New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-02-02
GAS DECISION STANDS
4 REHEARING REFUSED
By SUPREME COURT.
Consolidated Nay Try to Delay Re
bate Payments Year Waiting
for Formal Mandate.

Washington. Feb 1.-The Supreme Court OF
the United States to-day denied the application
Of the Consolidated Gas Company OF New York
for a rahsaring. The case involved the validity
Of the S0-cent gas law and was recently decided
against the company and in favor of the law
The company applied for a rehearing the
ground that ths decree OF the court was incon-
sistent with some Of the conclusions in the
opinion. The effect Of the denial is to leave
| Justice Peckham's decision standing.
Now that the United States Supreme Court
has denied the Consolidated Gas Company's pc
tition for rehearing. the Corporation Coun-
sells office and the gas companys counsel are
awaiting the mandate the former that judg-
nent with notice of taxation of costs amount
ing to about $4,000. may be made, and the lat
ter to determine just what to do next. There
was the suggestion Of hitch in the distribution
OF the money-over $1,000 OO0-by one of the
company's counsel.
When the mandate is received here the
United States Circuit Court will take up the
question Of returning the money to consumers
at once. This funds. excepting about $2OOoOO0
are In the hands Of United States Commissioner
Shields. awaiting the courts order. The $1,000
600 represents the amount in the hands Of the
company accruing from the overcharge since
March.
Charles r Mathewson of counsel for the
Consolidated, said yesterday that it would be
safe TO say that the company would obey the
law IL laid down
I'VE always obey the law" he added Just
what course this may require in detail it Is i'm
possible say in advance of the Information
as TO exactly what may be required by the man
date, or what. if anything, may be left to the
discretion of the court"
Mr.. Mathewson let it be inferred that the
discretion of the court" might be that the
100000 which the Consolidated is expected to
return TO consumers should not be paid out
until after a years test Of the SO-cent law has
been made He said 1t would be unjust practi-
cally to exact a penalty OF $2,6O0OOO. the ap-
proximate difference between gas at 81 and at
so cents IN one years business. to determine
whether an SO-cent rate would pay per cent
which the court held the stockholders were en-
titled to- and at the same time compel the COM
pary to distribute S7,OOO,0OO 10 consumers
which in the event of the trial showing that
the SO-cent rate was not high enough, would
De practically forfeited. However Mr.. Mathew
|. san said the mandate would determine the &C
tton If the company relative to the distribution
OF the money
william P Burr Assistant Corporation Coun-
seI who with Alton B. Parker, represented the
CITY Ia tho SUIT said that the mandate would
probably be handed down February 4. and
that judgment would be entered and notice Of
taxation Of costs made The $5OOoO. he said
renresen,ed referees fees printing and stenog-
raphers' bills The city on its own gas ollis
will have saved S600OOO UP to May 1909. and
tbe saving each year thereafter will be $50
OOO he said. The saving 10 consumers Win
gas al 50 cents will be STO0O000 year.
William R. Wilcox, chairman Of the Public
Service Commission, which was represented In
The suit said that the refusal OF rehearins
was a great victory for the people This decree,
he said meant that the SO-cent gas law was
constitutional. and hence became part Of the
statutes Of the state. Mr.. Wilcox said that
the decision would have wider scope than vas
GENERALLY, known 1t would enable the commits
sion tn demand that street railway companies
which alleged that the operation or lines was
not profitable make a test for a given perlod
20 bear out their contention.
Last month the Corporation Counsel began an
action against the New Amsterdam Gas Com
uanv to compel II TO refund Sl.2oSoOo In an
effort to force the companies to assume the
cost ~ distributing the money due the con-
SINNERS The case will be argued in the United
states Circuit Court On Friday. Mr.. Burr SAID
n was not lust that the consumers should be
rAouired TO paw anything toward the cost OF
getting what originally belonged to them
Thera has been some uneasiness among con-
get the refund if receipts were lost. The gas
companies have filed with Commissioner Shields
memoranda of all the bills there will be no
hitch in returning the money to those entitled
to it.
There was an understanding when the Con-
eoIidated decided to carry the case TO the United
s+atas Supreme Court that the Judgment of the
court would be accepted by the other companies
This was not formally stipulated, however, and
other
s,,;ts would he taken up. In that event only the
Consolidated Gas Company's money on deposit
a,d bald nv It would be refunded. The amount
.o+arv deposited by It with Commissioners
enia,ds with interest. amounts to S5O2O919 a.
rrba other companies have on deposit, with In
terest 81 O96. .412 81.
r-ouou-ine the announcement of the Supreme
Courts decision the stock of the Consolidated
Gas Company broke from 12115 TO 115%, falling
as much as one half point at time between
Gales Other leading stocks gave way In sym
~,a+bv hut the decline was only temporary, and
most Of the issues showed net gains for the day
a+ ,be close of the market. Consolidated Gas
rallied to 119. at which it closed, net loss for
the day Of pa points The total transactions in
the stock were 12,TO0 shares. The decline TO
11h% Yesterday was the lowest point touched
nv the stock in many months, an6 compares
with the high point of 1854 for the year on jan
nary + before the Supreme Court handed down
,+s decision unfolding the SO-cent gas law.