Savannah morning news. [volume] (Savannah) 1868-1887, 1886-03-18
LAUNCHING NGPANELECTRIC
DIR. ROGERS VERSION OF THE
FORMING OF THE COMPANY.

of the Company.
WASHINGTON, March I7.--lt has been
finally settled that the governments suit
against the Bell Telephone Company to
test the validity of its patents shall be
brought at Columbus, Ohio, and the
United States Attorney for that district
has been instructed accordingly. The
bill is completed and will be fled to-mor-
row or next day. Judge Thurman, Of the
special counsel, is now at Columbus and
has perfected all the necessary arrange
ments at that point.
The Pan Electric Investigating Commit
tee of the House to-day examined DR.. j.
w. Rogers. He said he was a practicing
lawyer. lie had been connected with the
Pan Electric Company since its founda-
tion. He explained that the means Of
himself and his son had not been suffi-
cieht to conduct the electrical expert
ments in which they were en-
gagged, and they determined to form
a stock company. Tney naturally turned
their attention to the subject Of great
names and of men of influence. In that
view the witness wrote to or called upon
Mr.. Atkins, then Chairman of the Rouse
Appropriations Committee. Mr.. Atkins
seemed pleased with the idea. A few
days later the witness saw Mr.. Harris,
who had already talked with Mr.. Atkins
on the subject. They came to the wit
ness house with Casey Young.
THE TERMS OFFERED.
The witness offered to each one some
thing like $780, 900 OF stock on the basis of
$5,00O.00O. They had hesitated, at least
Mr.. Harris more than any other had hesi-
tated, about going into 1t, and nothing was
done at that meeting. At the second meet
ing there were present Messrs. Harris, At
kins and Young. The witness proposed
that each take $500,O00 IN stock. They
agreed aud entered the enterprise. The
witness had suggested to the gentlemen
that several other gentlemen had prevl-
0usly consented to act as directors, but he
left chiefly with them TO select their asso-
ciates. None OF the other persons had
been members Of Congress.
GEN. JoHNsToN's CALL.
Some time in February Gen. Johnston
came to the witness With letter of intro
tiuction from Mr. Harris, and was shown
the inventions. While there was no
definite statement on the subject, it was
understood that Gen. Johnston was one
Of them-that he had gone into the COM
pany. So it was with Senator Garland.
The witness could not recOllect that any
thing was said about his going into the
company, but the witness looked upon
him as one OF the company. Ii was
understood that these gentlemen were
parties to the concern, and they talked it
over Just as partners would.
Mr.. Boyle-And yet you do not recall
the words or the substance Of the con-
versatiOn upon which that understanding
was founded?
The Witness-I do not recall single
word. MIR. Harris said they would come
in, and they seemed by their coming to
acqulesce.
INFLUENCE WANTED.
The gentlemen associated with himself
IN the company were TO pay nothing for
their interest. The witness wished to
secure the cooperation of men OF in-
tegrity and Of neutrality-suspicious.. With
out the names OF such men the stock
could not be sold. Gen. Johnston did not
hold a public Office at the time he asso-
ciated himself with the witness.
Mr. BOyle-Was anything said by any
of the gentlemen with reference to the
company deriving any advantage from
any official position held by any ohe Of
them?
The Witness-Never a whisper; never
names and regulations and on my sons
genius.
MEETING IN A coMMITTEE ROOM.
Two meetings were held in the room Of
the Senate Judiciary Committee for the
organization Of the telephone company.
There were present Mr.. LOOney, the wit
ness son, and Messrs. Harris, Garland,
and Johnston. Mr.. Atkins was not there.
At the first meeting a general agreement
was reached. Mr.. Garland prepared the
papers and submitted them at the second
meeting. The charter for telephone
company was obtained in Tennessee, and
the one for a telegraph company was
obtained in New York. Discussions arose
because stock was not issued. Certifi-
Gates were Issued saying that the respec-
tive parties We're entitled to stated in
terest in the Pan Electric Company. The
witness wanted stock issued aud DIR.
Harris opposed It, saying he should
Withdraw If stock were issued.
SARCASTIC HISTORY.
The witness history OF the subsequent
proceedings was very sarcastic and en-
tertaining. He said the senator seemed
10 believe the witness would be stricken
with chill at the idea Of the withdrawal
Of the great men. The witness had re-
piled: "We shall be very melancholy,
Senator, IL you withdraw" The
witness supposed the gentlemen were
unwilling TO have their names
90 on the stock because they regarded
them as sacred. at was also suggested
in the conversation" !" said he, "that pos
sibly this whole thing will fail, aud ia
that case, all concerned would be looked
upon as scoundrels." SO they had refus-
ed TO 20 forward, continued the witness.
and trouble and friction had ensued and
he had finally decided TO bring suit In
equity.
JoLTED ALONG.
Mr.. LoOney persuaded him not 10 do so,
however, saying that 10 would result IN
further trouble, and so IL bad Just jolted
along down TO the present time. The wit.
ness object In trying to get stock issued
was 10 raise money on IL 10 pay
expenses. So far as be knew, the origl-
nal associates held all OF their stock at
the present time. The witness then went
into a long account OF the establishment
OF various local or state companies
operating under the Pan Electric tele-
phone charter. Mr.. Looney mad sold the
right for Tennessee for $4,000. He then
went TO Texas, where be had used wire
fences for telephone transmission, "and
women and children began 70 cry for the
telephone"
WOMEN AND CHILDREN CRY FOR STOCK.
MIR. Looney had also sold the Texas
right for $4,000 cash which was dlvided)
and one-quarter OF the local stock. The
last the witness heard from Texas, women
and children were crying for stock.
I Laughter. After describing his efforts
TO distribute the stock In his enterprises