The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-06-26
John II. Pearson, Assistant to the
President, Says Something VIII
Have to be Done Soon.
BROKER LISMAN RIDICULED
LOCAL BANKERS AND BROKERS DO
NOT TAKE HIM SERIOUSLY.
His Statement About indianapolis Sc
curities shows Lack of Fa-
miliarity with Conditions.

The attention Of John r. Pearson was
called last night TO a story emanating from
New York that the bondholders OF the In
dianapolis Gas Company, through their
trustee, the Central Trust Company, are
contemplating bringing suit in the United
States Court OF stop the further sale of
natural gas under the hat-rate or lump
system. When Mr.. Pearson was asked
what he knew about such a proposed suit
he said that he has not as yet received Off
cial information that a suit of the nature
described will be brought, but he knows
that some legal action to protect the in
terests of the bondholders of the company
is in contemplation.
why shouldn't the bondholders take
steps TO protect themselves?" exclaimed
Mr.. Pearson. "Why shouldn't they put a
stop to the present ruinous sale OF the
commodity upon which their securities
rest? L have resided in Indianapolis thirty
three years and have been in the gas bust
ness twenty-seven years, and think l am
competent to speak of the natural gas sit
uation as it really exists. L say to you
frankly that under conditions as they exist
in this city at the present time no corpora
ton could do business here and furnish
natural gas to the citizens OF indianapolis
and give good service. The original ordi-
nance was wrong. 1t was an incentive for
people to take all they could get and pay as
little as possible for ii. For instance, a
man could come 10 the Indianapolis Gas
Company and ask that gas be turned on in
his house to be used for illumination, for
which he would pay 20 cents per month per
light. He might have fourteen rooms in
his house. every room piped with a cap on,
except one room in which a light was used.
What is to hinder him from taking off
those caps and burning the gas from open
pipes?
when that ordinance was passed." con-
tinued Mr.. Pearson, his voice and manner
betraying that he felt the deepest interest
in the subject, gas was obtained only
twenty-five miles from INDIANAPOLIS There
was not a single newspaper in this city
that did not declare that that gas would
last forever-seventeen wells, twenty-five
miles away, in Hamilton county. Now
Hamilton county is barren of gas The
Upton county field is dead We have gone
from one county to another in search of
the precious natural fuel until now we are
In Grant county-seventy-four miles from
Indianapolis. When We were getting gas
twenty-five miles away the pressure was
325 pounds at the wells. Now-and / defy
contradiction of the statement-the average
well pressure to-day in the State of Indiana
in all fields is forty-nine pounds, and no
city in the State receives foot of gas-no
city OF over $1,000 population-without the
gas being handled twice through pumping
stations.
Another startling fact about this gas
business" declared Mr.. Pearson, sis that
the revenue or cost per fire has not in
creased one cent through all the years we
have been delivering gas TO the people of
this city, while the expense of bringing gas
In6ianaDOliS cod
$50 per cent
THE plain fact of the matter is that no
combination of capital and men can bring
gas to this city and sell il under the present
system and at the present rates without
bankruptcy staring them in the face.
Il have no stock or bonds of the Indian
pany on a salary. l have been fair to the
company and to the consumers of gas, and
/ declare solemnly that if the Indianapolis
Gas Company quits business IL will do SO
ipal government and on account of poll
tics"
Mr.. Pearson feels especial concern over
the liability TO terrible accidents that he
sees in the present uncertain gas pressure
There are thousands of consumers that
are burning gas in CRATE fires during the
month OF June" he said: burning Ii from
open pipes, with no record OF this fact kept
at the companys office. They have turned
in their mixers for the summer season and
are not paying for the gas. Why, at or :
turned off, the pressure rises alarmingly
There have been confia grations already
and more will occur. Life and property are
positively in danger under present loose
conditions. L advised my employers that
we could not do business here safely under
existing circumstances. and said TO them
that they would be doing a charitable act
to refuse TO furnish gas unless conditions
should materially change"
Mr.. Pearson declared that he had in
formed the directors of his company that
il was his judgment that they would make
a mistake in investing 500. 900 in meters
even II a meter ordinance should pass, In
the present state of the gas territory. but
they mt to make the proposition, -
he said. 81 will use my best efforts to see II
complied with If the municipal authorities
will do their part. But there is no alterna-
tive. II must be gas by meter measure.
ment at % cents or close the gates and lei
the courts do their worst. 1t certainly can
not mean anything worse than what would
happen If the company should continue In
business under present conditions"