The San Francisco Call. Newspaper, May 9, 1895, Page 3

THE SAN FRANCISCO CALL, THURSDAY, MAY 9, 1895. HAVE GRAVE FEARS, Revenue Officers Worry Over the Tax on Incomes. UNEASY AS TO JACKSON. it Is Thought His Views Are Similar to Those of Jus- tice Field. RETURNS ARE TO BE TIED UP. New York Corporations Propose to Fight the Law to a Finish In the Courts. WASHINGTO there seems to Y, D. ay 8.—Tho! The Internal reason or other, s that the There is a ng almost to a a Dem- e Field and he latter as to the The only re- elaw as an en- not owe He was apy ocrat s Supreme bench. by any con- epublican Senators 'med. Itis known question should d States Supreme involve the contro- he war, might confi- de in accordance of constitutional Revenue Bureau. of all sorts are cer- tests are ex- t. If thelaw s a decision averse to it on any new case will be accepted as a precedent in ts so far as the taxpayers are concerned. The treasury will have ali the expense of litigation, and I do not be- ilated law, as left by the would yield the treasury the Internal Revenue m receiving more than a frac- of the returns that were ex- the center of the corporations ot more than 25 per cent ons have made their re- turns. nformed that it is'the pur- pose of these porations, even if the income tax law as a whole shall not now be decided to be unconstitutional, to con- test the income tax law at every collection. As a matter of fact, it will be better for the Government to have the law declared alto- gether unconstitutional than to have it left asitis.” ARGUMENTS CONCLUDED. The Supreme Court to Meet on the 20th Inst. and Render a Decision. WASHINGTON, D. C., May 8.—The rehearing of the income tax casesin the ncluded at 2 o’clock to-day, and the nine just took the ques- tion of the act’s constitution: n whole part, under considera: On the of this month the court will meet, for the last time this term, to r ts decision in pending cases, and it is expected its conclusions upon the in- ax case will be announced at that h H. Choate of New York finished ng argument, which he began yes- g until 2 o'clock, and re- est attention from the Jus- crowd of spectators. It has erally remarked that interest in d been much less intent argument. Justice Jack- f the most attentive of the on the bench throughout the and seems to have borne the well, considering the condition of his health. Mr. Choate first took up for examination the argument of the Attorney-General that if the deci n regard to rentals was to hould be no limit to the time on should run. The Attorney- ded that with such a might be impossible to tax the proceeds derived from rents, however they might be invested. Mr. Choate said in reply that it was sufficient that the }aw left n> such guestion open. . The provision was for taxing rents at the moment of their receipt, and he, for one, should not be 5o foolhardy as to claim that when the rent money should be invested it should not be subject to the original ruling of the court in this case. Mr. Choate contended that of the vast sum expended in the Civil War, a very small proportion had been derived from Joseph the income tax, which was in operation at | that time. Taking up the thread of his affirmative argument, Mr. Choate declared | the question of taxation had been one of | the most prominent in the minds of the | framers of the constitution. The members | of that body were the representatives of men who knew all about the question. for they had studied here as their ancestors | had in England under the Plantagenets, the Stuarts and Tudors. Mr. Choate then | proceeded on the basis that the court had decided that lands were to be free from d rect taxes and that there was to be no dif- ference for tax purposes between the body | of the land and its proceeds. He then en- tered upon the discussion of the undecided questions, contend Te! for exempting incomes that ex- isted for exempting bonds and real estate. Justice Harlan asked Mr. Choate if he meant by general tax on person property |atax on all personal property of every Not all,” Mr. Choate replied, ‘“because | zht of exemption.” | n—Does a tax law that | reaches only a part of personal property | nder that head? —In New York there is a izens exempt, inmates of ouses, nearly half of the popu- yet I call that a general assess- ome u Mr. vast be it Tl Ge to a position | ice Jackson, although | ive infinite annoy- | 1t, not excepting the exemption. Itis| | atax that cannot be avoided. But the n whether a tax on real estatecan | I will leave to political econ- | sts, with whom I have no relation and | ope never to have relation. Mr. Choate looked at the Attorney- | neral when he spoke of political econ- and there was laughter, a rare| 10 ation in the Supreme Court. Jus-| ce Harlan asked if the counsel would call a