Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-09-19

would be made as to the size of the plan.
He replied that he thought it would be
made soon, as the summer was over and
men interested in the matter were return
Ing to Washington.
Mr.. King said that upon this decision
would depend the extent of the plan
whether an effort would be made to pro-
vide for the ownership by the holding
corporation of all the street railways Of
the future in Washington and also the
other public utilities.
AT present" said Mr. King. lit is
contemplated to look after our own
system. No effort. so far as l know,
has been made to effect consolidation
with the Copital Traction Company. or
to take in the gas and telephone COM
panies. If such holding corporation
were formed it must necessarily go into
hundred millions or more"
Mr.. King referred to the fact that
Congress was continually enacting laws
looking to extensions and improve
ments in street railways without con-
sidering where the money was to come
from to pay for these improvements.
He spoke also of the long delays which
have been experienced in obtaining legis-
lation required by the District. the infer
ence being that II the Washington Rail-
way and Electric Company sought to
increase it's bond issue by act of Congress
the matter might be years before Con-
gress before action was had.
Cap1Cal1Zcu at ToO,OOO,OOV
At present the Maryland and Virginia
Railroad Company is capitalized at
$50, 600. 600, and 100000 of stock has
been sold and the proceeds used to pur-
chase stock of the Washington public
service corporations. Mr.. King said that
the new company did not yet own the
controlling interest in the Washington
Railway and Electric system.
He said that il was planned to sell as
much of the stock and bonds OF the new
corporation in Washington as possible.
but that undoubtedly it would be neces-
sary to place much of it in other cities.
OF the stock already sold, he said, much
lis held in New York and Philadelphia
and further west.
You cannot compel any one to sell his
stock said Mr. King. but We hope to
show the stockholders of the old COM
panies the advantage to be derived from
the new plan. They may hold their stock.
or sell it. or trade it for bonds in the
new corporation. The stockholders will
have TO pass on the plan. in any event"
Mr. King said that there was nothing
secret about the plans for the new cor
poration. He said that the corporation
had been organized year ago, and that
the stock had been sold on the curb in
New York.
THAT doesn't look as though the cor
poration was a secret, does it?' he asked
with smile. Mr.. King declared en-
phatically that no stock jobbing or specu
lation is involved in the formation Of
the new or holding corporation.
Judson's Stand Is Approved.
President William NICK. Clayton of the
Federation Of Citizens Associations. and
other officials of that body, today called
on Engineer Commissioner William v.
Judson to express their appreciation of
the stand taken by the Commissioner in
disappearing the reported plan of the
NEUTRALITY-SUSPICIOUS. corporation, known
as the Maryland Virginia Company. to
absorb the public utilities of the District
of Columbia.
The Federation of Citizens Associa
lions has consistently urged favorable &C
ton by Congress on the plan for the es-
tablishment here of a public utilities COM
mission. President Clayton told the En-
of the proposed merger has the hearty
Endorsement of the federation.
The attitude of members Of the fedora
tion. said President Clayton. us that the
ultimate use of franchises belongs to the
public. Corporations should hold fran
chiseS merely as trustees of the public.
Any proposed merger of local public uti-
tiles which would not first take into con-
sideration and provide for the interests Of
the public would be in violation of the
principles under which charters are is
sued The federation will do all within
its power to aid the Commissioners in
their effort to obtain for the District of
Columbia public utilities commission"