Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1910-01-27
Resolution for Probe Of
Trust to Be Offered
at Next Meeting.
LEGISLATIVE ACTION ONLY
CHANCE TO, GAIN RELIEF
Demand for Regulation OF
Giant Monopoly Is Growing
Stronger Every Day.

otTOHXcT EVERY Ddy.
Rapidly grows the disposition of New
ark business men to resent the extor-
tion to which they are subjected by the
telephone monopoly. Their indignation
has crystallized into q. distinct desire to
have the subject of exorbitant and un-
fair rates, as well as the abuses pointed
out in the EVENING STAR, threshed
cut by legislative inquiry conducted
by ioint committee of the Senate and
Assembly, and Attorney General Ed
mund Wilson, who was directed to in
vestigate and advise the lawmakers,
will in all proba ability recommend that
this course be taken as the only proper
way to correct the telephone evils.
The grip that the telephone trust has
upon the Senate became mildly asser-
tive last Monday night, when Senator
Gebhardt, of Hunterdon, introduced q
resolution directing the attorney gem
eral to inquire into the situation and
report back to the Legislature without
delay the most feasible course to pur.
sue. The disposition of the Republican
senator's most of whom enjoy telephone
and telegraph franks, was to sidetrack
the subject Majority Leader Acker-
man moved to railroad the resolution
to the judiciary committee, where it
might be smothered unless the public
cry for relief becomes too noticeable.
The EVENING STAR is constantly
receiving letters of commen datlon from
prominent local merchants for its fight
and urging its continuance TO Il success
full issue Public sentiment against the
telephone monopoly Is growing 50
strong that 1t is believed that even the
i Bepublcan corporation lawmakers viii
be forced to act.
New Resolution Coming.
A resolution similar to that intro
duced in the Senate, or perhaps more
strongly worded. will be presented in
the Assembly next Monday night by
-Assemblyman John Matthews. 1t is
on the cards at Trenton that Minority
Leader Mark A Sullivan, Assemblyman
Joseph Tumulty and other members
will have things to say upon the tele-
phone situation as it exists in the
northern part of New Jersey, and more
especially in Newark and Jersey City
The New York Telephone Company,
owner of the entire Bell system, is fast
growing into n bilion-dollar trust BY
securing control of the Newark Tele-
phone Company in this city and the
F. Hudson Telephone Company in Jersey
City. the trust has stif1ed competition
Ia thesethc two largest cities of New
Jersey--and has increased the rates to
alarming and eXtortionate, mayhap un-
lawful figures. The telephone rate in
Newark is three times that charged
by the same company in many other
cities of the same size and even larger
throughout the United States
Should the legislative scalpel be APP
Piled to the telephone trust in New
Jersey it would be simply following in
the footsteps of the New York state
Legislature, which is now delving into
the trusts affairs. The recent merger
of the telephone company and the
Western Union Telegraph Company,
backed by ]. Pierpont Morgan, whose
shadow has been cast OF late over the
financial area of New Jersey. coupled
with the trusts desire 10 obtain con-
trol of the Postal Telegraph Company.
also. was the incentive for the Empire
State to act Excessive rates pri-
marty furnish the reason for the do
mand for action in New Jersey The
New Jersey authorities could profit
largely in its investigation by the work
already accomplished in New York
State. Tho telephone company hcre
but few years ago was only . pro-
gressive corporation but 1t has ex-
! banded into a commercial octopus
Other Companies Failed
II is not the purpose of the EVE
i MING STAR at this time to sketch the
growth of the telephone trust to its
present colossal dimensions, or to de-
scribe now as may be done later. the
fate of the various corporations which
: have undertaken to establish in New
/ ark, Jersey City and other cities. a
{ real or Hypothetical competitive eerv-
ice Some Of these enterprises nave
been unquestionably undertahen in
good faith, but today none of them is
Formidable Senator Harry Y osborn
says he is in a position to prove that
the sleepy Newark Telephone Com
pany IS owned, body and soul. by the
trust while Senator Gebhardt openly
charges that the Hudson Telephone
Company, Of Jersey City, IS likewise
situated. This big trust stands an un-
disputed master in the telephone
field bcrsabouts. Officially this mighty
], corporation is called the New York
Telephone Company. Formerly this
section Of the system was known as
the New York and New Jersey .Tele-
phone Company. and in the haysA OF
real competition it was the Bell phone
In taking up the problem of relative
rates IN Newark and other cities, it
L 4 IL
mate solution of the problem. men who
have studied 1t most carefully look to
legislative regulation and restraint of
the monopolistic, corporation. rather
than to competition with 1t by in.
dividual capital. The public telephone
service, they say, is a national mon
opoly IT the service Is efficiently rem
dered and the rates reasonable it Is