The citizen. (Honesdale, Pa.) 1908-1914, June 18, 1909, Image 1

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    TMK WEATHSR Partly clowdy Thursday, showers Thursday sight or Friday, light to moderate sonth triads.
$ Wayne County Organ E
Semi-Weekly Founded i
of the j
5K Weekly Founded, 1844
i s
NO. 49
66th YEAB.
Special Message to
Congress on It.
President Estimates It Would
Raise $25,000,000.
. ,
ASKS Amendment tO Permit LeVy
on Personal Incomes Too.
Washington, June 17. President
Taft held a special cabinet meeting,
Senator Root also being present, to ob
tain views regarding a tax on net earn
ings of corporations. The message he
had prepared for congress was read to
them and then sent to that body. It
Is as follows:
"To the Senate and House of Repre- j
"It is the constitutional duty of the ,
president from time to time to recom- '
mend to the consideration of congress
such measures as he shall judge neces
sary and expedient. In my Inaugural '
address, immediately preceding this
present extraordinary session of con- 1
gross, I Invited attention to the neces- I
slty for a revision of the tariff at tills
session and stated the principles upon
which I thought the revision should
be effected.
"Obligation to Raise Revenue."
"I referred to the then rapidly in- 1
creasing deficit and iolntpd out the
obligation on tlie part of the framers '
of the tariff bill to arrange the duty so
as to secure an adequate Income and
suggested that if It was not possible to
do so by Import duties new kinds of
taxation must be adopted, and among
them I recommended a graduated in
heritance tax as correct In principle
and as certain and easy of collection.
"The house of representatives has
adopted the suggestion and has provid
ed In tl bill It passed for the collec
tion of such a tax. In the senate the
action of Its finance committee and the
course of the debate indicate that It
may not agree to this provision, and it
Is now proposed to make up tho deficit
by the imposition of a general Income
tax In form and substance of almost
exactly the same character as that
which, In the case of Pollock versus
Farmers' Loan and Trust company
(187 U. S., 429), was held by the su
preme court to be n direct tax and !
therefore not within the power of the
federal government to impose unless
apportioned among the several states
according to population.
Income Tax Not Legal.
"This new proposal, which I did not
discuss in my inaugural address or In
my message at the opening of the pres
ent session, makes It appropriate for
me to submit, to tlie congress certain
additional recommendations.
"The decislou of the supreme court
In the lncomo tax cases deprived the
national government of a power which,
byjreason of previous decisions of the
cofcrf,: k", was generally supposed the
eov'ejiBent had. It is undoubtedly a
pejvthe national government ought
totiaVe. It might be indispensable to
the nation's life in great crises.
"Although I have not considered a
constitutional amendment as necessary
to the exercise of certain phases of
this power, a mature consideration has
satisfied me that an amendment is
the only proper course for its estab
lishment to Its full extent.
Urges Amendment to Allow It.
"I therefore recommend to tho con
gress that both . bouses by a two
thirds vote shall propose an amend
ment to the constitution conferring the'
power to levy an income tax upon the
national government without appor
tionment among the states in propor
tion to population.
"This '.ourse is much to be preferred
to the one proposed of re-enacting a
law once Judicially declared to be unconstitutional.
"For llio congress to assume that tho
sourt will roTcrse itself and to enact
legislation on such an assumption will
not strengthen popular confidence in
tho stability of Judicial construction of
the constitution. It Is a much wiser
policy to accept the decision and rem
edy tho dofect by amendment In due
and regular course.
"Again, It ta clear that by the enact
ment of tho proposed Inw the con
pwifl will not be bringing money Into
the treasury to moet tho present de
ficiency, but by putting oh the statute
book a law already thero and never re
pealed will simply be suggesting to
tho executive officers of tho govern
ment their possible duty to invoke lit
igation. Pears Supreme Court Delay.
"If the court should maintain its
former view, no tax would be collected
at nil If It should ultimately reverse
Itself, still no taxes would have been
collected until after protracted delay.
"It is said dlllieulty and delay In as
suring the approval of three-fourths of
the state, will destroy all chance of
adopting the amendment. Of course
no one can speak with certainty upon
this point, but I have liecomo con
vinced that a great majority of the
people of this country are in favor of
vesting tho national government with
power to levy an Income tax and that
they will secure tho adoption of the
amendment in the states If proposed
to them.
