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

'aa" W"
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 Il the
Senate District Committee yesterday af-
ternoon at 2:30 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 defes Congress in
not accepting the $50 rate provided for
the District Of Columbia. He denied that
the company in any way defed the action
of Congress; he said it simply was doing
what hundreds Of other corporations have
done in perfectly legal and proper form,
namely. asking the courts to decide
whether the rate named by the act was
so lev as rot to permit business to ne
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
,-.ra a. times men to in=UerfiGu
for the benefit OF Congress, and that he
would be glad to file with that body copy
OF the court proceedings showing the ne
ceseity for the present rates charged. He
coutended tEst the measured service was
becoming extremely popular BY this serv-
ice eco calls a year are allowed, for winch
only $50 is charged.
J. Fl. Hemphill spoke in behalf OF the
citizens Of Washington, having been as
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 500 lie
stated that there are now 2,6o0 independent
telephone companies throughout the coun-
try. and that none of these charges more
than SlS a year for an unlimited service
also that many Of these independent com
panies we're DESTROYS OF getting connec-
lions for long distance service, and that
letters were being received from outside
urging the passage Of this bill. 50 mat
long distance connections might be MADE
with the Capital ef the United States.
Mr.. Hemphill made the point that Judge
Barnard. who decided the case above re-
ferred 10. passed only upon the question as
/ 10 what was a legitimate charge for the
Chesapeake and Potomac Company tc
make He did not say what was reason
able rate at which any other company
could operate telephones. Ar. Hemphil
| then proceeded to show that the enormous
prices paid by the Chesapeake and Potomac
company for its Instruments. purchased
| from the parent Bell Company, ard the
heavy rentals also paid to that company
required a higher rate than would be nee
essary for new company coming into the
| city unhamDered by these requirements. lie
/ 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, o.
| the House District Committee.
! Y. Baldwin Johnson made a statement
| concerning the measured service, which he
/ characterized as an determination. and only
/ adopted by the Chesapeake and Potomac
| company upon its finding itself pushed L
I the wall. He hoped. be said, the bill w0ul'
| 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 th'
/ statement that ii any further evidence wa
desired the various parties would be noti
| lied.