The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1909-10-26
END OF THE LONG GAS M
FLATION FIGHT.

1t is occasion for special satisfae-
ton 70 The Times to be able to an
nounee that the fight of the Gas Mo-
nopoly in this town, for the privilege OF
swelling its capitalization by about ten
million dollars, is finally to be dropped
The Gas trust lawyers have decided,
lust as The Times long ago insisted
they would have to decide, that there
is no use following their hopeless case
to the Supreme Court and asking that
BODY to give them eight OF ten million
dollars under a law that is repealed.
This case is the one growing out OF
the famous act of June 8, 1896. That
act contained provision for reeapitaliza-
ton of the gas companies, up to the
full valuation of their properties. This
valuation was to be determined by the
Supreme Court of the District. For
many wears no effort was made to avail
of the power. Then, some two years
ago. the Georgetown Gas Company APP
piled to the court to have a valuation
made; the court appointed a master,
and a valuation was made indicating
that the company was entitled 70 more
than double its stock.
The District government made fight
against this valuation and against the
law, and the Court of Appeals OF the
District held the law unconstitutional.
The Gas trust promptly appealed to
the Supreme Court, and there the case
has been hanging for a long time. After
the appeal was taken, Congress, at the
close of the last regular session, re-
pealed the very measure under which
the imitation was sought TO be accom-
plished.
The Gas trust set up the contention
that, "a their proceeding under that act
had been instituted before the measure
was repealed, rights had vested under
it, and the repeal came too late to de-
prive them of the right to proceed with
their increase Of capitalization. This
looked, indeed, like forlorn hope; and
that It was is indicated by the fact
that the gas attorneys have now given
and decided to drop their fight.
d this case finally dropped, the
mpanies are estopped from in
their capital until they secure
IN from Congress affirmativeiy
D. ing it. OF course, they viii now
seek TO secure that, and there viii un-
doubtedly be a bold attempt to bunco
Congress into giving them just what
they want. They are determined to
carve this huge melon. The insiders
who control the certificates of indebted
ness of the Washington Gas Company
are going to make the millions out of
1t, and the stockholders are going to
be squeezed, if pull and influence and
persistence can avail to accomplish it.
The issue mist not be misunderstood
by the stockholders. They should OPP
pose any project of recapitalization that
IS undertaken to be foisted upon them
by the present management, because
the present management is in the in
terest Of the certificates, not the stock
The big slice Of any melon viii 90 Ia
the certificate holders; and to the ex-
tent that value is injected into the
certificates, it viii be squeezed out Of
the stock.
Aside from this and altogether para
mount TO it is the interest of the
Washington public, which is absolutely
opposed to any increase of capitalize
Gion. There must be no such increase
unless 1t Is accompanied by a big re
duetion in the price of gas and the in.
auguratiOn of the sliding scale to gov
ern capitalization and prices Of gas
The Times appeals to the District Com
missioners, whose vigilance thus fal
has been most commendable, and to al
the people of Washington, to be OF
guard against the next move of tn,
trust