The Birmingham age-herald., 1923-11-04
UTILITY DONATION HELD AS EXPENSE
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(Continued from Page one.) lan's campaign manager was R. V. Taylor, now mayor of Mobile. MT. Hartwell won. A short time after this election MT. Pillans and the third commissioner, George E. Crawford, commission as the successor of Pat J. Lyons, deceased.
 To Stress Point In Appeal.
 In the appeal to the United States court of appeals from Judge Clayton's decision, especial stress will be laid by attorneys for the state on the in clusion of the political contribution as a part of the gas company's op- eration expense. While a legal brief will not carry such an assertion, the view is that if public utilities are per- mitted to include political eontribu- tions in their operating expenses the people will be paying the campaign expenses of those who are regarded by the utilities as favorable to the plans of the utilities rather than fav- orable to the views of those who are the consumers of the service of util- ities.
 The fact that the Mobile Gas com pany had made a contribution to the political campaign of MT. Pillans was developed during an investigation of entries III lu6 COHlpdiy IoCOi OS under the head of donations. Dona- during 1921 amounted to $4,500.
 On page 2S2 of book 1 of the testi- mony, a copy Of which was obtained at the office of the public service commission, Carl Gumpf, accountant of the commission, was asked the following question regarding the po- litical contribution: How Contribution MadeS% s
 Included in this amount of $4,5o0 as 'donationsSs did you find an item of donation charged to this expense account in the amount of $500 as Commissioner R. V. Taylor in 1921"
 MT. Gumpf answered;
 "Yes, sir" Later in the testimony it developed that MT. Taylor was not a candidate at the time, but that he was the manager of MT. Pillans cam paign, and that the check was drawn to w. D. Bellingrath, who called on the company.
 MT. Gumpf's testimony continued:
 Gan you remember now indepen- dently of your statement any of the other items included in the "dona- tions" charged in this amount of
 No. they were all the usual amounts of donations for various pur- poses, some of them charitable. was struck by that item and thought not being a necessary cost of opera tion."
 R. l. Speer, general manager of the Mobile Gas company, on direct examination, which is found on page 656, of volume 1 Of the testimony, testified as follows:
 'Mr. Vandenburg, as I understand, testified he found where your com pany had made a contribution of $500 to the campaign of R. V. Taylor did your company make any such con tribution?"
 T never knew of R. V. Taylor be- ing engaged in any campaign"
 Just answer the question. please"
 We did not"
 Has R. V. Taylor ever been en- gagged In any campaign for city com missioner of Mobile since you have been there?"
 Not since I have been there"
 will you explain that item. what really did happen?"
 Check For PiIIans' Campaign
 "A check was given to MT. W. D. Bellingrath for $500 for the campaign of MT. Harry Pillans."
 What did Mir. Bellinsrath have to do with it?"
 
 the committee that called on the gas company and stated that they thought it was our duty to make this con tribution."
 What did R. V. Taylor have to do with it?"
 "Nr. R. V. Taylor was campaign manager for MT. Pllans."
 On page 361 MT. Speer was cross examined by the state and testi- fled as follows:
 ''As l understand you, this dona- ton which has been testified about as to R. V. Taylor's campaign, you said it was to be the political cam paign of MT Pillans?"
 'Yes, sir
 AS candidate fo= mayor of Mo- bile?"
 "Commissioner, believe"
 DO you know whether your com pany made other donations in po- litical campaignsF'
 T think so: yes"
 Another interesting section of Judge Clayton's decision allowed the Mobile Gas company a credit of 27.025.57 being losses imposed upon the plaintiff between August 12, 1920, and November l, 1920, by reason of the refusal of the Ala bama public service commission to permit the operation of a schedule of rates filed by the plaintiff on August 12, 1920"
 Employees of the public service commission today pointed out that as soon as the petition was filed in 1920 the public service commission set the case for trial, that the in- vestigations continued for some time, that the Mobile Gas company a one time requested a postponenent and that the Mobile Gas company at one greater rate than the company asked was issued November 1, 1920. Judge Clayton made this increase in rates retroactive to the date the pe- tition was filed by ;he Mobile Gas company.