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About Omaha daily bee. (Omaha [Neb.]) 187?-1922 | View Entire Issue (March 29, 1921)
The Omaha Daily Bee VOL. 50 NO. 244. rntt4 Sartud.Cltii Mtltrr Mty ?S, I9W. t Omtht P. 0. Udw Act of Mirch 1. 1879. OMAHA, TUESDAY, MARCH 29, 1921. llv Mill (I vtir) Inild. Ith fun.. Daily tail twiilay. 19: D.llt Only. IS: Sunday. M THREE CENTS Cutilda 4lh Zna. .r) Dally ana Suitaty, lt. Dally Only. Sunday oaly, 15 A refill tine Gift Bacon Is Spoiled Shipment of 600 Tons to Aus tria Too Badly Decom posed for Use Even In Soap. Intended For U. S. Army ISuenos Aires, March 28. The bad bacon which comprised a ,part of the 5,000,000-peso gift of foodstuffs and clothing from Argentina to Vi enna, shipped on thej5leanicr Bahia Blanca to Hamburg, originated in the United State, it is asserted in a dispatch to La 'acion from Ham burg. The bacon totaled about 600 tons and the correspondent quotes the Shcnker company, which the Aus trian government placed in charge of the consignment of foodstuffs, as saying there was evidence that this bacon was originally intended for the United States army and that trade marks of North American firms were distinctly perceptible, although the decomposition was such it was impossible to- read the lettering. A representative of the firm, the dispatch continues, declared the Ar gentine government must have been the victim of deception when it pur chased the bacon, which was in such a state of putreicdtiou that it would not be possible, he said, to use it even in the manufacture of soap, for which purpose the Austrian govern ment had directed that it be sold. The Austrian consul general at Hamburg has confirmed the reports of the bad condition of the bacon, according to the correspondent, who adds that he himself personally in vestigated the matter and found evi dence of attempts to obliterate the labels and dates, but that the mark "New York" was easily distinguish able. ' 1 The revelations concerning , the bad condition of portions of the food shipments are continuing the sensa tion of the hour in Argentina. Thus far the government officials have not been quoted in any comment on the subject, although it is understood a rigid investigation is in progress. Search Continued' For Balloonists Dirigible Will Take Air to Make Thorough Hunt of Countries. Pensaeola, Fla., March 2S.-Xavl authorities here today entered on the fifth day of the search for trace of the naval balloon ,which has been missing since last Tuesday when it took the air here with five passen gers. Although still holding to the belief that the five men have been picked up by some tishirrg vessel, officials planned to continue the search unremittingly. In arranging to send the dirigible C-7 out for a thorough hunt today over Dav and Holmes counties, nav al officers were working on the theory thai the balloon might have carried far enough to reach land there before descending if the men unhooked the basket and climbed int.i the rigging. . A steady shore ward wind, they believe, would have cwr-ed the baer clear 'of the gulf in thet direction if the weight had been reduced. Wife Kills Husband ' With Cleaver as Finish Of 1 7-Year Quarrel C!i!ceso Tribune-Omaha Bee leaned Wire, Chicago, March 28. For 17 years Mrs: Dora Waterman and her hus band had been quarreling. Hardly a day in all that time, but there had been a fight. She finally end- it bv killine him with a small tchen cleaver. Their sons, Jacob, 17, and Russel, 10. witnessed the kill ing and say their mother had no other course. Waterman was a painter. He drank freely and brought all his grouches and'hangovers" home and vented them upon his wife. She had endured the hope of holding the family together until her boys were old enough to shif for themselves. At midnight he came home and started a fight with her that lasted two hours. He was beating her and threatening to kill her, when she ran into the kitchen. The cleaver was at hand and she seized it and struck out wildly, splitting--his skull. Man Sues to Recover Money He Says He Paid for Rent Columbus, Neb.. March 28. (Spe cialsSeeking to recover $1,000, which he alleges he paid last fall as cash rent for a South Dakota farm, William Assman has filed suit in district court against John F. Albers and V. J. Busch. The plain tiff alleges the defendants represent ed to him that they would become owners of the farm m March this year, and he contracted to rent it, paying the entire rent in advance. They failed to get title to' the land, he claims, and have refused to re