Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1911-04-07
RATE SUIT DISMISSED.
General Harries Hedges.
RETREATS UNDER COVER Or REcElyERsHlP

Attorney ana onerlH Tor MONTGOMERY cOun
ty for information as to the actual cost O
power and other items of operating ex
penses, the Washington and Rockville Rail
way Company on Friday last dismissed it.
suit to restrain the enforcement of the
Henderson rate law and went into the
hands of a receiver.
The statement furnished by Gen. George
II. Harries, Vice-President of the Wash.
ington Railway and Electric Company, tc
the press is as follows:
THE petition for the appointment of a
receiver for the Washington and Rockville
hallway Company to-day in the
United States Court at Baltimore-is the
logical and inevitable outcome of a condi-
ton which has become so troublesome,
complicated and expensive as to demand
definite and prompt action.
From its beginning the Washington and
Rockville Railway Company has been an
lnsolvent concern; its continued existence
possible only through the financial and
executive support so freely given it by the
washington Railway and Electric Company.
"A fare-reducing act passed by the Mary
land legislature at its 1910 session threat
ened arbitrary and serious diminution of
the Rockville companys earnings, render
ing necessary defensive action in the courts.
This litigation has already been so expen-
sive, and promised to be so much more
expensive, that it was deemed proper and
advisable to dismiss the suit for Injunction
and to ask for such relief as could only be
had through the operation of the Rockville
road by the court, proceeding that has
been long delayed, but which would ulti-
mately, no matter how the suit would ter
inmate. have to be entered upon.
Rational business administration clearly
demanded immediate action looking to the
collection of the large amount of money
due from the Washington and Rockville
Company, probably to be obtained only
through sale of the property, and this has
been taken by the Washington Railway and
Electric Company, upon the shoulders of
which corporation the Improbable and in
creasingly Improbable burden has been
carried for such long period.
Action by the Washington Railway and
Electric Company has as its basic object
the conversion of the Washington and Rock
vile Railway Company into an asset rather
than have it continue as growing LA
bility."
Mr.. George H. Lamar, of counsel for
the States Attorney and Sheriff. upon
reading the statement. said
THE wall from General Harries reminds
me Of dOggerel once heard:
The humble bee stepped on the elephants
toe
And the elephant cried, with tears in his
eyes,
You coward, you. why didn't you take one
of your size I
What are the factsg The Legislative
Delegation from this county at the last
session of the General Assembly. over the
stubborn opposition of General Harries,
secured the passage of an act fOrbidding
the collection of fare north of Alta Vista
for any shorter distance than the existing
zone lying between that point and the
District Line and forbidding the continu-
ance of determinations in Communication
tickets in favor of Washington and against
the County Seat of the county. This re-
suited in the road being divided into three
instead of four zones.
General Harries, with millions at his
command, decided to make his resentment
felt. Leading counsel of Baltimore and
Washington were employed and suit was
begun against the States Attorney and
Sheriff Of this county. officials without per-
sonal interest or public funds with which
to defray the expenses incident to the de-
Tense of the interests of the people of this
county.
Recognizing the helplessness of the
situation. State Senator Blair Lee lent his
professional aid gratuitously in the early
stages of the litigation; but. as the case
progressed it developed that certain ex-
penses would have to be advanced. To
preserve the proper professional prophecies.
with full knowledge of the court and coun-
sci for the company. he withdrew as coun-
sell
Through the diligent aid of Senator Lee,
preparations we're made for the defense
and the Chief Engineer of the Public Ser
vice Commission of the State and the Road
Superintendent of the county were secured
as experts in ascertaining the facts on
which the claims Of the company were
based.
Before the precipitate dismissal of this
suit, over 800 pages of testimony were
introduced by the company and access was
obtained to many vouchers. The record
in the case shows that notes Of the Rock
vile Company have been issued and are
owned by the Washington Railway and
Electric Company to the extent of $2S4.-
987.7l in excess of the Indebtedness the
company is allowed to incur under the ex-
press provisions of the laws of Maryland;
that of the $4,000 of bonds and $50 900
of stock issued upon the organization OF
the company, there is nothing on the books
to show what became of the proceeds
thereof; and no part Of the present prop
erty of the company is represented by this
sos 900 except the naked right Of way
along the pike from the District Line to
Bethesda Park. During the nine years
ending December 81. 1909. $l29,549.39
has been paid as interest out Of the earn
ines Of the Rockville Company to the Wash
ington Railway and Electric Company and
its predecessors as holders Of these notes
and securities. During the same period an
additional income Of S244. 216.13 was ex-
pended for operating expenses under such
system Of charges for power, salaries. etc,
as the holding company saw fit to impose,