to discharge or release the sureties from their obligation on their bonds. I am of the opinion that such action by the boards is unauthorized by law and is of doubtful effect.

To clear up the uncertainty and to provide some method of definitely determining the liability of the surety upon these bonds and a way to release security which may be deposited with the Commonwealth in lieu of such bonds, I advocate that the Governor and Council be authorized, upon the expiration of sixty-five days after the completion of the contract, where no claims under the provisions of said section 77 are pending, to release and discharge the sureties from any further liability upon such bond and to release any security which may have been given in lieu of a bond.

COLLECTIONS.

The collections made by the department during the last fiscal year have been unusually heavy, amounting to $740,620.55. A special effort has been made to collect all outstanding claims due to the Commonwealth under the collateral legacy tax statute, St. 1891, chapter 425. There has been collected during the fiscal year $41,156.46 of these taxes, as against $16,116.06 during the preceding year.

Under an arrangement made by my predecessors in office with the Treasurer and Receiver-General an assistant has been designated by the Attorney-General to take charge of these collections, and his office has been in the Treasurer's department. He has not only taken care of collections which properly were for this department to collect, but he has in addition performed a large amount of clerical work in estimating taxes due and sending notices in relation to the same, which properly falls upon the Treasurer's department to handle. There will of necessity be considerable work in relation to these taxes for some years to come, for the reason that in many instances the tax is not yet due on account of the fact that the inheritance under the provisions of the will by which it is derived is postponed to await the termination of some life or some contingency or

event.

The work of collection has now been so well advanced

that there is no further occasion for an assistant of this department to be longer located in the Treasurer's office, and there is no further occasion why this department should be burdened with work properly belonging to the Treasurer and Receiver-General. The number of collection cases which properly are ripe to be handled by the Attorney-General does not now amount to more than 100. The services of the assistant designated to take charge of this work would have been discontinued before this but that the Treasurer had no appropriation to employ a clerk to take charge of the clerical work which will necessarily be thrown upon his department upon the withdrawal of the assistant.

I urge that a sufficient appropriation be given the Treasurer that the services of a clerk capable of taking care of the work may be secured.

INTEREST UPON DAMAGES FOR THE TAKING OR INJURY TO REAL ESTATE BY THE COMMONWEALTH.

Under the provisions of chapter 148 of the Acts of 1913 interest upon the damages sustained by persons whose real estate has been taken or injured by the city of Boston under authority of any law or statute is limited to a rate of 4 per cent. per annum. Under the provisions of chapter 525 of the Acts of 1913 interest upon damages to real estate taken or injured by the Metropolitan Park Commission or by the Metropolitan Water and Sewerage Board under authority of law or statute was limited to a rate of 5 per cent. per

annum.

I can see no reason in principle why the Commonwealth should be made liable to a greater rate of interest upon damages sustained by the taking or injury of real estate by the Commonwealth than is the city of Boston under a like situation.

I recommend that in all cases where land is taken or injured, by the Commonwealth, acting by or through any officer, board or commission, interest upon the damages sustained shall be limited to 4 per cent., as in the case of the city of Boston.

EVASION OF INHERITANCE TAX ON PROPERTY OF A DE

CEASED PERSON.

It has been called to my attention that by reason of the facility with which stocks and bonds can be transferred from one person to another without requiring registration of transfer on the books of the corporation, the presumption being that the possessor of such stocks and bonds indorsed in blank is the real owner, it is a matter of easy accomplishment to evade the payment of the inheritance tax upon securities of this kind. With a friendly executor or administrator, or one who is interested in the estate, securities of this type may be handed over to the heirs of a deceased person, with the State having no knowledge of it. I suggest the advisability of legislation to in a measure prevent such occurrences by the passage of an act similar in character to that obtaining in the State of New York where property has been deposited by a deceased person with persons or corporations for safe keeping.

TAXATION OF LIFE INSURANCE POLICIES.

