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About The Oregon daily journal. (Portland, Or.) 1902-1972 | View Entire Issue (Dec. 27, 1922)
1 j. s. u:o nes i.'EAR TANGLE ON EXCESS PROFITS Washington, Xov. 27. WASHIXO "TO.V BUREAU OF THE JOURNAIS) ' The next big tussle between the raii .' roads and the government will come' in 'p, legal battle over the surrender of ,i learning in excess of per cent pro vided for the recapture clause of the '. transportation act. . There are eigne ot : a gathering storm and a battle to the '.end as soon as the government moves ' -- io enforce this provision. ; : It wlli be -the contention of the -rail .' - oads that the government has no risht )to take any part of their earnings to i sequestered in a revolving fund and y waited out to "weak Ulsters"-or used ; ' for purchasing equipment for lease by ;he government. To take excess earn- ns for use in assisting other railroads by loan is held to be just as much a ..violation of the constitutional right to . enjoyment of property, as though the money were handed over as a gift to v' other railroads: " . The government will contend that as' , a matter of government policy in deal- V, 'jus with property devoted to ; .public utility . use the power of ?' ..egulation extends to the promo. j.-r tJon of transportation generally and . the AJse of excess earnings for that ',arpose in the case of carriers that .iave been allowed a just and reason- 'i' -iOle return by law. -- -.I ME AB AT HAN D During the first two years of opera !-" of the transportation act this pro vision did not come seriously to issue, ". s few of the carriers made 6 per cent. No case has yet arisen where a speci : -.;. demand has betn made upon any ; railroad for its check to cover excess turnings, but the time is near- at hand hen such actjon may be expected. ?A few railroads have voluntarily sent iu their checks, in a sum said to ag gregate J20.CHK), which is manifestly t.t insignificant scratch of the pen. .? . The present "Just and reasonable re-fi-'a" fixed by the interstate eom .,.rc commission is 5"v per cent, from -;jir.ch 1, 1922. It should be borne in 'i. nd that this is upon the "aggregate v. v- rue" of the carriers as a whole, and fTjtes are assumed to be fixed to bring .rijat result. It is not a guaranteed re turn, and as a matter of fact the ag tvj ttgate return has fallen far short. Ji'lhe greatest earnings so far attained i have been around 4 per cent upon the j valuation fixed by the commission. $1- " There was a guaranteed return for . v six months under the transportation . - ft. In the language of the act. "the -rt.rm guaranty period means six months & U-ginnlng March 1, l'j.'O." This guar anty expired September 1, 1920, upon itiie basis of "just compensation" under the federal control act. PER CENT FAIR . L'ndt-r another provision the inter state commission was required to take ;-i,a P1" cent as a fair return for two -years from March 1. 1920. and to add ,r: t per cent, in its discretion, for bet - lermenta. This resulted in the adop f lion of 8 per cent as the fair return v'ioii the aggregate value of all the - roads for the two-year jwriod, but it hot a guarantee, and few roads - dually made 6V4 per cent ar am time during that-period. , i . rnl tW0iyear period expired March 'viS-'S- The interstate commission was ; then unshackled as to fixing a just . and reasonable return. It acted, as ; refore stated, by fixing 5 per cent. . I'he raws fixed .are assumed under . normal conditions and careful opera tion to yield that return for the coun , try as a whole. On the other hand, the 6 per cent ex css earnings, or recapture clause, ap 3 piles to Individual railroads,. It is -manifest that if the level of earnings ... for all the roads attains 5? per cent. -vr anywhere near that sum, the mor .prosperous- lines will he earning per haps, twice as rnuch,while the weaker .lines will Still be- struRclli.K in the riot. t firams. To "recapture" for the public- ut iie ju. a snare or trie earnings above . per cent is the object of the proviso ' oround which the coming legal battle ' '11 center. HET.OLT1XG FUXD Direct appropriation of this excess by- the government was first con - ,idered. but was abandoned because of constitutional difficulties. It could he taken, presumably, as a tax, but It v v ould then go Into the general ti eas- "fry. So the plan of creating a : re- .olvingf fund, to be loaned to weaker ;5'-ads or applied to Purchase of faeili- t