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About Omaha daily bee. (Omaha [Neb.]) 187?-1922 | View Entire Issue (Dec. 6, 1903)
I The Omaha Bee. !0 2SWS5i3S G1b3WCS!S!! unday PART III. PAGES 21 TO 2a ESTABLISHED JUNE 19, ' 1871. OMAHA, SUNDAY MOUSING, DECEMBER 6, 1903 SINGLE COPY FIVE CENTS. OUR AFRICAN INVASION Uncle Sam's Expedition to Abjuinia and Iu Effect Upon Araerioan Trade. CONGO COTTON V AMERICAN COTTON Kin Menelik' ' Tcople - Clothed ia Americas Cottons Oar Trad with oath Africa Greater Thaa with oath America and China. )tC op y right, 1903, by Frank O. Carpenter.) WASHINGTON, Dec. I. (Special Corre spondence of The Bee.) Our consul general at Marseilles, Robert P. Skinner, is now on his war to Abyssinia to make a comnireclal treaty with Kins Menelik. He goes aa a representative of the ..ierlcan government on an American guj .oat and with a company of , American marines. His route will be across the Mediterranean to the Sues canal and down through the Bel sea to Jlboutl, in French Somallland. Her he will take the new railroad which was completed last year from Jlboutl to Barar, In southeast Abyssinia, a distance of 186 miles. At Harar he will make up a oars van of mules and camels to go across the country to the great camp-Ilk capital f Adls Ababa, where King Menelik has his court. , He will spend some time there making the treaty and investigating trade conditions, and will then return to Europe or the United States. America la Abyssinia, This expedition will be of great advan tage to American trade. It Is the first government step In our commercial invasion of Africa, and It will probably be fol lowed by others, which will give us our share In the foreign trade of that conti nent. Africa Is three times as big as Europe, and its population, by some esti mates, is almost as largq. It already buys goods amounting to many millions of dol lars, and prospectively It is one of our best customers. At present most of our exports go via Europe, but In the near future there will be lines of American steamers to the African ports and the trade will be direct. American goods are already well known In Abyssinia, The people usr American petroleum and cottons to the amount of millions of dollars every year. It Is esti mated that one-third of all the goods Im ported by the Abysslnlans come from the United States, and of these the cottons alone amount to 85,000.000. Abyssinia has a population of. S.G00.0C0. The people wear a sort of a toga made of whit or gray eotton. It Is about nine feet long and six feet wide. They wear close-fitting cotton trousers and cotton shirts. Much of our goods Is sold In ths form of gray shirtings, and there are car tain makes which are especially popular, being known by their trad marks. One of the marks Is a camel, another a tiger's head and a third a Somali warrior. At present the trsde Is dominated by a firm , of Greeks In Marseilles, who ouy directly from the Americana They have a branch house In Wall street and ship from New York to Jlboutl. They formerly bought ' most of their goods In Manchester.- but the 1 American cotton was found to b stronger, cheaper and more popular, and It now has the bulk of the trade, notwithstanding the English and Indian cottons attempt to com pete with It. A Merchant King. The expedition to King Menelik Is a happy thought. The king controls the trade of the country. He can put on tariffs or take them off at will, and can give all sorts of rebate to his 'favorites. He will proba bly make the treaty so that a good share of the profits of the business will come to him. I understand this la so of most of the Abyssinian trade. The king has an army of lBO.OOO men, and if the clothing for ths soldiers could be made of American cotton It would materially Increase our ex porta. - Consul General Skinner will bring back the patterns most liked by the people and some of our factories may work directly for the trade. The Abyssinian women wear t a mixture of blue and red cotton. They are fond of turkey red calico and have printed cotton handkerchiefs. Some of the Abyssinian home-made cottons are wh'te with a red stripe twelve Inches wide run ning through the middle of each piece. They could be easily imitated and sold at a profit Yankee Good la South Africa. 1 The American Invasion of South Africa auses the British and Oerman exporters many sleepless nights. The London papers are full of It, and I saw frequent refer ences to It In the journals of Belgium, Ger many and France. Our- trad there la growing about as rapidly as In any part of the world.- W are now selling something Ilk 126,000,000 worth of goods every year to Natal, Cape Colony and the other countries of that region. This Is more than we sell to all South America and more than our ales to China, the East Indies. Russia, Denmark, Spain, Austrhvand Norway and Sweden. Not only that, but these countries ar onJ edge of their development They ar a Immense Immigration from Eng farming territories ar being P every day. new railroads ar h and public works instituted. ,1 of farm houses which were de during the Boer war ar rebuild- your hardware Is In demand. There ket for corn planters, harrows, rul . iura, plows, reapers and mowers, issuers and ail sorts of farm machinery. Jierlcan wagons ar considered the best :ij they sell well everywhere. The South ,Mo'ins are using our locomotives on the Railroads and have recently bought a lot of steel cars. They like our foodstuffs and buy American flour and canned meats. Much of the American canned stuff goes to South Africa under English brands. Four million pounds of tinned meats were re cently shipped from New Tork to London. They were rebranded Ehamrcok, an English trad mark, and sent out to Natal. America la the Cold Mines. I am told that American goods are found throughout the gold region. They ar used In Klmberley, the diamond mining center, and have mad their way right into the mine themselves. Much of the mining ter ritory there was opened up by American mining engineers, and these engineers early began the Importation of American goods. Klmberley ha tc plants from Chicago. It has a narrow-gauge railroad made of