The Washington herald., 1907-02-04
BIG PROFITS IN GAS
At 80 Cents the Consolidated
Made 264 Cents.
FACTS OFFICIALLY PROVEN
Hearing ia New York Establishes
Beyond Doubt That Corporations
Fight Against Law Was without
Honest Cause-CIaim Made That
Standard Overcharged Company.

That artificial gas can be sold for 50
cents per thousand at profit was brought
out at the hearing before Referee Masten
in New York, concluded Saturday. in
which the Consolidated Gas Company
had attempted 70 evade the law fixing the
price.
The following article, from the New
York World of yesterday. shows the ac-
tual cost of manufacturing to the COM
pany.
After almost daily hearing since July
8 last. to discover the exact cost to the
Consolidated Gas Company Of producing
gas, Referee Arthur H. Masten. in the
gas trusts suit TO kill the SO-cent gas law.
finished the work yesterday afternoon.
Assistant Corporation Counsel William p.
Burr, who has managed the fight for the
city. claims to have proved:
l. That it costs the Consolidated Gas Company
only 52z To- 55s cents per 00 feet % deliver gas
az the consumers meter and that az so cents the
profit to the company is 25iz cents per 09e feet
That the total present value 81 the comlany's
prupIty Is only S3ll24H nearly Si3G900l less than
the amount claimed by the comuauy's appraisers.
With the Standard OIL COMPANY whereby it pays
] cant more gallon than other companies charge.
and consequently ia she cast II oil alone the com
Iany pays cents more per 1909 feet Of gas than It
should
Al Mercy Of Standard OIL Company.
T. Sworn adm ssi0us were made on the stand rs
{ Walter r. A0dics- wee president ri the COpSoli-
dated Gas Company Robert A. Carter the score
tau5 and other officers. that the Consolidated Gas
Company Is absolutely az the mercy % the STANDARD
Oh Company although the R0ckefelers control both.
and that If it shwld choose 10 charge twice as
much for Oh Che company would have 20 pay it.
s That although many At the franchises have
since expired the company still carries them On its
books ut a value O. s. l01o10
g. That one Of the principal franchises under
which the Consolidated Gas Company is n0w DOING
business IS one bearing the signature Of Boss
Tweed. Mayor Oakley HAL Peter l.. Sweeney. and
Rirasri d. Connolly.
The last hearing yesterday afternoon
was marked by the appearance of Clark
Bell, "a lawyer who Identified the sigma
lures of William NJ. Tweed, \. Oakley
/ Hall. Peter b. Sweeney. and Richard D.
! Connolly to the transfer Of tse Anthra-
/ cite Gas C0mpany's charter to the Union
/ Gas Company This is one Of the prin-
cipal charters under which the Consolj-
dated is now operating. Mr.. Bell tes1i-
fed that he acted ass counsel when the
( transfer was made.
Paid Too Mach for Oil.
one Of the most important points
brought ont by Mir. Burr and one that
is expected to figure i'm President Roose-
velts crusade against the Standard OIL
is the sworn testimony Of Vice Prcsi-
dent AddiCks and Secretary Carter. OF
the Consolidated. that the company is
literally "a, the mercy Of tho Standard Oil
In the course OF tho hearing, Mr.. Burr
testified That the Consolidated was pay
ing the Standard oil Company ASS cents
a gallon for oil. exactly I cent more than
il should pay.
when Vice President Addlcks and Sec
rotary Carter were called upon to ex-
plain this. they testified that the Con
solidated was compelled TO pay the prices
demanded by tie Standard. More direct
evidence Of the absolute monopoly Of the
Standard oil Company. Mr. Burr SAYS.
has not been disclosed. Henry II. Rogers
and William Rockefeller. Of the Standard.
are directors OF the Consolidated
How the Estimates Conflict.
A dozen Of the leading experts in the
country testified to the value Of the Con
solidated's plant and the cost TO it Of
making gas. Here are the conflicting
statements. made by the city-s and the
company's experts.
Company. Cts.
Mains -....-..----..-. s. s52l5I o. Sill i62 90
Plants O.neiudinE holders.
building ard arparatusj.... 1909 42s p 9S9 $50 90
Real cstat,----..----..-.... l6 G0 oj 90 295 81 %
Services -..--.------------. l2I2a1 o. l2l207l %
Meters includes scyws. stoves.
sc. -....-....-..---...--...... 2sc25HD 2sr.5a 90
Total amount actually in
vested On the manufacture
and distribution of gas... a e54 1876 a 81 10 4ys o.
Actual Gust Of Manufacture and distribution Of
lCo ebic feet ri gas Company, S5e55 and SO S.
city. $3.50 and S35l.
Among the noted lawyers appearing at
the hearings were Joseph H. Choate.
Judge John F. Dillon. James NJ. Beck.
Louis Marshall, Paul D. Cravath. Sher-
man d. Sterling. ana Charles f. Matthew
son. Tor the company. Assistant CORPORA
tion Counsel Burr Senator Alfred r
Page. Howard Cans, and Gustavus Kirby
/ represented the city and State.
Assistant Corporation Counsel Burr said
last night that the evidence had proved
beyond all question OF doubt that the
present price Of gas-S0 cents-should
stand.
Briefs viii be submitted TO Referee
Alasten on March L. His findings will
/ be submitted to the United States Cir
cuit Court there 10 be either approved or
rejected. In either of these events. an
appeal will be taken to the United States
Supreme Court