Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1919-06-02
BURLESON WINS
IN HIGH COURT
Increases in Telegraph and Telephone
Rates Put Into Effect BY Postmast-
er General Upheld BY Supreme
Judgss--Many States Interested in
Similar suits-Rsil Increases Also
Upheld.

washington, Jane the supreme
court today upheld increases in teie-
graph and telephone rates put into
effect by Pos master General Burleson.
Authority OF the postmaster general
( to increase iptwstate .teleehpne and
telegraph rates AS decided today by
the supreme cbnrt was Involved In pro-
ceedings brought from South Dakota.
, Massachusetts, Kansas and Illinois,
and argued here on May and s. All
grew out OF Mr. Burleson's order
placed I'm effect on Jan Il last under
authority of the joint resolution by
which the government acquired con-
troll of the wire systems, increasing
telephone intrastate toll rates with
the exception of the Illinois case
which involved increased telegraph
rates only.
The South Dakota case resulted from
. injunctions granted by the state su-
preme court restraining the Dakota
Central Telephone company as wei! as
three other companies in that state
from changing rates promulgated by
Mr. Burleson. The proceedings were
instituted by the state authorities and
. the state court in granting the in
J. functions held that the rates were ille-
gal as they had not been approved by
the state board of railroad commits
sioners.
The government won the Massachu-
sets case In which the state courts
dismissed injunction proceedings
h,, 70 n niih1in ire
commission TO restrain the New Eng
land Telephone and Telegraph compa-
ny from placing the order into effect,
| the court holding that the suit In eff
! feet was against the United States
government and brought without it's
! consent. In that case the state com
mission also contended that the rates
were illegal as they had been placed
! in effect without the commissions ap-
proval as required 'by state statutes
In arguing these cases, attorneys
representing the states contcaaS1 .hat
congress had nc intention ai granting
the government power to fix intrastate
rates, that Mr.. BurIeson had exceeded
his authority in doing 80 and IL the
Joint resolution was interpreted as
granting this power 1t was unconstitu-
tional. They also contended the inter-
state commerce commission has power
to determine telephone rates but 1t has
never exercised 1t. which they claimed
was In effect recognition by 1t of the
states right to control wire tariffs.
In answering these contentious. Sol
icitor General King asserted the joint
resolution nnquestionably conferred
upon the president. and by him dele
gated to Mr.. Burleson, power to fix all
wire rates. that altho these rates had
been initiated after the armistice was
signed they had been made necessary
to meet increased operating expenses
which. II not paid by the public, would
have fallen upon the federal treasury.
The solicitor General also accused the
states Of bringing these proceedings to
interfere with government operation
OF the wire facilities and asses: FOR the
dismissal Of the suits on the grounds
that they were brought against the
government without It's consent.
Today's opinion was regarded as
being Of sweeping Importance In view
of the fact that suits involving SINH
i lar questions nave been instituted IN
twenty 1--we states with the result that
in South Dakota, Florida. Indiana, Ill
inois, Minnesota, Missouri Nebraska.
Ohio. Pcnnsylvana, New York and
! Michigan decisions against the Screra
ment have been rendered In the atatc
counts while In the federal courts OF
| Florida. Indiana. New Jersey. Wis-
consin and North Dakota as we'll as in
the state OF Alabama, Louisiana.
Massachusetts and Oklahoma. the