turn the money to him. Columbus Teacher Will Head Schools at Bushnell Columbus, Neb., March 28. (Spe cial.) Walter E. Webb, instructor general science and American history in the Columbus High school, will become superintendent of schools at Bushnell, Neb., upon expiration of his contract here at the end of the present school yea, IKe aalary is 52,000 a year. Former French Premier Comes to Meet Harding Rene Viviani Arrives in Mew York "On a Mission of Courtesy" Goes to Washiugton Today. New York, March 28. Former Premier Rene Viviani, envoy extra ordinary of France to tliia country, arrived today on the steamship Lor raine and will go to Washington to morrow. He expects to confer with President Harding, to w hom he came "on a mission of courtesy." A small reception committee went down the bay to meet the visitor and brought him back to Battery Park, where thousands had assembled. As M. Viviani, accompanied by Stephane Lauzanne, editor f thi Paris newspaper Lc Matin, stepped on to the pier motion picture photo graphers surrounded them. M. Vivi ani doffed his hat and smiled oblig ingly. He declined to discuss the official nature of his visit before having talked with President Harding. "I have come to the United States," he said, "to pay to the pres ident the respects of the government una the nation of I-ranee. In salut ing the first and great citizen of the American .democracy, I salute also the great and noble people for whom France keeps her tender affection? and eternal gratitude." Plans had been made for Jules Jus serand, French ambassador, to meet M. Viviani but the ambassador was missed by the conimitte sent to the railroad station to meet him on hi-, arrival from Washington. M. Viviani will remain in Wash ington until Friday, when he will return here for a luncheon Satur day. He will return to Washington Sunday, where he will spend mirst of his time until he- returns home. Passports Not Required hy U. S. Repeal of War Laws Included Travel Regulations Aliens May Be Affected. Copyright., 1921, Kins Features Syndicate. Washington, March 28. Ameri cans leaving or entering the United States and outgoing aliens are no longer required to have passports, under the act repealing the war laws approved March 3, though whether congress in that act intentionally or otherwise repealed the law requiring passports of incoming aliens, is now before the. Attorney general for de termination. Although, not required under our laws' to provide themselves with pass ports Americans would find it pos sible without them to enter but few foreign countries, passports regu lations being still in ettect abroad, though France and England ; are showing a disposition to lift the bars imposed by the war. Passports are gtill necessary therefore, except in visiting countries which do not re quire them. If the attorney general decides that the repeal act blots out passport con trol as applied to arrivifig immi grants, passports cannot be required of incoming aliens until congress passes a new law to meet the situa tion. Nothing would then prevent a rush of foreigners to this country. The danger of the situation is mi tigated, however, by a fact that a sufficient number of would-be immi grant? with properly visied passports already are awaiting the transporta tion to fill steamers arriving for some time to come, and the only ones to be affected would be aliens whose passports showed irregularities, as in the case of those now under 'con sideration. Ehgli i t i r sn Labor rartv Rejects Lenine Plan South Port, England, March 28. (By the Associated Press.)- The independent labor party in confer ence here rejected by an overwhelm ing, majority a proposal to accept Lenine's 21 conditions for affiliation with the Third Internationale of Moscow. The minority report favored ac ceptance and this element may secede trom the party. Ttie independent labor party in the extreme wing of the labor party, and the vote is interesting in connec tion with Premier Lloyd George's speech March 23, accusing the labor party of-revolutionary proclivities. Widow of Pullman Car Inventor Dies on Coast I Pasadena, Cal., March 28. Mrs. Hattie Sanger Pullman, 79, widow of George M. Pullman, inventor of the Pullman car, died today at a Pasadena hotel, where she had been passing the winter, after a short i'.I nesT. With Mrs. Pullman when death came were lier son-in-law and daughter, former governor and Mrs. Frank O. Lowden of Illinois, and their children. Mr. Lowden said the body would be taken to Illinois for burial. Eastahrook Will Head Combined Market