The times. [volume] (Washington [D.C.]) 1897-1901, 1900-04-10
THE TELEPHONE HEARING
Arguments by Representatives of the
Old and New Companies.


The hearing on the bill granting a
franchise TO the new telephone company
known as the Washington Telephone
Company of the District of Columbia, was
resumed before the subcommittee az the
Senate District Committee yesterday af-
terroon at 2:3O O'Clock. Senators McMil-
Ian. Stewart, ard Kenney were present to
represent the subcommittee.
Judge Jere NJ Wilson, representing the
Chesapeake and Potomac Telephone Com
pany, made a statement Of considerable
length in which he reiterated and brought
forward many figures and opinions TO
show that his company could not with
any reasonable profit on its investment
furnish telephone service to the people
OF Washington at lower rates than those
now charged. Judge Wilson said it had
been stated that his company is not only
a monopoly but that it deies Congress in
not accepting the $50 rate provided for
the District of Columbia. He denied that
the company in any way defied the action
of Congress; he said it simply was doing
what hundreds Of other corporations have
done in a perfectly legal and proper form,
namely, asking the courts to decide
whether the rate named by the act was
so lew as not to permit business to be
transacted. He stated that Congress had
acted in this matter. doubtless in the best
OF faith, but that 1t had acted without
any Information whatever on the subject
Judge Wilson further stated that the
books Of the Chesapeake and Potomac Com
pany were at all times open to inspection
for the benefit OF Congress, and that he
would be glad to file with that body copy
OF the court proceedings showing the ne
cessfty for the present rates charged. He
co1tended tEst the measured service wac
becoming extremely popular. By this serv-
ice 1c0 calls year are allowed, for which
only $50 is charged.
]. H. Hemphill spoke in behalf of the
citizens of Washington. having been, rs
he stated. the counsel on the side of the
Subscribers Association in its attempt TO
force the telephone company 10 comply
with the provision of the act of Congress
fixing the rate In this city at $50. He
stated that there are now 900 independent
telephone companies throughout the coun-
try. and that none of these charges more
than SiS a year for an unlimited service;
also that many of these independent COM
panies were DESTROYS OF getting conueo-
tions for long distance service, and that
letters were being received from outside
urging the passage CT this bill, SO that
long distance connections might be made
with the Capital OF the United States.
Mr.. Hemphill made the point that Judge
Barnard. who decided the case above re-
ferred TO- passed only upon the question as
TO what was a legitimate charge FOR the
Chesapeake and Potomac Company tic
make. He did not say what was a reason
able rate at which any other company
could operate telephones. Mr. Hemphili
then proceeded to show that the enormous
prices paid by the Chesapeake and Potomac
coflDany for its instruments. purchased
from the parent Bell Company. ard the
heavy rentals also paid to that company,
required higher rate than would be nee
essary for new company coming into the
city unhampered By these requirements. He
also called the attention OF the committee
to the fact that the bill was the creation
of the House. and he read its strong en-
dorsement by Representative Babcock, OF
the House District Committee.
Y. Baldwin johnson made statement
concerning the measured service, which he
characterized as an abcminetion and only
adopted by the Chesapeake and Potomac
company upon It's finding itself pushed to
the wall. He hoped. he said, the bill would
be passed; the people of the city wanted
relief, the telephone subscribers wanted re-
lief and the business men wanted relief.
The committee was adjourned with the
statement that ii any further evidence was
desired the various parties would be mott
fed