Show c w m SEEN SEEN HEARD HEARD around the National Capital L- L f By S CARTER FIELD FIELD a Washington Seven Seven dollars a fallen rallen tax tat In on Imported liquor Is entirely too h for tor a variety of ot reasons In the opinion II of at President Roosevelt DI- DI of ot the Budget Lewis Douglas and u of ot the Federal Alcohol Control Cuntro administration Il e e dollars a gallon duty plus a gallon excise tax tax was all nil right ft fur r Imported liquor during prohibition There W was I some point from many an an- git- git i. i In keeping the art of ot distilling American rican whisky alive 1 even to the small extent extent during the early stages of f providing a supply of ot medicinal liquor III ir No tn the five dollar differential given American whisky was approved very generally especially as the medical profession has always seemed Id I'd to prefer pre pre- fer recommending rye or bourbon whisky for medicinal purposes as against a Scotch or rum True brandy was ns regarded as ee almost a specific for certain emergencies but the amount amoust of red rd liquor prescribed as 81 against the amount of ot Scotch WAS wu overwhelming overwhelm overwhelm- In ing and doctors simply limply did not prescribe pre pre- scribe rum In the old days Hut the question now Is not that of ot protecting an Industry which It was f cured might die Far from ill The problem now is ts to prevent that In Industry In In- from gouging the public Even worse the problem Is la to prevent that Industry from foisting Impure Improperly Improperly improperly erly blended and positively deleterious liquor lIllIor on a thirsty public Aside entirely from the greed of ot the liquor industry there Is II the situation that there simply is II not an adequate supply of ot properly aged whisky It Is very Tery doubtful If It there is even eTen enough to make proper blends so to greatly has the supply of ot aged aled liquor been depleted depleted de de- by present demand following a period of ot months when there was no restriction on drug store sales Bales what what- ever er Which It Is the present emergency that thatis 1 is II being studied by jha he Prell President dent and the FACA Already bars ban have been let down on quotas 10 so that all aU the American types of ot whisky desired can be brought In True even these thele have bave to pay the 7 1 a gallon tax but at least they are permitted to come In without quota restrictions May Cut Import Duties Actually of at course this quota re re- valuable as It has bas been front from other standpoints In getting trade ad ad- advantages advantages vantages for tor American exports has been an Important link In the chain holding down importations of ot liquor thus disappointing the treasury and budget expectations as al to that source The next liCIt move there Is II excellent ground round for believing Is la that the President President dent will ask uk congress to permit drastic reductions in import duties So far there has baa been delay for tor the reason reason rea rea- son Ion that the administration was not sure lure It wanted to risk a battle In congress con can gress gresa over OTer this quota business What the President really wants Is power from congress to negotiate all sorts lorts of ot reciprocity treaties with foreign for tor- eign nations virtually barter of ot our goods roods for tor theirs But he wants this power with no such string as 88 that each treaty must be confirmed by the senate lie Ue wants the treaty effective th the moment It is signed by the President President dent and the forel foreign n country Involved There is a grave question of ot whether constitutionally the President could be granted power to reduce duties In tn fa faTor favor favor fa- fa vor Tor of ot special nations Certainly such an aD arrangement would play hob with the most favored nation clause o of ot f many of ot our treaties But Dut If tt congress would reduce the duty on all nil Imported liquor to a reasonable figure say 3 a gallon the figure originally desired by Budget Director Douglas then th the e President could decide with the quota system which foreign nations nations nations na na- na- na could take advantage of at the reduced duty Which of ot course would tie be the nations agreeing to take a proportionate proportionate proportionate pro pro- amount of American ex ex- ex- ex ports Another Worry What might be termed an antl- antl anti Mor movement mo Is growing among some lome of ot the staunchest supporters o othe of i the President They Thy are worried about abou t the possibilities of ot so much power b bing beIng being be be- e- e ing confided to the tin hands bands of ot one manThey man They first begin began to worry when despite a hard fight on the part of a minority in congress the President had bad d Ills hits way In giving gl exclusive sire sive control of ot the equalIzation equalization equal equal- fund Not only Is there the tho e terrific power which the use of ot 2000 provides but there Is the additional additional additional addi addi- fact that there thero need neld be no accounting accounting accounting ac ac- ac- ac counting for tor the fund for several severa years rears and there Is considerable doubt as to how much detail will be dl disclosed disclosed dis dis- s- s closed even In to that belated audit The second worry came when It became became be be- came evident that Mr indicated Indicated In In- he Intended virtually to takeOver take takeover takeover e over and run the bureau burau of ot Internal intern revenue This last may seem strange to those e who have never actually Inquired into the line of authority in to the bureau But nut the tact fact Is that the bureau has bas to to t tall all intents and purposes been a se separate separate sep sep- arate abate barony in the Washington ture There here has hns seldom been contact contac t of ot any importance between the secretary seer secre tary tory of ot the treasury and his commissioner commis mioner of ot Internal revenue re In fact less Jess than between the secretary of ot the e treasury and any anyone one of ot two score e other officials not In the Treasury d de do- In all aU the years rears of ot Us its operation there has baa never been a major scandal In the bureau of ot Internal revenue and there Is f. not one branch of the entire government where the possibilities