Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1914-03-19

The valuation fixed by the public serv-
ice commission is considerably lower
than that OF gate Tax Commissioner
Plumley. the difference in the cases of
the principal companies, except in the
case of the Passumpsic company, being
as follows:
New England Telephone company, value
assessed by tax commissioner, $2,025O 600;
valuation by the public service commits
sion, sl,569, 1896.
Champlain Valley company, value as
sessed by tax commissioner, 100000
valuation by the public service commits
sion. So. 24i5a
Franklin County company, value as
sessed by tax commissioner, $4,000: val
uation by public service commission, 49,
1925
Vermont company, value assessed by
tax commissioner, $4,000; valuation by
public service commission, s239,7G99l.
Passumpsic company, value assessed by
tax commissioner, $4,000: valuation by
the public service commission, si3j go.
The commission finds that the New
England's subsidiary companies, with
the possible exception of the Vermont
company, were organized for the pur-
pose of suppressing competition and
large sums were used by these com
panies in the purchase of plants at high
valuations, and some of these plants
when acquired were scrapped. The
New England company has been ac-
tive in the suppression of COMPETE
ton and in financing the subsidiary
companies for that purpose"
The order says that Gin view of the
fact that these companies have n vir-
tual monopoly of the telephone busi-
ness within their respective territories,
we have determined that they are en-
titled to earn six per cent. on the value
Of their respective plants and upon
their other assets used in the bust
ness. This order does not apply to the
Passumpsic company because it is
claimed the company was iradvisedly
given the right to increase it's rates
and finance by n previous public serv-
ice commission so that the state has
no right to order "A change.
Commissioner Warner who was n
member of the previous commission,
| files a minority report taking excep-
lions to many of the holdings of the
majority.
The Now England company an
nounccs that an appeal will be taken
to the supreme court of Vermont. The
principal part of the report follows:
lCHAM2LAIN VALLEY TELEPHONE
COMPANY.
| The Chsmplain Valley Telephone COM
pany Is corporation organized jHay q,
1906, under the laws os Maine by the Nav
England Telephone & Telegraph company
| through It's officials Prior 10 tho incor-
| ,rorauon Of the Chamnlain company, the
New England company owned and operat-
cd n telephone plant in Brandon, Middle
| bury, Nergcaacs. 3aliabury, Leicester AID
NeT IInvco, which plant wac operated in
| competition with plants owned by y. NJ
| MCu.ton, Addison County Telephone COM
panY, y. l.. Kelley and one or two others
in certain &C said towns The CHAMPAIGN
company was organized for the purpose
Of purchasing and consolidating these va
rioue competing plants. Thu competition
must have tcen disastrous to certain of
the competitors Tor II appears that Just
prio. 20 tho absorption o. the Addison
company's Elan: by the Champla.n com
u pany, there were five Judgments against
the Addison company amounting to ST.
742 r. which judgment had been previously
purchased n the New England company.
The New England company, having ac-
quired these judgments against the Add
\ son company, paid that company $40 for
! the equity in its plant.
On February 2S, 1906, the New England
company sold its plant in Brandon, Mid
dlebury. Vergenncs, Salisbury and Lcicos-
ter also the telephone plants which It
, had acquired from +. VI. Moulton, located
In Ncrgcnnes, Ferrisburg, New Haven,
Monkton, Waltham, Bristol and Charlotte
and the plant OF the Addison company,
: which II had acquitted as above stated,
to the Chnmplain company, receiving pay
therefore m stock. At various times from
1906 to 1911, the ChamplaIn company pur-
chased from other companies and individ-
} GALS various small plants and sections oil
plant.
: On April 10, 1906 the New England
, company through its officials organized
: a corporation under the laws of Maine
. known as the Peoples Telephone COM
r pany. The New England company had
previously expected that upon the or
; ganization of the Champlain company
3 one Frank Il. Chandler who owned q
G telephone plant at Brandon, would eX'
. change his plant with the Champlair
= Chandler decided that he did not care tC
do this but preferred to have his plant
i operated as a separate company ovel
which he could have direct management
4 As u result OF Mr. ChanQleT'S decision