The Iola register. [volume] (Iola, Allen County, Kansas) 1875-1902, 1897-03-19
FACTS ABOUT THE GAS BUSINESS.

We believe that large majority OF
the people of lola, certainly a large
majority of the people who pay the
taxes and do the business of the town,
are opposed to anything which might
result in stirring up strife and i'll
feeling here at home and thus pre-
vent us from all pulling together
to advance the interests of the town.
For this reason the REGISTER has
taken no part in the agitation of the
question of the city ownership of the
gas plant. And it desires to take no
part now except to suggest few
plain facts for the consideration OF
those who seem determined to press
the matter to an immediate issue.
1t is admitted on all hands we be-
lieve, that the present prices charged
fol- gas are low enough and that the
service is satisfactory. But it is
argued that as soon as the time eX-
pires within which the city may ac-
quire ownership the Company will
at once advance the price to double
the present figure. If there were
reasonable grounG for that argument
it would have weight. But is there
reasonable ground? Under the de-
cree of the court the present prices
cannot be advanced except by order
of the court upon a showing made
that present prices are not remunera.
tive. To argue then that the prices
would be advanced by piling up fic-
titiUus or unnecessary expenses or by
fraudulent manipulation of the books
of the Company is not only to charge
the hundred or more citizens who
compose the Company with dishOn-
esty, but it is also to impeach the in
tegrity of the court, for in order for
such conspiracy on the part of the
stock holders to be effective it
must have the collision of the Judge
on the bench. Is there any one will
ing seriously to charge that the hun
dred men who own the plant would
cOnspire to defraud and wrong their
fellow citizen, and that Judge Still
we'll would allow himself to be either
their dupe or their accomplish?
When we come to analyze this arg1-
ment it falls to pieces of its own
weight. The present Company is
bound to maintain the existing
schedule of prices, not for two years
only, as some seem to think, but dur
ing the remainder of the life of it's
franchise, unless it is granted author
ity to advance them by the order of
the district court; and there needs be
no fear that such decree will be rend-
cred unless conditions are so changed
as to make it apparent to all men that
it ought to be rendered.
But granting even that city owner
ship were desirable, what is the use
of ighting over it when there is no
reasonable chance of being able to
accomplish it? 1t is not pretended
that lola has any authority to vote
bonds in sufficient amount to buy the
gas plant except such as may be given
it by the Hanna General UtilitIesp
bill. Undoubtedly the bonds could
be issued under that law, provided
enough votes should be cast in their
favor. But could they be sold? Kan
sss securities are not regarded as eX.
actly' gilt edged these days. And it
should be remembered that these
bonds will be issued under authority
of new law, one that has not stood
the test of the courts, one in which
grave defects have been already
pointed out. which the Governor sign
ed under protest, and which from its
very nature peculiarly invites attack.
Is it likely that bonds issued under
the shadow of inevitable litigation
would find a market? We know of a
block of lola railroad bonds $4,000 in
amount that were issued fifteen years
ago, bearing per cent interest, which
has been paid promptly, and matur-
ing in four years, that have been
hawked about in half a dozen cities
for several weeks without finding a
purchaser. If such bonds go begging
for a market is it likely that $50, 900 of
lola "Public Utility" bonds, issued
under law of doubtful validity, bear
ing but six per cent. interest, and
clouded by q law suit, would find