es and equipment was adopted. . . Cndef this plan, one half the excess , .tver 6 per cent goes mt ' the general xtailroad contingent fund," the revolv : ing fund, "to be recoverable by and -paid to the commission." The other half goea to build up a reserve fund ifnr th carrier concerned, which may be drawn upon to pay dividends or Interest upon securities in lean- years, ; mhen ft net Income falls below 6 per . cent, but when this reserve equals S ; per cent of the vaUie af its property. ; excess Income set aside for this, pur ; po ' may be retained and used "for 1 any law fu! purpose." Jhero appears, to-be oom for argu--,. ment as to w hat may happen in the 4 application of excess earnings when - the commission, as it has done, fixes the reasonable return at - teas than 1 r-er ceat. The contention may b. made that the excess earnings are shifted to anjr amount above the reasonable re turn nxed by the commission. Others . assert the law is rigid and permits no diversion until the individual earning reaches per cent. Congress- may be ; asked to make the law mora explicit 3 on inia point. MEN WANTED FOR SHOPS AND ROUNDHOUSE RATES M tckinfata ....... 70c per hoar Boilermakers A .... .70e to 79Vjc per hour s Mechanics are allowed time and1 one-half for time worked la aaoew of -eight hours per day. N Strife condltiona. .prevail. " . -v' . ArPLT BOOJI HJ Cm Balld lag. m Foarth OtrMt Jfear Washlagteta, Partlaad Miii"iimiitiiiii..., TAKE a 23 PAY UFEPOUCY - With ; Uimited 08 Artisan Building ;,: Assets Over $1,500,CC0.C0 nwH Society fa 9 1 Titn 7 intiikiiiiiiitiiiiiiAiinaitiii Amazing Facts Are Revealed by Tomb Of :33Q0 Years Ago Luxor. Egypt, Dec:7 27-Part of ' th contents of the tomb , of King Tut Ankhnmen will emerge inia the sun IMfht today for the first time in 2.100 years and will be stewed pending re moval to the Cairo lmtscum. At number of American arciieologists ndl exnerts who have been working at liebes and who . have seen the tomb, state that ;,- the- revolatlona ar-i a nraelng. The contents ' of ' the tomb are said to reveal' that the Egyptians of the Hth century, B.; C, were more advanced in political power, in art and in civilisation , generally . than r either their predecessors or successors. The Americans are unwilling to com pare the signs of the ancient civilisa tion with the present, but are satisfied that the outlook of the ancient Egyp tians was as advanced as the Egypt cf today so far as concerns morality. justice and , estheticiiim. . , - It is expected that the innr chara ler of the tomb will be opened in Feb ruary. . The Egyptian antiquities department has unearthed a world's record obelisk at Assouan It is'133 feet long, meas ures II feet at the base. 8 feet at the top and weighs 1200 tons. Scientific Body Gives Indorsement To Darwin Theory (Ujf Lnitert . Cambridge, Mass.. Dec. 27. Darwin's theory of the descent of man by evolu tion, which has been subjected to per sistent attack since the war, notably by William Jennings Bryan, received the most overwhelming scientific In dorsement ever accorded any scientific theory, here Tuesday. Speaking as the official voice of the most formidable group of scientists ir. the world, the council Jof the Ameri can Association for the Advancement J of Science adopted a resolution indors ing the theory of evolution as one "strongly supported by thoroughly tested evidence" ' and as "oae of the most potent influences for good that have thus far entered into human ex perience.' Any attempt, such as those recently made in Kentucky and other Wester? states to prevent the teaching of evolu tion in state universities or other pub licly supported schools, was strongly condemned. Dumb Waiter Shafts Spread Flames in Lillian Apartments The dumb waiter shafts in the Lillian apartments. Sixth and Montgonwy Etretts. were .responsible for the rapid spreading of fire which badly damaged the building early Tuesday morning. I according to Lieutenant Cooper, as sistant fire marshal. Cooper estimates the clan. age at $15,000 to the building. $4000 to the furnishings and $400 to a building next door Tow-ned by Ot;o J. Kramer. - Defective wfrlnsr is believed to be the cause of the fire because all telephones I'XiA lights were out of -commission when the flames were first discovered by Airs. St. J. West, who aptrrates the apartment house. Exirs fire escapes reaently installed "revented a loss of life. Cooper said. All stairways-. in the- building were en closed in compliance with city ordi -nances. The building is owned by Mrs. William R. Beardsley, MultnbmaH Club to Dedicate Bronze Memorial Tiabletl Diicatory exercises of the bronze men. rial tablet honoring the 26 Mult nomah clilb members who gave their lives for their country will be wit nessed at the Multnomah ciub gym nasium Thursday evening at 8 :15 o'clock. A program of instrumental and vocal music has been arranged and a special tableau will be presented by 28 young women in white. , A the name of each soldier dead i read the young women wlH'rise .in turn" and extinguish e candle.