The Washington herald., 1922-07-11
OUTSIDE INTERESTS
SEEK CONTROL OF
W. & E. COMPANY
Offer R eviyes Plan
Of Merging District
Street Railways.

Interest in the proposed merger
of the local traction companies was
reawakened yesterday when II be-
came known that out-of-tow in
terests would consider the purchase
Of 27.50o shares of Washington
Railway and Electric Company
stock at $50 per share.
The new development in the sit
uatfon followed a recent announce
ment in The Herald that powerful
interests had sent representatives
to Interview members of the House
District Committee on the question
of legislation that would permit the
purchase, merger and operation of
the traction companies and the i'm
provement of Great Falls for a
period OF fifty years.
Guarantee Ffye-Cent Fare.
mittee were told the operating COM
pany would guarantee a five-cent
street car fare seven-cent per kilo-
watt hour electricity and gas at
the rate of eighty cents per 1000
cubic feet for a period of fifty years
IL permitted to put the plan into
operation.
Members of Congress were dis
cussing the question unofficially
when the House adjourned but
promised to keep advised of the de-
velopments during the recess.
1t was intimated to House mem
bers that the private interests
would do all that was possible
without legislation to bring about
the desired results before Congress
would be called upon to give its
permission to merge the corpora
tions.
Yesterday the Washington Utili-
ties Noteholdefs Protective Asso'
citation called a meeting to con-
slider the sale of 27.500 shares Of
Washington Railway and Electric
Company stock which would prac-
tically give control Of the company
to the purchaser as the remainder
of the outstanding stock is scat
tered and some of 1t may have been
purchased by the bidding interests.
Trace oner to Norfolk.
1t has been fairly well estab-
lished that several corporations are
anxious to acquire control of the
local utilities, but their activities
have been conducted behind a smoke
screen, which was only lifted dur
ing unofficial discussions at the
Capitol. One of the most favorable
propositions offered for the consid-
GRAFTON of members of the House
District Committee came from New
Va, ii was said.
Col Pnharf uarnar nrasfda NJ
of the District National Bank and
director of the Washington note
holders protective committee. ex-
planned yesterday that tho meeting
had followed an inquiry from a
financier as to whether 1880 shares
of the stock could be purchased at
$50 share.
Following the meeting word had
zeen sent to New York that an offer
such as suggested would be given
careful consideration by the COM
mittee, Col. Harper said.
The committee was formed when
the Washington Utilities Company.
which planned to buy up the vari-
ous local utilities, went TO the wall
some years ago and the purpose of
the committee was to protect the
note holders.
The committee is composed of
representatives of the following
banks: National Metropolitan. Amer
lean National. Federal National,
District National and the Contin-
entail Trust Company. The repre-
sentatives are all directors of the
Washington Railway and Electric
Company. Other banking institu-
tions and individuals are members
of the committee, but they are not
on the railway hoard.