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The Commoner-
VOLUME 12, NUMBBB-t
W. It. Jackson, state food commis
sioner for Nebraska, Uiod at his homo
In University Placo.
Tho Wisconsin supremo court has
sustained tho constitutionality of the
lncoino tax law.
Tho Nebraska Tclephono company
(Boll) and tho Automatic company
(Independent) In tho southern half
of NobniHka havo morgod and the
Automatic will control. Tho Boll
will control tho buslnoss in the north
half of tho stato.
Governor Stubbs of Kansas favors
Itooaovolt for president.
Tho Ohio constitutional conven
tion Is in session and tho Buckeyo
aLato .will havo a now organic law.
. Richard T. Crano, who at one time
was appointed ministor to China and
then rocallod just as ho was about to
loavo for his post, died at his home
In Chicago.
Horbort 'S. Blgolow was elected
president of Ohio's constitutional
convention.
Tho exemptions includo individual
incomes up to $800. A husband and
wife arc allowed $1,200, and for each
child under 18 years of ago and for
legal dependent an additional $200
is allowed,
Tho rates of incomo taxation are
graduated. For instance, tho first
$1,000 or part thereof, 1 per cent;
tho second $1,000 or part, 1 Per
rout; tho twelfth $1,000 or part,
5M: por cont, and over $12,000, 6
per rent.
Tho section providing for tho tax
ation of tho incomes of non
residents derived from a source
with In tho state, as well as a num
ber of othor questions, were not
passed upon, and are left for future
consideration.
Tho enforcement of the law Is
vested in tho stato tax commission.
Tho United States Steel corpora
tion, undor its profit-sharing plan
will allow officers and employes to
subscribe for stock this year at $110
for preferred and $65 for common
stock. Payment is to bo made in
monthly installments.
534,223 tons, an Increase of 740,
808 tons over tho total of tho year
before.
Tho Nicaraguan government has
defaulted tho January interest on its
1909 bonds, tho issue of which is
1,250,000.
John Grior Hibben was chosen
president of Princeton university
succeeding Woodrow Wilson.
Commoner roaders will bo In
terested in tho details of tho Wis
consin incomo tax law that has just
boon uphold by tho Wisconsin su
premo court. In Its decision tho
court says that tho Incomo tax law
does not violate the provision of the
stato constitution requiring .unifor
mity of taxation, bocauso Incomes are
not proporty ami can bo taxed as tho
legislature may direct.
For tho same reason this law does
not violato tho fourtconth amend
ment to tho fodoral constitution,
"which, tho Wisconsin court con
cludes, novor was intondod to lay
upon states an unbending rule of
equal taxation.
Tho court also finds that tho In
coino tax law does -not violato tho
provision of the stato constitution
guaranteeing local soir-govornment,
and is not discriminatory or unreas
onable in Its rates of taxation and
exemptions.
"With tho political or economic
policy or expediency of tho law," the
court says, "wo havo nothing to do,
If it bo within constitutional licenses
and embodying public policy, be
cause It is onactod by that branch of
tho government which determines
public policy.
By this act tho legislature has in
eubstanco declared that tho stato'B
system of taxation has boon changed
from a Bystem of uniform taxation nt
property (which' so far as personal
proporty is concornod has proved a
failure) to a system which shall bo
a combination of two ideas namely,
taxation of personal proporty, pro
gressive according to tho ability to
pay, and taxation of real proporty
uniformly according to value."
"Incomo," In tho new law Includes
all ront of roal estate, including tho
estimated rental of residence proper
ty occupied by tho owner; interest
from money lent or invested; wages,
salaries or foes derived from services'
.except of public officials; dividends
or profits derived from stocks
royalties from franchises or legalized
privileges of any kind, and all other
Incomes not oxompted."
Pensions and postmastors's sal
aries are not taxable. Incomes of
corporations aro assessed by tho stato
tax commission; of'-indlvldauls by
the county assessors of incomes
Russia demanded that China
recognlzo the Independence of Outer
Mongolia. Tho note adds that Rus
sia will assist tho Mongolians in
maintaining order. To this note
China has made no reply.
Alleging that eighteen individuals
and six corporations form a trust to
control tho manufacturing of bicycle
accessories, the federal grand jury
at Buffalo returned Indictments con
taining eighteen counts.
Tho incomo of tho American
Federation of Labor for tho last
quarter of 1911, according to Secre
tary Morrison, was $42,634.90, mak
ing a total with tho balance in hand
of $232,214.46.
A lottor showing alleged collusion
between Swift & Co. and Armour &
Co In bidding for a soldiers' home
contract was introduced in evidence
in tho packers' trial at Chicago.
Ortie J3. McManigal, tho confessed
dynamiter was taken to Indianapolis
secretly and placed In a cell in the
federal building. He was taken be
fore tho federal grand jury.
At tho annual meeting of the
Evangelical alliance of Greater Bos
ton a protest was made against the
escort of Cardinal Farley by the
Ninth regiment at his home coming.
Certain high ofilclals in Turkey de
slro to ond the war with Italy and
thero is a powerful element among
the people who are artxlpus to con
tinue the fight for Tripoli.
Portugueso peasants whon in
formed they must pay rent for lands
claimed by tho government attacked
troops and four peasants woro killed
and twenty wounded.
Dunfermline, Andrew Carnegie's
native city, will orect a statute of
him in honor of his benefactions.
