The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1910-01-06
HUGHES SCENTS
DANGER TO STATE
He Recommends That Income
Tax Amendment Be Not
Ratified.
AFTER THE BookMAKERs.
Would Have Them Penalized,
Even When No Bets Are
Recorded.
AFTER THE BookMAKERs

ALBANY, n. Y, January 5.--Gover-
nor Hughes In his>annual message to
tho Legislature to-day makes various
recommendations OH questions of wide-
spread interest. In u supplementary
message he dwells at length upon the
proposed constitutional amendment
comforting upon the Federal govern
ment the power to lay and collect an
z income tax ffrom whatever source de-
rived without apportionment among
The states according to population,
and in conclusion recommends that
this amendment be not ratified. In this
connection the Governor says:
II am in favor of comforting upon
tho Federal government the power to
Law and collect such tax. 1 believe
that this power should be held by the
Federal government so as properly to
eouip il with the means of meeting
national exigencies. But the power to
tax incomes should not be granted In
z such terms as to subject to Federal
taxation the incomes derived from
bonus issued by the state itself or
those issued by municipal govern
ments organized under the states au-
{ thority.
ITO place the borrowing capacity Of
the state and of it's governmental
agencies at the mercy of the Federal
taxing powder would be All IMPAIR
1nent OF the essential rights of the
State which, as its officers, we are
bound to Defend
After reviewing tile legal aspects OF
this question, the Governor declares
in conclusions: "We cannot suppose
that Congress will not seek to tax in
comes derived from securities issued
by the state and it's municipalities.
1t has repeatedly endeavored to lay
such taxes, and its efforts have been
defeated only by implied constitutional
restriction which this amendment
threatens to destroy. While we may
!, desire that the Federal government
may be equipped with all necessary
national powers in order that it may
perform it's national function, we
must be equally solicitous to secure
the essential basis of State govern
ment.
Il therefore deem it my duty as
Governor of the State to recommend
that this proposed amendment should
not be ratified
In view of the efforts which the
Governor. in his regular message, says
have been made to evade the law pro-
hibiting bookmaking at race-tracks. he
recommends an amendment penalizing
the practice of bookrnaking even
though no bets are recorded.
Revelations as TO the white slave
traffic are referred to- and the Gov
ernor recommends the enactment OF
whatever additional or more stringent
provisions of law are necessary Il
make the statutes more efficacious.
Senator Grady made a sensationa
attack on Governor Hughes In The
Senate to-day following the reading
of the message. 1t was the Governor.
proposal to penalize the practice o.
bookmaking that aroused the ire o.
the Senate minority leader to the poin
Of attack. He declared that while
The Governor attacked the horse
owner, the booklnaker and the mar
placing his bet upon a horse race, hi
has never dared to attack the most
monstroas gambling institution there
Is in the world-the New York Stock
Exchange-and to the end of his
career he will never have the courage
TO attack it,"