American rails laid on ties of California redwood, with locomotives that cam from the United States. It baa a dynamite plant with an American manager, and the dia mond mines themselves ar In charge of an American. The same la true of the gold mines. The Rand Is not unlike parts of Nevada and the prospecting la done with Ameiioan dia mond drills, which the miners say ar lighter' than the English drills and more easily worked. Much of the ore la dug down with American ploka, loaded upon car with Amvrtr-an shovels sad carried through the tucntla over Amanoaa rails. The timber ing Is done with carpenter tools from New Eng.and, the Ant. lean saw and the Ameri can ax being everywhere' found. Oar Trad Increasing. Wh-t trouble the English and Germans is the steady gain In American trade. W ar Increasing our exports at the rat of SO per cent and upward a year. In on year w gained 12.0,9j0 in machinery and typewriters, 1110,000 in household goods, and nior than 1600,000 In iron. W are now shipping more flour than ever, sending It direct from New Tork and San Francisco to Cap Town and Durban. The flour goej In bags of 2U pounds or barrels of 191 pounds, but bags ar preferred. We sell patent medicines In South Africa. Any drug store there will give you our liver pills, favorite soaps, refined castor oils and our best known patent medicines. W sell electrical goods, typewriters, cash registers and musical Instruments, such as the phonograph and graphophone. There Is a big demand for wire fencing and for galvanized iron sheets for roofing and build ing. This material is used all over South Africa and it Is now supplied chiefly by the Belgians and the English. Now Afrlcaa Railroads. . The new railroads of Africa ar taking mora or less American materials.. Lines ar being built her and there all over the continent, and we ar selling them loco motives, bridges and heavy machinery. The South African states would rather patronise the English, but they are open ing up new countries and they want their orders filled Immediately. The American can do this In one-third the time proposed by the British contractors and generally at a much lower rat. This was the case with the Uganda railway, whloh runs from Mombasa, on ths coast a little bit abovo Zanzibar, Into the interior as far as Lak Victoria Nyania, That road Is now com pleted and It has twenty-seven American bridges upon it It took the British con tractor two years to put up eight bridges, and the company was In despair as to the twenty-seven . remaining. They asked the American Bridge company to bid upon It It did so, offering to complete the whole within seven months after the foundations were ready. The . contract i was . accepted and the Job was don on time. The bridges wtor built In Philadelphia and shipped In tramp steamers to Monbasa. American en gineers superintended the work and East Indian coolies performed the' hard labor. The Uganda railroad is partially operated by Ametrican locomotives. . t Th losdaa Railroads. A number of railroads ar to be built in' the BoudaVi, that wide strip of country which runs across Africa between the Sa hara and the Congo valley. . The Egyptian railway is to be extended south from Khar toum, and English and American capitalists are now having a railway surveyed from Khartoum to Adls Ababa, th capital of Abyssinia. If this Is built It will b fol lowed by a' road Connecting It with th French line at Harar, making a continuous road from Khartoum to Jlboutl on th Red seal i Other sections have been planned along the Cape to Cairo road, and th Ger mans are building a line from the coast opposite Zanzibar which wilt ooneact with that road somewhere in . the vicinity of Lake Tanganyika. Th French propose to continue th line which now runs from Al giers and Constantino to the oasis of Biskra, south of Lake Tschad or Timbuktu across th Desert of Sahara, and ther ar several Unas either planned or in construc tion from the Gulf of Guinea I- th in terior. The Belgians have son. w rail road projects ' along the Congo, .he . road which has been built to Stanley Pool hav ing been a great success. Indeed, Africa offers a promising field for the sal of American railway materials, and the Steel trust and our bridge companies should keep their eyes on It . Onr Goods la West Africa. W sell comparatively few goods in West Africa owing to th fact that we havo no direct steamship connection. The southern and central parts of that continent are as hear th United States aa Europe, and steamers from New Tork and our southern ports should make regular sailings to Cape town, the Congo and the Gulf of Guinea. At present most of the shipping Is don by the English and Germans. Th Belgians hava lines from Antwerp to th mouth of th Congo and th Dutch also talc a shar of th trade. . The chief English shippers are Elder, Dempster & Co. This firm sends steamers to most of th ports on th west coast and It la trying to develop th trad of the Brit ish colonies ther in every possible way. It has recently opened up cotton plantations In Lagos, and has brought cotton experts from America to oversee them. Th same has been don by th Germans, the latter having . taken negroes from Booker T. Washington's school at Tuskegee to teach the people how to handle th cotton. This experiment aa far as th English colonies are concerned, is not new. It was tried during our civil war, when prices went skyward. Th result was a shipment of 1,700 bales In 1804 and of 19.000 bales in 1868. Shortly after that the business began to decline. It fell to (74 bales in 1880, rose to 1.000 bales In 1890 and dropped to one bale only . In 1817. Sine then but a few hundred bale have been, annually exported. Th ootten from West Africa Is of th short staple variety. It baa a poor color and It does not bring aa much as middling American cotton. Th British ship owners claim that they can carry it to Liverpool as cheaply as cotton can be brought from America, for the reason that they can lak back full cargoes of manufactures to Africa, whereas the return cargoes to th United States ar light. Oar Liberia, Commerce. On would think that th United Sutes ought to have th bulk of th trad