The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-10-10
|GOulO COMPANY
not BEHIND BID
Anderson Denies That Upper &
Co. Are Secretly Acting
for His People.
TELLS WHAT DIRECTORS DID
Resolution Instructed Officers
Not to Seek New Franchise
From City Council.
TELLS WHAT DIRECTORS DID


Arthur Upper 4 Co.. OF New York,
for the proposed lighting and power
franchise offered for sale by the city
OF Richmond 1t the request OF the
Richmond and Henrico Railway Com
pany. according TO Henry w. Anderson.
vice president and general counsel Of
the Virginia Railway and Power Com
pany.
Before leaving for New York last
night, Nj. Anderson was asked the
direct question II the bid Of the New
York brokerage Arm was presented on
behalf Of the interests he represents.
Nj. AnAersoa's Statement.
He said:
HThe board Of directors Of the Sif.
EiAia Railway and Power Company. at
its last meeting. held On September "a,
considered the natter Of bidding On
this franchise. I advised the dlrectors
that I had grave dosbts Of its validity,
and . resolution was adopted b. the
board At that time dlrecting that NO
bid be made ON behalf Of the company.
I an also In q position to state POSI-
tiyely that No one has been aathsF1sed
to bid on behalf Of Frank Jay GeHid.
Mr.. Could has just arrived In this
country AID knows nothing Of the sit
uation, havisx left the whole natter
In the hands Of the directors. 1 can
.t.te positively that neith>r the board
Of directors Of the Virginia Railway
and Power Csapaay nor she Gould
Interests have authorized any one to
bid On this franchise for then"
Mr. Anderson added that he had
heard Of the nrm Of Arthur Upper d
Co. as a stock exchange house OF
good standing. but he had had no per-
sonal dealing with II and did not
know members Of the arm personally.
Only Two Bids Received.
The pending franchise to use the
streets and alleys of the city for dis
tributing electric current was re-
quested Of the City Council nearly
year ago by the Richmond and Hen
rico Railway Company. 4 proposed
draft being submitted by Samuel L
Kelley, its general counsel A sub
committee on Streets recommended
number Of amendments and also that
the Council seriously consider whether
1t IL advisable to grant q second light
and power franchise, thus leading to
duplication of plant and investment
with the probability Of later CONSOLE
dation and increased charges TO pay
a return on the double capitalization.
Most Of the amendments recommended
by the subcommittee. designed 20
protect the city and secure the ac.
tuai construction u . plant by the
party securing the franchise, were
eliminated. and the proposed fran
chise ordered advertised once a week
| for four weeks as required by law.
Bids were received by the Common
Council last Monday night. Mr. KEEL
ley bidding SO for the proposed rights.
Judge George l. Christian presented
a certified check for $1,000 with a bid
on behalf Of orthur Upper c..
bankers and brokers Of New York All
papers were referred to the Commit
tee on Streets which will probse'y set
date next week to hear all parties
May Reject Any Or All Bids.
The city reserves the right to re-
ject any or all bids or to amend the
proposal and re-acvercise for bids
Before the bids were received. Mr.
Anderson announced that his company
would not seek to buy the franchise.
as he contends that IL fs defective in
in its present form. II will be con-
tested in the courts.
But the production Of An unexpected
bid from outside sources led to the
circulation Of a persistent rumor that
the New York brokers in one way or
another represented the Gould inter-
ests. though their local counsel Judge
Christian. had stated that so far as
he was Informed they had no connec-
ton with the Virginia Railway and
Power Company. Since the death OF
President William N0rthrop. Mr.. An
derson has been the active representa-
tive OF the Gould interests In Virginia.
and his emphatic denial is therefore
from the highest possible sources.
View Cs.es.y Isvessiesses.
Officers Of the Richmond and Hem
rico Company admitted yesterday that
they had heard Of the rumor of a
connection between the bid and the
Could interests. but they We're un-
willing to make any charge OF which
they Old not have proof. and would
therefore make no statement for pub
location. Both companies at present
In the fefn -esire the Committee on
Streets. ~ possible. to ind out the in
ten,ion Of Nests Arthur Lippe- &
Co. and who they represent-whether
third company is to be allowed 70
come into the Held. encumhcrinS the
streets with three sets 81 poles. wires
ard corduifs. Or whether the fran
cht.e. 10 granted. is to he he'd ss
mere rap.S asset for peculafive rur-
roses. ~ has been the contention OF
,orr. members Of the street Committee
from, the star; ;hat TIRE existing draff
sc aAvcrftsef d-cs not suricicntiS
guarantee the erection ~ plant by
IN. marty 10 WHOM, n may he granted
nor doe. :. require tho holder. In the
.v.,, Of SIS us~. 90 serve more than a
it-,i,es area IN TIE centre % the city.