New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1885-12-13
AZ EXECUTION DY THE NEUTRALITY-SUSPICIOUS.
GrEEN pJFENDs HIS COMPANY

GNEEN ID FEND> Ills N'''' '-'''
Concerning the execution issued by Sta"
Controller Chaplin Friday against the "e7''ii 0"''
Telegraph Company for $4,000 TO salary JUG
for taxes obtained by the state last A1r' DE- NoINh
Green president OF the Western Union s"u JcS'cI"S
The law Of 1880 authorized tho Controller 10 le'y
tax on the capital stock OF Oil Corporations "o'nE
business this state. the amount OF u'h""ou " oo
determined by the dividends In 1881 TINS com
pany made stock distribution, capltallzng
its surpu. 10 the old stockholders before taking in the
American Union and the Atlantic and Paclhc The
state wanted pay tax on that stock distribution
We went into court, alleging lrst that the STOCK u.s.
trbution WAS a Dividend, bt a mere captalizhg OF
the surplus which had accomplished for fifteen years.
and second that unjustto tax our capital stock
enting property IN thr!eGht states ana ali the
Territories in all of which paid taxes. and that only
crpitaI stock represented by properly within
the state could be justly taxed. suit
was brought for $lsOJO0, being the tax
on a capital Of $4,000 0OO We succeeded IN getilhg
the stock distribution exempted from the tax thuS re-
ducing the tax toPbont onc-lnf the original amount"
But we did not succeed in cmtninE the assessment 10
that portion OF the capital stock represented by property
within the state. We haten III the Court OF APP
peas Last winter the Legislature passed law
that taxes corporations that had NOV
been collected not in the form OF
a Judgment should be assessed capital stock repre-
scented only by property within the state On thi' new
basis we Immediately paid over state taxes for So, 50
and 81. But this Law was not retroactive WhcTo
judgments had already been oh aimed by the state :
hence execution. We contend that the fact thdl
Judgment has obtained does not make IT any IN"
lees unjust extoTt from our property III other
States on which we had already paid taxes 10 thoso
states
since our case was first presented in the courtswe
have learned that with the exception OF the mining
companies were the ONLY corporation having prop
other States that assessed on us cdpltti
stock THIS ought 10 have some weiEht before the Su-
preme Court. Dg. Green iddrl hat the matter was
IN the hands of the lawyer. and no other means WOMB
avail check would bc pad covering the amount ol the
execution en- the bt-iS the state tax ol tho west
err Union Company amounts to about SlS,"ol
Under sheriff Aarous siH that when the execution
was received the attorney General he c'"cd Oh
Dr Green and informed him that he was directed 10
collect The amount claimed by the state Tor taNr+
pr, SIdcnt Green akcl iOi few days time ana SueflH
Aarons rep ted that he would wait until Monday before
proceeding further IN TIE matter In lie m anime 4
would be necessary, TO project the shcrH mat one 0I
MS deputies should be nominally IN charSe lie
accordingly left Deputy sheriff Mhlvany IN Ia
Western Union Building - represent the ShrriH. . =.
WIN a levy be made To satisfy the execution - Tn
der ShcriG AarOns was asked. , =, .
IF the chim@t ia not paid that
will probably done" was the reply.
OF course 1t possible that stay OF proceedings
may he had but that Will probably he only temporary
rhing cannot say exactly what VIII be done on Mon
day The matter may Do settled then or early III the
week.