1935-01-09

COURTS TO TEST NEW

DEAL'S VALIDITY

Washington, Jan. 6.

Cases testing the validity of the "New Deal" money laws and the contractual effects of dollar devaluation are set for hearing before the Supreme Court of the United States, to commence January 8.

THE HONGKONG TELEGRAPH. WEDNESDAY, JANUARY

THE TANGO IS SIMPLE

Tango music is irresistible and you must know how to do phe of the tango versions, Arthur Mur ray, donce-master to celebrities.

here, in the third of six articles,

explains a' simple routine.

(BY ARTHUR MURRAY) New York.

It's just as simple and cer- tainly a lot more gracious to learn to tango than to stumble. around trying to fox trot to tango music.

At rather pretentious holiday

Although the five cases to be heard had diverse origins and involve several different principles, thre Supreme Court ordered their hearing in sequence upon motion by the Solicitor-General of the United States. This procedure appeared to indicate the court's readi ness for an early and comprehensive judicial inter-balls where the music is supplied, pretation of the series of acts of Congress and Executive by two orchestras, you may be sure that one of them' will play decrees which had their genesis in the acute banking practically nothing except slow, and currency crisis of 1933, Damages

that

rhythmic tango music.

At smaller parties, the single might result security for railway loans.

orchestra will mix tango tunes with: directly from the pending cases

The mortgage and bonds affect the fox trot and waltz selections. probably would not exceed . $40,-. 000,000 if all decisions favoured eu are those of the St. Louis, Iron This, after all, to a tango year. the claimants, but the principies, Mountain and Southern Railway And unless you know what to do at issus antoct currency, private Company, matured in 1933, which when a Spanish-type song is being face contained a clause requiring pay played, you might as well sit down. and public bonds having 1 un-ment in gold coin of the United

Actual tango steps are, of course, value variously estimated officially at from $80,000,000,000 States of the standard of weight similar to those in the henitz and and $100,000,000,000. An necurate and Jinoness existing on May 1, fox trot. Because of this, even a estimate wound require inspes- 1903. The Missouri Pacific Rail- beginner will find tango steps sur- the properties on prisingly simple. They are done in tion of the terms of issuance of way bought vast amounts of bonds, particu- which the mortgage is a first lien.n deliberale manner, making co- larly with referenco to the In The appellants held that joint ordination between the mind and

WAR JR con- one's feet quite easy to acquire. clusion of the so-called "goid resolution No. 10 clauso" guaranteeing payment in coln of apecined weight or fine

NONA,

Deal"

MORUу

travention of the Constitution and beyond the powers of Congress as applied to the so-cnied "gold cinuses," and held that Congress In view

law of the tremendous suma has no power to violate or impair theoretically involved, and the unthe obligation of the mortgage and predictable economic and legal bonds for payment in gold coin of consequences that might result if the standard existing May 1, 1903. the principal "Now Jaws were held unconstitutional, observers here generally to not ballove that the Supreme Court would make any sweeping all inclusivo Judgment, but rather anticipate that the highest tri- bunat would specity principles to guide decisions of courts whore money cases are pending.

the

DAMAGE CLAIMS

Chaes involving Federal Govern mont Liabilities, in fact, have been presented in such manner as lo seek rulings un principles and questions of

LAW VALID

What is commonly known as the French version of the tango is. extremely popular this year. For that reason, I have diagrammed a stop that is done in the half-open position. That is, the feet cross in front of each other, but the shoulders remain parallell and the position of the bend should not b changed.

In the Tango the steps are divid- The United States District Courted into slow and quick movements. of Eastern Missouri held the law The slow step takes about a second constitutional and vald, ruling and is given two beats of the music. that payment of the amount of The quick step is twice as fast as l the principal and interest duc slow step and is given but one beat upon said bonds, in such money of of the music. the United States as is legal ten- The steps are taken sidewlke. der for the payment of dents, will The man has his back to the centre discharge, dollar for dollar, the of the room as he progresses to his face amount of such indebtedness left. The lady faces the centre of on account of the principal and the room and her stops are taken interest due an such bonds."

sidewise, to her right,

Bonds involved have 11 law applicable to value of $34,548,000, damage claims.