tax on the income of, bonds a direct | tax that would have to be apportioned, | i, upon receiving an affirmative answer, ed if the same were true of a tax on banki Mr. Choate answered, “This is a busi- ness, and this court has over and over again decided that Congresscan tax a busi- ng the principle of stare decisis, fined as the rule of standing by a former decision, whether right or wrong, he was constrained to believe two | astices had only consented to the | former decisions iu deference to that prin- | ciple. “Your Honors are sworn to obey the | constitution as the primal law. Every act | of Congress stands in the light of it o must fall. Must not every decision of tb court that is bound to be in conflict with the constitution by the light of the latest evidence and them complete informa- | on also stand or fal n Mr. Choate continue “Regard- | will have to be paid back if the cou verses the Springer rule, I submit that such consequences as t your Honors have nothing to do. That is not an argu- ment addres: on of law or | constitutio: A rgument, the Attorney-General callsit. Icallitanim-| | moral one; the idea of the Attorney-Gen- | eral standing up here for the Nation and asking that because the Government has v in the past it must money illegally.” | Mr. Cho: sidered the excep- | | tions made in the income-tax law and in doing so made especial reference to the | ual insurance companies. As going to show the magnitude of the operations of | those companies, he could, he said, men- tion one such company whose accumu- | lated property amounted to $204,000,000. | An exemption such as this was beyond the bounds of reason. “Do you know,” he exclaimed, ‘‘what | this concern is that is given the vast ad- vantage implied in this exemption? It goes | under the reputable name of a moneyed | corporation. It is a moneyed monster. It} lives upon money. It swallows money; it | e breeds money. Itlays| golden eggs by the bucketful every day | and then weaves golden coins about them | to warm and vivify them. It hasas many | arms as there are States in the Union and which it is constantly putting out in all | directions for the purpose of raking in with. Nor are its operations confined to | the bounds of this country alone. It ex- tends to England and to the European countries and is always raking in money Having obtained so much money, he | said, the company reinvested it by form- ing trust companies, organizing banks, building and reorganizing railroads and | floating Government loans. Not only this, | but it controlled Congress and directed legislation, as had been confessed by the | Attorney-General. Referring to the exceptions of incomes of lessthan $4000 he said that provision of the law would exciude the vast majority of the incomesof the whole country, it would exempt ninety-nine one-hundredths of the tradesmen of the country and a ma- jority of the professional men. It wasan | arbitrary blow aimed at corporations, in | hitting which the framers of the law well | knew that they were striking at the main source of the income of thousands of wid- | ows and orphans, whose incomes, individ- ually small, were derived from corporation investments. ‘With this Mr. Choate closed the part ot his discourse directed to the question of | thne lack of aniformity and took up thelast | question under consideration, Vi Whether the entire law was rendered in- valid by the decision declaring parts of it to be so. *Does it follow,” he asked, “‘that because the law has been left mutilated it should remain buried?” and he answered it did. The instrument had been left too long un- interred. In its present condition itshocks the sensibilities. He said the rule was when partsof a lawupon which other parts or the whole of it were dependent are declared invalid, the dependent parts must also share the same fate, and he contended | that by the former decision of the court the | income-tax law had been robbed of its body and substance. Mr. Choate stopped abruptly at 2 o’clock and the court announced an immediate ad- journment until 12 o'clock, on ,Monday, May 20. i d ILLLVUI'S SILVER DEMOCRATS. At the Coming Convention They Will Re- solve for Free Coinage. SPRINGFIELD, IrL., May 8.—Secretary of State Heinrichsen, chairman of the Democratic State Committee, said to-day that twenty counties have so far held con- ventions, and without exception they have declared for free silver at the ratio of 16 to 1. ““These twenty counties,” said Mr. Hein- richsen, “‘have 463 of the 1076 delegates in the State convention, so that the gold men stand a very poor show of making any fight at all in the convention. Only ome county committee so far has refused to call 2 convention. I am expecting that the Btate convention will declare for free silver without a dissenting vote.” e As to the Unit of Value. CHICAGO, Iir., May 8.