Perth Amboy evening news. [volume] (Perth Amboy, N.J.) 1903-1959, 1924-03-31
NEW OFFENSIVE
D n CABINET Is
STARTED TODAY
Directed Against Secretary
Mellon, Move in the Sem
ate Gains Momentum
PROBE HIS COMPANIES
Committee Is Investigating
Internal Revenue Bureau
Ask Definite Figures

WASHINGTON, March S1.-The
attack in the senate on Secretary
Mellon, which opened Friday when
Senator McKellar, Democrat, Tenne-
ssee. introduced a resolution calling
for an investigation for Mr.. Melons
legal right to hold office, met resis-
tance today from organization Re-
publicans.
Senator Reed, Republican, Penn
sylvania, informed the senate that
the legal questions raised by the
resolution had been considered fully
before Secretary Mellon accepted the
cabinet post
Mr.. Mellon had been advised of
the old statute prohibiting a treas
ury secretary from engaging in
trade of commerce, Senator Reed
said. and had endeavored to evade
cabinet service on the strength of
these restrictions. The late Sem
ator Knox of Pennsylvania, a for
mer attorney general and secretary
of state. was consulted and had the
law examined by a firm of Wash
ington lawyers. who on January 20,
1921, gave an opinion that there
was nothing in the ownership OF
stock in various corporations to dis
qualify Mr. Mellon from holding
the Office of secretary of the treas
ury."
This opinion, at the request OF
Senator Overman, Democrat, North
Carolina, was reaG to the senate.
Former Judge James II. Reed OF
Pittsburgh. told Mr.. Mellon of the
statutory restrictions when MS
name first was mentioned for the
treasury portfolio, Senator Reed
said. and as Mellon had no par
ticular enthusiasm" for the cabin
ct office, he came to Washington to
ask Senator Knox to tell President
elect Harding that he could not
serve. 1t was the belief of senator
Knox, supported by the legal firm
of Faust & Wilson, Senator Reed
continued, that he need only retire
from active management Of his var
ious companies and from director
shlps he held to remove the legal
restrictions.
The offensive in the senate against
Presi, 1t Coolidge's cabinet-direct-
ed this time against Secretary Nell
| lon-gathered momentum today
while the committee invegtigating
the Internal Revenue Bureau re-
sumed it's examination of tax rec
/ ords of Mellon companies"
| The committee Thursday called
! for definite figures on lessee deple-
ton" and other allowances granted
| the Gulf Oil Corporation, one of the
, mellon companies" in its tax cases
| for 1917, 1918 and 1919, and this in
| formation was promised for today
| by bureau officials. The cases
brought the corporation credits to-
! falling SS,775,000 for met excessive
| payments" The bureaus records of
| the matter were virtually impounded
! by the committee.
Senator Mcclellan Democrat. Ten
| nessee. meanwhile. was prepared to
! press for action on the resolution
| he introduced Friday calling for an
! Investigation bv a special committee
! of Mr.. Melons legal qualifications
| o act as secretary of the treasury.
Senator Wadsworth, Republican
! blocked consideration of the pro-
posal Friday. and it went over until
| TODAY under the rules. No DISPOSE
| ton vas shown by Republican lead.
ers. however to oppose adoption OF
| the resolution.
The resolution reviesws testimony
before the committ4 investlgaung
the revenue bure2 with reference
to companies IN winch Secretary Mel
| Ion is Interested and cites statutes
! prohibiting fiscal agents of the gov
! ernment from maintaining CONNER
| cial connections.