When inking the stond

First, take a long slow step with face left foot in left side; then cross right foot in front of left: weight The sult of Mr. F. Eugene Nortzt right fout; step with left foot Tromendous public interest at-versus United States arose from to left: repeat and draw right fo tonds the cases, in several of Nortz is a claim for redemption up to left. which, the Attorney-General with of gold certificates, either in pre- appear for the United States valuation gold dollars or equival-fourth steps, the man leads with his Government. Lower court deci-cnt currency. Mr. Nortz held heel.

the face alons on pointa at issue have not gold certificates of developed extensive legal reason, amount of $106,300. Upon pre- ing as to the basis for judgments, senting these he claimed, in and opinions rendored by the demption 5.104.22 ounces of gold Supreme Court of the United Valued at $170,630.07 in the new States will become of extraorain-currency. The treasury rofused ary importance in the law of the to comply. land.

ፐሮ-

the

The claimant surrendered The cases collectively involve the certitlentes for currency of $106,- validity of the "gold, clause" in 300 "solely by virtue of threats the Secretary of private bonds and contracts, the and coercion in right of the United States govern- the Treasury's order requiring the lle ment to pay its bonds in a de-delivery of gold certificates."

had beon do- valued dollar, the right of the claimed that ho Treasury to demand surrender of Drived of property--without-due gold certificates upon redemp-process of loss and asked damages tion in the de-valued dollar, and of $64,334.07 with interest. the Hlability of the Federal

The Court of Claims of the Government to, damage suits arla-United States, to which the claim ing from its

drastic monetary was presented, certified a series policies.

of questions to the Supreme Court First of the cases

ba of the United States with to heard is the suit of Mr. Nor- quest for instructions, for its

C. Norman of New Huidance, York against the Baltimore and

may

OLD STANDARDS

VITAL QUESTIONS

It-

Ohio Railroad Company, challeng- These questions, answera to ing failure of the railroad to pay which will be of extraordinary him interest on the railway' importance to the Treasury De- $1,000 gold bond in accordance partment, were as follows: with the pre-devaluation value ofj; the dollar.

(Is an owner of gold certi- fleutes of the United Stales series) of 1928, not holding a Federal The bond carried a clause pro-licence to acquire or hold gold viding for payment of principal coins or gold certificates, who, on and interest in gold coin of the January 17, 1934, hnd surrendered United States of or equal to the his certificates to the Secretary of Standard of the weight and no- the Treasury of the United States ness existing February 1, 1930, under protest and had received the date when the bond was pur-therefore legal tender currency of chused.

equivalent face amount, entitled to receive from the United States When the interest

сбироп

the matured Mr. Norman demanded further sum inasmuch as that he be paid either $22.50 in weight of a gold dollar was 26.8 gold of the old standard or $38.10 grains, nine-tenths fine, and the in currency, the amount equival market price thereof on January ent to the earlier gold-standard 17, 1934, was in

currency 'so received:

dollar.

CXCCBB of the

(2) Is a gold certificate, series The Supreme Court of Now of 1928, under the facts stated in York denied Mr. Norman's claim, quastion one an express contract but did not render an opinion. The judgment held valid Public of the United States in Resolution No. 10, approved by Dorate

Its cor-

or proprietary capacity which will enable its owner and June 6, 1933, which provided that holder to bring sult thereon in any obligation therefore or theronfter incurred, which pur-the Court of Claims?

ports to give the obligee a right (3)Do the provisions of the to require payment in gold or a Emergency Banking Act of March particular kind of coin pr currency 9, 1933, and the order of the or in an amount of money of the Secretary of the Treasury dated United States measured theroby, December 28, 1998, requiring the "shall be discharged upon pay plaintiff as owner of gold certif- mont, dollar for dollar, in any cates as stated in question one to coin or currency which at the time deliver the same to the Treasury of payment is legal tender for of the United States In exchange public and private debta."

OTHER CLAUSES"

for currency of an 'equivalent

.. amount not redeemable in gold,.

amount to a taking of property The accond and third cases in-within the meaning of the Fifth volved "gold clause" in reference Amendment of the Constitution of

to railway mortgage bonda which the United States? became involved in bankruptcy proccodings. In these cases the

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