"Second, tho decision in the Pollock
case left power in the national gov-
eminent to levy an excise tax which
accomplishes the same pnrpose as a
corporation Income tax and is free
wm certain objections urged to the
Expects to Raise $25,000,000.
"I therefore recommend an amend
ment to the tarllf bill Imposing upon
all corporations and Joint stock com
panies for profit, except national banks
(otherwise taxed), savings banks and
building and loan associations, an ex
cise tax measured by 2 per cent on the
net Income of each coriorntioii. Tills is
an excise tax upon the privilege of do
ing business as an artificial entity and
of freedom from a general partnership
liability enjoyed by those who own the
"1 am Informed that a 2 per cent tax
of this character would bring into the
treasury of the United States not less
than $23,0(X,000.
"The decision of the supreme court
in the case of the Spreekels Sugar Re
flnlng company against MeClaln (102 U.
S., !!07) seems clearly to establish the
principle that such a tax as this is an
excise tax upon privilege and not a
direct tax on property and is within
the federal power without apportion
ment according to population.
"Tho tax on net income is preferable
to one proportionate to a percentage
i of the gross receipts because It is a
tax upon success and not failure. It
imposes a burden at the source of the
Income at a time when the corpora
I Hon is well able to pay and when col
' lection Is easy,
j Benefits of Publicity,
; "Another merit of tills tax Is the fed
; oral supervision which must Ik; oxer-
elsed In order to make the law effec
tive over the annual accounts and busi
ness transactions of all corporations.
Willie the faculty of assuming a cor
porate form has been of the utmost
utility In the business world, it Is also
true that substantially all of the abuses
and all of the evils which have aroused
the public to the necessity of reform ment otllcial advices from Venezuela
were made jiosslble by the use of tills t cleared up the mystery of the steam
very faculty. ship Nanticoke and the tug Dispatch,
"If now by a perfectly legitimate suspected of filibustering, showing
and effective system of taxation we I they were purchased by Venezuela,
are incidentally able to possess the j The department of justice has or
government and the stockholders and j dered its agents to abandon their ob
tho public of the knowledge of the real servatlons of tlie vessel and to return
business transactions and the gains to Washington,
and profits of every corporation in the
country, we have made n long step to
ward that supervisory control of cor
porations which may prevent a fur
ther abuse of power.
I recommend, then, first, the adop
tlon of a Joint resolution by two-thirds
of both houses proposing to the states
an amendment to the constitution
granting to tho federal government
the right to levy and collect an incomo
tax without apportionment among the
states according to population, and,
second, the enactment ns part of tho
pending revenue measure, either as a
substitute for or in addition to the in
heritance tax, of an excise tax upon
all corporations measured by 2 per
cent of their net income.
"The White House, June 10, 1009."
Aldrich Aots Quickly.
Senator Aldrich called a meeting of
the committee on finance to consider
both of the propositions in the presi
dent's message.
In a series of roll oalls the senate
rejected all proposed amendments to
the Philippine paragraph in the pend
ing tariff bill except that proposed by
the finance committee.
Place Auditors on Their Trains.
Chicago, June 17. In the effort to
check peculations by conductors the
managements of-, the St. Paul and
Northwestern roads will place auditors
o their trains.
Minister of Finance Decides
Can't Be Lietod.
Paris, June 17. Announcement is
made that M. Calllaux, minister of
flnanco, has rofusod the .T. I'. Morgan
request that tho common stock of the
United States Steel corporation be
listed on the Paris bourse.
Tho failure to list the stock Is due
to haste and lack of candor on tho part
of Americans having t- campaign In
charge. All the Paris brokers and
thousands of French Investors were
eager to see American stocks listed
and the Paris market enlivened.
Convicted Banker Freed In Sum of
New York, June 17. Charles W.
Morse, tho convicted banker, who has
been in the Tombs awaiting the out
come of ills case In the United States
circuit court of appeals, was admitted
to ball in the sum of $12."i.OOO.
Martin W. Littleton, Morse's counsel,
argued that there were numerous er
rors lu the record of the case when
Morse was convicted before Judge
Hough and a Jury and particularly In
tho Judge's charge enough to Justify a
new trial.
Couldn't Interest Organized Labor Till
He Found Why.