On Nov. 15, 1915, at the request of the Tax Commissioner, I felt it my duty to advise him that he should take the attitude that the taking out of a life insurance policy payable to a beneficiary constituted a gift of the beneficial interest in the policy made or intended to take effect in possession or enjoyment after the death of the insured, within the meaning of the legacy and succession tax law, and that therefore upon the death of the insured the proceeds of such a policy were taxable to the beneficiary under this law. This advice caused considerable discussion among members of the bar and persons interested in insurance, but as yet no proceedings have been begun to test the matter in the courts.

In view of the doubt as to what extent, if at all, the statute covers such cases, I recommend the consideration of legislation which shall definitely determine whether such policies are to be taxable, and if so, to what extent, with special consideration as to the exemption of small policies payable to widows and other dependent beneficiaries.

PARTY WALLS ON PROPERTY TAKEN BY THE COMMONWEALTH ON BEACON HILL.

At the time of the acquisition by the State House Building Commission of the properties on Beacon Hill, to be used in connection with the new west wing of the State House, and in order to adjust certain elements of damage to adjacent property owners by reason of the taking of certain party walls and the extinguishment of the rights of such adjoining owners therein, an agreement was made by this office with such adjoining owners that legislation should be sought at the present session of the Legislature to enable the Commonwealth to grant and release to these adjoining owners the rights and easements in such party walls, which were of no value to the Commonwealth but of substantial importance to the proper enjoyment of such adjoining properties. In accordance with such agreement I recommend that the State House Building Commission be authorized to convey, on behalf of the Commonwealth, its right, title and interest in said party walls and the land thereunder upon such terms as they shall determine.

PUBLICATION OF THE OPINIONS OF THE ATTORNEYS-GENERAL.

I recommend that the sum of $2,500 be appropriated for the purpose of continuing the publication of the opinions of the Attorneys-General, there now being, in my judgment, a sufficient number of public interest to make a volume of the size heretofore published.

REVISION OF THE STATUTES.

I renew the recommendation made by my immediate predecessor in office, the Hon. Thomas J. Boynton, that measures be taken to provide for the revision, codification and arrangement of the statutes of the Commonwealth.

ATTORNEY-GENERAL'S REPORT.

Under the provisions of section 8 of chapter 7 of the Revised Laws the Attorney-General is required to report to the General Court the cases tried, argued or conducted

by him during the preceding year. Apparently under this provision it has been held by my predecessors in office that lists of the cases in which the Attorney-General has appeared should be attached to the Attorney-General's report. As a matter of fact it has become impracticable to include all of the cases and as a result a practice has grown up of inserting such as it has been thought might be of some public interest. In my judgment this practice of attaching lists of these cases might well be discontinued, as they serve no useful purpose. The statute should be amended so as to require the Attorney-General to report the number of cases tried, argued or conducted by him during the preceding year. Information in relation to any case or cases that the Legislature may at any time be interested in can from time to time be required, as the Legislature or any committee thereof may deem desirable. In this way much time and expense would be saved to the department and the Commonwealth.

DEPARTMENT OF THE ATTORNEY-GENERAL.

The work imposed upon this department during the fiscal year, in my judgment, has not been unusual in amount or character.

Necessarily there is some increase growing out of the increased governmental functions. The number of cases tried in the Probate Court was 13. The number of cases tried in the Superior Court was 6, 1 being before a jury. Sixteen hearings before a single justice of the Supreme Judicial Court have been attended. There have been 16 cases argued before the Supreme Judicial Court, and 1 case tried before a justice of the Supreme Judicial Court. Two cases have been tried and argued before the Interstate Commerce Commission at Washington, and 2 before the United States District Court.

The number of official opinions rendered by the department during the year, up to Jan. 1, 1916, was 209. So far as possible written opinions have been discouraged where the opinion rendered did not involve a useful precedent as a guide to the departments to be followed in future actions.