Bureau Washington. March 28. Prepaia tory to combining on July 1 the bureau of cropestimates and the bureau of markets of the Department of Agriculture, L. H. Eastabrook, chief of the former bureu, will be come associate cJuef of the markets bureau April 1. He has been in the bureau for 17 years. Base Ball Gets First Victim oPSeason Play Blacksburg, Va., March 28. L. G. Sumner of Norfolk, at the Virginia Polytechnic institute, was almost in stantly killed when a base ball bat slipped from the hands of his friend, Otis Forbes, and struck him above the heart.. Forbes is prostrated Jr sjRaaajtet. j Soviet Russia To Appeal Again For U. S. Trade Rehuff Administered By State Department Will Not Prevent Further Overtures. - tty The Associated Tress. Helsinglors; March 28. Regard less of the rebuff -administered by the State department at Washington in its recent communication on the subject, the Russian soviet govern ment probably will continue its ef forts for trade with America, Jaan Antonovitch Bchrsin soviet minis ter to Finland, told The Associated Press. "Other efforts undoubtedly will be made," he said, "most likely through American business concerns to which we are ready to grant concessions, while of course, soviet Russia is un doubtedly ready to make overtures at any time the American govern ment sees fit to change its view point toward us. "But one thing is certain, despite all newspaper reports to the con trary. Russia, will not give up com munism and revert to the principle of private property. . We now have for the first toe peace In brier, our situation is tins: with our neighbors and have things well in hand at home. Our govern ment is willing to become acap italistic concern itself, in oraer to maintain communism within its bor ders. As a government it will deal with foreign concerns, granting and guaranteeing concessions, but the results of these deals in produce necessary for our people will con tinue to" be distributed communisti cally by our., government."' M. Behrsin said that soviet Russia had a certain amount of raw prod ucts including wood, ready to offer to America now, but that the prin ciple in view in the trade ofer was future concessions in Siberia and elsewhere, the "minister pointing out .that a vast territory in the Russian domain was still undeveloped. r Clara Smith Hamon Barred From Movies New York, March 28. (Special Telegram.) Following news from Oklahoma that Clara Smith Hamon, who was recently acquitted of the charge of slaying Jake L. Hamon, is to appear in films, energetic pro tests were received by. the national association from organizations of film interests throughout the country. These protest were coupled with the request that the association, whose membership represents 90 per cent of picture production and distribu tion in the United States, take some effective action to prevent the mak ing or showing of any film in which Clara Smith Hamon would apoear. William A. Brady, president of the national association, has placed the organization on record as "unaltera bly opposed to the making of such a film, and savs that if it should"be made, the members of the associa- tkn win do 11 with'in their power to keep shown. the picture from being Harding to Reappoint Chiefs of Service and Bureaus Washington, March 28 Secre tary Weeks announced that Presi dent Harding would appoint the fol lowing chief of services and bu reaus in the War department: To be major generals: C. S. Farnsworth. chief of infantry; C. T. Menoher. air service; W. J: Snow, field artillery; W, A. Holbrook, cav alry; George O Squire, chief signal officer; John L. Chamberlain, inspector-general. To be brigadier generals. Herbert M. Lord, chief of finance; Amos A. Fries, chief of chemical warfare ser ice. , All failed of confirmation during the last congress. Hearing on Stock Yards ... Value Called for April 11 Washington, March 28. An agree ment to take up April 11, testimony as to the value of stock yards hold ingof Armour &: Co., and Swift & Co.. was reached n the. District of Columbia supreme, court. The packers have agreed to divest them selves of stock yard ownership, but the method and the value of prop erty involved are incontroversy. Police at BJfeld armed Communists, There, Suc ceeded in Disarming Local Officers and Are Occupy 11" T Ml- ing rutmc ouuuings. Rioting In U. S. Area Hy The Associated Tree. Berlin. March 28. The rioting ac tivities in the communist uprising in central Germany are concentrating now on Bittertield. where the ex tremists have succeeded in disarming the local