The sun., 1897-12-26

tiN rs'S '''iil w. 'ti IA W
annually an amount sufficient to pay
more than ,! per cent. interest on these
Sl4,oOO,OoO New England Ga> 4 Coke
Company bonds. Aside from what the
laws allow, the companies are only earn,
ing enough to pay >? per cent. annually
on tie 3l4VOO,OOD bonds, and cannot
earn more without further taxing the
consumers of gas And il more than the
present amount allowed by law was adj
mittcd to bc earned, the companies
would be- compelled to return such ad-
ditiOnal earnings to the consumers by
means uf an enforced reduction in selling
price.
The New England Gas and Coke Conn
panv has NOT acquired control OF
the Boston. South Boston, Rnxbury and
Bay State OF Massachusetts Gas Com
panics, and it will never be- able to.
1t becomes necessary because Of my
foregoing unqualified assertions to give a
statement of the facts which have led
up to the present gas situation, many Of
which have never before been disclosed
Boston Gas Situation.
Orig inal " there were in the Boston
gas fled the Boston, RoXhury. South
Boston and Dorchester Gas Light Conn
pauirS. In 1851 J. Edward .\Idick~ and
associates created the Bay state t;as
Company. Of Massachusetts, with full
rights To- parallel all hc pipes OF the four
companies above named. After this com
lstny had expended several millions ui
dollars in the erection Of works and lay
ing Of pipes the owners ui the Boston,
RuNhurv. South Boston and nurchc,trr
COMPANIES .u,d the entire capital >t ck>
ul their respective companies t. Mr..
Aldirk> and his associates - stan
tally all the stocks # the Boston, ErX-
bury and South Boston Conn alir-. to-
g"thrr with the capital stock # The. Bay
State Company oi Massachusetts. were
subsequently Y transferred to IT," Bay
Stat" ''tt~ Company OF New Jersey, and
by j, tir Bay state Gas Company Of
New Jersey transferred t" the Ncrcan-
tie Trust Company ui New York. To- bp
held il trust bv it Jlhc Mercantile Trust
f"niAny1 a> security for the payment Of
&: :l2,UDO. Upp Boston 'ni,ri Gas bonds. j.
sued by the Bay state ',u- Company ii
New Jersey. The entire capital stock Of
tie Bay stat" Gas Company Of New Icr-
,ry WIZ thereafter transferred tu he Iav
>t;sr t'a> Company Of Delaware. in con-
-idclu,Ion Of an agr' enlcnl whereby the
Bay state Gas Company Of Delaware for
eyer guaranteed t. rake good any de-
tclt- in the carnil,- received from the
stocks Of the companies held by the Mrr-
"antlc Trust Company, up to an amount
necessary to pay interest and sinking
fund on the $4,000. 900 Of the Boston
| nitrd Gas bonds.
Under this trust ..agrccmcn, the Bay
state Gas Company of Ncw Jersey j. tic
absolute owner Of the stocks Of the four
deposited with the Mercantile
Trust Company. And as tie entire
stock Of the Bay State Gas Company Of
New Jrrsry is owned by the Bay State
las Company Of Delaware, it is the nbso-
lutte and irrcvocablc owner Of the fo1r
companies whose stocks are held bv the
Trust Company, and through
such ownership it, the Bay State Gas
company Of Delaware, is entitled to the
control, management, and all benefits
'onlhg from the four companies whose
'tockS are deposited with the Mercantile
Trust Company. And, in addition. j, is
to actual possession of all Of said
stocks, when, by the operation Of the an. !
lual sinking fund, the bonds lave bccn {
edecmcd, Or when by the sale Of
or otherwise, they
nave been paid off; or G
'hch the Bay State Gas Companv q,