The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1913-08-28

The suit brought by the United
States questioning the purchase OF
certain telephone properties in the
northwest, as Well as the pending IN
terstate Commerce Commission tele-
phone investigation. have caused
many inquiries. Without taking up
anything going to the merits OF these
proceedings, IL has seemed to- us
proper to state generally what has
been our policy and purpose IN the
conduct of our business.
We have found. or thought that we
had, that our interests were best
served when the public interests were
best served: and we believe that such
success as we have had has been be-
cause our business has been conduct
ed on these lines.
We believe that our company has
an interest as vital as that OF the
public In the proper administration
of the problems OF electrical inter
| communication. The success and
prosperity of our company depend up.
on a solution OF these problems which
shall be sound from both the stand
point of the company and the public
which IL serves.
| Following our own best Judgment
supplemented by the best obtainable
advice, we have endeavored to do
what would best serve the public In
terest: wherever possible our plans
have been disclosed to the public In
advance, and what has been done IN
carrying them out has been along or
binary business lines. with the I'M
piled. and generally with the express
ed approval. authorization or consent
Of the municipal and state authorities
directly interested. Our effort has
been not only to obey the law. but
to avoid everything which might even
have the appearance OF an attempt
at evasion.
our business methods and policy,
and practically all of the details az
to the transactions of our business,
are matters of common knowledge
and are. and for many years have
been. we'll known to the government.
We will willingly furnish the govern
ment any additional information
which Is In our possession or under
our control, and will cordially coop
!, crate with 1t In obtaining such fur
Their Information as 1t may require
Every possible assistance will be Civ.
en- by us to the courts In their efforts
to determine whetheS our policy is or
has been inimical to the public inter.
est. We desire that anything wrong
be corrected: we will voluntarily rec
tify any wrong that may be pointed
out to us: and, SO far as 1t may be
determined that our policy or any
act under 1t Is against the public in
terest, we will promptly conform to
such determination.
; We believe that, 4 zach AZ bur exr
lchanges were made an Independent
unit and II each connecting line were
!put under q separate control. the ef-
feet upon the telephone service Of the
country would be condition 90 in
tolerable that the public would refuse
to submit to 1t and would immediate
Ily require such physical connection
land common control Of these various
units as would amalgamate them into
q single system. Physical connection
In the case OF telephone or telegraph
does not mean transfer OF messages
; from one line to the other. II means
such a connection as will permit one
pers0n to have the actual possession
, Of the particular line OF communica-
Z ton from one end Of 1t to the other
, and this can only be given efficiently
by exchange systems and connecting
lines under q common control; and
that Is what the Bell System Is.
In this connection and for general
: information. we will restate the pol.
Icy which controlled the building up
Of the Bell System, and our belief az
to what q telephone system should
be. and what are its relations to the
public.
We believe in and were the first to
advocate state or government control
and regulation Of public utilities:
that this control or regulation should
be by permanent Quasi-judicial bodiea
acting after thorough investigation
and governed by the equities of eacn
case; and that this control or regu.
lation, beyond requiring the greatest
efficiency and economy. should not
interfere with management or opera
ltion. We believe that these bodies
II they are to be permanent, effective
and Of public benefit, should be thor.
oughly representative they should
be of such character and should so
, conduct their Investigations and de-
4 CiotiOub do W COnIuhuQ BuC0 To-
spect from both the public and the
corporations that both will without
Question accept their conclusions.
We believe that the public would
In this way get all the advantages
and avoid all the manifest disadvan-
ltages Of public ownership.
!: We believe that centers of business
and population exist for the conven-
fence Of the public a. q whole. and
that no such center can prosper with
|out sufficient and efficient means OF
intercourse with other centers and
| tributary territories. that such means
can only be afforded by prosperous
utility and service companies and
that fair rates are essential to pros
porous companies. We do not be-
1--we that any public either desires
or can obtain. nor can any service
Or utility furnish permanent and ef-
hcient service at less than cost, In
Guiding capital charges. We believe
that ultimately the public either d.
rectly or indirectly pays the losses
involved In the efforts to furnish
such service at less than its fair cost,
either through the loss of the capital
involved, the losses incident to poor
service or the necessary increase In