The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-12-07
THE PERU GAS BOND.
City Wants Overcharges Paid Into the
Federal Court.

A. c. Harris, attorney for the city of
Peru, in its natural gas litigation, yester-
day filed motion in the United States
Court asking that the temporary restrain
ing order issued against the city some time
ago be modified The motion sets up the
following facts:
The city of Peru respectfully shows unto
the court that on Nov. the Logansport
and Wabash Valley Gas Company filed it's
bill of complaint herein. That thereupon it
secured orders made on Nov and 10, re-
straining said city of Peru from enforcing
the provisions of the ordinance in the bill
described, said ordinance being passed on
Sept, rs, 1897 and described in the bill as
OF the date of Oct. of said year, until
the final hearing, subject to the right of the
said city at any time to move to dissolve
or modify the same. The said city of Peru
further shows that afterwards, to-wit, on
Dec. 2, it filed it's answer in said cause, and
also at the same time its cross bill, which
pleadings remain on file.
THE city of Peru also shows, as is set
forth in the answer and cross bill, that not
only is 1t q consumer of gas in it's public
ofnceS, water works and other public uses,
but also that almost the entire population
of the said city is entirely dependent upon
the said gas company for fuel, and that its
citizens. consumers of gas furnished by
said company, number about 1880 consum-
ers or more. That the city has popula-
ton of 5000 or 5000 The city further shows
that it is stated in the complainant's bill
that the rates established by the said ordi-
nance which the city is enjoined and re-
strained from enforcing are one-third less
than those now being charged by your
orator. 1t is further averred that the sums
charged to the said city of Peru and the
citizens thereof within the corporate limits
are on an average sum in each year $685.
037.32.' So that the excess now being
charged and collected by the said gas COM
pany from the said city and it's inhabitants
is on the average of $4,000 year, and in
in the winter season than in the summer
the overcharges measured upon said bill
will, during the ensuing fall and winter and
since the taking of the said order on Nov. 4,
be far in excess of such average rate COM
puted monthly. That, appears in the
cross bill, the said gas company has mort
gagged it's entire property in the State of
Indiana, including its plant in the city of
Peru, for large amount, 81, 10000, which
mortgage and the bonds thereby secured
compliments bill that 1900 parts thereof
according to its computation, is, In equity,
chargeabe upon the property known as the
Peru plant, making $685., 500.
so that your petitioner states the proper
ty of the said gas company is mortgaged
for as much or more than it is worth, and
the injunction bond, so far as the gas COM
pany is concerned, is of no value by reason
of its being a party thereto; that the sure
~ is foreign corporation created by and
existing under the laws of the State of
Maryland; that it is not required by law to
deposit or keep securities within the State
of Indiana or in said district to make sure
the obligations upon said bond; that it is
doubtful whether many citizens of the city
OF Peru, required by reason of said injunc-
ton to pay to the said gas company from
time to time for gas consumed, one-thrd
more than the prices fixed by the said ordi-
nance, would have right of action upon
or full protection by and on account of
said bond, which bond your petitioner
shows was approved by the clerk of this
court only and not by the judge OF court.
And your petitioner asks that if the said
Injunction shall be continued that the terms
shall be made SO that the said gas COM
pany shall report to this court monthly the
amount collected on and after Nov. 8, 1897,
setting forth the names of the citizens sew
orally and the amount paid by EACH and
at the same time pay one-third of such
amounts into the registry of this court to
abide final judgment herein: or that the
court appoint receiver for such fund and
that the gas company be required to make
such reports to him monthly and pay to
him said sums, to-wit, one-thrd of the
moneys so collected from each citizen to
hold and keep subject to the further order
of the COURT