Evening star., 1912-09-14
w. B. HIBBS is ENGINEER
OF MAMMOTH SCHEME
Control of Traction Lines, Gas and
Light Companies Proposed.
RECENT INCREASE IN STOCKS
New Venture Believed to Be Re-
sponsible-Attempt Made to
Markstrsedritie. in
Dew York.

With plans well matured. Ii is UNDER
stood. coterie OF Washington capitalists.
operating under a company known as the
Maryland and Virginia Corporation. and
capitalized at $30Oo0.0U, is proceeding
to the organization of a gigantic combine
to control and direct the affairs OF all the
public service corporations doing business
in the District of Columbia.
So quietly are the plans of the corpora
tton said to have been executed that only
within the past few days have rumors OF
the object back OF its MRnization
reached the ears of local busirxU men.
The publicity of the plan has thrown a
bombshell into the ranks of local off,
cials and others who have been working
In the interest OF public utilities COM
mission for the District.
Local street railway companies. the
gas companies and the Potomac Elec-
trio Power Company are the public
service corporations said to be involved
In the scheme. W. b. Hibbs. Clarence
F. Norment. George King and Charles
j. Bell are among those said to be
pushing the project.
Capital Stock Issued.
William B. Hibbs. who is credited
with being the chief engineer of the
| scheme. said this afternoon that such
corporation had been incorporated in
Richmond. Va. and that its capital
stock had been issued.
The company was formed to effect .
consolidation OF the street railway
| systems" Mr.. Hibbs explained.
Was not the gas company TO be in
cluded?" he was asked.
I'VE have not gotten that far" Mr..
Hibbs replied.
/ According to the report which has been
given circulation. the Maryland and Vir-
Srlv L. NSx.. 1Ss..l.
| authority to increase its capital stock to
$6O000.O0O. has been responsible for the
big advance In the price OF the common
stock Of the Washington Railway and
Electric Company. Within a year il has
doubled in price.
| The story goes that the proceeds from
the first sale Of stock of the new COR
pOratiOn were used in purchasing common
this was the beginning Of carefully
worked-Out plan to purchase a controlling
interest i'm all of the local public service
corporations.
Explanation Offered.
The explanation given by the railway
officials for the advance in the price OF
the common stock of that company, the
quotation having doubled within the past
nine months. was that dividends were, for
the first time, being paid on the stock. 1t
was claimed that the dividends could he
paid on account of the earnings of the
Potomac Electric Company, subsidiary
company.
While this appeared to be a feasible ex-
PLANTATION, the real stimulus that brought
about the increase in the price of the
stock. it is now claimed. was purchases
alleged to have been made i'm connection
with the Maryland and Virginia corpora
tion.
With a foundation for its plans laid
In the acquiring OF Washington Rail-
way and Electric Company common
stock, the corporation, according TO the
report, plans to dispose of more Sc
curities and, with the proceeds, to ac-
quire stock in other local public service
corporations.
1t is stated that the corporation is
endeavoring to market large block
Of its securities with prominent New
York bankers.
Speculation Is Rife.
The probable effect OF the .rryins ont
of the plans said TO he under cons,dcra-
tion by the corporation is causing great
speculation among Washington business
men, many of whom until recently did
not know of the existence of the corpora
tion.
1t is generally conceded that there is
nothing in the charters of the companies
to prevent the carrying out of the al
legged plan. The consensus of opinion is
that a common ownership of majority
of the stock held by the various public
service corp rations eventually would lead
to consolidation of the companies.
Public Utilities Stock.
The capital stock OF the public utli-
ties corporations follows:
Capital Traction Company, sl2.1oo1 y:
Washington Railway and Electric COM
pany. $s50O,OOO preferred. s6,5O0.oO0 COM
mon: Washington Gas Light Company,
81. 6OO.O
Bond issues are as follows: Capital
Traction 5s. s5,s6O.OOO; Washington Gas
ligh. 5s, s.. .SGG. 600: Washington Railway
As. $lO393, 600: Potomac Electric IS.
81, 10000: Potomoc Consolidated 5s.
s.. .O29, Coz: Anacostia and Potomac. s.
$1,000: Anacostia and Potomac Guar
antee, $462.GD: metropolitan Street Rail-
way, $1,S50.OO0: City and Suburban. ST.
10000; Columbia Railway, $l.JoJ,0W.