White Bluffs spokesman. [volume] (White Bluffs, Wash.) 1907-1938, 1930-10-17

In holding that the taxes on the
power plant at Priest Rapids which
were allowed to become delinquent
for several years prior to 1926, should
have been paid by the trustees, the
Black Rock Power &. Irrigation COM
pany, and its parent company, the
American Light and Power company,
Judge Webster denied the application
of the Black Rock company to have
these taxes declared a lien against
the property, at the final receivership
hearing in the Federal Court in Yak
ina last Saturday.
In a stipulation of facts signed by
attorneys representing the various in
terested parties and filed in the case
some time prior to the hearing Sat
urday, the Black Rock company adj
mitted that the American Light &
Power company owned 491 of the 500
shares of its stock; that this stock
was held in trust by Lewis F. Mentz;
and that the money to take out the
tax certificates of delinquency was
furnished to Mr.. Mentz by the
American Light & Power company.
Elmer E. Todd, attorney for the
Black Rock company, in explanation,
said that Mr.. Mentz had sent this money
to him and that he in turn had for
warded it to Charles M. Sanford,
former manager Of the company, at
Hanford, who paid it to the county
treasurer of Yakima county for the
delinquency certificates.
These admissions of the Black Rock
company precluded the necessity OF
the receiver having to prove these
facts by evidence and tended to short
en- up the hearing. The only oral
testimony given was that of Mr.. San
ford, who testified to various expen-
ditures on the project. Under the
head of capital investment, Mr.. San
ford said the company expended over
100000 on the power plant, $2o0,OOo
on the ditch distributing system,
S150,00O on the pumping plant and
$4,000 on the transmission line.
OF the real estate, he said that the
had sold altogether about
1900 acres but that through forfei- !
lures of one kind and another, this
had been reduced to approx
mately $500 acres which now had a
water right. In 1926, during his last
year as manager of the project, he
said that 1928 acres were furnished
water by the company. Much OF
this testimony was in the nature OF
affidavits which were. admitted as
exhibits in the case.
After Mr.. Sanford's testimony the
attorneys argued the legal phases OF
he case, at the conclusion OF which
Judge Webster announced his de-
:ision from the bench.
The Court said that he first be-
:ame acquainted with the case when
he Circuit Court of Appeals decision
vas sent to him by that court with
Instructions to prepare decree IN
with its findings. He said
hat he had asked Judge Graves, then
representing the water right owners,
ind Judge Donworth, representing the
,ower company, each to prepare de-
rec setting out their ideas as to what
t should contain, but at the hearing
lie was not satisfied with either, feel
ng that Judge Graves favored too
much the water right owners and that
Judge Donworth leaned too much to
lis clients, so he wrote decree OF :
lis own; that an appeal had then
zen taken from his decree but it
must have been all right for the Cir
nit Court had approved it in its ,
ntirety.
He then traced the case as it has 1
cen before him in one form or an |
Their for the past four years and took |
ccasion to praise highly Receiver /
Iarvin Chase for the efficient manner /
! which he had administered the
reject during the receivership. i
Judge Webster spoke for more than {