TVA Corp.

A corporation which TVA evangels never include in their critical remarks about power corporations is the TVA itself. Like RFC, FDIC, Commodity Credit Corp., TVA is Government corporation in business. In its buying and selling, making contracts, filing suits, its status as an incorporated concern relieves it of much red tape. Last week Dr. Arthur E. Morgan, who used to be top officer of TVA Corp., reminded his onetime colleagues, Directors Harcourt Morgan and David Lilienthal, that corporations have to take the bad along with the good, as Messrs. Harcourt Morgan and Lilienthal have often reminded the power corporations.

At Knoxville, Tenn., where Senator Vic Donahey's TVA investigating committee was assembling for an inspection tour, Dr. Morgan took advantage of TVA's corporate status to file a civil suit against it. He sued in a local chancery court instead of in U. S. District Court, where TVA would prefer to answer his demands for: 1) $2,916.66 back salary accrued since the President fired him March 23 for obstructing TVA affairs and contumacy; 2) recognition as TVA chairman, on the ground that the President had no authority to discharge him.*

The second issue was significant. Whereas the courts have ruled that the President may fire such purely executive functionaries as postmasters in midterm, but may not, except for specific offenses, discharge quasi-judicial, quasi-legislative officers (I. C. C., F. T. C.) who have been appointed for fixed periods. Dr. Morgan was first to raise the question of White House control over the appointed officers of such corporations as TVA. Although Solicitor General Robert H. Jackson has opined that the President has ample power to get rid of Dr. Morgan, that persistently righteous man holds one ace: a section in the TVA act which says a director may be removed by concurrent House and Senate resolution, says nothing about Presidential power to fire.

*To some 23 well-wishers who had volunteered contributions to his expenses, embattled Dr. Morgan last week addressed letters saying he could use more money. Said he: ". . . Contributions are not desired from power companies or their officials, or from persons or companies which have personal or private issues with the TVA."

This file is automatically generated by a robot program, so reader's discretion is required.