New-York tribune., 1903-03-17
TALKS OF BLACKMAIL.
ATTACK ON GAS TRUST.
Merchants 4ssociation President
Calls for End of ETtortion.

The Merchants Association directors will meet
tomorrow to act on the plan for municipal own
ership of electric and gas plants for which
Colonel Robert Grier Monroe, Commissioner OF
Water Supply, Gas and electricity, Is working
President Clarence Whitman in the call for
the meeting. after saying that there is no SUD-
ject relating to municipal business management
that has embodied greater abuses and more
wastefu diversion of proper public revenues
than the franchises hitherto practically given
away to gas and electric companies, whereby a
huge revenue, which should accrue to the CITY
or be applied to the reduction Of the cost OF
lighting to consumers. has gone to supply coIoS-
sal profits to stock jobbers, goes on IN part as
follows:
appears that CoIoRs5 M9nE2ed and need Of
very clear ShoTing OF tb,IS the Ppan His report
does not deal with crude theories 0nt ~ TACT
and this bis see1a aFs
the loss to taxpayers by being TiTae Control Of
pubc rgSs Coone MonFoe shows the excesiye
coSt coSdoHs how an5 the compusory hitherto
made with the hng e9mPan,es7 .,Ie 1t iRaesga hSs Gesn
lions that the contract prices exacted by the gas
snd 6 trs tshg9 o9beF 1ngar not are IN
ate and that the extortion Is due 10 ounSci
pal authorities to install public eompetonc whi6R 6
these private corporations.
OUTLAWS FOR CORRUPTION.
Three great corporations now cont Go4troi P Pra66eedg 6es ng
Sy tSe M ME tn to opersts E9in
fthff eha s GPsFof0 of this cs
are oHsodSted Gas coWgan{E {Erc0R1T0 oORfT0n6 4Sdn IN
as G6mpany a20 which Controls practically all the
sGmpaneGS 6neens coung or more ana nd the
County Electric Light and Power &c Gompapy fpcfr piants
for ighting power and heating in B1oGkyn n ard ted
Queens There are minor companies III t.e
of Richmond which do not take lHte
account The capitalisaton OF ,rn fhHse IS NOT far
from $50 10000 PTobs bly, more than tn of
The ''s capitai actually invested very large part
does not represent property. but represents oor- @
rpidn aEs maae aed a for ac9unF Tancis
coTpoTations md sod f n1s to the
The Teatons Of the Controlling corporations and
e the[ esses yguaratees of bond issues guar
aned dividends and other deyces are so intrsae asa
ings of ether the nominal actual capitalization
Te ar the But shf ats 5Rs' Of Re 0T Thoma cot
the State Senate which showed that at Tnat ,Irn Tm
gas snec ecmpante nPah during the previous all
10 per cent dYidend dTa qRRan fRRan per cent and
additional sum Of about 100000 year ou
the nrS right When has been granted to them to use
the sub Of the streets that Is TO say 70 e5
c9nsmers Ct gas S os prize S ghfa nqs
an exorbit9nt and fndefensible extortion based
npon the right of use Of the public streets
Under various protean forms. the Metr9potIis{an @ I{
graph and telephone companies operatnagd thr0Ign
ally by the Consolidated Gas Company. monop-
0iizes the right to carry electric wires and cur
which In 1900. was capitalized for $40 C09Gg an
amount which ] think has since heen doubled
A6enII,teiy no effeCtive restrictive or COmPen-
saforT measures Of any kind whatsoever have ever
electric companies; no sufficient provisions as to
cost control. quality of product. or redress IN m
"a of exortion or abuse have ever been attaCh2d
10 any OF the giants made to these compa nies
As these colossal profits proceed prima rliy from
the use and control of the sub-surface OF me pup
ijc streets that use should be controlled for the
heneft of the public and not for the benefit of
private corporations It has been shown fnat COM
nr0rect the public against extoTtion by gas com
panies The inevitable result OF such c3inpeution
Of the street surface and final consolidatlon OF
agreements whereby territory is divided