Omaha daily bee., 1919-01-28
SAYS RIGHTS OF
CITIZENS ARE
NOT PROTECTED
Representative Purdy Asks
Investigation Of Methods
Used in Administration
of "BIue Sky" Law.
From a Staff Correspondent.


Lincoln. Jan. IA thorough in
gestigation Of the methods employ
ed in regard to the administration
81 the blue sky" law by the board
oil railway commissioners of Ne
braska, is proposed in a resolution
introduced in the house by Repre-
sentative Purdy, in the opening ses-
sion today, and which will be con-
sidered under the rules Tuesday.
The resolution recites that there
appears to have been the expendl-
sure Of a large sum of money by
the railroad commission for salaries
and expenses of travelling, court and
other costs, in the application Of the
provisions OF the blue sky" law
without authority of law, and calls
FOR the appointment of committee
Of three in the house and a similar
committee from the senate to con-
duct an exhaustive inquiry.
The resolution relates that the
rights of citizens and interests of
Nebraska have not been properly
conserved nor protected; that they
have been denied the right of ex-
smption and that arrests have been
ordered and made by representa-
lives of the commission for alleged
lnfraetions of the law which have
had the tendency to injure and ruin
The credit of operating legitimate
business concerns within the state
Law No Protection.
Allegations are made in the res
sutton that the law as now admin
stored is no protection to the peo-
Die of the state against concerns
selling fraudulent securities and is
highly injurious and a menace to
The business interests of Nebraska
and to the development of legiti-
mate business and industry, 1t also
tends to give a monopoly to strong
financial institutions, trust compan-
les and brokers, of the sale of Sc
curities, the resolution contends,
and tends to retard the develop
ment of the natural resources of the
state.
An itemized statement of all of
the activities of the commission in
the administration of the law in ev-
cry phase is called for at once.
The uniform right-of-way bill,
which affects the Union Pacific
Railroad company particularly,
passed third reading without dis
senting vote, as did House Roll
No. 95, appropriating $4,000 to the
State Board of Health to cover
deficiency; House Roll No. AZ, to
refund expenses Of committing an
insane person to an asylum where
the expense had been incurred by a
county in which the insane person
was not a resident, and House Roll
No. 40, providing for the distribu-
lion Of the residue of an estate.
Purdy Against Berka's Bill.
Purdy alone voted against Ber-
ka's bill, making the possession of
a stolen automobile or motorcycle
prima facie evidence of guilt, and
Porter of Douglas, in voting for
the measure, explained that he was
against that feature of the bill
which placed the burden of proof
on the person in possession of such
property, in, that it violated that
provision of practice which as
sumes the innocence of the person
accused until guilt is assumed, and
which places the burden of proof
on the state.
House Roll No. So, which pro-
vides that the state be taxed for the
determination of prairie dogs on
state-owned land, had only one dis
senting vote on reading. This was
the vote of Speaker Daily, who
saw loophole in the measure. He
says that as the law reads there is
no means provided to prevent
road overseer acting in collision
with a dishonest county clerk and
turning in to the auditor of state
false bills of expenses incurred in
the work of prairie dog extermina-
ton and having the same allowed
out Of the general fund by the state
treasurer. He says he can see
great opportunity for graft and
scandal in the bill as it passed the
house,