Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1921-01-04
STATE SUPREME COURT
SUSTAINS BONUS LAW
DECLARES ELEVEN MILLION
DOLLAR BOND ISSUE FOR
SERVICE MEN
ORDERS WARRANTS ISSUED
Each Veteran Will Receive S15
Monthly for Service Between
April 9, 1817-NOv. II, 1919.

Without dissenting vote the
state supreme court Monday sustained
the validity of the soldiers bonus
bill approved by the people in the
last general election and holds en-
tirely legal in every respect the bond
issue Of $11,200.000 authorized by
the act for payment Of equalized COM
pensation to former ex-service men il
the state of Washington.
The case was that of the state OF
Washington against State Auditor C.
w. Clausen for q writ Of mandamus
to compel the ouditor to issue a war
rant in payment of the bonds pur-
chased by the state and the court
directs the issuance Of the writ. The
action was in the way Of friendly test
suit. Els
Members of the state board Of f.
nance which under the act is placed
in charge Of the issuance and sale Of
the bonds were very well pleased with
the decision and stated that every
effort would be made to expedite pay
ments TO service msn. Governor L.
F. Hart sid: 49,. sy IS
+, II am pleased that the validity OF
the law hase been sustained. Every
thing possible will be done to expe-
dite payments in accordance with it,
provisions"
None of the board members pre-
diets how soon payments can begin.
The next steps are the actual issuance
and sale of the bonds and when this
is done 1t will be the duty Of the state
auditor to assume full charge of the
administrative work Of recevng oppli-
cations from beneficiaries, and the
necessary warrants. Each service
man will receive SIS per month for
service in the armed forces between
April 6, 1917 and November II, 1919.
Providing they were enlisted. Undue.
ted, or commissioned between the day
war with Germony was declared and
the day the armistiee was signed.
While the board of finance and
state auditor were nreticeut about
making any promises concerning the
actual date of payments of the bonds,
the opinion to prevail 10 that Il win
be at least q month.
No dificulty is expected In the die-
position of the bonds as several in
vestors have already inquired con-
cerning the coming issue. The bonds
are made a legal investment for the
state permanent fund but it is un-
likely that funds will purchased any
considerable amount Of the bonds in
asmuch as the permanent funds are
heavily invested. Hence bonds will
have to be sold in the open market.
They will bear per cent interes.
and are redeemable within 20 years
and cannot be discounted.
The state supreme court upholds
in every particular the contention
urged in the support Of the bonus
act by Attorney General l.. L. Thomp-
son in his brief oral argument before
the court on December II. The
pivotal question involved was whether
the payment of bonus was public
purpose and the court relying upon
the authority of the United States
Supreme court and other state courts
says a state can discharge a moral
obligation to it's service men by pro-
viding means by general taxation for
paying them for services rendered.
The opinion was written by Justice
Main and concurred by Justices Nit
chell, Fullerton, Bridges, Parker and
Chief Justice Holcomb. Judge Ken
meth Macintosh submitted concurr-
ing opinion which he holds the mill
tary service rendered is clearly
public service which can be compen-
soted but he differs with the majority
Of the court on the Interpretation OF
one of the cases in which the decision
was based. Judge Mount did not
take part.