—The Hon. William A. Vincente has decided the bet made by two well-known Democrats of this city, ex-Mayor Hopkins and William S. ‘!;%-fen, as to the unit value from 1792 to CLAIM A CONSPIRACY. |A TRAP SET BY A SPY. | The prosecution will attempt to prove that | brought into court on an attachment. The | employed by Governor Brown to prosecute | employed me to prosecute the case in the | | whether there ought to be a further prose- Young Brown’s Death Is Said to Be Due to a Plot. Gordon Piloted to the Scene of Slaughter by a Meddler. SENSATIONS ARE IN ORDER. One Part of the Prosecution to| Blacken the Character of the Slaln Woman. LOUISVILLE, Ky, May 8.—The Courier-Journal to-day prints the follow- ing: The sensation attending the Gordon | double killing is not over yet by half. Archie Dixon Brown’s death was duetoa deep-laid plot to assassinate him. A trap, as the prosecution believes, was fostered and planned by one who, for reasons best known to himself, was afraid to do the work and nsed Gordon asa tool to carry out his designs. Governor Brown has reason to believe that son’s coming to Louisville on the day of the tragedy and his meeting with Mrs. Gordon was known to a man in Louis- ville. This Louisville man, the prosecu- tion claims, notified Gordon that his wife was to meet Brown, and “‘actually assisted in the foul assassination.” The prosecu- tion further says the name of the man who “acted as the spy”’ is known and he will have to be produced in court. The attorneys for the prosecution have taken this step upon the theory that Gazlay telephoned to Gordon and shad- | owed and located the couple. { In a private letter last night Governor Brown insisted that the man referred to be man who, as the prosecution believes, piloted Gordon to the house of Lucy mith is a college chum of Gordon’s and married in Frankfort. James A. Scott, the Frankfort attorney W the case, was seen to-night at the Willard | Hotel. Heis a fearless, capable lawyer | and has a reputation of doing what he be- | lieves to be his duty at all bazards. He: sai | “Governor Brown sent for me about 1| o’clock yesterday afternoon. He explained his views and position in the matter and | exam! trial. I want to say that Gov- ernor Brown never authorized any state- ments that he would not prosecute the case, nor did he ever dream of granting a pardon to Gordon, as has been stated. | «Before deciding on the step Governor | PBrown took counsel with a number of in-| timate friends from all over the State. He came to the conclusion that it was due the memory of his son that there should be a full and fair investigation of all the facts, not necessarily for the purpose of prosecu- tion, but for the purpose of enabling him and the officials of the law to determine cution of the case. He arrived at this con- clusion after satisfying himself that Mrs. Gordon had no reason to believe that he had led her from the path of virtue. He was convinced that Gordon must have known that his wife was dissipated, reck- less and imprudent, if not an unchaste | woman. “Governor Brown is now firmly con- vinced that a well-planned trap was laid | for bis son, and that his son was selected | for the sacrifice out of a large number of | like offenders, and that information was furnished of his coming by some one in Frankfort to another in Lousville, who for some motive advised and actively as- sisted in what Governor Brown considers a foul assassination. We have good reason to believe that we know who the man is who took Gordon to Lucy Smith’s house. He was a college mate of Gordon’s, and was married in Frankfort, Ky. “This man must be brought into court. We will demand it. There will be some very interesting developments when he is brought up. We will push the matter to the bottom and bring out all the facts. “In regard to the others who were like offenders with Archie Brown, I will say for the sake of Mrs. Gordon’s relatives, who are all excellent people and highly es- teemed by Governor Brown and his coun- sel, the Governor would shrink from any attack upon her character, but would prefer to throw the veil of charity over all her acts, especially as she is dead. ““The future will determine whether it will be necessary to further blacken the character of Mrs. Gordon in order to show the defendant’s thorough knowledge of it. We do not know as yet what the defense will try to prove, and until we do know, I will be unable to answer that question. If necessary we will show that others were rivers. The freighthouse at Rushville, it is reported, has been struck by lightning and destroyed. Great damage has been done | to telegraph wires, and in many offices the wires have been burned out. —_— OF INTEREST TO THE COAST. Pensions Granted and Increased in California and Washington. WASHINGTON, D. C., May 8.