of ot graft corrupt Influence from from political sources and various forms of ot stealing reach Into such luch magnificent figures Cases are ore frequently settled where it would have been well ell worth while for forthe forthe forthe the corporation or individual Involved to slip some one Frequently Frequent Frequent- ly not ly-not not once In a great while Prettyman Is Ia Out Up tip to a few weeks eks ago the chief counsel of ot the bureau was E. E Barrett Prettyman son Ion of the former chaplain of ot the United States senate lie He W was 8 ral raised ell In nearby Maryland and while not one of ot the great outstanding law law- ot the country he had performed the duties of ot this job In a manner very verI satisfactory to the courts and lawyers who practiced before It It Every Everyone one who knew Prettyman would have bet bethie I his hie last lut nickel on his absolute With lIh Prettyman on the job the commissioner of ot Internal revenue can sleep nights a Judge recently remarked remarked re re- marked to a group of ot friends at dinner Prettyman began to get orders from the Treasury Treasur department shortly after atter Mr accession to authority authority author author- ity It t to bring certain cases cues pending for tor adjudication of ot Income taxes over to the secretary's office Nothing was said laid as I to why they were wanted No Indication was given gl that the Secretary Secretary Secre Secre- tary would wish to direct how bow the they should be handled or hint that abatements abatements abate abate- ments should be given glnn In some cases and not In others olbers Just what happened between Mor Mar and Prettyman has bas not been disclosed but suddenly Washington woke up to t the e fact that Prettyman was out and that a new man whom no one ono here had ever Ward hard of ot W was 8 on the job The new man was Robert Jackson of ot Jamestown N. N Y no connection connection connection con con- with the former secretary of the Democratic national committee It now develops that while a fight tight against Jacksons Jackson's confirmation began to develop In the senate his hll appoIntment appointment appointment appoint appoInt- ment Is II only temporary hat has a new scheme for tor handling all an the legal affairs of the Treasury depart depart- ment There would be under his hi plan and and providing of ot course It Is approved ap ap- proved proved proved-a a general genera counsel for the Treasury department with ten assistants assist ants who could be assigned hither and yon at the secretary's desire and would not be subject to confirmation by the senate but would be appointed exclusively by the secretary I Presidents President's Aim President Roosevelt's recent action in personally taking charge of ot negotiations negotiations negotiations between the railroad companies and the manufacturers of steel rails with a view to getting a very low ow price for the railroads was generally construed construed con can at the time as 18 just an effort by bythe bythe the President to aid employment Actually It was far tar more significant than that and Is a clear of ot the Presidents President's attitude toward every manufacturer or producer who sells materials or supplies to any public utility It is the Presidents President's Intention that the federal government shall go Into the cost figures of ot ever every article purchased purchased purchased pur pur- chased by any utility regulated by the federal government And while forthe for forthe forthe the time being It tt Is outside his jurisdiction jurisdiction juris juris- diction It Is his thought that It Is the duty of ot the do the tho same thing with respect to producers who ho sell to public utilities regulated b by the states The point In the case of ot steel rails ralli was that the cost of ot rails rolls Is naturally a ver very important item In the cost of ot railroading Therefore that cost is part purt of ot the picture which the Interstate Interstate Interstate Inter Inter- state Commerce commission must appraise appraise appraise ap ap- praise In fixing rates rats for freight and passenger service ser The next step Is that it Is the duty uty of the government to see to It that the price the railroads railroads railroads rail rail- roads pay for tor rails rolls Is II not too high There Is nothing very revolutionary about this tills general statement but the thoughts of the President on this subject subject sub sub- will seem very revolutionary re to a great many lines of ot business when they are clarified and understood Of course In lit the recent rail purchase l I it was just a n case of at bargaining with the power of ot the government go behind I the purchaser and with the dire need of ot the steel companies for orders workIng work work- t s tIng j Ing tag on the same side Dig Into Costs Costa But nut In the future the President would like the I. I C. C C. C or some other governmental go agency to go Into the books and costs of ot the steel companies and determine whether the tho profit of the companies would be bc too large atthe atthe at atthe the price to be paid by the public utilities I 1 Similarly the government would po JO Into the costs of ot electric locomotives steam stam locomotives cross ties tics st steel 1 cars carll In fact tact everything e t the e railroad buys bus I Two revolutionary steps are thus UIUS In tn n- n vol Id One Is II that the government go goes so much further under this theory in Its regulation of ot the public I utilities utilities for for the Presidents President's Ideas idea would be applied for tor example to the telegraph and telephone companies when the new Dew federal regulation of ot goes Into effect erred and would Into all costs of power transmission lines etc The other Is that every company producing anythIng anything any any- thing which is sold to a public publico o utility 1 no matter how ho small or how large that particular business bulks in to ratio to Its total tota business would woud come comeIn comeIn comein in for special government scrutiny asto as asto asto to Its profits It Is ts also Iso Interesting with respect to one not entirely Illuminated on th the subject just subject just how much Is II Mr Roosevelt's RoosVelt Roose Roos velt's Velt Idea of at a reasonable profit No Noone Noone Noone one really knows that precisely Copyright |