of Liberia. It has not aa much as Great Britain. The country is comparatively poor and Its total Imports amount to only $1,000,000 a year. Th population numbers 1,000.000. but only 60,000 of these ar of American descent and so far our colonising Schemes have not been a success.. In Liberia all accounts ar kept In American dollars and cents, but th most common money la English. Th Germans ar do ing what they can to get the trad. They ar now sending two steamers a week from Hamburg, and th Dutoh have also estab lished direct steamship connections. ' W have some trade with the French Congo, and quit a good deal In th way of cotton goods with th Congo Fre State. Still further south American coal oil la used In the Portuguese territories, and American tobacco Is to be found almost everywhere. It is used for chewing, snuf fing and smoking In the Congo valley, be ing sent ther In a leaf shape. It Is smoked In cigarettes and cigars through out South Africa, 17B.Oue.000 cigarettes be ing annually Imported by on firm alone. Th African Mediterranean. Ther ia a big chance to Increase our trade qn th African Mediterranean. American cotton goods can be sold In Morocco, Algeria and Tunisia, and also la Tripoli and Egypt - At preseat the French have the bulk of th trade c( northwestern Africa, They have built up a big business In Algeria. When they took possession of that country In 1830 their annual exports to it were- only 11,600,000. They ar now mor than $50,000, 000 every year. The French ar colonizing th country, building roads and railroads, opening up Its wheat fields and making it one of the great food supply points of the republic. 'Our exports to Algeria are now worfch about $1,000,000 annually. They are mad up of tools of all kinds, Including reapers and mowers, threshers and portable en gines. It Is the same In Tunisia, which also be longs to France. W annually sell $123,000 worth of agricultural machinery to that country, and also quantities of tobacco, pork, corn and petroleum. The Tunisians use American saws and carpenter tools and all sorts of American hardware. The Egyptian Market. The biggest market of this part of the. world, however, is Egypt. That country is controlled by England, although nominally under the sultan, and the United States is now getting a fair share of its trade. The building of th At barn bridge was a great object lesson to the English engineers, and much of our machinery Is now being used. The new railroads have 200 American cars and quite a number of American engines. Egypt is largely lighted with American petroleum; it takes thousands of pairs of American shoes - and a small amount of American cotton. There is, however, no American house In Egypt, and such busi ness aa is done is through foreign im porters. FRANK G. CARPENTER. RAISES MANY . ASSESSMENTS Board of Review Advances Figures of Oyr Two Score Busi ness Firms. As the result, of a nigr.t Session of the Board of Review, lasting unUl 12 o'clock. more than two score business firms have been cited to appear and show cause why their assessments for the 1904 city taxes should not be increased by hundreds of thousands of dollars. Various classes of mercantile enterprise are entered upon the list, which Is by no means complete, ac cording to members of the board. Whole sale and retail houses, . manufacturers, transfer companies, coal dealers, storage houses, credit and loan companies, ar to be mad subjects of inquiry. In many cases the Arms have returned voluntary estimates for about the same amounts as assessed last year, but in nu merous instances the board Is not satisfied with, these figures and will Insist upon further Inquiry next week. The Green Trading Stamp company is to be taken at its word and the return of $2,350 Is tp be weighed ' and ' considered in th light of sworn statements. . Following are the marked raises proposed by the board t Vol. Prop. Return. Assess. American Beet Sugar Co. of Norfolk. Neb $ $100,000 Standard Beet Sugar Co. of Ames, Neb 100,000 Fairbanks, Morse & Co 46,000 60.000 Hayward Bros. Shoe Co 40,260 69.000 Creamery Package Co 18,000 40.000 Johnson Bros. Transfer Co... 4,911 I6.O0O Klrschbaum A. Sons , . 7,825 46,000 Jtlopp-Woodard Co U,i 6,0o0 Lee-Glasa-Andreesen Co $00,300 $60,000 Martin Cott Hat Co 16,160 26,000 Nebraska Clothing Co 80,0o0 100,000 Omaha Cold Storage Co., 841 60. 000 Omaha Carpet Co...., SS.000 80,000 Omaha News Co 19,626 80,000 Omaha Shot Lead Works 8,245 10,000 Omaha Transfer Co , 1,966 10,000 People's Furn. & Carpet Co.. $1,836 60,000 Paxton ft Vleriing Iron W'ks 82,260 , 43,7.4 Racine Sattley Co 20.375 8i,0u0 Reliable Credit Co 1,060 8,000 Rex Stock Food Co 2,640 10.000 F. E. Sanborn Co 8.&0O ' 20,000 Remington Typewriter Co.... 10,000 SO.OoO Victor White Coal Co 1,600 10 000 Sheridan Coal Co 2o0 60 0JO Sunderland Bros 21,700 80,000 C. B. Havens & Co SO.OoO M. E. Smith & Co 240,000 400.000 Bperry & Hutchinson Co 2,350 10,000 M. Splesberger Co 20,000 30, 00 TransmiHslislppl Grain Co.... 446 10.000 IT. S. Supply Co 48,000 75,000 Voegele c Dinning Co. 25,000 86.000 Williams Shoe Co 26.000 60,000 SAYS IT SHOWS ITS HAND I V. Gay Comments on Cltlsens In dustrial Association' Action on I'nlon Label. . Th resolution against union labels and the opposition taken to the eight-hour bill by the executive committee of the Citizens' Industrial association at Dayton, O., are a good thing in some ways," said President Louis V. Guye of Central Labor union, "be cause they show the public Just where the association stands. They have said that they were not against the labor unions, but this action will make it clear that they ar altogether against, the unions. Ther ar three classes in the United Otates th larg employers, th small dealers and the laboring men.. The middle1 men are the un certain element and it is at them that the action against union labels Is aimed. They will want to handle such goods and the as sociation can bring pressure against them doing so. The label Is simply a sign to buers that the article has been mad in a sanitary ahop under fair dealing. "In advocating - the tight-hour law the unions hava simply tried to keep pace with th times. As new labor-saving machinery Is Introduced the production of the labor ing man Is increased and the output of th factory. W feel that we should benefit from this Increased production from each man by shorter hours of labor. We feel that a man should work ele-ht hours' eight hours for sleep and eight hours to do other things-improve himself, amuse himself and do what he 'ikes." WILL NOT HURT LOCAL PLANT Armour's Resumption of Operations at lions City No Stroke to oath Omaha. , Th Armoihr A Co. napkin nl.n In ' City, which wsj destroyed by fire one year . ago, will bo ready for operation In May. 