The Birmingham age-herald., 1921-02-24

Ine court, m SuStalninB the uelnurrers and ordering that the rule nisi issued against the company heretofore to show cause why the writ should not be granted, held that the demand for examination of all of the corporation's books, as made in the original petition, was too broad and therefore invasive of the fourth amendment to the United States constittI- tion, prohibiting unlawful search ana seizufe.
 TO BE AMENDED
 Thirty days was gwen the petitioners in which to amend the averment of the petition if they so elect.
 This case is of wide interest because of The importance of the decision, and several million dollars in taxes from a number of large corporations is ni- toived.
 It is expected that the case will ultimately be appealed to the supreme court of the United States before it is finally settled.
 The status of approximately 40 other cor porations in the state. which, like the Ten nessee, Coal, Iron and Railroad company, refused to allow an examination of their books, is settled by the decision rendered yesterday.
 iuc tdA dSStSSfneul TOT ISzU or these corporations was set aside by the state tax commission, members being of the opinion that the assessment was based on indefinite data secured from the sworn statement of their officials as to the amount of taxes due. It was alleged in the original petition filed against the Tennessee company that the assessment made by the board of tax adjusters was made on the sworn affidavit of the off cers as to the amount of property on which the assessment should be based.
 Demurrers to the ptition were filed by the attorneys for the defendant corpora tion, following which the case was argued last week before Judge Richard Evans.
 JUDGES OPINION
 The case was taken under advisement, and the opinion of Judge Evans rendered yesterday is as follows:
 This. cause coming on to be heard upon the demurrers to the petition and the motion to quash the alternative writ or rule nisi herein, testing the legal sCt- ficiency of the mandate contained in certain subpoenas duces tecum issued by the state tax commission, command ing respondents to appear at the office of said commission in the city of Mont gomery and there produce the books, papers and documents recited in said subpoenas, to-wit:
 All ledgers general and subsidiary, all journals, voucher books and cash books, and all subsidiary books and vouchers necessary to explain entries in such ledgers, journals, voucher books and cash books.
 "All trial balance and balance sheet books, or all trial balances and balance sheets, showing the assets and liabilities of the company at the end of the years 1918 and 1919, or at the end of each fiscal year ended in 1918 and 1919.
 Stock ledgers and stubs of stock cer- tificate book. and minute books contain ing reports and statements made to stockholders and directors. and copies of all such reports and statements made during years 1913 and 1920, if not recorded on minutes book.
 Copies of income and excess profits tax statements rendered the federal gov ernment In so far as such statements re- late to invested capital and valuation of property for allowance of depreciation and depletion.
 Copies of, all inventories of merchant disc and material at the close of the