Washington, Juno 17. Rev. Donald
McLeod of the First Presbyterian
church recently went In for the labor
union uplift movement with heart and
soul, 'prepared some lectures and in
vited tho Central Labor Council.
"Never," said Secretary De Nedrey.
"This friend of organized labor doesn't
even get shaved In a union shop." "I
have never noticed what they were,"
said Mr. McLeod. "I patronize them
nt random."
A. Delano's Reason For Declining
Post of Minister to China.
Chicago. June 17. A preference for
railroading over diplomacy und a de
sire to continue ills home- In Chicago
were assigned by Frederick A. Delano,
president o' tlie Wabash railroad, in
declining the president's offer of tho
post of minister to China.
"I have no inclination for public
life." said Mr. Delano. "I believe I
can accomplish more in tho develop
nient of railroads at homo."
Copper Magnate Charged With
structing the Law.
New York. June 17. F. Augustus
Ileinze, ills brother, Arthur P. Ilelnze,
ami Carlos Warlield, a former director
of the United Copper company, were
arraigned before Judge Ray In the
United States circuit court on indict
ments charging them with conspiracy
in spiriting away books wanted by tho
grand jury.
The three pleaded not guilty with
leave to withdraw.
Mystery of Nanticoke and Dispatch
Cleared by Venezuelan Advices.
Washington, June 17. State depart-
Bryan Not In Senatorial Race.
St. Louis, June 17. Wearing a long
black overcoat and a pauama hat,
i William Jennings Bryan In tho Union
station hero said, "I do not desire to
a cnndldate for senator nud do not
expect to be."
Low Tide Saved Battleship.
Washington, Juno 17. -Officers who
were aboard the Michigan when she
ran ngrouud off Capo Cod say that
had she struck at high tide she would
likely have become a total wreck.
Great Hailstorms In North Carolina.
Beaufort. N. C, June 17. One of the
worst hall and rain storms ever known
In this county occurred In the Harlow
creek section." One man was killed by
Bubonic Plague Gains In China.
Amoy, June 17. There were 131
ileaths from bubonic plague in Amoy
urlng the fortnight. Ohangchow re
ports upward of 200 deaths daily.
Died of Jpoplexy at a Wedding.
Brillon, Wis., Juno 17. Mrs. Joseph
Manllk foil dead from apoplexy while
o TCart.llntr hero.
Ex-Judge Is a Librarian at Jollet.
Chicago, Juno 17. Ex-Judge Abner
Smith, convicted of conspiracy in
wrecking the Bank of America, is an
assistant librarian in the Jollet penitentiary.
Class Night Exercises of the Class of 1909
Last Class to Graduate from Old School
Building. Farwell Frolic
Tho Lyric was crowded to the
doors on Tuesday evening last by
relatives and friends of the gradua
tion class to listen to the class ex
ercises. Frederick J. Osborne, as
class president, presided, and Intro
duced the several speakers. The
address of welcome by Ernest F.
Dudley and other addresses are here
with given In full.
By Ernest F. Dudley.
Ladies and Gentlemen I wish
to extend to you all, In behalf of
the Class of Nineteen Nine, a
most hearty welcome to this, our
final fun gathering. I suppose
to the majority of you the ad
dress of welcome to the class
night exercises has long since
lost Its significance as an address
of welcome. People clearly take
It for granted that they are wel
come, or why do they come In
such vast numbers? However,
at the very outstart of our per
formance, If there are any per
sons present who fail to see tho
word "welcome" written all over
every countenance In this crowd,
I wish to say to them especially,
that we, the Class of 1909, bid
them a hearty welcome to our
last official meeting. With these
words, spoken from the very
depths of my cardiac recesses,
my duty is performed. Yet, I
cannot but think that there are
some people here to-night who
do not realize the vast import
ance of the occasion, and prob
ably need to be impressed with
it. 'Tis the fifteenth day of
June, a day long to be remem
bered. Of course there are a
few great events that Invite
some attention but what are
they compared to the battles
of the class of 1900? Ladies
and Gentlemen, you see before
you to-night tho scarred veter
ans of from three to six facul
ty scrimmages, and a few
school board skirmishes. We
came, we saw, we conquered!
