The Tomahawk., 1919-03-06
TONNAGE. TAX BILL
MEEETsQPP0|s|T|0N
OBJECTION TO SURTAX ON ORE
VOICED EY MINE OWNERS BE-
FORE COMMITTEE. -.
TWO NEW BANKING BILLS
introduced in coQnizance Of Transac
tions Of Promoter Schafer and
Closing Of His 6anks-Neqro
Guard Bill Favored.

Closing Of His 6anks-Negro =
- Guard Bill Favored. g."
St. PauI.-Representative Frank i
e. Nimocks bill barring the red
flag from Minnesota has passed
the house by vote Of 1872 to 4. =
Those voting in the negative were \
Frank e. Miner, Minneapolis;
Ernest G. Strand, Two Harbors;,,
< Louis Engstrom, Warroad, and W.
A. Pittenger, Duluth. '~
St. Paul-The new Bendixen- Carley
tonnage tax bill was the target of the
tonnage tax opponents at the public
hearing before the House committee
on taxes.
|. The newly framed bill, in an at
tempt to escape the objections of the
OPPONENTS to the surtax on the gross
value and to the tax on labor" pro-
vides for 4.per cent 'surtax on the
valAe of the ore at the place of sale,
less the transportation from the mine
and the cost of labor.
Representative C. M. Bendixen and
Senator James A. Carley, joint auth
ors of the bill, were subjected to a
close cross-examination by Represen-
tative Charles T. Murphy of Aurora.
Tax Commissioner Armson COM
pared the WEIGH and Bendixen bills,
declaring for the new Benedixen bill as
being definite in it's cost exemptions as
against the Welch bills indefinite ex.
emption which made it susceptible to
misinterpretation and q source of con.
slant litigation.
A. B. Cope, Of Virginia, Independent
mine operator, opposed any kind of
surtax on ore, claiming that the pres
ent higher ad valorem valuation takes
care of the diminishing value sit
uation in the ore fields.
Under the WEIGH 10 per cent net
tax bill, the amount estimated to 60
into the state treasury would be
$1,000, 900; by the Bendixen 2 per cent
gross bill $2,SOO,0O0, and by the new
Bendixen-Carley per cent bill $4,500,-
600.
Would Change Banking Laws.
The state legislature has taken cog
nizance of the transactions Of Viii.
liam H. Schafer, leading to the closing
of his chain of banks by the state su-
perintendent of banks, and two bills
have been introduced to correct the
banking laws of Minnesota with a
view to prevention of similar possible
contingencies in the future.
The first of these was offered by
Representative Elmer E. Adams, of
Fergus Falls. The bill provides that
the stock in all banks hereafter or
ganized in this state shall be owned
by individuals, and 1t shall>be unlaw-
full Tor any corporation to acquire or
own such stock except in paym ent Of
debt, and In all such cases It shall
be the duty Of the superintendent of
banks to see that the corporation dis.
poses Of the stock within reasonable
time.
No stock in any state bank here
after organized shall be accepted as
collateral security for a loan until
said stock has been issued for at least
two years, and it shall be unlawful
for any state bank at any time to &C.
cept as collateral security for loan
the stock of any bank of which its
president or cashier form part of an
interlocking directorate, or whose con-
troll is owned by the same corporation.
The act IL to be in force from and at.
ter its passage.
Another bill introduced several days
ago prevents the operation of chain
of banks. i
Negro Guard siil..
Labor leaders and Socialists again
sounded the alarm against organiza-
ton Of military units In the State in
opposing the Levin bill in the House
in committee of the whole yesterday.
The bill provides for q Negro Bat
tallion in the National Guard.
Il am against this bill because it
creates another military unit in the
state to be used against the laboring
people" asserted Representative F. E.
Miner. Whenever you organize a
military unit you are turning the Ia
boring people against you" Represen-
tative McGrath also opposed the till.
Representatives J. /. Levin, J. b.
Hompe and Bert Kingsley defended
the bill and the record of the Negro
in war and peace.
The bill was recommended for pas
sage with but i've dissenting voices.
For Department Of Agriculture.
The House and Senate committees
on markets and marketing held the
first Of series of meetings to con-
slider the bills establishing a depart
ment of agriculture, and a depart
ment Of marketing.
Members Of the House and Senate