'While It, has been out of commission the 1 company has shiDDed all tha hon In the Sioux . City market to Omaha and has consumed them here. "The loss of this business to Omaha when the Sioux City plant begins operations," said Manager R. C. Howe, "will not figure materially. "W expect the local market to Increase next summer to such an ex tent that th loss, of tha Sioux City hogs will be mors than equalled. W have not bought any cattle ther. and sheep also have not figured." Whil In Bloux City recently Mr. Howe Is reported as saying that the company was very anxious to finish the plant so as to sav th heavy freight bills on llvs stuff shipped to this city. On the day of this visit a shipment of sixty cars of hogs bought In Sioux City was made. The new plant Is to cost $1,600,000, and th power house, beef cooler and hog killing house ar to be finished by May t The work has been delayed by lack of struc tural Iron, : vrnniri! no vrur tiv t tt I iUDiuianaa mm iaa law Digest of the ' Arguments Presented to Buprema Court. IMPORTANCE OF THE CASE TO PEOPLE Points Presented by the Lawyers on Both Sides 'Arranged In Refer nco to the Particular Sections Attacked. (From a Staff Correspondent) LINCOLN, Dec. 6. (Special.) A suit of mor importance to the people of Nebraska probably than any heretofore tried .before tha supreme court. Is that wherein th con stitutionality of th revenue law enacted by the lata legislature is at staka Th case was started by the Insuranc com panies through their Omaha agents, who brought mandamus proceedings to com pel the tax commissioner of Omaha to fol low the provisions of the old revenue law. The case was of such Importance that the supreme court appointed three of th supreme court commissioners to first hear arguments, their opinion to be th basis from which other arguments were to be made before the court proper. Each of the commissioners handed down an opinion, one declaring the law constitutional in its entirety, one declaring th Insuranc sec tion void and for this reason held the en tire law Invalid; the third commissioner held that the insurance sections were void, but that this did not Invalidate th entire act A half dozen or more lawyers made arguments on each jlde of the ques tion and sufficient evidence was introduced to prove that at least there ar two sides to the revenue cose. Digest of Arguments. As an indication of this a condensed report of the argument for and against la her produced: Section 65 provides a penalty for a fail ure of the owner of property to make a statement of his property as required by law. For: Th power to make a law Implies the power to enforce It, and a law without a penalty Is certainly useless. Such legis lation Is very common and la held valid. I Cooley on Taxation 916. Against: This Is a clear violation of sec tion 1 article Ix of the constitution. Section 66 relates to the taxation of grain brokers upon average business don during the year. For: They are put in a class by them selves and the method Is both Just to them and the public and is therefore valid. It does not affect relators' Interest, and there fore they cannot question Its constitution ality. Against: It is made a straight property tax upon what owner once "had, but which he does not now own, because he has paid It back. Such a method clearly violates the constitution. In Clother against Maher. 16 Neb., page 1 this court said: "This rule of uniformity very clearly would require that all taxable property within the district, when the levy is made, and only such, should be taxed." Section 67 provides that owners of gov ernment bonds shall exhibit them to th assessor should he clsim to have money thus Invested. Upon failure to do so the assessor Is to list against owner the amount of money ha claims to have Invested. For: It Is a verbatim copy of the old law, section 4,807, oomptled statutes, 1901, snd is reasonable In Itself. Before Its adoption persons were In the habit of getting exemp tion on the same bonds as the law was passed to prevent this. Against: Before any man Is fined or Imprisoned he Is allowed by the constitution a trial by a Jury. Under this section he may be punished by the say of the assessor. In Jones against Commissioners. 6 Neb., 661. it appeared that under general stat utes, section 899, an assessing board bad added 60 per cent penalty as authorized by the statute for failure of the taxpayer to malia nrorwr return. Such addition was held to be void by the court because it was prohibited by section 1, article-lx, of th constitution Taxation of Credits. For: Credits are undoubtedly property. Jones against Seward county, 10 Nebraska, 164, 161, 25, American and English Ency. Law (1st ed.) 103. If credits are property there is noth ing unconstitutional in taxing them. The legislature could not exempt them If It wanted to. State against Poyntei supra. Whether It be gross er net credits assessed the validity of the law cannot thereby bo effected. , , Against: Th constitution provides that "revenue as may be needful may be pro vided by levying a tax by valuation." A wholesale merchant has accounts out In the fall and spring largely in excess 01 ms wealth, having borrowed money to carry on his business. If credits mean gross credits ss it was evidently the Intention of the leg islature, the wholesale merchant does not pay according to valuation of his property, out greatly In excess and therefor the section Is unconstitutional. Assessment at 20 per cent. For: The tax is to be levied according to valuation and not according to actual voln Thnt Is made accord I nr to the ap praisement of the assessor. This court has settled that this Is in accordance with the constitution in State against Savage, U, N. W. Rep., 716. Against: The constitution says: "Rev enue shall be rasled by levying a tax by valuation so that every person shall pay in prooortlon to his property and fran chises." Insurance Company Assessments, Sections 66. 