The times., 1898-05-07
THE TELEPHONE HEARING
Resumed by the House subcom-
mittee Yesterday.
A HGT Gro. S-EXAMINATION
Mr.. Titney Subjects President Bryan
and His Expert to n Very Trying
Ordeal - How 'hc Estimate OF
Values Was Made Up-Number of
Phones in Use in Washington.

The telephone hearing was resumed
by the House subcommittee yesterday
President Bryan, Of the Telephone Com
pany. accompanied by his counsel, Judge
Jere Wilson, and Mr.. A. A. Birney, rep
resenting the Telephone Subscribers As
sociation. and Mr.. HempIdll being pres
ent.
c. w. Haskins, the expert employed by
the telephone company, was put on the
stand and cross-examined on the sta
tistical report recently submitted by him
lished in The Times
Representative Pitney conducted the
cross-eXamination. He questioned Mr..
Haskins very closely as to his methods
of reaching the results and conclusions
set forth in his report
The committee took recess for lunch
/ cor.
I After the recess President Bryan of the
! telephone company gave an account of
! the real estate holdings of the company
and of the taxes paid on them. He said
the company owned a lot on Fourteenth
! Street. between II and |. on which there
/ is a frame house Of no value, and a lot
situated between Thirteenth. Fourteenth.
G and II Streets, on which it is intended
! to erect warehouse. For the Fourteenth
Street property the sum Of $4,000 was paid
and for the other So, OO0 The annual rent
paid for IN, building corner Fourteenth
and G, where the exchange is situated. is
/ $3.50
Mr. Pitney Of New Jersey, who conduct
ed the oss-examination, is evidently IA
miliar with figures and accounts. He put
his questions so shrewdly as TO some
times puzzle both Mr.. Bryan and Mr..
Haskins. the company's expert.
Mr.. Bryan said he could not give the
amounts of taxes paid on real estate
( without examining the books. Mr. Pit
ney called attention to an item of 80 0I2 II
for legal expenses in 1897 and asked an
explanation. Mr.. Bryan replied that it
covered legal expenses and the money
wss paid outqon drafts drawn by him
self.
ANY campaign contributions in it?''
asked Mr.. Pitney with a sudden snap.
Mr.. Bryan hesitate ed. flushed and then
replied: Il decline to answer unless
compelled to.'.----
Il suppose you have practically an
swered,' suggested Mr.. Pitney.
Mr. Bryan protested that he did not
! consider that a proper question.
| Mr. Dockery was inclined to insist upon
an answer. Finally he asked Mr. Bryan
If he were willing TO stand on his refusal
TO answer. He replied that he was that
. ne declined 10 answer unless compelled
Mr.. Pitney then questioned Mr.. Haskin.
rigidly as to his method of ascertaininl
! the value of the assets of the telephon,
10 Writ :,
admit that in preparing his statement o
the transfer OF the old to the new com
pany, he had accepted the arbitrary val
uation put upon franchises, licenses
good Will, etc" by the parties to tina
transaction
Chairman Pitney then formally notife,
, President Bryan and his counsel that
was the purpose of the committee to ac
cept the statements as TO the cost of tele
phone service in other cities, submtte
by Messrs. Birney and HenphiH a
: "hearsay and historical evidence" II
2 said this had been determined by con
. ference of the committee. They wer
e not willing to receive it as merely
part of the opening statement, as ha
been intimated by Mr.. Grout some tim
!, ago.
r Judge Wilson and Mr. Bryan bot
D vigorously combated this proposition
They said they had understood that thes
statements would be dismissed a : only
part of the opening statement.
. Mr.. Pitney replied that 1t was eminent
ly fair for the committee to take int,
, consideration the service and charges il
other cities, but il was not TO be expect
ed that it would engage in the laboriou
and expensive task of calling mtnesse
from these cities TO certify as to the de
tails of that service.
Mr.. Bryan remarked that he wa
1 willing to have a comparison made wit
cities of "A like population to Washing
ton and where the service was equall
as good as in Washington. He object
ed to any comparison with Detroit wher
a fight is in progress between rival com
panes.
!. Mr. Dockery said it would be neces
sary to make the comparison with othe
cities. he said tha- formerly the Unite
States Electric Lighting Company charg
ed so cents per night for the public light
! here, and protested that il could not TAX
less without loss. but after a rival com
pany got into the field the pr e wa
lowered to 30, then 49, and finally 10 :
: cents.
Finally the telephone company Wa
given one week TO procure evidence on 1t
. side tending to offset that hitherto file
- as to the cost of service in other cities
= Mr. Bryan stated that the entire numbe
. OF telephone stations or phones in thi
{ city were 2.27O, of which ii3 were used b.
the General Government. The Govern
= meut paid an average Of S9S for It
= phones.
There were 50 deadhead phones. q
: which "a were used by the telephon
. company.
. MIR. Pitney then put Mr.. Haskin
f through system Of cross-questionin
!. with the view of showing that the com
i pany had watered its stock.
/. The committee adjourned subject I
/, the call of the chairman.
EN- ROUTE WEST.