New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-02-12
TELEPHONE USERS PROTEST..
ANOTHER DEMAND FOR A REDUCTION
IN RATES
FIGURES CITED AT A HEARING TO SHOW THAI
THE CHARGES IN NEW YORK ARE EXoRBi-
TANT AND THAT THERE Is AN
fay TELEGRAPH TO THE TRIBUSrl

OPPRESSIVE MONOPOLY.
tsY TELEGRAPH TO THE TRiRuNrl
Albany Feb. 1.-THE Senate Committee on MIS-
cellaneous Corporations 10 which was referred sen
ator Br,ish's bill appointing the state Engineer
the State Controller and the Atiorney-Cehera'
Commission 10 investigate telephone cha.seS
throuChou, the State. gave a hearing TINS after
noon on the measure. A similar hearing was gwen
las; week by the Finance Committee OF Inc oeld'e'
10 which the bill was first referred. u N""o
Smith. president Of the wholesale "roceTs Assn
.iation and Frank Gardner Secretary Of the New
York Board OF Trade. the principal speakers
to-day as they were at The first hearing.
The first speaker was Mr. Smith. lie presented
20 the committee vouminous extracts from the
report OF the Ainsworth Committee. which lnVes-
tigatcd the telephone companies in 1884, lie sld
statistics showed that with an increase OF bust
ness tie telephone charges had grown almost CORE
spondingy larger or from Ni7 year in 1886 10 $40
q year in 1896. He insisted chat what was heeueu
was an investigation. "a turnine-on OF the great
searchlight the bow Of the ship or state IN
order that the real proportions OF this great cor
porate octopus. the combined telephone companies
might be clearly shown up 10 the people He said
tina; although the Metropolitan Telephone Company
Of New-York had 1900 subscribers. II had no com
petition TO keep it in check, and so eXorbitant
prices could he asked 1t either pay &O
year for telephone service or go without Such
service.
Mr.. Smith asked by Mr. Malby. Of the committee,
II ii was not that placing the wires under
ground did not materially increase the expenses OF
the telephone company. replied that there was
no doubt that this had been item OF con
siderable expense. but that the wires, when once
placed underground. saved the company an enor-
nous yearly expense for renewal of wires. 1t was
admitted that previous to the placing of the wires
in the underground subSays II was necessary 10
renew the wires every five years.
MIR. Smith then told the committee that he had
% fha I'd Of
Trade of Philadelphia that the rate in that city.
with fewer subscribers and covering a much larger
territor:'. only $50 year and that this rate
complained of and various attempts had been
made TO get relief He asked II this was not an ar
Eument that the Legislature should assis; New
York City in securing lower rate. if not the rate
now asked for-s125 year.
Robert e. Mooney, representing the Retail Butch
en- Association. followed Mr. Smith He said that
It we'll known that the profits OF great many
fot's of enterprises had been lessened in the last
( s: years by the business depression. and that
with decreased profits the different dealers had to
pay higher telephone rates than when times had
been good A falling off in receipts had been as
seriously felt in the butchers trade in other
and the Retail Butchers Association had sent him
here their representative to ask the Legislature
TO gran; the relief that lower rate for telephone
service would prove 20 be. The people had been
loug euderne in the matter of'eyorhitant charges
placed upon them by corporate interests, but limit
10 their patience had been reached and he desired
10 record the prophecy that II remedial legislation
such Is asked for il not passed by the pres
ent Legislature. many of the present members of
the Legislature would not respond TO the rollca of
1895
Frank s: Gardner. secretary of the New-York
Board of Trade. re2d n communication from the
Kings County Pharmaceutical Association. regret
ting its inability to be represented at the hearing
hui entering protest against the high rate
charged for telephone service in Brooklyn and call
Ing the attention Of the committee to the espe-
Ciai hardship felt by druggists in being unable to
secure telephone service unless they consent TO
allow the telephone company 10 put telephone pay
stations In their places of business
NJ. Gardner then went into the advance i'm tele-
phone rates in the last ten years and said that the
COMPANIES cOntended that increase Of business
increased their expenses without increasing their
receipts proportiOnately. IT is a surprising thing
10 me. said Mr.. Gardner. ito learn from the tee-
phone companies that they earnestly seek TO in
crease their business in order TO lose money. and
this is what must believe they are doing If
Se believe their statement that increased business
means decreased earnings for IL r. well known thar
they reaching in all directions for more
subscribers
MI Gardner followed by Armon Spencer.