The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1922-05-01
TIiE GAS DECISION.

M '''
II the gas decision by the federal court for
tho Western district really means oil that Is
claimed for It by the corporation commission
then n very substantial victory has boon
achieved by that body. But does III
Tho court decision seems to say that since
tho gas company. or companies. have not eH-
hausted their opportunities for relief IN inc
state courts tho federal court refuses to take
jurisdiction Mt this time. But that the case VIII
be continued on tho docket without prejudice
until such time as tho plaintiff has exhausted
his resources in tho state courts. when tho fed-
orol court will be prepared to hear the case on
its merits.
II this decision operates to force tho gas
companies TO rebate to their customers the ad-
vance In tho price Of gas taken from them
since that advance In price went into erect
sometime during the month OF December hne'
but IL II merely slaves Off final decision OK tho
case. or IL appeal lays to tho United states SUI
premo court before such rebate can be exacted'
then We see very little cause for holding a day
of Jubilee.
There is Jus, this to be added concerning tho
threat of the attorneys for tho gas company,
that enforcement of the rate established by the
state corporation commission will forco them
TO ask for a receiver. In such an event 1t should
DO the concern of tho people and tho Officials
that said receiver be something more than a
next friend for the gas companies
what tho cxigencies OF this controversy seem
10 require is A squeezing out OF considerable
water from the capitalization Of the gas con-
Germs, notably tho Oklahoma Natural which Is
the parent of them all and an intelligent and
thorough investigation OF all subsidiary con-
Germs. There ~ a belief, amounting to positive
conviction, that interlocking directories ana
duplicate stockholders in various subsidiary con-
Germs OF tho parent company. as well as a ter
rifle amount of water In the capitalization OF
that parent company. Is at the bottom or the
Oklahoma Natural's inability TO render satis-
factory service 20 the people at a satisfactory
price.
Tho United states Leather compnny--the
leather trust-managod to "achlevo n loss salts
factorily.' by forcing It's stockholders to sur
render for cancellation three out OF every tsur
shares OF stock held by them when The dcfla-
ton movement hit tho country. This concern
unfortunately for its stockholders. did not enjoy
an exclusive franchise for the vending of a
product absolutely necessary 10 the comfort OF
the people. Had II done so. It would have saved
itsslt millions. of dollars worth of blue-sky val
ues by the simple device Of going TO Its cor
poration commission or tho courts and getting
an order for an advance in price sufficient 20
enable It 10 earn the regulation 8 per cent on
Its stock and Investment.
What the Oklahoma Natural needs TO do II
something along this same line OF achieving
a Ioss,' or In other words, reducing its capital
to the figures OF an honest and necessary In
vcstment. plus a house cleaning which will
abolish all subsidiaries. 1t 10 not n dlgnified
device to organize a company TO purchase gas
from the actual producer at a few cents per
thousand feet, sell that gas t~-the parent COM
pany for a much higher rate, then 80 before the
corporation commission and show under oath
that tho oklahoma Natural is compelled TO pay
an excessive price for all gas that II yends 10
distributing companies and consumers.
We think It certain that a washing In the
courts, by the grace of a genuine dlslnterested
receiver. will do tho Oklahoma Natural sub.
s~tantial good. The courts will be able TO dc
for It what it seems either unwilling or unable
to do for itself.