EGAN v. UNITED STATES UNION ELECTRIC

EGAN v UNITED - Page 1 1 of 1 DOCUMENT EGAN v UNITED STATES UNION ELECTRIC CO OF MISSOURI v SAME Nos 12267 12268 Circuit Court of Appeals Eighth

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Page 1 1 of 1 DOCUMENT EGAN v. UNITED STATES UNION ELECTRIC CO. OF MISSOURI v. SAME Nos. 12267, 12268 Circuit Court of Appeals, Eighth Circuit 137 F.2d 369; 1943 U.S. App. LEXIS 4022 August 9, 1943 SUBSEQUENT HISTORY: [**1] Rehearing Denied September 9, 1943 CASE SUMMARY: PROCEDURAL POSTURE: Appellants, a corporation and its president, were found guilty with conspiracy to violate § 12(h) of the Public Utility Holding Company Act of 1935 (the Act), 15 U.S.C.S. § 791(h), by a Missouri trial court as a result of political contributions made. The corporation and its president appealed the trial court action of overruling their motions for mistrial, directed verdicts, and for new trials. OVERVIEW: The corporation and its president argued that § 12(h) was unconstitutional, that the trial court erred in refusing to direct verdicts of acquittal, in the admission of evidence, and in refusing and the giving of instructions. Section 12(h) prohibited political contributions by public utility holding companies, which the corporation was such an entity. The evidence showed that the corporation contributed thousands of dollars to candidates for governors of the state, members of the legislature, and members of county boards for the purpose of influencing the official acts of such officers. The court concluded that § 12(h) was a valid exercise by Congress of its congressional power, and that the evidence clearly showed that the president participated in the conspiracy as he knew about the contributions. Further, evidence of the president's silence when it was disclosed that a federal investigation was to begin was properly admitted as his silence implied consent to the activities. No reversible error occurred in refusing the instructions requested by the president as they related to whether he was personally in violation of § 12(h), which was not an issue before the court. OUTCOME: The judgments were affirmed. CORE TERMS: electric, conspiracy, political contributions, candidate, interstate commerce, subsidiary, public utility, conspirator, mail, non-federal, indictment, political party, instrumentality, vice-president, election, evil, expense accounts, registered, secret, corporate powers, candidacy, salary, rebates, directed verdicts, acquiescence, admissible, immaterial, connected, carrying, corporate responsibility LexisNexis(R) Headnotes Governments > Local Governments > Elections [HN1] Section 12 (h) of the Public Utility Holding Company Act of 1935, 15 U.S.C.S. § 79b, reads: It shall be unlawful for any registered holding company, or any subsidiary company thereof, by use of the mails or any means or instrumentality of interstate commerce, or otherwise, directly or indirectly - (1) to make any contribution whatsoever in connection with the candidacy, nomination, election or appointment of any person for or to any office or position in the
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This note was uploaded on 02/11/2012 for the course GENERAL ST 410 taught by Professor Huck during the Fall '11 term at Berea.

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EGAN v UNITED - Page 1 1 of 1 DOCUMENT EGAN v UNITED STATES UNION ELECTRIC CO OF MISSOURI v SAME Nos 12267 12268 Circuit Court of Appeals Eighth

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