The Waterbury Democrat., 1936-02-17
Ne.u Deal Victory
 Shakes Up Market
tContinued from Page D

power program remained. However, by upholding the fundamental prin. ciples of the IVA, the court assured that the vest New Deal experiment could go forward at present without essential legal hindrance.
 McReynolds Bitter {.
 The dissent prepared by McRey- holds bitterly denounced the IVA.
 "The record leaves no' room for responsible doubt that the primary ernment into tho business of dis. purpose was to put the federal gov. tributing and selling electric power throughout certain large districts" McReynolds said,, ito expel the pow. CT companies which had long serv- iced them and to control the market therein"
 McReynolds quoted from various IVA reports and documents in dc. fcnse of this contention. He quoted the opinion of Federal District Judge William I. Grubb, who heard the test case when 1t was first brought and ruled IVA unconstitutional.
 T think the trial court reached the correct conclusion and that its degree should be approved" Nc. Reynolds said.
 If under the thin mask Of dis. posing of property, the United States can enter the business Of generating, transmitting and selling power as, when and wherever some board may specify, with the definite design to accomplish ends wholly beyond the sphere marked out for them by the Constitution, an easy way has been found for breaking down the limitations heretofore supposed to guarantee protection against aggression" ....
 What Brandels Said
 In his concurring opinion, Bran- deis wrote that he did mot disagree with the conclusion oil the constitu. tional question announced by the chief justice, but in my opinion the judgment of the circuit court of appeals should be affirmed without passing upon it."
 The circuit court of appeals threw out the test case on jurisdictional grounds Of the test case, Brandeis said:
 There was no showing of fraud, oppression or gross negligence. There was no showing of legal dur- ess. There was no showing that the management (of the Alabama Pow- CT Co., believed that to sell to the Tennessee Valley Authority was in excess of the company's corporate powers, or that 1t was illegal be- cause entered into for forbidden purpose"
 Brandeis pointed out that the supreme court has held closely to procedural rules and has insisted 1t has mo power to give advisory opin. ions.
 "On this ground" he said. 1t has in recent years ordered the dis- missal Of several suits challenging the constitutionality of important ac,- of congress"
 Attorney General Homer s. Cum mings said of the decision: The de. cision supports the constitutional basis upon which the governmen; rested its case and the result is highly gratifying"
 Cities Celebrate
 Knoxville, Tenn, Feb. 17-(Up) --Cities in the IVA territory broke into jubilant celebrations, with crowds of men flinging their hats in the air and skipping each other on back, when they received word today that the supreme court had approved the power project.
 Alabamas tri-cities of Florence, Sheffield and Tuscumbia--in the heart of the IVA region assumed holiday atmosphere. A district- wide demonstration to celebrate the victory was planned for tomorrow.
 Crowds so jammed newspaper of- fees awaiting word of the decision today that they hindered issuance of extra editions.
 Iaborers at work on IVA projects continued without interruption as the men joyfully shouted the news from the one crew to another.
 "Pitdi in, fellows. It's too good to believe" one shouted.
 spokesinen of the Alabama pow- CT Go. which brought the high court attack upon constitutionality ok