, 1874-01-01
THE WESTERN UNION.
Another Attack on tho State
Board Of Equalization.
New Points Made by tho Complainant.

| The Western Union Telegraph Company yes
terday joined the band or those attacking the
State Board OF Equalization. Tne bill filed in
tho Circuit Court alleges that the Company is
organized under tho laws OF tho State OF New
York, and has never beeu organized by any Law,
general or special. OF Illinois, but TINT it docs
business in this State.
| On the 1s: OF May, the Auditor Of the State
ecnt them blank, which they were 10 ill out,
showing the amount OF capital stock authorized
and the number OF shares into which 1t was di-
yided; the amount Of capital stock paid up
the market value or actual value, If there was
no market price the total amount Of the
indebtedness tho length Of the llne
operated in each county, and the
total in the State and the total assessed ralua-
ton Of ali its tangible property in the State on
tie 1st day OF MAJ.
Tie Company accordingly made return show
ing the paid up capital stock to be s4l,o73,41o,
divided into shares OF S10o each. Tho amount
in 1llin ols was unknown, and the market value
Cd II ny uas SIS per shnse. The Indebtedness
was 81, eco GOO. Tie value OF the line operated
throughout the State was s275, ,056, andtLe value
Of the instruments ard material So. sos, making
tue total value Of the property in the State
So35.G34. 4 schedule was also fled showing
the number of miles OF galvanized wire in each
county, also the number OF miles Of plain wlre,
aud tie number Of miles Of poles, Which were
5,tH5 40 d letter was forwarded 20 the Auditor
wheu the return was made, stating that the said
return made for statistical purposes, and
without conceding the right Of taxation On that
basis.
The bill then states the organization Of the
State boa:d it's rules Of procedure, aad tie
results, one of which was that the capital stock
oF r3utIn, Lf,r ha ao3
that it having made no roturns, the assessment
WAS made on the capital stock On the best iufor-
nation that could ne acquired.
The tota! amount Of capital stock assessed to
which S1,le5. 1894 WAS assessed to the Western
Union Company, md the distribution to coun-
ties was much Ill the proportion of the number
Of miles OF poles IL each county. Tic said sum
Of 81 lGS, 1874 was tho amount OF capital stock,
and the number of miles poles beng s. 945 4-l0
tue amount Of capital stock SO awarded to the
County OF Cook was s73. .253 On the basis OF 372521
miles OF poles in said county. The Company
sta:es that their valuation of property Was fair
aud just, and deny the right OF the State Board
stock for taxation in this State, and
denie. that it hns auy Intangible
property, either in the form OF franchises or
other Intangible Assets in this State. Moreover,
complainant alleges, it il not the intention Of
tho law that folelsn corporations should be
taxed.
Complainant also alleges that the State Board
had no right to refer the matter OF the asseos-
mcnt to committee OF five or any other num-
ber, and the Committee could not be authorized |
to make tine assessment, and their acts arc /
therefore void. By the published reports Of the |
action Of the Board. it would seem that the as
sessment WAS actually made By the Committee.
Complainant denies that the State Board, or
any other body, has any authority to tax it's capi-
tai stock; that the intention Of the law is ex-
pressed IN the first sections Of the Revenue act !
Of 1879, where such assessment and taxation is
distinctly limited to those corporations which
are organized under the laws Of this Stale, aud |
there authority for taxing the stock of /
foreign corporation Even if the laws Of 1872
we're susceptible Of the construction Of the State
Board, to authorize the assessment OF COM
being in conflict with the provisions
of tile Constitution OF this State. and Of the
United States, since such construction would
give the act OF the Legislature extra territorial
force, which Is unauthorized, aud would violate
the principles of uniformity in taxation which
ire prescribed in the Constitution. The Slate
Boa1d accordingly certified the assessment Of
81. l6S, ,931, tu the Auditor, the capital stock OF
ploportoning it among the various
and the Auditor has certified to tho
County Clerk of Cook County the sum Of s73. .253
N the capital stock, as the amount awarded to
Cook County as its proportion, and this sum has
been extended on mis- books. The Company
herefo1e asks that the County Clerk, Hermann
Lieb and II. B. Miller, Collector, be restrained
rom collecting the same, and that this or any
on the capital stock of the Company
70 declared void. 4 demurrer was fled, and
stipulation filed that the demurrer should be
aiken IS in all other similar suits.