69, 60 and 61 provide for th taxation of gross receipts of Insurance com panies. For tha state has a rlarht to tax such re ceipts. Phoenix Insurance Company against City of Omaha, 28 Neb., 312; 81 N. W. Rep., 622. (Five other cases cited.) It Is gen erally held that a tax on gross receipts is a business or franchise tax and not a prop erty tax. It Is also held that all the prop erty of the corporation Is taxable In addi tion to th tax on gross recelpta Soma states hold with Nebraska that a franchise Is property and .that a tax upon It is In that sense a property tax; but where the distinc tion is made between a franchise as a prop erty tax and other property taxes, ths re sult Is the same as where a franchise tax la held not to be a property tax. because In lthr naaa ins franchise Is separated from all other property. Our constitution pro vides for tne laxaiion 01 properly a,uu franchises, making the distinction. A tax upon gToss receipts Is a proper measure of th franchise tax If tha legisla ture makes it so, whether It be considered as a business tax or a property tax, be cause the constitution expressly says the value of the franchise Is to be ascertained In such a manner as the legislature may Sections 68 and 61 ar In substance th oa law in force Drlor to 1887 (bar ring exemptions in that law), which was held valid In Phoenix Insurance Company against omana, neo., oii. in. cuiu.au i., .hat ih.v ere Invalid because they provide different methods of taxing the gross receipts ui imuiam., . based on section 61, which permits state companies to deduct the amounts paid for reinsurance and upon cancellations from the gross receipts, while no such provision is made for foreign companies. Under a reasonable construction of these sections there is no such difference. The money which one company paya to another for re Insurance Is a part of the gross receipts of the latter and Is taxable as such. To re quire the company that first receives it to Say taxes on it would be double taxation. Note State against St. Paul, Omaha & Min neapolis Railway Company. SO Minn.. 811, la N W Rep.. 8o7. Permitting companies to deduct cancellations comes under the aim general principles. The money which it re ceives and holds merely as agent for an other, and which It Is required to return, is not a part of the gross receipts within the meaning of the law. Southern Express Company against Hood. M Am. Deo., 141. 146; oerman Alliance Insurance Company asainst VanCleave. 191. Ill, 410. In the last rase It la held that money returned on can celled policies Is not a part pf the groa re ceipts of th company for which it must-account ' Power of tho Legislator. The legislature has power to separate cor porations Into different classes for purposes f taxation, which may be taxed under different modes of iMfsnment. Coal Run Coal Company againiit Flnlen, 124 111., 66; 17 N. E. Rep., 11. This case is under a con stitutional ciaure the same as ours. I Cooley on Taxation, 71s, Int edition; 2s Am. and Eng. Kncy. Law, 62 and 627. first edition. Corporation tueuUuned la section M ar In a different class from those mentioned In section 61. The former Includes only foreign fire Insurance companies, while the latter Includes only home companies. Each of a class Is treated uniformly. The state has a right to make a distinction. Bacon against Board of Tax Commissioners, .126 Mich., $2; 86 N. W. Rep., 807. Sections 69 and 60, Imposing a t per cent tax upon gross receipts of certain foreign Insurance companies and stirety companloe for the privilege of doing business In the state, do not put a tax upon property and do not come within the purview of section 1 or section 4 of article ix of the constitution. These sections are copied substantially from the Iowa statutes, which was sus tained In Scottish Union, eto., against Her rlott 109 Iowa, 606 ; 80 N. W. Rep., C06. (Other citations.) None of th sections at tempt to mak exemptions. On th Contrary. Against: Th plan Is to lay a property tax by valuaUon, though the plan is im perfect faulty and void. The test of valid classification is stated by Justice Sullivan In State against Farmers and Merchants Irrigation Company. 69 Neb. xL 80 N. V . 61, who after referring to the rule that a statute may not be objectionable aa want ing uniformity of operation If It operates alike upon all persons and localities aa a class, says that "such general statement must be qualified," and he cites Association against Drummond. 4 Neb. 2o0. 68 N. W. $75, In which It was held: "To this general statement it was perhaps necessary to add a qualification. The legislature may not arbitrarily and without any possible reason create a class to be affected by legislation where th result would be an Infringement upon the constitutional prohibition,"' and he lays down the rule in these words: The rule established by the authorities Is that while It Is competent for the legislature to classify, the classification to be valid must rest on some reason of public policy, som substantial d.fference of situation or cir cumstances that would naturally suggest the Justice or expediency of diverse legisla tion with respect to the objects classined Citing Cooley Const Urn. (6th ed.) 481.. and Foreign fir Insurance companies and all domestio fire, life, accident and surety com panies are classified together, but foreign Hie, accident and surety companies are classified differently and assesMed upon a different basis. Companies that write many of the different kinds of insurance are omitted from all of these sections. There Is no provision In the act for their taxation. There is no requirement for'the assessment and taxation of the companies that writ Insuranc for the safekeeping of moneys, gapers, books, plate glass, liability, steam