New-York tribune., 1921-03-25
Six Subsidiary
Gas Companies
Ask $l.5O Rate
Judge Mayer Issues Writ Re-
tlrnable Thursday; High
Cost for All Manhattan
and Bronx Predicted Soon
Brooklyn Go. Also to Act
O'Brien Says Knight-Adler
Measure Makes Old Re-
strictive Laws of No Value

S Cooperation Counsel O'Brien yes
terday received notice of an order OBJ
tanned from Judge Julius NJ. Mayer by
six subsidiary companies OF the Con-
solidated Gas Company in Manhattan
and the Bronx, which is returnable
next Thursday, and under which he
must show cause why the recent order
of Judge Hand of the Federal District
Court should not be modified to allow
the six companies to increase their gas
rate from s1.10 to $3.50. The Consoli-
dated was allowed the S1.50 rate under
Judge Hands order.
Mr.. O'Brien said that as result of
the order obtained by the subsidiary
companies all consumers Of gas in
Manhattan and the Bronx will soon be
paying the sl.5o rate. The petitioning
companies were the New York Mutual,
the Standard Gas Company, the North
ern Union, the Central Union, the
New Amsterdam and the East River
gas companies.
The companies already charging the
$3.50 rate are the Consolidated, the
Bronx Gas and Electric Company and
the Kings County Gas Company.
Brooklyn Company Acts
The Brooklyn Union Gas Company
to-day will also take steps to obtain
sthe increased rate when it's counsel
will appear before Judge Mayer and
ask the confirmation of masters re-
port showing that its expenses are such
that the company is losing money un-
der the present rate of $il0. If the
masters report is confirmed the Cor
poration Counsel's office feels certain
that the Brooklyn company will soon
be charging not less than the $3.50
rate. The Union company serves nearly
all of Brooklyn, with the exception of
some outlying districts.
!. In statement issued last night Cor
poration Counsel O'Brien declared that
protection to gas consumers had van
fshed with the passage of the Knight
Adler bill at Albany in the sweeping
powers to be given to the new Public
Service Commission over gas and other
public utility companies other than the
traction companies. He said the new
commission would no longer be limited
by such laws as The eighty-cent gas
statute, which the7 could ignore alto
Sether and fix such rates as they saw
fit.
Says Laws Have Lost Force
"Gas consumers may say their vale
dictory to the 90-cent gas law and SINH
lar statutes placing a limit upon the
price of gas" said Mr.. O'Brien. "They
are no longer of any practical value
to the people. The rates which the gas
companies in and around New York
have without restraint imposed during
the pendency Of their litigatlons will
remain as the current rates. The con-
sumers will be left to the relief af-
aorded them by the Knighs-Adler bill.
= "They may make complaint at AL
bany against the imposition of these
rates; the proceedings will be set
down for hearing at time convenient
to this new commission and the COM
mission. with the tremendous volume
of work covering all Of these utilities
for the whole state, will not be able
to take up the proceedings, it may be,
for two, three or four years. The
turn which affairs have taken in the
passing of the Knight-Adler bill is
most disheartening to the public which
must pay the prices imposed.