The Washington times., 1923-04-13
Legal Maneuvers of P.E.P.CO.
in Valuation Case
By BILL PRICE.
An Interesting Instance Of Counting Chicke
They Are Hatched

By BILL PRICE.
The victory of the Potomac Company in
the valuation case before United States Supreme Court
wherein that refused jurisdiction and remanded
the to the District Court OF Appeals does not loom hall
so large it did at first
The PEP Co. endless days of litigation ahead
inability promptly get hold of that $SSooooO trust
fund distribute in big melon cutting among the owners
Of common stock the Washington Railway and Electric
Company. the corporation which owns the PEP. Go.
It's long way Tipperary yet and the fruits of the
supposed victory high the tree that they virtually
inaccessible The financial forecaser predicts cold nights and
frost which may make the yield of fruit quite small
So you District citizens who have been subscribing and
yet subscribing The Herald fund for the retention
special counsel in this will witness
wonderful legal which will be worth your while
to keep track Of is going to be pretty fight On one
side the abest array corporation lawyers this city knows
other is the Public Utilities Commission, its regular
(who gets $1,000 year for opposing lawyers who
draw than 100000 year and the special counsel Con-
t develops that the Court of Appeals did not favor the
PEP Co. nearly much the corporation would like to
In May 1914 the u G. began an inventory books
history original value ETC., of the PEP Co. Experts and
valuations began May H. 1917 the u G. rendered
decision fixing reproduction $12s17O The law
q TINE OF
The p o. c. for purposes of dates first found the
expenditures between date December 81 1916
official date set for the $11,231,17O valuation.
Based upon valuation findings the commission July
1877 announced reduction in electricity rates from 10 cents
to s cents per kowatt hour.
The PEP. Co at appealed to the Supreme Court
OF the District claiming that its properties were worth ap
to at least 10 cents per howat hour derive fair
It's stockholders On this appeal the court ordered
continuation of the collection Of 10 cents but the mpounding
of cents of that in trust fund.- subject to to
Of electricity.
the late Justice GOULD upheld the findings Of the r O.
which had the original reproduction Of July 1914
held that the erred in not finding reproduction valua
tons of December 81, 1916 and not July l.. 1914
The Court Of Appeals said that between July l. 1914 and
December 81 1916 there sharp values which
should have been added to the cost Of
Based that decision is estimated that the company
valuation would be increased something like $260O000
Court Supreme remands to the p u c. the
total valuation of December 81 1916 would exceed
That would mean the company would get comparatively
small part of the mpounded fund.- while the people of Wash
ington would get the remainder.
On principles laid down by the Court of
Appeals the company will get big melon to cut now
the corporation proposes two new ideas
present day. when the inflated prices of material labor
pei Washington people pay electric light charges
conference by which valuations may settled of
court the fixing OF valuations and charges according an
agreement
The object of these is quite plain Either might
give the company inflated valuations present day
prices and final possession of the 100000 fund.
The case before the courts however the taken there
all the evidence records briefs etc. before Court
Of Appeals nuc that court ahead with the valuations
ton is not going to materially benefit be so
many legal delays appeals etc. that the company may the
glorious joys accompany an early melon splitting
So settlement by conferences would be just the thing
sucn conferences would open the public
would be open hearings before the u c. The PEP Co.
would have at all times several perfectly good up its
sleeves and when the hands finally laid upon the table
the corporation would display at least four
pot.
There should be valuation proceedings before the
u until this definitely settled local
courts The company is paying huge dividends is The
corporation was the one to rush to the courts with litigation
intended to saddle Washington people the largest posi-
BILE charge for electricity Why dispose of legal
before starting another which would be the inevitable
outcome of new valuation proceedings?