Evening star., 1939-05-15
Court Defers
Payments in
Stockyards Suit
Wallace to Pass
Anew on Charges
Involving $586, 900
BY the Associated Press.

By the Associated Press.
The Supreme Court agreed today
to defer distribution of $586, 900 to
commission men at the Kansas City
stockyards until Secretary Wallace
can pass anew on the reasonable
ness of charges they made from
1888 to 1887.
This represented a victory for the
Government in the long -litigated
case.
Justice Stone delivered the de-
cision that reversed ruling by the
Western Missouri Federal District
Court ordering the money returned
to the commission men. Justices
Butler, McReynolds and Roberts
dissented, contending that the lower
courts decree should have been af-
flrmed.
Difference in Prices.
The 1886 900 represented the diff
ference between the amount the
commission men collected from
farmers selling livestock and lower
rates prescribed by Secretary Wal
| lace. The money was retained by
the District Court pending final
| decision on the litigation.
Secretary Wallace's order was
held invalid by the Supreme Court
April 25, 1888, on the ground that
| the commission men had not been
given a fair hearing.
The Government contended that
the rates charged were unreasonable
and that Secretary Wallace had the
right to pass again on them and
order all or part of the money re-
funded to the farmers.
Secretary Wallace has made a new
examination and is expected soon
to announce his decision.
In his opinion Justice Stone re-
ferred to the new proceeding and
said Secretary Wallaces determina-
tion of the reasonableness of the
rates, IF supported by evidence and
made in a proceeding conducted in
conformity with the statute and due
process, will afford the appropriate
basis for action in the District Court
in making distribution of the fund
in it's custody"
Justice Reed did not participate
in the decision. Justice Douglas
ruled with the majority in favor Of
the Government.
Justice Butler, who wrote the dis
senting, opinion, contended the Su-
preme Court had held that the Wall
| lace order was invalid and that the
money consequently should have
been distributed Immediately to the
commission men.
Cooperation Urged.
Justice Stone emphasized that the
courts and administrative agencies
should cooperate.
Court and agency. he said, ARE
the means adopted to attain the
prescribed end, and so far as their
duties are defined by the words Of
the statute, those words should be
construed so as to attain that end
through co-ordinated action.
Neither body can rightly
be regarded by the other as an
alien intruder. to be tolerated II
must be, but never 20 be encouraged
or aided by the other in the at
tainment of the common aim
Firearms Act Section Upheld.
In another case delivered when
the justices convened after a two
week recess, the court held consti-
tutional a section Of the 1884 Ma
tional Firearms Act which bars
sawed-off shotguns and machine
guns from interstate commerce un-
less registered with the Federal Gov
ernment.
Justice McReynolds, delivering
decision that reversed ruling
against the legislation by the West
ern Arkansas Federal District Court.
ruled that "the objection that the
act usurps police power reserved to
the States is plainly untenable." No
dissent was announced.
Justice Douglas, newest member
of the tribunal, did not participate
in the firearms case. but he read
today, in a strong voice which be-
trayed no sign of nervousness. his
first opinion. 1t upheld the Gov
ernments right to prosecute two
men on a charge of conspiracy to
violate the 1885 Connally Hot on"
Act, even though the indictment had
been returned after the legislation
originally was scheduled to expire.
Hague Ruling Put OF.
The court postponed at least until
next Monday a decision on whether
Mayor Frank Hague of Jersey City
had violated the constitutional right
of assemblage in interfering with
c. I. O. meetings
Six opinions were delivered before
the court adjourned for one week.
That left 81 to be disposed of on
the next two Mondays before the
summer adjournment begins.