bill") Donovan. The result was awaited attentively, not only by Senator Walsh, but by Senator Capper of Kansas. The latter, a faithful Republican, did not seek to embarrass the Administration, but there were potent oil men in Kansas who wanted to know what was what. Not the lease provocative feature of Oilman Sinclair's Salt Creek contract was that it was exceedingly bad business for the U. S. Prices had risen and Sinclair was getting high grade oil from the U. S. far below the market.

As late as Sept. 20, Senator Capper asked for news at the Department of Justice. Assistant Attorney General Donovan said a decision would not be issued ''for several weeks."

Exposure. The alert Kansas City Star, the Universal Service (Hearst), and the arch-Democratic New York World were on the job. On Oct. 14. the World said that, with Senator Walsh's assistance, it was going to expose "another oil scandal." On Oct. 15. the World and Senator Walsh began telling the story of the Salt Creek lease and its renewal. On Oct. 16, the World continued the story. That afternoon. Attorney General Sargent signed and issued an opinion holding the Salt Creek lease void in the first instance and its renewal void as a result.

This was not a coincidence, President Coolidge, seeing what the World and Senator Walsh were doing had demanded from his Attorney General immediate delivery of the opinion he had requested 224 days before. If it was obvious that the World and Senator Walsh had chosen a politically important moment to force the issue, it seemed equally obvious that Attorney General Sargent had meant to delay his unfortunate news until after Election Day.