The Washington times., 1919-06-21
NEW PHASES
Of CITY LINES
LOOMING Up
Legal Contest of 2-Cent Trans
fer and Limited ReCeiVerShip
of City & Suburban Proposed
BY BILL PRICE.


Citizens Association to contest the
in the District is just one important
phase OF the street railway question
looming up today.
Another is the intimation by Of
ficials OF the Washington Railway
and Electric. Company that when the
August j interest on S1.75O.O0O out
standing bonds Of the City and Sub
urban railway falls due they will not
be able to pay; must necessarily de-
fault, and that line, for years one
Of the most prosperous of all subUr-
ban lines, must go into the hands OF
a receiver, certainly into the hands
Of the bondholders.
The Kenilworth Association last
night adopted a resolution of thanks
to Henry E. Davis for his generous
and patriotic offer to represent the
citizens Of the District before the
courts in an effort to free themselves
from the unjust. unlawful, discrimi-
mating demands" OF the Washington
Railway and Electric Company.
ComnIftee Holds Conference.
A committee was appointed to con-
fer with Mr. Davis for Immediate in
auguration of judicial proceedings,
and this committee held a conference
this afternoon with the attorney. The
committee Is headed by R. S. Field,
with Messrs. Bennett, Richardson.
Webb and Brown completing the
membership.
The presumption Is that a citizen
belonging to the association will be
asked to refuse to pay the 2-cent
transfer on the ground Of illegality
H~9H -
elected from the cars and obtain le-
gal standing to enable the suit to be
brought
II was reported today that former
Judge Daniel Thew Wright may be
associated with Mr.. Davis.
City and Suburban Affairs.
The City and Suburban line is one
of three suburban lines which the
W. R. & Z. states is a financial drag
on the parent company. The other
two are the Georgetown and Tenley-
town and Washington Interurban, the
latter running from Fifteenth and H
streets northeast out Bladensburg
road to a point near Berwyn, Md
These three lines are not part of the
W. R & E. system in that they are
owned outright by that system.
The capital stock of the City and
Suburban road. which operates from
Fifteenth and G streets northwest to
Laurel, Nd. is $1,75O.O0O, and of this
the w. R & z. owns 1851 ,25O, or
within &62,75O Of the total.
The road has a length Of 25h miles
and track1ge Of Al \ miles, the Mary
land end being single track.
December 81, 1917, one and a half
years ago, the funded debt was ST.
10000 and notes Of SIS, eO9. a total
Of 81 ,S3S, 909.
The annual report Of the road for
that year gave the value and equip
ment as S3.S11, sos, nearly doubled the
funded debt. For the year ending
December 81. 1916, the road paid ali
Of its interest and other obligations
and turned into profit and loss"
account S67,S2 That was on a six
for-a-quarter fare in the District
Since November last the fare has been
cents straight.
IncOmprehensIbIe Situation.
To members Of the Public Utilities
Commission the alleged weakness Of
the City and Suburban is incompre-
hensible, considering all the facts
From uninterrupted prosperity the
road suddenly develops a deficit.
According TO officials Of the road
there are now $4,000 in cash in the
treasury. This is all there is to meet
August interest payments Of about
S47.5OO and road repair work ordered
by the District TO the amount Of
$50, 900.
In all these years the officials Of
the City and Suburban have been the
same as the Washington Railway and
Electric, including president, direc-
tors, vice president and sUperinten-
cent.
The Washington Railway and EIec-
trio now claim that the City and
Suburban does not own a single car
and buys its electric current from
the parent company. Its cars are
rented from the parent company at
30 much per. The City and Suburban
had q car barn at lexington and
thirty-two cars in it were burned
come months ago.
Makes Its Own Charges.
The w. r. & I. keeps the books for
The City and Suburban, makes its own
charges for cars and electric current,
these charges being far below what
they should be, ii is claimed.
The annual reports and records
show thayt prior 10 and including the
calendar year 1916 the City and Sub
urban made fine profits for the W. T.
& Z. every year, and this surplus went
20 fatten the general revenue and pay
dividends. Now that the company is
declared not to be making a surplus
st may be abandoned.
A suggested receivership might or
might not mean that the company
woud be bought in by the Capital
Traction or some other company.
Accusations that the City and
Suburban has been well MIXED" by
the parent company are flying in
many directions and are not looked
upon lightly by the Public Utilities
Commission