police and occupying the public buildings, -according to an of ficial communique issued shortly be fore noon today. During Sunday, the Statements said, bandits looted the bank and postoftice at Sangerhausen and put the local telegraph office out of commission. A Halle dispatch today announced that Sangerhausen, southwest of Lisleben, had been occupied and put under con'.rol by federal forces. Through trains which nominally traverse the Halle section are bein rerouted, owing to the sabotaging of the track and bridges by communists, who are continuing to spread terror as thev proceed westward and north ward from Halle, with the security police at their heels. The extent to which a general strike movement is likely to de velop as asequel to the present out break could not be determined to day, as the workers everywhere are taking their Easter holiday. Troop reinforcements are con stantly arriving at different points in the riot area and the government announces that it does, not propose to enter inta truce, and that it will also demand the unconditional sur render of the arms and munitions held by the communists. Riot in U. S. Area. Goblenz. March 28. By The As sociated Press.) A communist up rising occurred this morning in the American bridgehead area, at Montabaur, six miles northeast of Ehrenbreitstcin. A riot call was answered by the provost marshal, and American military police were dispatched to Mor:taaur to restore order. Federal Troops Active. Halle, Germany, March 28. (By The Associated Press.) Federal ar tillery was taking a prominent part today in dealing with the insurgent communists in this disturbed section of Prussian Saxony. The artillery shelled the commun ists who were grouped on the hills to the west of Eislebcn, dispersing them. After a brief engagement the town tff Sangerhausen, - southwest of Eu which now control that place. ' Count Pouinski, colonel of police in theMansfeld district, has taken charge of the operations around Eislebcn. v Farmers' Meeting On Legislation Called At Capital April 14 -Washington, March 28. A get together meeting of farmers' organi zations 'represented here today was announced for April 14, when an ef fort would be made to unite upon an agricultural program for recom mendation to President Harding and congress. Lower freight rates, tariff-and rev enue legislation, more liberal ex tension of credits, regulation of fu ture grain exchanges, and extension of the co-operative and marketing associations are some matters which it was said will probably be con sidered. The movement to get together was said to have "been spontaneous" although partly an aftermath of the airing of differences before the house banking and currency com mitter. The American Farm Bureau fed eration has announced a meeting of its executive committee and one member from each state here be ginning April 11, when a legislative program will be discussed. The Na tional Farmers' union has called meeting here for April 20. The Na tional Grange, the Pennsylvania State Grange, the Milk Producers association, grain and live stock men,, cotton growers and other farmers' ranizations are expected to meet here about the same time as well as participating in the joint conference. Santa Fe Denies Trains Will Be Discontinued San Francisco. March 2SPnh- Rished reports from Alhnmiprnnp V. M., that the Santa Fe Railroad com pany is to take off trains No. 19 and 20, operating between San Fran cisco and Chicago, were denied by the company's officials here; The trains are the "San Francisco flyer" and the "Chicago limited" and book ings on them have been accepted for two months ahead, the officials said. . The company also denied reports from Albuquerque that trains No. 21 and, 22, operating between Chicago, Los' Angeles and San Francisco, over the Panhandle line, hereafter would be run onlv west of Kansas City. . Nevada Will Use Gas in Executing Death'Penalty ', Carson City, Nev,'. March 28. A bill providing for the use of lethal gas in executipg the death penalty in Nevada was signed here by Gov ernor Bovle. Coney Reported Improved Natchez, Miss., 'March 28. The condition of Lieut. W. D. Coney, trans-continental aviator, who fell with his plane near Crowville, La., last Friday, was somewhat improved today, China Wants to Open Relations j . TI77 1 .1 Tk vvitii me rowers Communications Asking for Establishment of Diplomatic Relations Sent to U. S., Japan and China.' Tokio. March 28. (By The Asso ciated Press.) Communications ex pressing a desire to open diplomatic relations with Japan, the United