U.S. RECOVERY UPHEAVAL

Taranaki Daily News, 27 January 1934, Page 7

U.S. RECOVERY UPHEAVAL

MONOPOLY IN ALUMINIUM AN INVESTIGATION ORDERED REVISION OF INCOME TAX COMPLAINT OF ‘SMALL MEN’ By Telegraph—Press Assn.—Copyright Rec. 8.5 p.m. Washington, Jan. 26. The Department of Justice to-day ordered another investigation of the af - fairs of the Aluminium Company of America, which was described by Mr. Cummings as a “one hundred per cent, monopoly” in the production of aluminium. Mr. Cummings revealed that the inquiry was nearly completed into the income tax affairs of the former Secretary of the Treasury, Mr. Andrew Mellon, whose family controls the Aluminium Company. The Ways and Means Committee of the House of Representatives to-day voted for a drastic revision of the income tax law to increase the yield by £40,000,000. The new schedule provides for slight decreases on earned incomes of up to £l6OO. From that point taxes will be higher, the increases to graduate upwards to 59 per cent, on net incomes of a million dollars. The schedule also revises the capital gains and losses provisions, plugging the loop holes whereby the wealthy, such as Mr. Mitchell, National Bank manager, escaped taxation. A Bill embodying the committee’s recommendations is expected to receive the right of way in Congress next week. General Hugh Johnson, National Recovery Act administrator, alleged in a speech to-night that 90 per cent, of complaints about small business concerns being oppressed emanated from establishments which declared, “To survive we must exploit the workers.” He declared the President and the N.R.A. would fight the exploiters of labour. He revealed that the President had approved of a plan to establish a separate board to investigate legitimate complaints from small business men.