The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-07-13
Says Company Is I'm Duty Bound To
supply Gas as Long as liz Has Gas
TO Sell TO Anybody.
METER SYSTEM NO OBJECT
COMPANY COULD NOT NOW TAKE
ADVANTAGE OF 1T.
Expenditures for Meters and Field
Expenses Would he Regarded as
Hazardous Investment.

The Indianapolis Gas Company has
served formal notice on Mayor Bookwalter
that ii will cease the natural gas business
in Indianapolis Sept. 30. This announce
ment was foreshadowed last week by the
fact that the company sent out quarterly
statements for the three months ending on
that date. Mayor Bookwalter received the
formal notice and announced at once that
the city would next week institute a suit
to enioin the company from quitting the
business
The formal notice was served by Ferdi-
nand Winter, attorney for the indianapolis
Gas Company. His note said he had been
directed by President Hastings. OF the COM
pany. to send TO the mayor a copy of the
resolution adopted by the directors OF the
Indianapolis Gas Company at New York
June 26. and which covered the subjecI.
The resolution is as follows:
Whereas BY reason OF the diminished
quantity and pressure OF natural gas, the
greater distance il Is required TO be trans
ported and the methods of using the same
in the city of Indianapolis. this company
has already sustained serious financial loss,
and il has become financially and physical
ly impossible TO continue TO supply con-
sumers In said ciSy under such methods.
Whereas. This company after exhaust
ing every possible effort, has failed TO Sc
cure any change in such methods from the
municipal authorities;
Whereas The bondholders OF this COM
pany. 10 whom all its assets 0ncluding its
natural gas helds) have been pledged by
certain deed OF trust. have threatened and
are now prepared tacting under competent
legal advice) 10 bF1ng sctfcn 20 enJoin
the company from continuing the business
OF supplying natural gas TO such city upon
the ground that IL is a waste of its assets
in violation of its contract obligation with
them and with the trustees of thu mort
gage: now, therefore, be il
Resolved, That this company hereby
gives notice 10 its customers and 10 the
municipal authorities Of the city Of Indian-
apois that. on and after the S0th day OF
September next. IL will discontinue she dis
tribution and sale Of natural gas within
the corporate limits OF the city OF Indian
spolis; and, be il further
Resolved, THAT on and after the afore-
said date, viz: Sept. 30, 1902, we will sur
render 10 the city Of Indianapolis our
rights TO use the streets Of the city for the
distribution Of natural gas.
THE MAYOR TALKS.
After reading the notice and resolution
Mayor Bookwalter said: 4 will take up
this matter with City Attorney Joss early
Monday morning. \ suit will be begun at
once 10 ascertain whether the company
may, whenever il choose. abrogate the
contract it entered into with the people Of
Indianapolis. | hold that this company is
bound TO furnish gas to its indianapolis
consumers so long as IL has gas for sale
and this question will be put squarely be-
fore the court. This company agreed 10
10 quit business was reserved In its con-
tract. Thousands of people paid this cone
pany not only the legal price for the gas
il supplied. but in addition large cash
bonus TO be insured gas for fuel purposes. 1
know personally that In Douglass Park ad-
dition each OF the ls5 lots was assessed $50
Il .Nas
There was no reservation that the company
could quit It's own sweet VIII. Thousands
of other persons are IN the same nN-lrvine-
ton portions of the South Side and many
additions. They have paid their good money
i'm good faith for their side OF the contract
and | shall see they are protected II they
can be.
THE city will not concede that the In
dianapolis Company has arbitrarily the
right 10 declare its intention 10 abandon
the use of and forfeit its right 10 the
streets where IL has natural gas mains and
then use them for artificial gas.
The action of the company Is no surprise
and the suit of the city is already prepared.
The plaintiff Will be a citizen and the COM
plaint will set out the contract with the
city and also the allegations that the COM
pany could by a reasonable expenditure OF
money obtain sufficient quantity Of ges
TO supply it's consumers. The suit viii al
lege that under it's contract the company Is
required TO supply gas 10 all the citizens 30
long it has gas 10 sell
NOIl0fS IL AOmEtAH.
Yesterday the employees of the Indian
apoiis company were put to work prepar-
ing notices TO all the consumers Of the
company Of the intention TO cease the
natural gas business. The formal notice.
dated July y. read as follows:
you are hereby notified that from and
after the 30th day OF September 1892 the
supply OF natural gas 10 yourself and
other consumers viii be discontinued by
this company because Of its inability 10
further continue such service
This notice Is now given in order that
you may have ample time 10 make other
for fuel.
Ii Is now stated that the indianapolis
would not consider proposal 20
continue business under the meter basis
even il the city was ready to adopt that
system. II Is said the time 10 take up
field work Is too short TO make even an
attempt at adequate provision OF gas
supply In addition the time has passed
when the company could make contract
for the number OF meters required. and
even IL IL could there IS not now time 10
install them before cold weather In ad-
ditiOn 10 all this IL is asserted by officials
of the company that the investment neces-
sary 10 put the company on meter basis
would approximate $4,000 and that. con-
sidering the precarious condition OF the
field supply and its ever increasing cost
would be not only hazardous. but foolish.
They say IL would be a mere gamble 10 see
If the company could get its money back
ORGANIZATION OF COMPANY.
The indianapolis Natural Gas Company
was organized in lSS7 by Allen M. Fletcher.
Charles E Reese a. B. Meyer. r. NJ Dell
NJ O'Connor. Fred Ostermeyer NJ. J. Os-
good. c. r. Root. c. r. Branham and
others with a capital Of 10000. Just AZ the
time when il was organized the j. NJ. Guf-
nm interests. recognized then as allied with
the Standard oil Company. had leased
twenty-five wells near Noblesville. Hamii-
ton county. aud hs1 leased large area os