Repository: UIHistories Project: Board of Trustees Minutes - 1946 [PAGE 368]

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1945]

UNIVERSITY OF ILLINOIS

36S

local attorneys from time to time as their services may be needed. There is not likely to be a heavy demand for the services of outside counsel and they would be used only in minor and routine cases. In cases of major litigation recommendations would be presented to the Board for employment of such special counsel as may be required. I concur in these recommendations.

On motion of Mr. Davis, these recommendations were adopted.

LEGAL ATTACK ON ACCOUNTANCY ACT

(6) Dean Harno reports that a complaint in chancery for an injunction against the University of Illinois and others was filed recently in the Circuit Court of Cook County. It arises out of an act passed by the General Assembly in 1043 entitled, "An Act to regulate the practice of public accounting and to repeal certain acts therein named." (Laws of Illinois, 1943, p. 999). The complaint attacks the constitutionality of the 1943 act. Three individuals are named as plaintiffs. The defendants are the University of Illinois, the members of the Board of Trustees, each member being named individually, and Mr. Frank G. Thompson, Director of Registration and Education of the State of Illinois. Dean Harno believes that we should proceed on the assumption that this case will not stop with the action of the Circuit Court but that it will be carried to the Supreme Court of Illinois and possibly also to the Supreme Court of the United States, since a question of federal constitutional law is raised in the complaint. It would seem that the Attorney General of Illinois will be involved in the defense, since the Director of Registration and Education is named as a defendant. Dean Harno recommends that the employment of Mr. Walter F. Dodd of Chicago as special counsel in this matter be authorized by the University. Mr. Dodd is well known as a constitutional lawyer. While Dean Harno has known him for many years and has been cognizant of his capabilities, he has taken the precaution to inquire of some lawyers in Chicago in whose judgment he has confidence, and their judgment also is that Mr. Dodd is probably the best qualified man in this field that the University can employ. O n motion of Dr. Meyer, Dean H a r n o was authorized to retain counsel in this m a t t e r after conference with other interests involved in order to get the whole picture.

REPORT ON THE STATUS OF THE SETTLEMENT OF THE H. G. WRIGHT ESTATE

(7) An additional sum of $12,000 has been received by the University from Mr. Paul T. Wright in partial settlement of the H. G. Wright estate. The University has now received a total of $167,920.24 as follows: 952 acres of land at an agreed value of $200 an acre $190 400 00 Less mortgages outstanding and assumed by the University 55 500 00 $134 900 00 Cash 33 020 24 Total $167 920 24 There is still due the University from the estate approximately $6,000, but payment of this amount is being deferred pending review by the Collector of Internal Revenue of the H. G. Wright estate for the years 1940, 1942, and 1943. The year 1941 has been examined and the additional tax determined. If any additional tax is assessed for the years under review, the amount due the University will be reduced by 65 per cent of the added liability in accordance with the agreement signed by the University (Minutes, July 25, 1944, page 26).

This report was received for record.