John McNamara, of San Francisco
was arrested in New York on the
charge of robbing the Bank of Mon
treal at New Westminster, B. C of
$375,000. '
. -- x,to i4Uli yiuuuuuua oi uor
Imany during 1911 amounted to 15,-
WILL INVESTIGATE THE MONEY
TRUST
A special dispatch from Washing
ton to tho New York Sun says: A
comprehensive inquiry into tho
affairs of tho so-called "money
trust," as proposed in resolutions
presented by Representatives Lind
bergh of Minnesota and Humphrey
of Washington, republicans, will be
authorized by the democratic house
of representatives. A tentative
agreement to this effect has been
reached by the democratic house
leaders, and Representative Henry of
Texas, chairman of tho committee on
rules, is firmly of the opinion that a
plan will be ratified immediately
after the holidays and carried into
effect as soon thereafter as possible.
It is possible the investigation will
bo conducted by a joint committee
of the house and senate. Conserva
tive democrats have suggested that
tho question is too big to bo treated
in a partisan way and that whether
a joint committee or merely a com
mittee of the house is empowered to
make the inquiry, it should be under
stood at the outset that the investi
gation is not to be for partisan pur
poses but solely to ascertain if there
is a "money trust" which supplies
the motive power for most of the
other trusts.
Hearings already have been held
on the Lindbergh resolution, which
provides in brief for the creation of
a committee of five to ascertain
"Whether there are combinations of
financiers or financial institutions or
corporate or other concerns who con
trol the money and credits and
through that control operate in re
straint of trade and in violation of
law."
Tho Humphrey resolution proposes
the creation of a committee to in
quire into the operations of the so
called Atlantic pool, a combination
of foreign steamship lines which, Mr.
Humphrey charges, violate the Sher
man anti-trust law.
In his statement before the rules
committee Mr. Humphrey, according
to Chairman Henry, presented facts
intended to show an affiliation of in
terests between the "money trust,"
and tho Atlantic pool. So close, in
deed is this association, Mr. Henry
thinks, that it warrants the two
resolutions being merged into one
broad enough to bring both subjects
within the scope of a single investi
gation. A further hearing on the Lind
bergh and Humphrey resolutions will
be held before the committee on
rules on January 15. Samuel Unter
myer of New York, who addressed
a letter to Representative Lindbergh
strongly urging that he continue to
OreSS for. frMrm n lf-ntrr-aac o J.
tho "money trust ; Attorney Gen
eral Wickersham and the secretary
of commerce and labor will be asked
to appear and give the committee
the benefit of their information and
advice.
If present plans are carried out
the committee thereupon will draft
a substitute for tho Lindbergh and
iiumym resolutions and recom
mend its passage to the house.
Democratic leaders say the advice of
the rules committee will be followed
In discussing the subject Represen
tative Henry, chairman of the rules
committee, said;
"In my judgment Representative
Lindbergh mado a strong showing
against the money trust in tho pre
sentation of the case to tho rule
committee. The case of Mr. Humph
rey against the shipping combine
was equally strong. Their state
ments disclosed facts that the money
trust, the shipping trust and other
large interests are so related to one
another that the resolutions offered
by the two gentlemen might be
merged so as to reach all interests
involved.
"While I can not speak for the
whole committee on rules, I am
heartily in favor of an investigation
along the lino indicated. The people
are entitled to know the facts; if
thero is a money trust, organized or
unorganized, we should find it out.
If there is not it is just as important
to learn the truth.
The Lindbergh money trust resolu
tion heretofore has been largely
treated as a joke in Washington.
When it first was presented, the
general expectation was that the
measure would be pigeonholed, but
taken in connection with the Hum
phrey resolution the proposal of Mr.
Lindbergh now is beginning to be re-
garded seriously as affording the pos
sibility of further agitation against
big business. In its preamble the
Lindbergh resolution setB forth that
"money, exchange, deposit, reserve
and credit systems are essential to
the business relations of the people
with each other, requiring that they
should be administered on a com
mercial and not a speculative basis."
It adds that the present system of
money, exchange and credit entails
on the people enormous losses, -"due"
presumably to speculation, gambling
and manipulation." The- resolution
goes on to say, "That' it appears that
these practices are directed through
well defined centres the greatest of
which it is believed -does now actu-s
ally , have "the power, of- controlling
credit, exchanges" and deposits to the
extent of being able actually to bring
on. business depression' and even
business disaster."
The resolution further charges
that "There appears to be a con
stantly increasing power in certain
individuals and corporate concerns
to concentrate and control, for selfish,
purposes, the moneys, finances and"
credits of the people."
The measure provides for an Inr
vestigation to determine among-'
other things whether there is a
money trust as alleged and whether
there are practices by which the
spirit of- the national banking laws
is being violated in, .the organization
of banks by the use-of the note kit
ing system. Representative Lind
bergh also would ' inquire into the
uses to which reserves and deposits
are put by banks. v
, Specific charges aro made against
the shipping combine" in the Hum
phrey resolution. It alleges among
other things that this combine con
trols the rates of the' transatlantic
business; that the combine between '
here and Sonth America is a com
plete monopoly; that advantages are
given to the Steel, Standard Oil and
Harvester companies by the shipping
combine sufficient to prevent com
petitors from opposing these com,
panies in foreign markets; that the
combine dictates through what'
American ports, passengers and
freight shall pass and that there is
a union of interest between Ameri
can railroads and the shipping combine.
COMMON KIND
"What has become of that man
who used to say he was a servant
of the people?"
"The people had to let him go
replied Farmer Coratassel. "He cot
to be one of these hired men who
stand around talkin' when they
ought to be at work." Washington.
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