-; A squad of marines will form the honor guard.' The Rev. W, S. Gilbert of Astoria. chaplain of the old Third Oregon, will make the principal address. His topic will be' ''Left We Forget."" The Rev. A. A. Morrison of Trinity '"Episcopal church will make the dedicatory ad dress. Wallac McCamant will also speak H. , A. Sargeat, president of "Multnomah club, -will preside. Jane Burns Albert and Dr. Stuart McOuire are soloists selected for the occasion. William H. Boyer will lead the audience in singing patriotic airs and William Robinson Boone will play the organ accompaniment. Mrs. I. D. Peters Is Critically 111 at Surgical Hospital .MrfL.t 0.. Peters. , who fnakea. her home at Alexandria Court, is critically ill at the Portland Surg teat hospital where she has been for " over two month, f iler 'Condition Is" so jrravi that her friends are not permitted to see her. : Mrs. Peters is widely knov n in Portland .as one of itfce- active mem bers of Trinity Bpiseopal church. She is the mother of Dr. George Peters and. John Peters -Of. this city. : .;.. During the early part of Mrs. Peters' illness her mother, Mrs. Kl EL Laher teaux, waa taken seriously ill and died. Mrs. refers condition at that "tlm was so serious owing; to an operation that she was not told of her mother's death until a week -or 1 dy-later. - Daylight Star Is -Merely Venus; No , New Star Found 1 (By Cotnal Scrrtee.) - -San Jose. Cal ' Xac 17. Professor W, Campbell, director of JU Lick observatory at Mount Hamilton, to day discredited report from Abilene, Texas, to . the effect that , residents f the place had viewed .' with their naked eyes -a.iw. , "daylight - star. Campbell declared' the'etar -was In ail probability the planet Venus; which la often visible to the .naked eye in morning hours. s The observatory , director announced that the reported discovery of a new star by astronomers at Angers, France, last Saturday, had been' denied, bar. Ing 'been a false report broadcasted by aa amateur tronor THErif DAYS IS GONE FOREVER "How TMATTV HAfcfcY GET UV9 QC?e&TR ? -. BRINGING VP FATHER i r 1 : r would ee: fine: L. TRUNK TOTAKE ' t--iy, souvenir ABIE THE AGENT KRAZY KAT JERRY ON THE JOB LITTLE JIM3MY iri' .'. i j-k -as- iii i " k.-v-:-jz-vi jfu uei m a r w.,-Vi:-iJ:--;,.:-.i.----iii.'r.T . a--. -.---:-- ac.-ji I . 1 1 f - r i -t v s I V, rS?: . . j v , -jS-a - tt.. -..i- .. . ..v -....i i- rrs 3?. (HOWL I I I o. J . iTl Vk icrVA .HOUSE BiS-riBUaSSsUVieOSMGj L4JTcS?SiDrTi Z-h A. M Cah p . zr U " A FEARFUL HURR.Y. TO THE BKWG- DID YOU, I AST MlM OUCB HS GETS M15 HOOCK - GUT GOSH rtt 6T . . fAE-lOOULPAJ'T TELL TO feELU a a.aa To Kbbpa 4ocit ofi n H)lr. AJ. UrJ , Me A x 1 IE Dry I'm Not" NOUKtTO THM" O ) THE. SPEECH ((.', rig in. by Setriee, (Ooj.-l-rigllt, 1322. by rric-e, dovs's- 'SO 31 ''Ht (dopyright. 1922. try Srrrioe, ;-J2 -;r IMC0MfEitECSS - rt the J (mux Sj8uct?, tvwt A. - y7 faSSBS A VST OPTCl&S4J sfSfLsl -fKese teas time UkEi a U3Rtf?K4 etSErCTK QasLa MOST; rceCftiiC1 fun 4 - . - Jr. . . v . s . . ...... ... .... . . d. ,T . , . ..... , - ., . ... .... f. - t r ifbwistNfd r. . T-tCe(le . . . ' - . .. ...... . . - j ' ,rVEU.-l"LL5)VE VQO ALU THib TAKE THE TRON AUOrsC, WITH ME, ItUrutMmml i-'teturp Inc.) Inbernatiooai t Feature Inc.) . ' . IQOtfA A)ow To tntjrmiitifiil Ftoi Ircl Tatsraatlina! FNmUmv "s. f BE OME- flMfcS ThEV AliST J 1 7 y? gs:;3 "II I :! a 1 f HO-ISO S THAT . KOT. Cvrnfli.' i2l. by uwt A Miss Is as Good l THE BEST CAO 1 " A mo,, (ni .. .... ' I AM SRJVefe. IN OUbT GONE IMTO the Buswess ' iff Solca -) I vvwr po JTyl voo By Al'Pcccn FCaSEQ, ! "n By George McManus trS THERE ARE WORTH THAM THAT-. Fmh Smyic. las it'll Plenty of Time Ahead lilMi'A TUE RvSSrl-tr1.CN TAVcE HINA Aft V-rfXSY, STA3RT VT OM r CDU Love Will Find a Way 021 as a Nigrht in Town By Swinnerton V WHERE JTO 1...;.,; ; .. . ADYi : : ' I ' 1 ik ry I Mo 1 I -1 w f jr v'.tmmi'MfYi! ' ii.ti