oiler, burgary, credit, automatic sprink ler, animal, hall or tornado Insurance, and all fraternal beneficiary associations and mutual oompanies. both fire and life, for eign and domestio, are expressly exempt from taxation. During 1902 the people of the state paid about $8,000,000 for Insurance of all kinds. Under this law nearly $3,000,000 of prem.ums for Insurance paid to 140 for eign and domestic mutual fire and tornado companies en fraternal beneficiary and assessment companies Is exempted. Tax . a Gross Premlnms. Section 68, providing a tax on gross pre miums, violates the fundamental law. it Is a tax upon something that never belongs to the company and never reaches It, for th agent's commission, running from 15 to 26 per cent, is always deducted and losses, cancellations and reinsurance reduce th net receipts to 25 per cent of the gross reoelpU. Therefore a tax on gross pre miums Is not a tax by valuation. The sec tion also Imposes a personal liability on the agent for the tones of his principal and thus provides for taking bis property without due process of law. These two points of attack ar valid objections to the ooni Itutlonallty of the section. Should it be found that th legislature has the power to tax the gross premiums of such com. panles as an Item of property the reason able test of classification prescribed by Justice Sullivan Is violated. Foreign Are insurance companies cannot be put In a olass by themselves; foreign life, accident and surety companies in another class and domestic fire, life and accident insurance companies In a third olass with no provi sion anywhere for the a sessment of com panies who did three-eighths of all th business that was done In th Stat during 1 In 'state vs? Poynter, 69 Neb. ill. 81 N. W. 431, this court said: "The rule of uniform ity vouchsafed by section 1 of article ix of the constitution forbids the enactment or any law exempting the property of any person or corporation from taxation ex cept such as are enumerated In seotlon $ of article lx of the constitution. The property of Insurance companies cannot b exempted from taxation." There Is no such thing aa a license tax. An exaction by the state from a corporation is either a license or a tax. By this court the dis tinction is sharply drawn in Pleuhler vs. State. 11 Neb. 647, 670. and German Amer ican Fire Insurance Company vs. Mlnden, 61 Neb. 670, 71. N. W. 995. Another reason why these sections can not be sustained as exacting a license of the companies mentioned. The state may not require the payment to Itself of one dollar of license money. The constitution forbids It. Section 6 of article vlll. It can not be treated as an occupation or business tax without adding to the words employed, and It Is not the province of th court to legislate. Taxation of Corporations. Sections 77 and 78 provide for the taxa tion of the gross receipts of telegraph, telephone and express companies. For: The gross receipts for Interstate commerce can be ' readily separated from the receipts from intra-stat -commerce. The latter is Ml that can be or will be taxed. Ratterman vs. Western Union Tel egraph Company, 127 U. B. 411. $ Sup. Ct 1127. The constitution provides for the tsx atlon of property and franchise of the cor nnmtinn .nu r t el v. tha value to be ascer tained In such manner as th legislature may direct This Is what Is done in these sections. - ... Against: Such companies derive a large per cent of their revenue from Interstate business. The sections lay a tax upon in terstate commerce, and therefor violate the Interstate commerce clause of th United States, ana aiso iaca unuurmny with franchise taxation of other corpora- Section 124 provides for appeals from "Board of Equalization without trial by For: Th constitution only provides Jury triuls In such cases as were triable at its adoption, and according to the course of the common law. Yger against Ex change Nat onal tsana, u xnbo., ei; and Eng. Ency of Law tirsi B-a.i ioi. and cases oitea in wi , sroonu rummi. Vol. 1. page 978. Appeals from the Board of Equalization are not such cases. Be sides, an appeal Is a purely statutory right and must be pursued In a mannert pointed out by the statute or not at all. Neb. Ry Co. against Van Dusen, Neb.. 100, 161; 1 Am. end Eng. Ency of Law (first edition). 616. The leal-lature might hav mad th action of the Board of Equaliza tion final and no one could have com plained. So It can provide how an appeal shall be tried. Against: Th section directs the district court to hear such appeals "as In equity and without a Jury." This deprives prop erty owners snd taxpayers of the right of trial by Jury and directs the district court how to proceed In certain ca"es there pend ing, ana without the constitutional inhibi tion sgalnt Inclu'lng more than on subr ject In an act of th legislature. Assessment of Banks. Section 66. relating to th assessment of banks. For: Decision of the United States su preme court In the case of the First Na tional Bank against the Commonwealth of Kentucky, 9 Wallace, 853, In which Justice M'l'er said: "It Is the only mode which certalnlv, without loss, secures the pay ment of a tax on all the shares resident or nonresident, as we have already stated. Tt ta tho mnda which experience has lu- . " ..1 . . .1 1 . tl'ed In New England states as th most convenient snd proper In regard to the numerous wea'th" onrro'a'lons "t those states." Commissioner Duffle: "It surely cannot be marie an objection to this set that ohr banks and banWIng associations are faxed In 'he sme msner and m-thods provided for the taxation of national banks. Neither Is It an objection that the bank ia ren"l-ed to pay the tax due from its share holders." AgMnat: The ee'lon" llcMmlnte In favor of the banks in that they ar al lowed to deduct their debts: that banks mav he axd on gross credits In addition to carltsl stock and under such interpreta tion by te -s taxed ten times th actual value of aasets. , SANITATION IN PULLMAN CARS Condition Ar Mover Heglected, Say Passenger . Official of th Bnrllagrtoa. Assistant General Passenger Agent Buck ingham of tha B. at M., in speaking of tho reports which hav been current