—Among the arrivals to-day are: H. King and Her- man Wolfe, San Francisco; Frank Rod- erus, Oakland. A postoffice was to-day established at Rocky Point, Cal,, with H.Weedock postmaster. Pensions have been granted as follows: California: Original—Mowry Sayles, San Diego; John Anton Winters, San Fran- cisco; Alfred Clark, Oakland; Moses National Soldiers’ Home, Los Michael Whalen, National Sol: diers’ Home, Los Angeles; Ralph Mackey, Victor, San Bernardino County. Restora- tion and increase—George L. Parker (de- ceased), Vacaville, Solano County. In- crease—Thomas Stafford, National Soldiers’ Home, Los Angeles; Edwin C. Allison, San Francisco; Samuel Howe, Santa Cruz. Reissne—Daniel E. Hill, Cedarville, Modoc County; Silas C. Stewart, Elk Grove, Sac- ramento County; John F. Yayer, Los An- geles; Edmund L. Kenoyer, Hanford, Tulare County. Original, widows, etc.— Mary C. Parker, Vacaville; minors of Pius H. Layton, Los Gatos. Washington: Original — Howson C. Cochran, Palouse,Whitman County; Hugh H. Wilkinson, Dayton, Columbia County. INCREASING THE RESERVE Flow of the Syndicate Gold Into the National Treasury. Conslderable of the Preclous Metal Is Belng Obtained In the West. WASHINGT! closed the thir D. C., May 8.—To-day month under the bond ract have been com- iaction of the treasury of th plied with to the satis: officials. the cont act, the gold reserve in the treas- ury amounted to $42 )60, which has since been increased to 591,579, the amount reported to-day, making the net gain for the three months $49,808,519. Yesterday the syndicate deposited in the New York Sub-treasury about $910,000, which completes its obligationsto date, but does n far as can be learned, leave any sto its credit. The $32,000,000 in domestic gold permitted to be deposited under the contract has long since been turned in, but whether all of the §. 000 of fore gold required to date by the terms of the contract has actually been imported cannot be learned here. It is believed, though, that it has not been imported. It is assumed that the syndicate will be deemed to have complied with its contract if it is found at the close of the deal on October 1 next to have on deposit the $32,000,000 in foreign gold, independent of the fact that they may have used domestic gold from time to time and have not made the adjustment requiring half of the zold to be domestic and half foreign until the last moment. The treasury officials say that they have no Information as to the West or not, but they are unable to see how the syndicate could meet its con- tract obligations without buying gold whenever and wherever it could. Not the least important feature of its contract with the Government is the agreement to protect the treasury, so far as it is able, this time and with sterling exchange at its present high rate this is no light obliga- tion, and it is more than probable that the heavy purchases of gold in the West, pos- its foreign bills. That large purchases are making is the large refineries, which heretofore have that it is being sold in New York at figures Denver mint. contract b control of treasury goid from export. Every Man Who Wonld Know Grand Truths, the Plain Facts, New Discoveries of Medical ms Applied to Married Lite, Would Atono for Past Errors the Wonderful Little tain It.” this generation of men.” equally guilty, but Ido not think we will have to do this. I think the developments will be surprising to some people.” EX .AIL\V#TIOJ OF GURDON. The Statement Made to a Policeman Ad- mitted as Evidence. , LOUISVIELE, Ky., May 8.—The exam- ining trial of Fulton Gordon was resumed to-day. Judge Thompson stated that he had decided to admit Gordon’s confession to Policeman Lapeille, as it was entirely competent. Webster Gazlay was sub- venaed, but testified that he had no knowl- edge of. the deplorable affair and he was excused. Policeman Lapeille testified as to Gor- don’s statement made in the ambulance. Gordon said he went into the room and his first shot would have killed Brown if Mrs. Gordon had not jumped in the way. Brown, he said, had fired while he was get- ting out his pistol. After the first shot out of Brown’s revolver Gordon said he grabbed him. After several shots had been fired Brown dropped his pistol and Gor- don, pickingit up, shot Brown, killing him with his own bullet. Mrs. Gordon, the prisoner said, fought him like a tiger, and during the fight, just as she got to the door, Gordon said he fired a second shot at his wife. He said, “You will find two bullets in her.” The commonwealth rested its case and a motion for the discharge of the prisoner will be argued to-morrow morning. Damage Done by a Cloudburst. ROCHESTER, N. Y., May 8.