Wo climbed though the rocks
were rugged, and fought
bravely, until finally after a
long seige of four years, we
have managed to get out from
within the confines of four
white walls and have gained a
foothold on the outside. Of
course our ranks suffered con
siderably during that time.
Every year a few dropped from
the rolls until now the happy
day has arrived, our ranks
number but two and twenty.
1 suppose even now some of
yon wonder how we escaped.
Well, I won't go Into detail
about each one's experiences
but one of the happy ones who
held her own throughout the
term of years, is our "Freund"
the 'Dein," In whom we all
had great "Faith," and who
refused to "Romaine" in con
finement any longer to be
"Harris"-d" by the Faculty, so
one day, "Beck" onlng to
her "Polly" to follow, and tak
ing something to "Frye, ' well
In fact she took about all one
could "Gerry" she boldly
struck out without a "Murrl
man." You can all see that
she has reached the top of the
"Hill"-er even tho' there were
at times a thick "Heal"-ly of
bullets. But I think I am
straying a little from my duty.
The purpose of to-ulght'a
meeting Is to gather for a fin
al frolic before the dawning of
the dignified day when our
Principal Is privileged to pre
sent us with our well-deserved
diplomas. To you, Prof.
Oday, and the esteemed mem
bers of the Faculty, I wish to
extend in the name ot the
Class of 1909, our appreciation
of tho kindness you have shown
us and the great blessing you
have been to us since we came
under your care and guid
ance. To our schoolmates all,
we say, "God-speed!"
Now I must turn the even
ing's duties into other and
abler hands. Kind friends,
we believe you will find enjoy
ment, If not profit, In our
class tomfoolery. If Jokes are
too local or too personal for
general understanding, smile
away; It won't hurt you, I
am sure the members of the
class will keep cool, even
though they are roasted.
By Russell E. Romaine.
Juniors! Perhaps you think
advice Is needless, but you need
some, as to what you should do
during your Senior year, as
then you are supposed to be
the model class of the High
school. Seeing that I was at
one time a member of your class,
I think myself capable of giving
you some advice, which 1 hope
you will gladly receive, although
I know 'tis "More blessed to
give than to receive," yet it
will do you no harm. There
are many different kinds of ad
vice. "Some that old men give
young, when they can no lon
ger set a bad example." Also
a "Commodity peddled by your
lawyer and given away by your
mother-in-law." I need say
nothing concerning the latter,
for if you wish that kind of ad
vice given by a mother-in-law,
1 would direct you to jour
In your Senior year you will
run up against various difficul
ties, and 1 will advise you how
to overcome them. First, when
you enter Literature next fall,
let those, who wish to be favor
ed, obtain a front seat, and I
hope Beatrice Rehbeln will not
write any more tragic stories
when she becomes a Senior. Of
course, wo don't expect " that
you will come up to our average
in the examination on Samuel
Johnson; but you must do your
best for if you have the same,
as We did, I don't think there
is any chance to get through.
Always copy us according to
behavior, when the teacher goes
out of the room, or when a sub
stitute is teaching you. Do not
try to bluff when you have not
your lesson, for the same thing
never works two years in suc
cession, and if called names do
not contradict; but reserve
privilege of doubting until fur
ther evidence. Comrad Hiller
would improve his health a
great deal If he did not drink
so much soda water. Wnen you
enter tho now building don't
decorate the desks with your
initials. I will tell you why,
"But don't you tell I told you."
As I passed the office door one
day, I heard someone talking
with the school board, and
this Is what was said: "If they
destroy any school property we
will fine them fifty centy, and
with interest." Surely you all
know what the interest would
be, one yard of rubber hose. If
you should take a school trip
as we did to the contest, let
recreation be not nonsense alto
gether, that Is, do not he lead
astray by the good looking Dun
niore and Carbondale girls. If
when you assume the titles of
Seniors, your heads begin to
swell, do not get a "Teddy Bear
Hair Cut," as Jacobs, Pethlck,
and Beurket did, for it is out of
style. "Taffy Possum" has tak
en his place. Don't accept all
the candy Schuller brings next
'year, it will make you sick,
for sickness is worse than freck
les. Christmas approaches and
you have been thinking what to
give your school girl in the line
of gifts, I will not tell you what
to give, nor pick the present,
but if a box of candy is chosen,
do not give such a large one
that they may afterwards use
It for a shirtwaist box, as Hat
tie Is doing with the one she
received. Physical culture
would benefit Kathryn Nichol
son and Clarence Bodie, as It
would add to their stature. I
would prescribe ipecac for Pet
erson when he comes home from
a banquet. Daniel Eno, when
you become a Senior, assume a
little more dignity. And now to
those girls, that I have not per
sonally advised, I would suggest
that they take a few lessons in
the science of cooking, for I
hear, they are going to teach
It next year, as they already
have had one lecture on the
subject. And now, if you fol
low in the footsteps of the
"Class of 1909," you will prove
to be the model class of H. H.
