The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1915-05-24
CITY MUST PAY

Continued From Page One
nlurrer filed by the Light, Heat &
Power company against the city's suit
to permanently restrain the company
from erecting plant additions and in
stalling additional equipment pending
the settlement of the citys condemna
ton proceedings
Bond Accepts Opinion.
City Attorney Bond is included
among those who accept this interpre-
tation of Judge Comstock's ruling on
the Injunction suit. He expressed sat
isfacton with the decision saying that
it prevented the company from Install
ing equipment which was actually not
useful in providing efficient service
TO its patrons, for the purpose of in
creasing the valuation of the property,
possibly to a figure which would be
prohibitory to the city.
Wilfred Jessup, attorney for the
Light, Heat & Power company, de.
clared today that he interprets Judge
Comstock's decision to mean that the
city has actually purchased the cleo
trio plant Of the company and that 1t
only remains for the state commission
to establish a purchase price. He also
declared that under the ruling the city
vas liza BILE for any damages the COM
pany may have sustained by loss OF
business during the time the lnJunc-
ton proceedings were in litigation,
but, he added, the company was not
contemplating demanding damages Of
the city
DO you also interpret Judge Com
stocks ruling to mean that the city
cannot withdraw its condemnation
proceedings now without the consent
Of the Light, Heat & Power conpany?"
Attorney Jessup was asked.
Option Binds Richmond.
He replied that Judge Comstock did
not touch upon this question, directly
or indirectly, in his decision but said
that it was generally accepted fact
that when one party to transaction
agreed to sell and the other party
agreed to purchase deal had been
contaminated; that the city could not
now withdraw it's condemnation pro
ceedings pending the establishment Of
a purchase valuation, which, If unsat-
isfactory to the city. could be appeal
ed by it to the courts.
President Bavis of the board of pub
lie works in expressing his opinion OF
Judge Comstock's ruling declared it
was victory for both the city and
the company.
1T is victory for the city because
the city is not required to pay for
whatever equipment the company may
install in its plant after April 10, the
date when condemnation proceedings
were begun. up to the time the trans
fer Of property actually takes place,
he declared 1T is a victory for the
company because the city will have to
pay the costs Of The Injunction pro
ceedings
Bavis Claims Victory.
Mr.. Bavis' version of the court de-
cision is quite different from the inter
probation PLACED upon it by City At
torney Bond.
1t was learned today that since last
March no fire insurance has been car
ried upon the municipal electric plant
by the city although the bonded in
debtedness of that institution is $139.-
600 Up to two months ago 100000
fire insurance was carried upon the
plant All policies lapsed in March.
Mayor Robbins today advised the.
board to take out 100000 insurance on
the plant. dividing the policies among
twenty local insurance firms. Appar-
emily nettled by questions as to why
no insurance was now being carried on
the plant and why he had asked re-
duction of $4,000 in insurance, the
mayor finally remarked that the board
had better drop the whole thing
Then he left the room.
1t is absolutely impossible for the
city plant to sustain a total loss by
fire and in my opinion 900 insur
ance is amply sufficient Superintend-
ent kleinknecht said Several weeks
ago, before the expiration of the poll
cies taken out a year ago, kleinknecht
advised against taking out any insur
ance at all this year. President Bavis
Of the board fayors insuring the plant
for at least eighty percent Of its des-
tructable valuation, which would be
approximately 100000. BY doing this.
he says. forty to forty-five perc
reduction in rates could be obtained.
There will be another meeting Of
the public service committee Of the
Commercial club this evening for the
purpose of discussing the election ser
vice situation.
The Jewish population OF the United