—Reports of a terrible cloudburst were received last night from the southern part of Ontario County. The bed of the railroad from Middlesex to Naples is washed out most of the way. Fields have been furrowed and small streams have been transformed into to attain full vigor and manly power. A method by which to endp‘J drains cn the system. S N /) AL To cure nervousness, lack of self-control, de- spondency, &c. To cone of brightness, jaded and worn nature for uoyancy and power. To cure forever effects of excesses,overwork, ‘worry, &c. To give full strength, development and tone fio:svery postion and organ of the body, e no rrier. lure possi thousand references. - £ o3 The book is purely medical and scientific, useless to curiosity seekers, invaluable to men only who need it. Adespairing man, who had applied to us, soon after wrote: “Well, I tell you that first day is one I'll never forget. 1 just bubbled with joy. wanted to hug everybody and tell them m; old self had died yesterday, and my new sel was born to-day. Why didn’t you tell me when”! first wrote that I wi find it this Afid -no‘t’hu ;hiu: o “If you dumj a cart f gols feet it would not bring such p&&‘w my life as your method has done." oy o the ERIE MEDICAL COMPANY, 0, . Y., al as] ‘book Called " “COMPLETE “MANHOOD. " He this paper, and the company the ;oh in sealed envelo) e = without any t is well intros contract with the Morgan-Belmont syndi- | w York, and up to this time all | On February 8 last, the date of | whether the syndicate is buying gold in | from gold withdrawals for export, and at | syndicate has been compelled to make | sibly at a slight premium, in order to cover | evidenced by the fact that one or more of | sold their product at the Denver assay office, ceased making their deliveries there some weeks ago, and the assumption is slightly in advance of the price paid at the Thus far the officials are entirely satisfied they say with the manner in which the syndicate is carrying out its as to its deposits and its 1e markets so as to protect the “THE TRIUMPH OF LOVE 18 HAPPY, FRUITFUL MARRIAGE.” the the Sclence Who and 4void Future Pitfalls, Should Secure Book Called % Complete Manhood, and How to At- “Here at last is information from a high ‘medical source that must work wonders with The book fully describes a method by which all unnatural NEW TO-DAY—CLOTHIN STYLE cUTS NO ICE WiD HIM! His style is his own, origi- nal, but those fashionably inclined wear the good clothes of Raphael’s, your clothiers. | | CORNER, | In our big window, we have a display | of those fine English Twill Cheviots in |blue and black, in Single=-Breasted | Three=Button Cutaway Sacks, in | Double-Breasted Sacks and the Regent iCutaways. ¢ | There’s a sprinkling in that window |of pretty Scotches, light colors for | Spring and Summer wear. These gar= | ments are made right in our own tailor |shops in New York and we can vouch | for them as being first=class in all par= | ticylars and right up-to-date in style. | To get more customers we’re willing to sell these Suits at $10.00. They’re around the corner in the big window; a full floodtide of day- light is upon ’em ; you can pass judg= ment upon ’em without entering the store. What other concern is willing to shed the rays of light upon their goods, especially when we are quoting a price that seems absurdly low. our horns about the beauty of our goods. We're not tooting We don’t have to. Look in our windows and see the excellent garments and note the prices and you'll toot the horn for us. Il WE WANT MORE CUSTOMERS For our good clothes, and when we want anything we mean to get it. Do you know how good our clothes are made? If you did you wouldn’t go to the tailors; none of ’em make ’em any better than we do, and we’re willing to figure with you this month at cost—just think of it! our good clothes at cost for the sole purpose of making more customers. Don’t think it foolish on our part because we’re willing to spend a little money to get your trade. If we once have your trade we’ll never lose it. Our good clothes and our prices will keep you a patron of our house like the thousand others we have; it will be in good company, because the best people in town wear our good clothes. The clownish attempts of some of our advertisers who advertise one day under a firm name, and when they find the people are onto their little game, change it to another firm name, but the same rascals are still in com- mand and they conduct nefarious trafficking wherever they reside under one name or under another. WE'VE ADDED ANOTHER FLOOR To Men’s Clothing. How is that for prosperity? The people are waking up. They appreciate our good clothes. One tells the other and so the tale goes round. RAPHAEL'’S INCORFPORATED), 9, 11, 13 and 15 Kearny Street. 2 BUILDINGS——8 FLOORS, 130 EMPLOYES TO SERVE YOU.