Year: 1875

various products to be found In the Portuguese posses
sons The Central Association OF Portuguese Agricui
ture IN session AZ Lisbon has onicay invited 10
cohect the pest specimens by which the actual state
As wen as the progress OF agricultural industry might
be best known Tie directors or the industrial nstl-
tutes Of Lisbon aud Of Oporo are deberatng concern.
irg the best means for representing Portugal At the
Centennial Exhibition. The collection of all the arti-
cles that may be Of general interest has received the
special attention Of the Minister OF Commerce.


SALE OF SEA ISLAND COTTON LANDS ron NON


PAYMENT OF DIRECT TAXES


representative Of the Internal Revenue ONCE has
been sent to Beaufort ) c. within a day or two for
the purpose Of attending the interests OF the govern
mcnt in the sale Of valuable sea island cotton lands in
that vicinity which has been ordered in consequences
ofthe non payment Of direct taxes 1t probable that
II the lands IN question will not bring proper price
the Internal Revenue Agent will bid them for the
government The sale will take place either to morrow
or Friday next


OPINION or THE ATTORNEY GENERAL REGARD


mo THE TAX ON THE DIVIDENDS OF RAIL-


ROAD STOCK BELONGING TO ALIENs-THE


MONEY TO BE REFUNDED TO THE COMPANY.


The following is the opinion of the Attorney General
on the question submitted him by the Secretary Of
the Treasury to the refundng s76 Isl tax on
the dividends Of the stock Of the Illinois Central Rail-
road Company held by resident aliens the matter
at issue being whether the rendng shall be made to
the company, as they claim it should be- the
resident alien stockholders The paid in 1863
1864, 1865 and 1866 After recng the attending
the payment OF the tax the Attorney General gives
following opinion


From the papers submitted IL appears that no aues.
ton raised about the statute OF limitations or the
liability of the government TO repay tho S176 PSI 81
vff Hnl -0la
presented Is whether the money ought to be paid to
the Illinois Central Railroad Company from which IL
was illegally taken, or to certain stockholders of that
company to whom Il rightfully belonged and who
would have received IL but for the the govern
ment IN demanding payment by the company. This
as income tax upon dividends stock held BY non
resident aliens made by the Illinois Central Railroad
Company in the years 1863 1864, 1865 and 1866
Subsequently the courts OF the United States declared
IL to be illegal to this tax upon dividends of stock
belonging TO aliens nonresident in this country The
officers othe company trustees OF the stockholders
and they held the money earned for the owners
of the stock after payment of al legal claims against
company The officers of the road bound TO pay
the dividends earned to the stockholders they
had no right TO withhold five per any other sum
Tor any Illegal purpose and IL withheld the stock
holders might sue for and recover the against
road These alien stockholders OF the COM
pany any money to which they haye a lawful right and
which the company refuses pay and the corporation
cannot defend itself in court of law against claims on
the ground that the company has paid out the money
on some unlawful exaction, and especially after the
payment has been declared Illegal by the highest tri-
bunaL The government unlawfully exacted the money
from the 'airoad company and ii should be paid back
to the company from which 1t unlawfuy taken
The nonresident alien stockholders can re-
cover it of the corporation, which, as un-
derstand, is perfectly solvent, aud it will be no
defence for the company to plead that by their negl-
gence, ignorance, delay or other Illegal act they have
lost the money The right of the railroad company TO
the repayment OF the money which IL paid the govern
ment under an illegal exaction does depend upon
whether II has first paid the money TO the stockhod
ers The government cannot by Unlawful demands de-
prve the trustee of the money which he holds in trust
for another and, when asked repay it, insist that
the trustee must first pay the coSi q,e trS the very
money of which the government has deprived him If
il appears the adjustment that the government has
already paid back part of this money to the stock.
holders lawfully entitled to the same, so much can be
deducted and the balance paid over to the road


have the honor 10 remain your very obedient ser.
want, EDWARDS PlERREPONT


Attorney General