The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1916-09-20
END CAS- TROUBLE.
Kansas Natural Receiver to Go
Issue New Stock.
Higher Rate Enables Company
to Augment Supply.

Independence, Kan. Sept. 20.-Gen-
eral interest in the natural gas con-
troversy shifted today to this city.
when Victor A Hays, president of the
Kansas Natural Gas company. filed
an application in the Montgomery
county district court for the discharge
of the receiver and the restoration to
the stockholders of that great prop
erty, valued at approximately s16,-
900. 900.
This move follows closely upon the
recent motion of Attorney General
Brewster of Kansas, and the two mat
tiers have practically the same object
in view and seem to be in entire har-
mony. Mr.. Hays has, in this action,
the unanimous authority of the $50
stockholders of the Kansas Natural
Gas company, who recently proposed
a new issue of stock for the purpose
of discharging the $3.250,O00 of in
debtedness, netting sum of approx
mate1y $1,75o,00O for extensions of
pipe lines to reach more remote gas
producing fields and the institution of
a general system of improvement.
The proposed campaign of expan-
sion will place the property in the
very best of physical and financial
condition, and there will thus be in
sured an ample supply of natural gas
to the many thousands of patrons of
the natural gas service living in the
towns and cities, reached by the pipe
lines of the Kansas Natural Gas COM
pany.
Needed Advanced Rate.
At the recent meeting of the stock
holders committee in Pittsburg, Pa, it
was learned that an issue of new stock
and the successful underwriting of the
same by the stockholders of the or
ganization would be accomplished,
provided compensatory rates could be
secured and the carrying out of the
creditors agreement, by which the
debts of the company can be paid, be
consummated.
mo new capital could have been
secured without slight advance in
the cost of natural gas service" said
an official of the company today,
and there seems no doubt but that
the people of Kansas generally are in
clined to believe that because of the
much greater haul it is now necessary
to transport the product, it is only
fair that the company be allowed the
increased rate, especially since
many diSinterested authorities have
declared it impossible for the Kansas
Natural to continue operations on the
basis of the former rate
The justice and equity of the IN
creased rate is now no longer in ques-
ton he stated, land the towns and
cities served by the company are rap
idly accepting it. 1t is the general
opinion lndl gas dS liiO
c1eanest, most economical and most
enduring fuel known, should be pre-
served for so long a time as is pos
sible for the benefit of domestic con-
sumption The new rate will prac-
tically preclude the possibility of the
reckless use of natural gas in heat
ing furnaces and for industrial pur-
poses
Solve Entire Problem.
Mr. Hays, president of the Kansas
Natural has recently been acting IN
an advisory capacity to John M. Lam
don. receiver. who has been operating
the properties by authority of the
Montgomery county district court and
the federal court. With the rejuva-
nation of this great public utility
plant and the discharge of the recelv-
er there will no longer be occasion for
a continuation of litigation.
That a happy solution of the veN-
ing problem of an adequate natural
gas supply now seems assured, is a
matter of congratulation to the state
of Kansas, that vast organization
engaged in the precarious business of
public service has been preserved for
expanded usefulness.
1t is believed that when it is learned
that the application for discharge
of the receiver has been filed, any mis-
understanding which has existed over
rates and service will imm ediate1y dis
appear, and a feeling of mutually of
interest De restored between the Kan
sas Natural Gas company and its many
thousands of patrons.