The Washington herald., 1913-02-26
UTILITIES Law
MUCH DESIRED
Financial Washington Wants
Measure with Amend
mentS.
DAY In THE MARKETS
Wall Street Bears Are Dominant.
Baltimore and Ohio
Jolted.
By 1. A. FLEMING.

n
Financial interests of Washington would
be pleased to have the present utilities
measure. with slight alterations. become
law. The general opinion in financial
circles is opposed to having the Commits
sioners of the District serve on the COM
mission, and is strongly in favor of the
appointment of business men, who VIII
be able to engage at regular and current
rates all needed legal and engineering
talent, when conditions that require their
services arise.
The feeling is that men Of larger caliber
than 5000 a year men should have charSe
of this all-important question. and that
the commission, to be appointed follo~-
ing the passage of such law. should
not be hampered, in an effort to satisfy
the needs of the District. by the La Fol
lette anti-merger measure.
If II is in the interest of the people OF
the District for mergers under the ST.
pervision of the utilities commission, II
they can obtain UNIVERSAL transfers with
ont cost to them: IL cheaper gas is pos
sible: If they are 10 be favored in any
way. and the utilities commission Is united
in favoring such merger. then there
should be no law on the books TO nullify.
The District of Columbia has been the
victim Of over-reguiation on the part OF
Congress. Represe natives antagonistic
TO its interests have been placed at the
head of the most important committee
so far as the District is concerned. More
over. the La Toilette measure would clip
the wings of the proposed commission
before it is created, so that its powers
would be limited and curtaied to great
~ extent than the authority OF any
State utilities commission.
Faulty ProyfsiOn.
The clause providing for the dissolu-
tion of any public utility corporation
would permit any shareholder, or the Sill
preme Court of the District, on the appl-
cation If Commissioners or District At
torney. 10 begin action. if any other cor
poration shall own at least 20 per cent
Of its stock.
Would it not be possible for any utility
corporation desiring to put competitor
out of business to acquire in the open
market y pei cent of its stock?
Control, or even stock holdings is
not always acquired by corporation sell
ing its stock II is frequently bought in
the market.
The District of Columbia needs less
regulation. Real estate men elsewhere
conduct their business much after the
IA shion of the day here, except they ask
more cash payments. Signs of more
than one broker are found on parcels of
land in nearly every city.
Th,. ruling Of the Capital by Congress
men should he more on the nDeraI lines
Of their home towns, and they should re-
serve their narrowness for less EIpor-
tant centers.
Not Retroactive.
The massage of the La Toilette bill
would in no way hamper operations that
have been carried to a conclusion. The
merger of the Washington-V Virginia Rail-
road Company with the Washington Util-
titles c mDany is a fixed fact and the
latter corporation, as a matter OF TACT Is
to-day the owner of a sufficient quantity
Of the capital stock of the Washington
Railway and Electric Company to prac-
tically be its owner.
The holdings of the Washington Gas
Company in the capital stock of the
,.elI getown Gas company would not be
involved in any way by til"
measure-if they are legal now, they
would be legal after its passage, or vice
versa.
Not being retroactive. the La Toilette
measure. if enacted. would not nave any
effect on the concluded matters.
1t is easier to handle one utility cor
roration than four.
Concessions can be obtained for concess
Sions
The men who have been important and
TO the fore in the creating of the Wash
ington of to-day arc opposed TO such re-
strictive action as the La Toilette bill
and certain other drastic measures now
before Congress.
baltimore and ohio Jared.
The Baltimore and Ohio Railroad Com
rany received Earring yesterday after
noon when Judge Gorter. in the Circuit
Court of Baltimore. sustained the ap-
plIcation of the Public Service Comrnis-
sion to prevent the issue of s625o,Wo
bonds, which were to be sold and the
proceeds used for betterments and re-
funding.
The court held that the Public Service
Commission would have to give the bond
issue its official 80. K.' before the bonds
could be legally issued.
It is probable that the Baltimore and
Ohio will carry the case to higher courts,
as ii is an important matter and may
also involve an important tax question,
aggregating $4,000 annually.
Other Jolts.
The Union Pacific Railroad Company
was jolted and rather severely by the
Public Service Commission of California,
which refused to sanction a 9s-years
lease of the Western Pacific.
Another jolt followed when the State
courts interfered with the proposed re-
organization plan. which may eventually
force the Union Pacific and the Southern
Pacific Companies to make an entirely
new plan for carrying out the edict of
the United States Supreme Court.
Local Securities.
The local market was active in a small
way, odd lots being the rule, save In
Lanston. where a number of 20-share
lots were recorded. Lanston was weak,
breaking to 81 and later to S6a. Mer-
senthaler, on the contrary, was reason
ably steady at 2Ie A small lot of rail-
way preferred sold at Ss!s and of Trac-
ton at 123la.
Washington Gas sold and was offered
at IS L., no pressure. A bid of Sc was
made for Georgetown Gas, none offered
under LIS, although much less than this
price would be likely to bring out some
stock.
Odd lot of Union Trust at 136 1-2 and 10
shares OF United States Trust sold at
l3s the first for some time under 140
Bonds were slow. only one sale being
made, Railway per cent at S Is
Bears Rule Wall Street.
YESTERDAY was another day of melting
prices. with a partial recovery before
the close. The gossip tells the story Of