States and China, have been sent to the capitals of these nations by the Russian far eastern republic, a Vladivostok dispatch to the Jiji Shimpo says. The Chita govern ment has also issued a declaration to the world demanding that for eign interference in its affairs cease, and that foreign troops evacuate eastern Siberia, it being claimed that their presence there is in viola tion of international law. .The dispatch declares that some delegates to the constituent assem bly of the republic have denounced the action of the government in ced ing a part of the peninsula of Kam chatka to the soviet government of Moscow asserting that this action will result in placing the region in the hands of American capitalists and in inducing Japan to take ag gressive measures at the mouth of the Amur. The Japanese foreign office, says tltere is "no connection between the dispute over the cession of Kam chatka and the proposed reoccupa tion of points on the main land of Siberia by Japanese troops. It is declared that sending troops to the mainland harmonizes with the orig inal project to occupy Russian ter ritory until there is reparation for the massacre of Japanese subjects at Nikolaievsk last year. Additions Wrill Be Made To Tariff Bill, Penrose Says Washington. March 28. The anti-dumping bill and the legislation for American valuation of imports probably will be combined with the emergency tariff for passage, Chair man Penrose of the, senate finance committee announced -today. The plan was being considered serious ly by house republican leaders, he said. No amendments to the emergency tariff bill except one limitine its operation to six months or until permanent tariff legislation is en acted are to be received, he said. Those agitating addition of hops sad other articles to the Fordney bill, he added, would be told to wait for the permanent bill. Columbus Hospital Given "Av Rating By Medical Body Columbus, Neb., March 28. (Spe cial.) St. Marys hospital has at tained a class "A" rating under standards prescribed by the Ameri can College of Surgeons, according to official notice received by the staff. The recognition came after an A. C. S. inspector visited the in stitution and found that it complied with the requirements for the highest classification. Rail Rates Lowered For State G. A. R. Encampment Lincoln, March 28. (Special.) Nebraska railroads have granted round-trip rates of a fare and a half to members of the G. A. R. and other allied organizations and their families for the annual state encamp ment in Hastings, May 23 to 25. Pope Receives Dougherty Rome, March 28..Prcrcding li is departure Cardinal Dougherty was received today by Pope Benedict. The cardinal's recession by the pontiff, was most gracious, Last' Call ! Peonage System In South Charged Probe of Conditions in Missis sippi Delta Urged in Mes sage to Harding. New Yftrk, March 28. -The Na tional Association for the Advance ment of Colored People made public telegrams to President Harding and Governor Dorsey of Georgia, which allege that the peonage system is generally existent in "most southern states and particularly in "the Mis sissippi, delta." . The message urged President Harding to authorize an investiga tion by the Department of Justice "of peonage conditions in Ja.sper county, Georgia, where John Wil liams, a white land owner, has killed or caused to be killed 11 negroes who threatened to testify against Wil lianis regarding peonage.' The telegram to Governor Dorsey urged that "you bring into the light this vicious system of economic ex ploitation." Washington, March 28. No re port has been received here concern ing the arrest of John Williams, Jasper county farmer, charged with peonage and murder. Department of Justice officials said today, although agents of therlrpartment have been investigating ' alleged conditions in that section of Georgia for some time, In the matter of the murders, it was said, the state authorities have the. case in hand, but fear was expressed that the deaths of the ne groes would hamper peonage prose cutions by the federal authorities. Greeks Inflict Heavy Losses on Turk Army j Athens. March 28. Afiun-Katahis-j sar, an important railway junction I south of Eski-Shehr has" been taken ! bv Gierk forces from the Turkish nationalists, a Smyrna dispatch to trie newspaper Nea ttlas says. Many prisoners and large quantities of war materials have been captured, thedispatch declares and the Turks are fleeing toward Kiutayah about 50 miles northwaw!. An official statement giving de tails of Saturday's fighting says that the army east of Smyrna pursued the turKS to wiuim approximately four miles of Atiun-Karahissar, where the attack halted for the night. It is,aid the Greek losses have been insignificant. Lousiana Assembly To Probe Gambling Charges Baton Rouge. La.. March 28. De claring authorities of Jefferson par ish "as usual, seem deaf, dumb and blind" as regards presence of ail aged gamliliug houses, Governor Patkrr issued a call for an extraor dinary session ,of the Louisiana gen eral assembly to "weed out of office officials of Jefferson or anv othrr parish incompetent or wilfully neg ligent in their duty. Police With Riot Guns Patrol Cigar Factories Manila. P. I.. March 28.