, 1873-11-19

3UudE CA4uN'6 ARaUMENI al MuRh15.
We invite attention to the argument Of OK
Judge Cation, at Morris, H., on his application
for an injunction to restrain the Lasalle County
Clerk from extending on his books the aseess-
ment made by the State Board Of Equalization
in the case Of the Ottawa Glass Company. Tho
crrozs and misconceptions Of the Board arc
"shown up" by the Judge in manner At once
powerful aud ]aughab1e, and tho ilegality and
.wickedness Of the assessment arc disclosed BY
master hand. Tho facts Of the immediate case
In which the Judge asked the Intervention Of
the Court are substantially the same as in ali tho
othor cases where the State Board undertook to
aaHosa tho capital stock Of private corporations.
The Ottawa GiaaB Company has capital stock
of ss2, 500 all paid in 1t owns lands, buildings,
machinery, and othor tangible property which
was assessed By tho local Assessor st 6,090;
this was increased by tho County Board to $780,
$50, and again reduced BY the stato Board to
a37,257. It had dobts to tho amount OF e1o3, 500,
Tho law OF 1872 provides that tho State Board, III
taxing the capital stock Of corporations, ehall
"aacsrtain and determine respectively the fair
cash value Of such capital atoek, including the
franchise. ovsr and aboue the assoHsod value Of
tho tangible property Of such company" To
rench the valuation adopted by the Board Of
Equalization aa to tho value Of the capital stock
of tho Ottawa Glass Company, they acted on
rule adopted BY themselves, Of adding to tue par
| value OF tho stock tho amount Of the indebted
neHB OF the Company, aud taking the aggregate
&c tho value Of tho capital stock. In this caBo,
however, they did not adhoro to their own rulo
but soem to have arbitrarily determined that
the Company owed only 900, which SUN they
added to tile par yaluo OF tho capital stock, aud
declared the whole to be worth $G1 ,420, in addi-
ton to tho value OF the tangible property.
AL the property tho Company owns IL represent
ed by tho assessment fixed by tho State Board at
$37,257. That ineludea nll its asaots. Tho
Btock has never been worth over rs cents on tho
dollar; yet tho State Board as1osaed tho capital
stock u worth. in addition to tho value Of tho
assets, S6l,42o, or nearly 200 por cent. Here,
then. wo have caso whoro tho Companys entire
assets put at ss7, psf, md ta capital stock ut
par s32 6D0 making in all s09, ,757 declared to be
worth $08,8T. It will puzzo any mathematician
to discover how the Board, eyon under It's OWL
rulon, over reached this amount but when the
rulo, under which 1t professea to oct, Is exaul-
ined, the stupidity OF the whole proceeding
stands confessed, The Stato Board, guided
probably by the State Auditor, Interpreted the
law where It requires them to ascertain tho value
ot the capital stock " over and above the
value Of tho tangible property othorwlHe
assessed, to moan IN addition to +" tie yal,lc
of tho other property, aud thiB patent stupidity
ia supplemented by the rulo OF tho Board that
the dobts Of q corporation arc TO be added to the
value ot lts capital stock The psactical opera
ton Of this is TINT whore two companios hayln{
b capital Rtock Of @60, 900 oacl, and tho ouo Il
FREQ OF debt and the other owas q200,o00 tAt
latter company, though practically bankrupt, H.
according to the'Stato board Of Equalization
the mora wealthy Of tho two its capital stool
being worth 400 por cent above par
An illustration Of the way In which tho Stat,
Hoard Of Equalization fixed values Ia furnishe,
'by its action On tho tangible property Of thii
aluas Company. Tho property waa asgoasod b,
tue County AHscBsor at 1000 aud by til,
| County Board ut s50.o00, aud this value was 70
+ dueel by the State Board to 907,ab7, Tile va,
It NAB done WAS l,ts, Having "tlt!od s'lo0. .0u0.
ooo To the value ot the pruporty OF Ch!oayo, th
stAta Board Lad 10 sadpoo the value Of proport
taronahaas Ia E~a& at IN alAaA " sAa sAA