Evening star., 1935-11-25

under original ldtr, Dhich gaze
Secretary OF Agriculture diScre-
ttonary poUer to set amount OF tar.
In HooSac Mills case, pending be-
fore Supreme Court, t1Co courts
held this poi1er of the Secretary
unconstitutional, TWo thousand
injunctiors issued in Federal Dis
trict and appellate courts against
collection OF processing tdres de-
pend on ultimate Supreme Court
action in the rice TilIers' petition.
By the Associated Press.
Over the protest of the Government,
the Supreme Court today barred coll
lection Of A. A. A. processing taxes
from eight rice millers until it can
pass upon the right Of citizens TO
obtain injunctions against the levies.
Cases brought by Louisiana millers
challenging the taxes were set for
argument on December ia week
after the court will hear the A. A. A.
defended and attacked in the Hoosac
Mills case.
The high courts action was by a
six-to-three vote, with Justices Bran
deis, Stone and Cardozo dissenting
against the injunction. 1t was on con-
dition that the taxes shall be paid into
a court-appointed depository.
Other millers may bring similar suits.
Only one final decision was handed
down before the court adjourned for
two weeks.
Rail Rates Lowered.
Entering the court room through
red draperies, Chief Justice Hughes
gravely took his chair and announced
almost at once that soft coal operators
in the Kentucky big sandy field had
won their effort to obtain lower rail-
road rates. The ruling was unanimous.
The rice action was not announced
orally. Persons who packed the court
room did not know of it, as it was
given out on a typewriter list Of
orders telling whether the court would
review certain cases.
When the court reconvenes Decem-
Der 9, it will face busy time on the
HooSac case, the attack by Lee Moor.
Texas planter. against the Bankhead
cotton act. and suit on the Tennessee
Valley law.
A ruling also is possible December
on whether the court will review
the conviction of Bruno Richard
Hauptmann for kidnapping and Staying
the Lindbergh baby.
In the millers' suit, they claimed
that all other Fedeaal Circuit Court&
had granted injunctions against the
A. A. A. taxes and refusal of the fifth,
circuit to do this deprived citizens of
Texas, Louisiana, Mississippi, Ala
bama, Georgia and Florida of con-
stitutional rights.
Remedy" Held Inadequate. 2
The millers said the remedy" fol
recovery Of processing taxes provided
by the A. A. A. did not protect them!
This allows professor to recover
taxes-if the A. A. A. is found in
validity proving he had paid them
and did not pass them along to pro.
ducer or consumer.
Because rice is bought in varied
lots and then mixed and sold, the
millers argued it was impossible to
know or prove the tax had fallen on
producer, miller or purchaser"
The rice action added to the Gov
ernment's difficulties in collecting the
taxes to finance A. A. A. Various
courts throughout the land have i'm
pounded large amounts Of the levies.
Disposition of the funds awaits o
final ruling by the high tribunal.
officials declined to comment upon
the courts attitude. They expressed
confidence that funds would be avail
able for benefit payments from other
sources, at least until the question Of
constitutionality has been decided.
If necessary, funds might be OBJ
tanned from the 100000 900 works
appropriation.
Other important litigation is headed
for the high court, including attacks
on the validity of the Guffey coal con-
troll bill, the utilities holding company
act, the revised F1azier-Lemke farm
mortgage moratorium act and the