Evening star. [volume] (Washington, D.C.) 1854-1972, 1896-01-31
THE TELEPHONE WAR
Ex-Congressman Butterworth Ar
CUES Before the Commissioners
FOR qHE COLUMBIA COMPANY
Calls the Bell Company a Grinding
Monopoly.
L HE HE RING TODAY
T HE HEARING TODAY

| The scramble Of proposed telephone COM
| panies for franchise to operate in Wash
| ington is getting interesting. Three COM
| panles are knocking at the door for an op-
| portunity to divide the business with the
local company. They are the Standard
| the Home, and the Columbia Since the
| Commissioners reported adversely upon the
| general proposition to charter another tel
| phone company the Would-be competitors
| nave been uneasy. Several hearings have
| been held. with a view to reconsidera-
ton, but up to this time the Commission
ers have not indicated disposition to
| change their acticn. This morning the
| Commissioners listened attentiveiy 10 the
| representatives of the Columbia Telephone
| Company, and when the hearing had con-
| cluded thanked the speakers for the excel
| lent presentation of their case. The COM
| pany was represented by Mr.. Benjamin
ButterWorth and 7. A. Lambert, esq, while
| Mr.. j. E. keelyng, representing the West
ern construction Company, which proposes
| to furnish the instruments, also pres
ent, and spoke interestingly OF the tela-
phone uses and abuses.
| The hearing was opened by MIR. T. c.
Daniel, the representative of the local COM
! pany. lie briefly explained the bill which
| Is designated as Senate bill 1913, and ex-
hib:ted signed contracts with l,3oO local
| company, who would take the service of
| the proposed company for three years, at
| cost nearly one-third what they were at
present paying.
Mr. ButterVOrth Argues.
Gen. Benjamin Butterworth followed.
! After explaining the benefits that would ac-
crue to the people from competition he said:
We understand that the Commissioners
are of opinion that no such charter should
| should be but one system in a city and that
| 1t should necessarily be a monopoly; the
! point being that two plants would cost
double as much as one, and therefore the
service could not be as cheap, and beyond
| that that no person would want to use a
/ telephone that did not connect with sys-
| tenn that reached all parts of the city.
f." "There is much force in this but we sub
| init thab.Sit does not reach the question
which the Commissioners are called upon to
| de .ide.
1t is known by all men that the Rel
| Telephone Company has been monopoly
and has been able to continue it's eXactions
| by reason of the ownership of patents
wh.ch gave it exclusive control of the tele-
| phon.c field. That in 1879 it made its hold
on the monopoly secure by a contract with
| the Western. Union Telegraph Company
and other companies that were in the field
| as competitors. While that control con-
tinded by reason of the existence of pat
ents tile company fixed the rates not so
much with reference to what would WELD
| the company an enormous profit, but ap-
parentiy with reference to the ability of
| those who had ample means to pay exorbi-
tant prices for the accommodation.
Reduction of the Rates.
"As result the price paid for the use
of the telephone has been exorbitant ami
without justification or excuse, except such
as is found in the legal power of the COM
pany to exact the amount. The Washing
10 M hoe
| public that it is unable to reduce the
rates. If they mean by this that they have
contract with the Western Union Tele-
graph and two other companies, which
compels them to continue in these unjust
charges, it may be true: or it may be true
that, for some other reason, personal TO
the company, they are not permitted to re-
duce the rates.
But if they mean to convey the idea
| that as good a system and better service
cannot be secured to the people at half the
price, they are imposing upon the public
and stating what every informed person
can successfully ccntrovert.
Monopoly.
THAT there is manifest advantage in hay-
| ing plant operated by a single company, #
| the service is efficient and cheap, may be
true but the Bell Telephone Company has
no claim upon the Commissioners of the
District, nor upon the people of the District,
that
| rany to one moments favorable considera-
| tfon, and charters should be granted to COM
| panies precisely as if the Bell telephone had
no existence, and did not have a grip upon
the purSe-StringS of the people of Washing
| ton. 1t must be apparent to the Commits
| sioners that for Congress to refuse a char
| ter, as prayed for, is simply to do what is
| with good reason, so generally complained
| of by the public, to wit, to make the gov
ernment the upholder and supporter in
| fastening and maintaining an Offensive
| monopoly upon the people, and that without
justification or excuse.
What They Ask.
What We ask is that our company shall
| be chartered, and for the reason that we
! have the ability and the means, and are
| ready to establish a plant and give better
service at one-half the rate now charged
by the Bell Telephone Company; and in
! stead Of there being less than 1000 tele-
| phones, we shall expect to put in at least
| thrice that number. Touching the question
| as to whether two companies can operate
| 1t may be said that the proof of the pud-
ding is in the eating and the fact is that
different companies are operating success
| fully in many towns and Cities and in
| cities where they are not it would he in
| terestlng to know why competition IS ex-
cluded and how it is successfully exclu6ed
I'VE insist that so far as granting a
| charter is concerned the active concern
| should be in regard to the corisumers-tbe he
people-fatnef than any chances of dis
| figuring for day the streets We think
that the community should be satisfied tina t
the interests of the individual consumers
are considered first and above all else:
and we think that in order that that idea
may obtain, competition should not be
needlessly trammeled. Nor is there any
reason why system of exchanges between
| companies should not be established in
| case there is more than one company, and
In all cases maximum charge should be
| fixed, with the power retained in Congress
to reduce rates, if it shall appear that such
| reduction is just
Gen. Buttorworth gave way to Mr.. T. M.
| Lambert, who went over nearly the same
ground, testifying to the ability of the pro-
posed company to carry out all promises
| made in the bill.
MIR. j. E. Keelyng, president of the west
ern construction, followed, answering the
| contentious made by the Bell Company, and
| giving the Commissioners considerable In
formation concerning telephones.
| Seven Years for Forgery.
NEW YORK, January 31.-Paul Brigham,
who pleaded guilty to having forged the
certificate of a check on the Columbia Ma
| of "nch h,x