-Police armed with riot guns were placed around all cigar factories affected by the cigarmakcrs' strike here follow ing complaint to the police that a number of workers desiring to c turn to work were threatened with violence by .strikers. Ten thousand men are idle as a result of the strike. Dismiss Hoarding Suit San Francisco, Cal., March 2. The suit of ft. Amsinck & Company to. dissolve the Pacific Rice Grower.'; association for atleged hoarding and conspiracy to restrain trade, was dis missed in United States district tour;, ; Rail Employes Oil Short Lines r Lose Wage Case Diversified Duities and Press of Trunk LincIIearing Given As Reason for Dismis sing Petition. Chicago, March 28. The petition of 4,000 employes of 67 "short line" I railroads for wages and working conditions identical with those on the trunk lines was dismissed by the railroad labor board. Tne case was heard last fall on the request of 15 unions. Because of the diversified duties of the short line employes, the board declared if was "impracticable 'to de termine what reasonable rules shall be on the short lines" and without a uniform classification of work, the board declared it could not under take to determine reasonable wages. A study of the work performed on the short lines iould be necessary to establish reasonable rules, the decision said,' and until the general rules heariDg affecting trunk lines is disposed of, the board pointed out that it was impracticable to take action on the short lines. Originally 103 carriers, employing from 25 to 400 men each were par ties to the dispute. Ten electric lines were dismissed and 25 others applied the wage scales of the trunk lines. Under the decision, employes and carriers may still negotiate their own agreements on wages or work ing conditions but the decision stip ulated that it should not be consid ered .as affecting "any wage increase now in effect nor any agreement re garding wages between any carrier and its employes." Aeronautical Arbitration Is Proposed By Germany Berlin. March 28. (Bv the A.n- ciated Press.) Germany, replying to an inquiry of the mter-alhed aero- wnetner manuiacturers ot aeronau tical material still were supported by the German authorities in their con tinued violation of the entente's de cisions regarding the construction of such material, proposes that the mat ter be referred to arbitration. Germany states that it still ad heres to its standpoint that the Ver sailles treaty did not give the allies the right to prolong the embargo on the fnanufacture and importation of aeronautical material beyond Julv 10, 1920. Stock Yards Co. Answers Short Engine Crew Charge Lincoln, March 28. (Special.) The Union Stork Yards company of Omaha, charged in a complaint by the railway brotherhoods with opera ting switch, engines Xithout full crews, has filed an answer with the Nebraska railway commission assur ing that, body that it is now able to provide full crews. The answer says that the company always wanted to obey the law, but on account of shortage of men it was not able to do so in every instancf. The Weather Forecast. Tuesdav; Fair and warmer. Hourly Trmpemturan. a. m 1.1 I t 6 a. ni 14 7 a. m l.V II a. m 1 B a. m in at. m .2t II a. m 44 I I- noon Cfl i Miiiprrn IlulMln. frntfet alilpnicnia (luring tho (f Sfi liourh from tmpercturH as Nnrth. 