New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-01-11
REVITE OLD GRANTS.
Independent Telephone Companies
Trurng to Enter the CITY.

The effort of the independent telephone companies
To break into New-York old franchises Oh var
ous sorts continues and the Corporation tounsei
office is now studying several propositions TO pro-
feet the city's rights The principle of the ADMINS
tration is that franchises which are worth niioii'
should no longer be given for the asking
1t developed yesterday that the Mercahtne Ere
trio Company once owEed by the Equitapie Iiie
Assurance Society and used burglar alarm
system. had applied for permission to strlns -,
phone wires through the wire suo"ays VIM"
connect the various centres of the city. Inc I'm
pany is now owned by the United states liiue-
pendent Telanhone Company which has headquar-
ters at Rochester
IAN application was received by this company
said s. H. Starrett. superintendent or the h'hipe
City Subway Company. yesterday several noh'hs
ago from the Mercantile Electric Company for an
assignment of space in this companys suo"ays
for an extension of the Mercanthes cohouc'o
The application referred to counsel VINO ao'seo
us to refuse the consent. On account OF the posi-
ton taken by city authorities IL Is e1ceeuhsy
doubtful if the Mercantile will be allowed 10 lay
wires in the streets of NewYork. The question Is
now before the Corporation Counsel.
On Saturday morning the case of the Great East
ern Telephone Company. which has headquar'el
in Brooklyn, will come before Attorney ueHA
Mayer The Attorney General has been asked 10
annul the companys franchise on the GROUND 'ha'
it has not been used for twenty years. Inc GREAT
Eastern people assert that their franchlse was
Granted in perpetuity and that It has fulllleo
o,,ar,, raou;rement of law. The franchise in ques-
I
tion is one recently acquired from the Newton
Electric Light Company, which IN report 10 the
Secretary of State 1903. estimated its value as
inward of $4,000 The company has filed no annual
report since that year.
The activity of the owners of old and unused
franchises for telephone lines In newborn lily
dates from the organization OF powerful company
which has been negotiating with the city for ne"
franchise If any of the old franchises can be es
tablished the new company would offer ready
market in all probability.
]. Thomas Renhardt Of tiis city, has forwarded
an application to Chancellor Magic, Of New-Jersey'
asking that a receiver be appointed for the inter-
state Telephone Company, which operates ex-
changes in several places in New-Jersey and EAST
ern Pennsylvania Early in the year he pought
stocks and bonds in a considerable amount lie
received his interest in July and was then asked 10
an+er a scheme of reorganization.
Reinbardt declares in his application that the
COMPANY is insolvent and cannot be carried on WIN
az fetv 70 its creditors or it's stockholders he ue
cIareS further that the reorganization Wnlcn "as
Manned at a meeting held In Allentown, RENT, III
AUGUST Is for the purpose OF conceallns the So!t-
nany's true condition. He alleges tnat mega III
ducements were held out to bondholders 10 JOIN III
the reorga nization. He offered 20 per cent IN
eYces, of a proposed assessment and snare IN
800 v or,n Vi the reorganlzed company!