The Washington herald., 1921-06-24
Failed to Enforce Law
AS Written, Says Con-
gresham.
LINES PROTECTED;
PEOPLE SUFFER
Asserts Public's Rights
Depend on Action by
Congress.

Lower street car fares and a
higher standard of service must be
he result of Congressional action
the demands of the people are
o receive recognition" Representa-
i've Sproul, Of Illinois, declared
yesterday.
Mergers have been proposed as
means toward this end. but IL the
statement of the president Of the
Washington Railway and Electric
Company that a merger will not
necessarily bring a reduction in the
ar fares is true. then am heartily
n favor of drastic on the part Of
Congress to compel the street car
companies to reduce their fares and
improve the service at once.
sshouId stick to Law
The Public Utilities Commission
s not blameless for the depforable
conditions that now exist" Sproul
.harged- They should have inter-
Ireted the law strictly according to
Is meaning. The commission was
Tot authorized. expected nor en-
covered to protect a particular cor
'oration by innicting an injustice
N the people
"A corporation is protected by the
av which insurCs 1t a fair return
N its investment. and in determin-
ng a rate of charge for its service
he Public Utilities Commission /:
sonfined to a strict Interpretation
& this law. There appears TO be
10 clause extending the latitude OF
he commission to cover the pro-
ection of the traction companies at
he direct or indirect expense Of the
-eople who contribute to the income
4 the corporatins.
"I fail to comprehend" Sproul
onfessed, how the Public Utilities
Commission could interpret the law
convey that they were vested
nth authority to determine what
$ best for the people.
scores Contract Repeal.
TT is also dificult of comprehen-
ion, TO a man with many years of
BUSINESS experience and a founder
4 a successful business enterprise
hat a corporation should be al
owed to avoid a contract because
/ proved later to be disadvan-
ageous No one ever appeals for
he notification Of contract that
working a grave injustice to the
tber party concerned. II is only
Then he is the victim that he pleads
or consideration
TN no other business, nor In any
- ha TTnffadSfa l2 a
Irm protected against a badly
nade contract. The Public Utilities
Commission was instructed to de-
ermine a fair rate for the two
treet car companies on their fail
raluatfon. They were not supposed
q determine this fare on the COM
lined valuation of the two roads
lad this been the intention of Con-
:ress, Il is ridiculous to presume
hey neglected to place such a pro-
ision in the law.
Merger Was Forbidden.
.T am. convinced that Congress
Intended TO provide for a separate
onsideration OF the case Of each
aiIway for both lines.
IF the companies were consoli-
lated there would be no question
s to the propriety of considering
hem as whole. In fact, this
Tould be the procedure. But 1T is
,ointed out that the law which Gre
ted the Public Utilities Commis-
ion carried an amendment prohib-
ting the merger of any public utili-
les corporations. But they were
onsidered as one by the Utilities
Commission in fixing a rate.
in doing so IL was necessary tc
i've the Capital Traction Company
fare in excess OF what they re-
luested or were entitled to: this
yas a gift to that company given
n the interest of the people" by
he Public Utilities Commission.
here was no provision that this
xcess be spent in improvements, TO
ny knowledge, and fail to find
hat this excess was put to any
uch purpose.
Doesn't Blame Company.
'T do not criticize the Capital
'rastion Company for accepting
his arbitrary and excessive rate of
are II can hardly be expected
hat any corporation should protest
igcrously against accepting some-
hing for nothing. merely wish to
mphasize the fact that there was,
pparently. a grave misinterpreta-
ion of law which was framed 10
enefit the public"