Perth Amboy evening news., 1910-02-16
HEARING ON
RATES FOR
TELEPHONE
Especial Correspondence.) }


Trenton. FEB. 16.-When the
hearing of the Judiciary Committee
Of the Senate and the Municipal Cor
porations Committee Of the House on
the resolutions TO investigate the ex-
horbitant rates being charged by the
New York Telephone Company In
North Jersey, was called IN the Sen
ate chamber yesterday afternoon,
Senator Wakelee, of Bergen county,
made statement in which he said
that he had been attacked by a news
paper and his right to sit as a mem
Der Of the committee on the tele-
phone hearing was questioned Sen
ator Wakelee said that II anyone in
the chamber could produce a sub
stantial reason why he should not
act on the committee, he was willing
to retire.
No Objection to Wakelee.
Former Sheriff Frank Sommer, Of
Newark, arose and said that he rep
resented the paper referred to and
he announced that he had no objec-
tion to Senator Wakelee acting on
the committee. Sheriff Sommer said
he preferred to have Senator Wake
1
The hearing was to secure views as
to whether or not the resolutions
providing for an investigation in the
telephone rates should be reported
favorably. There we're only two
speakers, one on each side, Former
Sheriff Sommer for the reporting of
the resolution, and Hugh N. Bethel,
against the reporting of the resolu-
ton. Mr. Bethel resides at Montclair
and is the vice-president of the New
York Telephone Company and presi-
dent Of the Delaware and Atlantic
Telephone Company The hearing
was adjourned to Thursday, Febru-
airy "a, at 1880 o'clock.
Sheriff Sonmer's Argument.
In opening the argument, Sheriff
Sommers said that while he was at
the hearing as the paid representa-
tive Of newspaper, still he asserted
that he would not appear before the
committees If he was not satisfied in
his own mind that there was need Of
remedial legislation. The speaker
said that because of the character of
these companies, it is incumbent up
on them to present an adequate re-
turn to its subscribers. He showed
that while the subscribers had re-
dress in the courts, If they thought
an exhorbitant rate was being
charged, the great expense attached
to such a proposition put it out OF
the question and 1t was for this rea-
son that the matter was before the
legislative committees.
Referring to the city of Newark,
Former Sheriff Sommer said that 1t
had a through line company and a
local company, but he asserted
strongly that competition was stified
by the fact that the local company
was influenced by the New York COM
pany. Regarding the question of
| rates, he said that perhaps that prop
| osition had something to do with the
reason as to why the local company
was not dissolved or taken over. He
compared the rates of Newark with
Buffales Rochester, Syracuse, Read
i ing, Providence, Minneapolis. Louis
!. vile, St. Joseph's, Milwaukee, am
claimed that it was enormously Il
excess of those cities. Sheriff Som
mer said that the evidence which h,
presented to the committee made ou
| the prima facie case on which he
thought the committees ought tC
base its action for an investigation.
Compsny's Reply.
Mr.. Bethel in reply admitted that
the laws of New Jersey vested most
unusual powers in telephone compa-
nies, but not more than they de-
served. He said that he had not the
| slightest doubt but that he could
show that the rates were not ex-
horbitant and that the service was
of the highest class Mr.. Bethel
claimed that out of 10000 subscrib-
ers which his company has at the
present time in Newark and vicinity,
there are but two who pay the rate
quoted by Former Sheriff Sommer
He showed that the New York COM
pany has twenty-five subscribers who
do not pay over $3.50 per year, 243
who do not pay over s100 per year,
and $3.50 pay S4S or less. He said
| 5000 residences paid $50 and the
average rate in Newark for all sub
scribers was $4331. Mr.. Bethel
claimed that so far as the company
was concerned 1t had been unable to
find any such dissatisfaction as has
been claimed to exist He further
said that the character of service rem
| dered in New York and North Jersey
was such as is rendered in no other
part of the world.