of late regarding th unsanitary condition of sleeping cars, said that ther ar no ac commodation for th traveling pubUo which ar kept In a better and cleaner con dition than' the Pullman sleepers. In sup port of the statement he produced an ex tract covering th cleaning of these cars from the rules of th Pullman company, which says: "Conductors and porters, on arrival at any terminal station, shall report any case of sickness that they may have had while nroute, giving section, room, etc., that th car whereon th case occurred shall have a thorough cleaning and ventilating of everything contained therein." - Instruction ar given in detail as to how th oleaning and disinfecting shall be done, and In cases where serlqus contagious dis eases have occurred th car is to be im mediately closed snd thoroughly fumigated, and afterward, as soon as convenient and considered safe, tne car ia to be sent dead head to tha shops for a thorough over hauling and renewal of all Interior equip ment, and it is also to be treated to a fresh coat of varnish. AFTER POSTAL AND A. D. T. City , Officials Demand Strict Com- pllanco with Municipal Regulations. Stringent orders havo been issued to the Postal and American District Telegraph companies by Acting City Electrician Mc Gough directing them to conform all wiring to the municipal regulations and to install fire-protecting devices at all- buildings which they serve. Three fires caused by defective wires this week have brought the matter forcibly to the attention of the electrical deportment snd it is asserted that no effort will be spared to secure com pliance with th instructions. . .according to statements mad at ths city hall both messenger oompanies for soma time have been placing th standard light ning arrestora and fuses at tha entrance of their wires to each building, but In tha past this precaution was neglected, and, as a result many structures have Inadequate protection. It is now th Intention to de mand th Insertion of the safety devices on old as. well as new wiring. , Tha first two fires were at the offices of the Cady Lumber company and th Omaha Printing company. They occurred almost simultaneously Sunday night-and wer ex tinguished with little or no damage. la ves Ligation showed, so th city electrician says, that both blaze wer caused by de fective wiring on the Postal circuit and th electrician ordered th circuit cut out of business. Ordinarily defective wiring would not oc casion such trouble, but ths crossing of th Postal line by a heavily charged sleo trto light wire sent a strong current over the former, causing th fir at th ter minus of ths light and Insufficiently insu lated Postal wires. Ths cross at that time could not be located. Tha circuit, tow ever, was not cut out and Thursday night the third fire resulted at RJey . Eros on Farnam street. Again little damage was don. This tim th acting city electrician started out with a determination to find the souroe of the trouble and h did so, discovering it at Eighth and Farnam Streets. H had th Postal wir torn out until it could bo Strung so as to afford no possible interference with th el ec trio light wire, which is just at ths boundary of ths underground territory. At one of th three fires the arrester and fuse were in, but placed In such a position as not to make the entire building Im mune. A councilman said that the electrical de partment would hav th support of that body In enforcing tha regulations should lther of th companies affected show a desire to continue violation of th or dinances. IS A DISCOURAGING SURPRISE Charles Allen, American Criminal, Ra Arrested at Gates of English Pnison. LONDON, Dec $. Charles Allen, tho well-known American criminal who has just completed a term of imprisonment, was rearrested on an sxtradltien warrant at tha governor's offlcej in Pentonvllle prison today, tho moment the governor handed him his release. He was charged with a postofflce robbery at Springfield, I1L, in 1S3S. Accompanied by two Scotland Yard de tectives Allen was driven to Bow Street police court, where Deputy United States Marshal Watts of Springfield was waiting with representative of tha United States embassy. Allen was much affected by his re-arrest He said: "It was unfair. I was not warned that my freedom would be so short-lived. Th prisoner Is quits bald and rather infirm. After he had been arraigned before th magistrate on th eight-year-old extradi tion warrant th case was postponed until later in th day. ALL MANILA AT THE TAFTS Governor and Mrs. Tart Give Van. tlan Fete, Whloh Prove Brilliant in Donblo Sense. MANILA. Dec C Th VeneUan feto given by Governor W. H. Taft was on of th most brilliant affairs svar seen her. The citizens on their part organized a carnival, and the scenlo effect was magnifi cent during tha parade as a flotilla of gaily decorated boats swept past th 'palace ablax with vart-colored lights. Vast crowds of enthuslastlo spectators lined the riyer banks, which were Illuminated for miles, to witness th gorgeous spectaca lar display. Governor Taft and his wife received th guests ss they arrived In costume at th river entrance of the palace. Farewell re ceptions ar being held nightly, which ar largely attended by residents of all na tionalities. GAS KILLS A KENTUCKY GIRL Derangement of Small Heating As perate Resalts la Her Asphyxiation. NEW YORK. Dec l Virginia I Thorn. ton, a young artist was found dead today In tho bath room of her Bast Thirteenth street apartments. Shs had been asphyxiated by gas from a small heating apparatus, the tub of which had become disarranged whil ah was preparing her bath. Miss Thornton Is said to have corns recently from Lexington, Ky., where her brother now resides. LEXINGTON, Ky.. Doc I. Miss Thorn ton was a sister of Colonel Albert Thorn ton, a member of on of th most promt nent families In the state, and well known throughout th couth. Miss Thornton bad. until recently, mad her horn with br brother. MEETING OF HILL AND 1T0 Interesting Event Recalled by Attempt to Assassinate ,he M&rquis. MUTUAL ADMIRATION OF TWO GREAT MEN Railroad Magnet Deeply AtTet by Haw of Plot to Assas sinate Father of Nr. Japan. Cable