2ft ileRrof; aaf and grcea, tuutb, 30 degree next 4 rolln Income Tax Contests Are Decided Four V ictories Won by G overn ment in Ruling By United States Supreme Court On Appeals. Relate To Stock Sales By ARTHUR SEARS HENNING. i hlrnita Trlbuno-Oinnlw Itr I.rard Wire, Washington, March 28. Four im portant victories were won by the government today in decision by the United States supreme court in tax cases. The case involved similar easel relative to the taxation as income of profits derived from the sale ot corporate stocks, bonds and capital assets. The court held that profits of this kind ari properly taxable as income under the 16th amendment to the constitution. The principal case was that of the Merchants' Loan and Trust com pany of Chicago as trustee of the estate of Arthur Ryersou against Julius Sniietanka, formerly collector of internal revenue for the First district of Illinois. This case involved profits from the sale of corporate stocks held in a i."ust fund. Corporate Stock Case. The second case, that of the El dorado Coal and Mining company, an Indiana corporation, agaiils-t Har ry V. Magcr, collector of internal revenue of the First district of Il linois, involved profits -made in the sale, of the corporate stocks of tlv: company. The 'bird case was that of David .'t. Goodrich against William H. Ed wards, collector of internal revenue of the Second district of New York. This involved profits from the bale of corporation stock. Two separate transactions were involved, in one Of which a decision was given based on the decision in the Ryersou case, favorable to the government in the other of which it was held no tux could be levied where there had been no actual profit on the investment, even though there had been an ap preciation in value from March 1, 1913.' the effective date of the first income tax law. In respect to this second transaction, the court mere ly held in accordance with the ad mission made recently by Solicitor Genera) Frierson that an error had been made in attempting to impose a tax whew an actual loss on the investment had taken place. Favorable to Government. In the. Ryerson, Eldorado and Goodrich' cases, the decisions of the lower courts were favorable,, te ft?- co'ntentfon of . the goveninfent. ( The fourth case was one in which the lower court had decided in favor of the taxpayer. The case was that of James J. Walsh, collector of in ternal revenue in Connecticut against Fred K. Brewster, it involved three different transactions. The decision followed the principals laid down by the court in the R3-erson and Good rich cases and in the Eisner stock dividend discussion of March, 1920. Solicitor General F'rierson in com menting upon the decisions said that the government's position had been completely upheld. He regarded the cases of an important nature inas much as adverse rulings would have meant refunds of millions of dollars of taxes. y The Ryerson cas involved 1,000 shares of capital stock of an Illlinois' corporation -which wis held by the Merchants Loan and Trust company of Chicago as trustee of the estate of Arthur Ryerson. The stock was valued on March 1, 1913, at $561,000. It was sold on February 2, 1917, for $1,280,000, and the collector of integ ral revenue imposed a tax upon the prot amounting to about $700,000. Will Keep Tax. In seeking to recover the tax paid upon this amount the Merchant's, Loan and Trust company contended ' that the gain in four years of over $700,000 in an investment of about $500,000 was not "income" within the intent of the 16th amendment to the constitution. A second contentior made by iha plaintiff in the Ryerson case was ' that the word income as used in the 16th amendment and in the income tax act does not include gain from capital realized by a single isolated sale of property, but that only thj profits realized from sales by one engagement of buying and holding as a businessa merchant, a real cs-. tate agent, or a broker constitntc income which may be taxed. In the case of the Eldorado Coal and Mining company, the company in 19)7 sold its interests and orac tically wound up its affairs. On the basis of the fair market value as of March 1, 1913, the sale of the canital assets resulted in a profit of about $6,000. The income tax ascssmiit on this profit amounted to more than $3,000. The court held that the profits were properly taxed. Morrow Named Governor , Of Panama Canal Zone Washington, March 28. Col. Jay J. Morrow, who has been acting as governor of the. Panama canal lone. was formally appointed to the tone governorship today by President Harding. At the samp time the nrrtiHmt appointed (..apt. Sumner L. W. Kit telle of the navy as governor of the Virgin islands. Power Co. Asks Permission To Sell $250,000 in Stock Lincoln, March 28. (Special.) The Platte Valley Power company, with a generating station at Valley, a substation at Irvington and dis tributing stations at Arlington, Ben nington, Llkhorn, Waterloo, and Vu ,m. ha applied to the Nebraska rail way commission to srll $250,000 in stock to raise money for new trans mission lines and system ttegsjpjjj.