Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1910-02-11

probe very near to the door of j. Pier
pont Morgan. who. it is persistently re-
ported in financial circles, has quite
recently launched into the financial
arena of New Jersey.
Mr.. Wakelee is Il member of the
Senate Committee on judiciary, to
whose tender nercies has been CON-
mitted by Senate President Freling-
huysen, the resolution OF Senator VIII
liam c.. Gebhardt. of Hunterdon
county. calling for an investigation OF
the sitting of competition and of the
exorhitant rates charged in North Jer-
sey by the Bel Company under the
name of the New York Telephone
Company. He has served in the State
Senate since 1901. To committees OF
which he has been chairman in years
past have been referred the bills for
regulation of public utilities which
have failed of passage Last year he
held the utilities bills passed by the
House in his committee on corpora
tons. He has served as President of
the Senate. Acting Governor and as
majority leader in the House n Sen
ate.
Need of Investigation.
ll0 ~ 40" -
terday give promise of what might
follow 3 probe undertaken in this State
by IL Joint legislative committee. The
exposure OF the extortionate rates OF
the New York Telephone Company by
this newspaper and its insistent de-
mand for official action has stirred the
whole country. Like a tidal wave, the
statement Of the case against the
Phone Trust has swept over the
country, and. as in the Ohio
and Missouri cases. the people
are demanding that the destruc-
ton of rival companies by the Ameri-
can Bell be investigated and some
move made to force the trust to charge
uniform and fair rates for service. In
Newark. Jersey City and all North
Jersey the New York Telephone Com
pany charges enormous rates FOR lin
tied service. while fifty miles away,
where the Interstate Telephone Com
pany gives excellent Independent COM
petitive service for low rates, the Della.
ware and Atlantic. 4 part OF the Bell
system. sells unlimited business serv-
ice at rs per cent. less than in Newark.
MIR. Remick was unequivocal in his
declaration that Senator Wakelee was
the man who procured for 5000, 00e
bonds OF the Mutual Telephone Com
pany. Asked how the deal was brought
about, Mr.. Remick said under oath on
tho witness stand:
"Ie (Senator Wakelee) called me on
the phone and wanted to know II !
had any securities to SELL"
Senator Wakelee in a statement
to the STAR denied any on
nection with the Mutual Telephone
d4-l. He said that it was his partner.
Charles f.. Thornall, of Montclair who
had purchased the company and re-
fe.red a reporter to Mr.. Thornall.
"Mr. Remick is mistaken" said the
Bergen Senator. 81 didn't have any
thing to dc with the purchase or sale
of the Mutual. 1t was Thornall."
st am the man who bought the con-
troll of the Mutual" said Mr.. Thornall.
1T am solely responsible. Senator
wakelee's name must have gotten into
the thing because the firm name Is
wakelee. Thornall & Wright"
"Mr Remick says that Senator
wakelee' personally called him up on
the phone and opened the negotiations
by which the Mutual was acquired.
Is that true?" was asked.
Partner Says 81 Did It.r
"No. | am the, man who carried the
thing through Mr.. Thornall insisted.
II can see how Senator Wakelee's name
might have gotten into the thing.
When anyone calls up on the phone
the boy scys. 'Wakelee, Thornall &
Wright the firm name. It's probable
that the Senator's name was remem-
bered. while mine was forgotten"
Mr.. 7horuall's deduction l. right to
The extent of Senator Wakelee's name
being remembered.
did you then bug IN" ~ront"o1 of tive
Mutual Telephone Company" was
asked Of Mr.. Thornall.
II did: for some clients"
'NVho were your clilents?"
II do not feel that | can tell you
that now"
II personally was heavily interested"
said the Montclair man after a mo-
ment's reflection,
%Was the Southern Bell the client
for whom o purchaser"
'No. | sold the company's physical
lent and franchise to the Southern
Bell and now the Mutual is put out OF
business." said Mr. ThornnlI. Il re-
main the majority stockholder in the
Mutual company, ] did not part with
the bonds or stock"
But the sale of the plant and fran
chise renders the company worthless
and puts it out of business, does It
not?' was asked.
THE company isn't running now,
was the laconic reply.
when did you sell out?"
I'm January, last month, that Is. We
are winding up the affairs of the Mu-
tual company row., We are paying its
debts. among them old demand notes.
'Was the deal profitable? Did you
make much money on the transaction?'
II can't say how much was mad on
1t yet because We are paying the old
debts that we tool over. When we
took the company | supposed that it
amounted to something, but ! found
that it did not. The plant was no good
u it covered only the city of Hunt
ington. 1t had no toll service 1t was
not a self-energized plant, but a turn
the-erank system"
THE Southern 1ell evidently con-
sidered the franchise and property
valuable, did it not?" Mr.. Thornall
was asked.
II guess they did, Oh they wouldn't
have purchased it," he said.
How much stock does Senator
Wakelee hold?"
Not my. He doesn't hold any stock
or bonds. They are all in my name