Evening star. [volume] (Washington, D.C.) 1854-1972, 1891-09-08
TELEGRAPH AND TELEPHONE.
Dr. Green Saws the Western Union is Making
No Effort to Kill the Fell Company

Dr. Green Saws the Western Union is Making
No Effort to Kill the Bell Company.
DIR. Norvin Green OF the Western Union Tel
egraph Company, in an interview in the New
York S,ns today on the relations of his com
pany and the American Bell Telephone Com
pany, said:
In 1873 the Western Union Company agreed
TO turn TO the Bell company all of its
patents which the latter used in it, business.
ard in return for this, as the contract was
drawn up. the Western Union was to receive
~ per cent of all rents and royalties of tine tel
ephone company. A figure was fixed as the
minimum price which should be charged for
telephones. Then the Bell people began to or
Eanize companies all over the country to carry
On the telephone business in the different sec
tons In return for the privilege Of using
their patents tho Bell company stipulated that
these companies should paw over to the West
Gru Union Company the 20 per cent of the rents
on their instruments and hand over to the Eel
company - per cent Of their capital stock.
Now We claim from the Bell company our por-
silu of this - per cert OF stock coming under
royalties. The Bell company would not recos-
liZe orr right and hence the suit. About
100000 Is due ~ we claim.
"EI-Judge Lowell the referee in tire suit we
began. has completed hIs report and we under
stand thar II Is unfayorabie to u.s. but officially
we have cOgnZance Of that as vet. The
story shat our lawyers will make = motion to
set aside ms report this month ia not true. We
mus. wait until we hear the report before we
take any step. word TO the relations
of the two companies We have many interests
IL common. The Western Union aided the Bell
company in the fight made to overthrow the
iatters patents. for We had a One-ffth interest
In them. On the other hand. there are some
points at which the two companies clash This
suit We have brought against the Bell people in
Boston is not the only proceeding VIC have
brought against them We have also brought
suit 10 obtain ruling on another clause Of the
contract Under the contract the Bell COM
pany agrees to carry on no telegraph business,
and what tels graphing Is strictly defined At
the same time we agree to do no telephone bu=i- |
ness. IL was particularly stipulated that the |
telephone company should not even send !
market re ports by telephone for the benefit of
customers or for publication As matter of .
fac: they have come IL direct competition with |
our own gold and stock business They have
violated the contract 30 far rs 10 give NJ GER
tain lines for telegraph purposes. They have
Leased wires on which market reports can be
transmitted over the country. and have even
issued printed reports of stock quotations or
caused them 20 DO published on bulletin boards
This Is Clearly direct violation OF the contract
The Western Union simply wants its mani |
fest rights IL the matter and is making no
effort - Kill of the Bell company The paper
which published its long account today has |
got up - sensation for which there Is no
foundation The relations of the Lowells with |
the Pell company, which were brought out in n
corSres Ional inquiry four years ago. were all
published at the time and here il nothing new |
In that"
4 Boston dispatch to the New York HOrld to- |
day reports an interview with ex-Judge Lowell !
Did Won have knowledge at the time you |
acted as master az inst the Bell telephone for |
an accounting that your relatives owned a
large block of the stock of the telephone COM
pany?" asked the reporter.
In reply Judge Lowell il quoted rs saving:
Il was appointed master to hear the par |
ties and report the facts with such part of the |
testimony as either party should request and nv |
rulings on any question of law arising. Judge |
Hoar and William g. Russell! for the Bell COM |
pIny and Gen. Swaync of New York and |
George ;. Hale for the Western Union agreed |
upon my appointment master. Judge Nell |
SON really had nothing to 10 III the matter but |
sign my appointment. Prior to this believe |
something had been published in the news |
papers about M relatives holding stock. and |
when aecep ted this appointment thought. If |
j thought anything about that stOck-and | |
don't know that did thought that the facts |
were known to both parties concerned. and |
that knowing these facts both the Western |
Union and the Bell company were DESTROYS that |
j should act rs master.
My report Is already filed. From the Cir |
cult court II may so to the new court of ap-
peals and from there to the Supreme Court of |
the United States. believe the facts are all |
agreed upon and that only questions of law re- |
main to he settled. The contract between these |
parties is a very complicated one-some forty |
pages "a | remember it-and of course, involv- |
ing ~ IL does such a large sum of money, IL is |
worth fighting"
Does it not seem to you somewhat peculiar
that the Bell Telephone people should seek
loan from your father upon their stock col |
lateral. when any proceedings against the va
hdity of their patents would naturally come be-
fore Won, "a United States circuit judge" said
the reporter.
oh. not in the slightest particular" replied
Judge Lowell Il see no reason why the loan
should not have been negotiated with him az
well as with any one else, for even had il then
been known. which il wasn't. that suits would
get into court there were other judges before
whom such suits might have been tried"