The Hawaiian gazette., 1916-07-28
ALL SIDES PLEASED
WITHcOURTRUE|NG
Rapid Transit Company and Ter
ritory Both Satisfied Victory
Has Been Scored
However, II Governor Appeals
From Decision Railway Ex-
tension Win Be Held Up

court s decision in the Rapid Transit
case is that everyone appears satisfied.
ms n victory for u.s." said Gov
'rnor Pinkham.
"It's about fifty fifty" declared 1.
4. Stainback, attorney general, who
added that the Territory will now
have to find out what are those ex
'ess profits referred to in the decision
m page seventeen
Naturally, the Rapid Transit com
amy has no criticism of the decision
to make said Attorney Wilmington
If Castle & wilmington, coupsel for
he company, &c.,,
officials of the company appeared TO
feel that their fight had been won, oil,
hough they admit that the improve
ne nts they wish. 10 carry out will be
blocked for time IL the Governor de-
'ides to carry the fight to the ninth
circuit court Of appeals, and there is
he possibility that the decision may
= feet the action of the public utilities
commission on the proposed new char
ter, now pending,
Extensions May Be Delayed
Manager Ballentyne of the company
pointed out that continuance of the
fight will almost certainly hold up the
olans of the company for extensions
and other improvements. He said
"1f the decision of the supreme
court here is appealed TO the ninth cir.
'uit court of appeals, we would not be
justified in proceeding with costly i'm
nrovements.
"Then, too, there is a possibility
that the Territory might start a suit
or an accounting, having claimed that
here : something ike $26S.00O due
he Territory from the company--a
lain which we. of course, absolutely
deny. Should suit of this sort be
entered, it would prevent our going
head with contemplated improve
ments
THE Rarid Tnnsit company is
anxious to make these improvements.
Ne hope to see the whole thing lat
led now, to have AZ agreement
cached on a sound, fair, business ba-
is and to go ahead. But it is obvi
'us that if the litigation is continued
We cannot spend money in improve
nents. No adverse decision is feared,
nut we would have to provide for
rertin~ il should il come about"
Finds No Bargain, 90 .,iA,
NATURALLY, the Rapid Transit com
10ny has no criticism of the decision
% make" was the comment of Attor-
7ey Wilmington. "httentiOn might
" drawn to the fact that the supreme
court knocks out the argument we ad-
vanced Of an implied bargain between
ourselves and the people for the issu-
nncc of capital stock to $1,000, 600
referring now to the agreement
reached in 1913 by the company, the
merchants association, Mr.. Ivers and
those then interested in the passage of
= satiFfartOrv franchise act by the
territorial legislature. The court.
passing upon the question in this suit,
holds that there was no such bargain
binding, and the finding by the court
is that v" arc entitled to issue up to
very nearly - 800 600"
w. X Castle said:
cit should be stated that there is
no intention At present to issue stock
to this amount. In fact, no increase
may be made at all now, and if we dc
drcidr on an increase it will probably
nit take the total stock oveI
II 600, 900 - #Er
Plans for Extensions
The company is planning 10 double
track King street. to extend tracks t.
Fort Shaft"r and to Fort Ruger, and
to make other improvements of the
sNstcm and service. as announced some
time ago in the columns of The Adver
tiser.
There * some fear that the decision
will ruu&" abandonment of the pro
posed new franchise by which the pub
lie utilities commission planned I,
wipe ont the objectionable features oI
the old chnrter and draft new bill
which would meet the demands of tn
company and pubic officials. II
speaking of this AZURE of the situa
tiOn, az created by & y supreme co TT =
decision, Yesterday. A. u, ~Ignoux, ont
! If the utilities commission, said tina
the matter would be taken uD and dir
cussed at the first meeting of the com
mission, but at the meeting yesteTda,
afternoon the matter was not touched
upon at ;ll. Gignoux added that tn,
charter blll is now in the hands of tn
Governor. Commissioner William
said thut h" had not studied the deci
sion, and preferred not to talk abOu
, II until he had done so.
! 81 am not going 10 make any def
mite statement regarding the suprem
court decision on the Rapid Transi
r company case until | have had NOR
time to think it over, but , regard i
{ Ms victory for the Territory" sal
: Governor Pukham. He added tina
3 "therP is no new charter going /
% Washington right away. l do no
Q Know that it will go at all. I shaI
4 take my own time in determinin
these things'
.: Court Sustains Territory
3 Attorney General Stainback sal
that the court had sustained the cor
tentOn Of the Territory as to- exc6s
ineOme, but not az 10 bonds, A." Justic
Watson agreeing with us that tn
company has not tho right TO capita
r we excess Income invested in propPrt'
y hirh excess income otherwise wouI
4 baUa IprU DuyuhIo RI tho -