The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1916-12-22
RATE HEARING or. =. =.
inter- islands ~.
ALMOST COMPLETE
Commission Ready To Begin Re-
view Of Testimony and Pre-
paration Of Report
SOME ADDITIONAL DATA
IS ASKED FROM COMPANY
Attorney Warren and Judge Wat
son Clash Over Questions of
Evidence In Case

The public hearing in regard to the
Inter Island Steam Navigation Com.
pany was virtually completed by the
Public Utilities Commission at it's reg.
ular weekly meeting yesterday and
Chairman Charles r. Forbes announced
that the commission would at once be-
gin a review of the testimony with a
view TO arriving at final decision as
to the questions at issue.
Mr.. Forbes Informed the represent
atives of the lntcr-Island that in ease
the commission desired further testi.
mOny along any lines, the company
would be notified and told what was
wanted. The Inter Island VAS instruct
ed to prepare and file with the commits
sion certain documents. These included
balance sheets IN the liability side Of
the ledger. for the past four years, and
also figures showing the sales of each
department of the company to other
departments and to outsiders, and tho
profits made.
To this hast l.. J. Warren, attorney
for the company, objected. These fg-
ures, he said, would be exactly what the
Inter Island s competitors would like to
have. "ThPy are just what the Jap
anese would like to get, - he said. War
rem argued that the company should not
be compelled to furnish such figures
but would not object to showing per
,centaGes, which he thought would an.
''wcr the purpose equally well. No
final decision, howeNpr, was reached,
and Commissioner Garden, who had
uslc.I for the figures, did not modify
his request.
Judge Watson Seated
Judge r.. NJ. Watson took his seat
with the comm ssion as its attorney, in
place Of Judge Coke, who resigned to
20 on the bench. Chairman Forbes
unmarried the proceedings of past SEES
1oAs for his benefit.
Matthew NJ, Graham, special auditor
employed by the company, submitted
two stutqmCnts at the beginning of the
session, and these were filed by Attor
ney Warren. One, Mr.. Graham said
VAS II statement of funds and cash as
sets held against them, for the years
1908 and 1918 inclusive. The other, he
laid, was a statement of the percentage
Of dividends paid on actual invest ment
; from 1906 to 1918.
IT was stated later in the session by
I Attorney Warren that these statements
were filed ''tO rcfute Mr. Field 3 un-
! founded statement that there was no
cash ut any time to cover various
! funds. -
Graham explained that the fret state
ment wuS filed with the intention of
showing that the Inter- Island had on
II; mi at I'll times cash assets TO meet all
III" funds, except in 1908, when the
\ funds amounted to 100000 and tn;
cash assets 10 only $575,00O. In reply
. 20 question by Chairman Forbes he
stated that the cash assets were always
"grtahI"' ON demand
Forbes asked many questions in re
gard I" some Of the items shown on the
I.atcm"mf>, and Graham was in sevPra!
Instances unnhlc to reply definitely, say
ng h. "preNumcd, supposed, -" be
!irvrd and the ike that the items
vrIr correct.
Attorney DispleGsed
Jud%" Watson profcsscd himself a.
being entirely dissatisfied with thrs,
replies and suggested tina. some officer
J # the company ought to be summoned
who cnu}d give more direct evidence.
Forbes informed Graham that the
commission would like to know what
t"ckS are, what bonds are, the nature
If credit with agents, what was in.
'luded in book accounts. and would like
have bills receivable descriptively
defined. He also wanted the auditor t.
itfrrCntiatr between notes and bills 10.
'eivahl". Graham promised to supply
he information asked.
> IN the controversy concerning the
= nature Of Graham 5 testimony, which
Judge Watson said was evidently zen
'ircly hrnrsay," Warren remarked: eft
there is going to be any question as to
l Mr.. Graham's testimony being hearsay
want to lodge right here protest
against Mr.. Foi\'s testimony as be
q ing heursay, too.
h Auditor Graham : dividend statement
. 'howed that for the year 1915 the
] 1apital stock of the company was So,
100000; dividends paid $909, 500, OF
T. nine per cent; actual investment 81,
2 ll3,HOI9', the percentage of dividend
- n which wasE5.l7.
/, Find Plaw in Field
c Graham pointed out that H. GoOdine
| Field in his report had made mistake
If $4,000 in the amount Of the com
amy \ capital stock, showing it to be
= S225 600 instead Of $95O,OO0 Garden
bought this was Typographical error
"lhc primary purpose OF pointing
his out, said Warren, " is to show
hat Field : figures are not what they
. ought TO be"
Warren announced that he abandoned
=. a previous line Of testimony on which
II h." had intended to rely to show thai
= h" rates charged by the company OF
attic WIRE not excessive and would
ely on Il S-.,remCnt made by }, G. Wal
or BIS proof that tn" Hawaii Meat Com
any Wa' able to pay dividend and
ronnS. This, he contcndrd, was sufti
:, "I"nt proof that the cpmpany's rater
Z wCr" not too high.
y 81 can t Sc" what that : got to d,
It with il, - said Watson. The fact tina
h" meat company could pay dividend
e ,nd a bonus doesn't prove anything