Evening star., 1925-10-01
SAYS SOUTH NEEDS
MEMBER ON !. c. c.
Underwood in Plea Before
Bankers-LittIeton Lauds
u. S. Supreme Court.
By the Associated Press.

By the Associated Press.
ATLANTIC CITY, N. j., October
plea for representation of the
South on the Interstate Commerce
Commission was made by Senator Os-
car w. Underwood in an address
prepared for delivery today before
the State bank division Of the Ameri
can Bankers Association.
Fair representation, Senator Under
wood said, would take the railroads
out of politics.. serve the producers
OF the country and lead to full and
satisfactory settlement of the con-
rnlidation problem.
L have no criticism" he said
against the character. attempts or
honesty Of the members of the COM
mission. but all of its environment
to greater or less extent affects
their judgment. Since organization
of the commission in 1887 the South
and the West. viewed either from the
standpoint of territory, population, or
production, have been deprived Of
equal and just representation. If you
draw straight line across the
United States from Baltimore to San
Francisco you would find every mem
ber of the present commission was
a resident of the territory north of
that line at the time of his appoint
ment."
Favors Railroad Mergers.
Referring to demands for lower
freight rates. Senator Underwood said
that only about 8 per cent Of the
operating revenues of railroads Is
available to pay dividends and reduce
freight rates.
The plan of combining the weak
do, 1, tl1a -yy in i'm.
tied number of systems, each of which
would survive the making of reason
able rates, he explained, would un-
doubtedly eliminate financial weak
ness, lessen structural instability and
earning power so that basis
can be adopted for rate making fair
to the shipper and adequate to the
carrier
LittletOn Praises High Court.
Martin w. Littleton. New York at
torney, in an address prepared for de-
livery at the general session. sug-
gested the appointment of committees
on constitutionality in both houses of
Congress. to which should be referred
legislation the constitution
ality of which was questioned. Prece-
dents built up by these committees.
Mr.. Littleton believed, would relieve
much of the burden now borne by the
courts and eliminate much of the crit
icism now leveled against them.
He defended the Supreme Court of
the United States. The preteXt that
the Supreme Court stands in the way
of progress is one which critics do
not themselves believe" he said. 'In
1873 years the Supreme Court has de-
clared invalid only 40 acts of Con
gress, 310 acts of State Legislatures
I'm the whole history of the
court" he added, "a division of five
TO four existed in 80 cases, and in
these cases only eight decisions were
rendered declaring an act unconsti
tutionai''
The association yesterday adopted
resolutions urging perpetuation of
the Federal Reserve system through
the renewal OF its charters on an
indeterminate or 99-year basis. with
the recommendation that proposed
to the Federal Reserve
system act he considered separately.
Scholarship Fund Assured.
The association concluded the gen
eral sessions of its annual convention
today with sufficient subscriptions on
hand, or promised, to assure the es-
tablishment of at least 100 $1,000
in economics in American
colleges and universities. Total sub
scriptions received. at the beginning of
the session were S46S,225, but associa-
ton officials believe that sufficient ad-
ditional pledges will be received to
bring the sum to s1,000,oo0. making
200 scholarships possible. before the
Is officially ended.
Tax Revision Urged.
The association went on record late
yesterday as favoring the elimination
of the Federal estate and gift taxes
and of Inheritance taxes by States
on intangible personal property OF
non-reSidentS.
THE recharterinG of the reserve
banks. now that it has become the
subject of public discussion should
be taken up promptly and settled, -
the resolutions said. Continuing un-
certainty about the future of the sys-
tenn is sure to prove grave menace
to the progress and prosperity of the
country
Limitation Of the resolution to two
jor subjects. Federal reserve re-
charter and taxation, was a distinct
departure from the associations previ-
Gus policy in covering a wide range
of financial and business subjects In
its. so-called declaration of princi.
pies" The announced purpose of this
was to emphasize their Importance.
The resolutions, which were present
ed by Evans Woollen Of indianapolis.
were adopted without dissenting
voice.
New Officers Named.
Melvin A. Traylor of Chicago was
advanced to the office of first vice
president and succeeded as second vice
president by Thomas r. Preston of
Chattanooga. Tenn. If the customary
procedure is followed. Mr.. Traylor
viii be elected president of the asso-
citation at next years convention,
which probably will be held in Los
Angeles. Calf, the formal arnounce-
ment of the next meeting place de-
layed until the December meeting of
the administrative committee.
George F. Baker, chairman of the