The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-05-12
PROMISE OF Q CENT PHONES.
1s,gIy0 ~ THR WHgPgV.
DSyt'tS'veHgsg tprt" 'tISS

.,,sr Wesas Fstss espsass aHsi rev.
t,..re iHuetaw fsy tHssfle fsHpnny
ptasaI Ike times aoneb ~ IN ths CouHati
e,,rr.. ~ tbs Cty Ifan Yesterday When
o. te,l M m Tho s~ppllcasioa eftbe Atlantic
r.,.prloe rompaay for q fraaehlss came
boil, rsf.fr Tho r1mnitses N the whoie ~
e. n.,ri n Estimate IN the OH days
,.,,,s r7n situation tho NV Yorh city
p.s,4 4 tDisrmsn usri to sit IN this cham
., srH listen ~ impsssionesi flights ~
ss,,ors sninst corporsts greed. Wills q
arse ,r.vI N spectators a~pplauded.
Tho only difference yesterday was that
M. most dignlhed and most powerful
evening body n the city we're the listen
r.. Tho oratory WA there and the speo-
s,ors rcre there. and In spite Of Vigorous
work With the Gavel by President McGovan
n, tho Board ~ Aldermen. who presided,
there was round after round Of applause
.nils Martin W Littleton. who presented
me case for the Atlantic company. was
dccaiming against the %iniquities Of the
telephone trust
A. one point the argument got 30 hot
that Mfr. Ldttleton and John q. MiIburn,
counsel for the New York Telephone Com
nany. drew close together and were shaking
their fingers In each others faces. Mr..
McGpwan finally began to pound on the desk
with the gael.
i hope, gentlemen said he. that you
will not allow this hearing to degenerate
into a farce Thereupon hostilities subsidized
for the time. but there was another rumpIis
when Mr.. Littleton charged that two Of
the fifteen Mayors whose statements against
duplication Of telephone systems in a city
we're presented by ex-Comptroller Circuit,
also Of counsel for tho New York COM
pany, were no longer In the land of living.
They we're the Mayors Of Atlanta, Ga,
and Of Grand Rapids, Mich.
y had hoped that they would not ring
h any dead ones on us, " said Mr.. Littleton,
but they did"
DO you mean to say that these state
ments we're not made by these men while
they we're alive?" asked Mr.. Grout hotly.
NO. replied Mr.. Littleton, but We do
assert that these letters were written be-
fore our automatic system was perfected
How about Tom johnson and Mayor
Dunno OF Chicago?" asked Mr.. Grout. Are
hey dead;'
No, only dying said Mr.. Littleton.
In his opening argument Mr., Grout said
that 1t had always been the history OF rival
corporations OF this kind to consolidate.
to the detriment Of the people they served.
and that a contract could not be made
that would prevent them from merging.
\ He declared, moreover, that q duplication
OF telephone systems vas an economic
waste. He said that business houses would
have 10 have two telephones instead Of
one II the new company wa allowed to
do business here.
NO matter how cheap the new company
rates may be- continued the speaker,
the cost will be greater than under the old
system, which gives more for tho money
than could be obtained under competition.
This competition does not result In economy,
but quite the contrary. The telephone is
s., one Of the natural monoplies, and competi-
ton would retard the development Of the
system. The development by two or more
systems is not a real development, and
Just what a nuisance two telephones are is
quite well understood,
THE installation Of anot her system here
would also mean that the streets would have
to be ripped up again. as the existing sub
ways are not large enough TO
date anot her company. II the new cor
r~oration comes in there must be q new sub
way system, or the present system must he
enlarged, which means the same thing as
Tar Ne tearing up the streets is concerned.
there ara but two ways 70 deal with the
question, one il by regulation and CON-
tol Ivy the city of the present corporation,
and ~" othc7 by public ownership. The
business never can he regulated by COM
petition lhnt il n false remedy. II must
II rclta"r ruriic regulation or public owner
slir
"WcaI'lnow what q sentiment in favor of
munlcipaI ownership is displaying itself
lho~c days, and il Is possible that the Gov
"nnont may take over the telephone sys-
TIM soma day. II we nave two companies
IN that event it will moan that the public
VIII have to pay double"
Mr., Mlihuyn said that no argument could
b" mai" for a duplicate system unless 1t
c"G'i hn shown positively that the present
system vas n bal system, that It's rates
Noro cNcrtiouatc and its service inefficient,
AMI that there was no other cure for the
'' '''iI Nv WENT on 10 tilpW tIut nO huCH
complaints could be made against the New
YORK cornranv, but that, on tho contrary,
twas constantly striving for improvements
In the system and that the rates had been
rrrcatcdly lowered, In twenty years, he
taid' the Now York company had thrown
us entire plant in the scrap heap three
tunes in order TO keep abreast OF the times
IN telephone development.
Mr.. Llttletou for the Atlantic company
began by telling what his client would do
10 the way Of furnishing free telephones in
.he public buildings and the like IL the
franchise was granted, Comptroller Metz
Interrupted him.
will not use your promises as a club
against the New York Telephone Company
said he.
NO, and | hope you won't use their prom
.@s against u.s." retorted Mr.. Littleton.
men, growing dramatic, Mr.. Littleton
oncred to sign a contract with the city that
mere would he no consolidation Of the
cnmpanies. III you will give us the same
"shtS "a the New York company has We
""i get into the subways and go out and
"eh, Tor business in the OPEN This re-
marx drew forth a loud burst Of applause.
resident MCGOWAN hammered for order