dispatches during th week tolling of an attempt at Yokohama to issasslnat Marquis I to, tho "grand old man," th "Gladstone of Japan," ar raid to hav deeply affected James J. Hill, th great railroad magnate, and this recalls th meet ing of thees two notables at St Paul som years ago. Hill and Ito had been mutual admirers for a long tim. Hill regarded Ito aa th father of "new Japan." Indeed, h had publicly ascribed to the marquis full credit for dragging Japan out of ths mlr of su perstition and placing It upon ths broad, high standard of modernised thought and action. Hill, who years ago, became so deeply Interested In ths new Japan that h launched a steamship Una to ths Orient, mad a visit to that country. At-that tim he did not know the marquis except by roputatlon, but he met him once on this visit Ito looked upon Hill, aa do nearly all progressive Japanese, as ths ruling fores of American industrial life, because of his extensive enterprises which reached even to the Orient Some five years ago Marquis Ito decided t to make a tour of th world. His itinerary Included a long visit In the United State. Hill learned of the distinguished Japanese's plan and mad hast to accommodate him and his large retinue with transportation facilities across ths continent from Seattle, where the party was to land. Now, in Japan, under the new order of things which was brought about through the Instrumentality of Ito, government offi cials, nor any ens else, rides on a train vtthout paying th regular fare. No fre transportation there, such as In America. It Is regarded as pernicious and eschewed by th bast element of which Ito Is th - typo. Hill Bends His Train. Nevertheless when Ito and his paxty ar rived at Seattle they fctmd a whole train awaiting them on th Groat Northern to oonvey them to St PsuL whore Mr. Hill would meet tho marquis, who was to bo his personal guest, Mr. Hill's privcto ear had been included among those whloh mad up this train and It was for th special us of Marquis Ito. Ito protested. not against riding In th train, . for It was a palatial one, but against riding with out paying regular fares for h'maelf and all his party, but Mr. Hill's representa tives would accept no pay tjsd ths party boarded th train for 8t Paul. Ito hav ing determined. In th meantime, to foroa compensation upon Mr. Hill on his ar rival in the Minnesota capital. It was a dreary day when th long train from Seattle pulled Into tho massive sheds at ths St Paul passenger depot Ito's, or Hill's oar was th last ons and stood from under ths shed, nnprtotd from tl rain. Hill, Darius Miller, than sec end vice prvsi dent of tho Great Northern, tow traffia director for the Hill lines at Chicago; and several ether Hill officials wtre at th train to' meet and escort ths distinguished visitors over to th Great North en general headquarters, where Mr. Hill had hka private office, a block or so distant A party of newspaper man witnessed the af fair. Hill was clad In an ordinary blua serge suit and was smoking a cigar. He didn't ven hav aa umbrella. It had been som years since hs and Ito had met ted they never had met but once, so4 Hill bad for gotten just how th great eastern re former looked. Presently a group of Ori entals alighted from a ear, about midway of th train. In .the rear was thef slender figure of a typical up-to-date Japanese. H appeared about middle-aged, was tall and erect, dressed with Imraaoulat pre cision, a tall silk til completing th dip lomats affect which th long, black Prlnc Albert Initiated. Entitled to Dignity. He certainly was entitled to his becoming dignity. Ha looked aa If h might' hav revolutionised and modernized half a dozen orients, as hs swept, with measured and graceful tread, toward th short stubby, plain American, who looked mor ilk a prosperous country merchant than th head 01 several great railroads. "Ah, ther be is," said Mr. Hill to on of his officials. Then ths entlr reception party, with Mr. Hill In th lead, advanced to greet th Japanese. Prof us smiles bedecked th faces of both parties. Mr. Hill had grabbed his slouch hat from his head and was just about In ths sot of grasping this attractive man by th hand, when the) latter courteously withdrew Vnd pus had forward another, an 16erly gentleman, short, homely and unattraotlve. Hs wor som sort of an old gray coat that cam nearly to his feet . and trousers to atch. They wer of some anti-dated Amerloan vintage, but it was difficult to tall just what He reflected th Orient In every feature. His long upper lip was overhung with a timid mustach and from hi chin drooped a number of long lash, whloh wer almost too exclusive in their relations to each other to be railed a beard. ( This Is Ito the Great Recovering himself Mr. Hill stepped for ward and greeted Japan's Grand Old Man. And it was a meeting to be remembered. It was a strange collision of Oriental grace and American awkwardness. But Mr. Hill was (olng to do his best, so ho bowed low enough to Infringe the sal am, took his guest by th band and shook It until It looked like he would pull It oft and than, without waiting for further cere monies, snatched a suspicious looking olgar from his vest pocket and thrust it Into Ito's band. Ito looked at it a second and then, as If hit with a brick, took it with his whole hand and shoved it into hi sld coat pocket, not knowing what els to do with it Probably that was th safest plao for It, as a club friend of Mr. Hill's after ward remarked. ' Mr. Hill and Ito, and ths remainder 'of the party, trudged off through tho mud and rain to Mr. Hill's headquarters, without ven th protection of an umbrella and In a little while, when th rain let up some what Mr. Hill took th Gladstone of Ja pan over th city In his private turnout, which, by th way, was subject to I Affer ent sort of comment from that paaSed on his cigar. Too Mock Energy, An eastern girl married two men within two days, her energy being recognized by a warrant charging her with bigamy. Whan , ah was confronted with th proof of bar guilt she fainted away. Perhaps she realized for th first tim what a heavy burden th supporting of two men might become Cleveland Plain 1 Dealer,