S. in 1910.
g Turnberger.
0-3 of nineteen nine
a tg studious and
tn.o rules. If any-
one doubt's this statement they
are perfectly free "to discuss
It" with tho teachers; that tho
"would-be society" should bo
abolished, that the only way
to reduce a coal bill is to take
a brink walk from nine to ten
every morning when the ther
mometer drops below zero; that
the lengtli of the school term
should bo extended to ten
months a year, six days a week
six hours a day, Fridays in
cluded; that tlie waste basket
Is a reliable authority to con
sult about the fads, and follies
of the class; that we would like
to "keep our seats" as a sou
venir of our school days but
they may he needed next year;
that the extent of every lesson
should be "go as far as you
come." This embodies the
creed of the class In general
and we sincerely hope Its arti
cles will be adopted by succeed
ing classes.
Abigail Balrd, believes that
our street railway should be
pushed forward for It would be
such a convenience to the
East Honesdale students, especi
ally those who have difficulty
in reaching the high school at
nine o'clock. Embodied in
Helen Beck's creed Is this brief
but suggestive article of faith:
"A cosy corner is any corner
that does not contain a chape
rone." Faith Clark, that
Honesdale's Humane Society
should make some provision for
all stray cats and uogs, thus
relieving the high school stud
ents from all responsibility.
Hazel Dein, that marcel waves
are a great acquisition to per
sonal appearance and popular
ity. Ernest Dudley, tuat all
are not clams who have "Scho
ells"; Fred Frey, in improving
Shakespeare every time the
opportunity is offorded, but as
yet .he has not been .very suc
cessful. William Freund, that
this Is the proper time to apolo
gize for his compulsory insult
namely, turning back to the
high school. Chester Gerry,
that "Storms" are essential
factors in every-day life.
Walter Ilcaly, in disregarding
all the rules of etiquette gov
erning introductions to young
ladles and playing tho part of
tho man behind. George Har
ris, that he has been signally
honored by having the chair of
Literature given him in Hones
dale High School. Florence
Hiller firmly believes in gener
osity, even to sharing the
measles with her neighbors.
Albert Krantz, that each class
room should bo furnished with
a calendar, so that if in doubt
about tlie day of the week it
can be consulted without dis
turbing the entire class. Coe
Lemnitzer evidently believes
the course in the Honesdale
High school is not sufficiently
crowded for the tried very
hard to have palmistry in
troduced this year. Gertrude
Murrman, that one member of
the class at least, should be
loyal enough to wear class col
ors, this solves the question of
the blue and gold dress, to
gether with the belt of the same
pleasing combinations; Susie
McGraw, a few more years, of
single blessedness and then her
name will be "Dennis." Fred
Osborne, believes to his sorrow
that the child labor question Is
too difficult for a senior and
if written at all the limited time
should be two weeks. Flossie
Polley, that a handful of good
life Is better than a bushel of
learning. Russell Romaine
believes having learned from
experience that it is necessary
to invite three or four girls to
a dance before you can find one
who will consent "to rob the
cradle." Henry Soete, never
do to-day what you can put off
until to-morrow. Clara Saund
ers, in the study and mastery
of natural history, but she does
not advance very rapidly for she
is still on "B's." Laura Van
Home, that she will soon invest
In the best of Union Bonds on
the market a marriage certifi
cate. Without doubt our teachers
are well pleased with our creed
for they have said to us: "My
children, you have Indeed per
formed your tasks with valiant
courage, and we consider you
the best and brightest class
that ever graduated from the
good, old H. H. S you may
now enter the promised land
for you have reached the goal."
Pongee, Taffeta, and Ottoman Cloak
and Jackets, at
45w6 MENNER & CO.'S.
By A
We, the
bellevo in
obeying a