The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1926-12-07
DELAY TO GET MERGER VALUATION ASKED
Matson, for C. of c., Desires
That Complete Inventory
Be Made.
HEARING DATE NOT SET
Ruling in Rucker Case in
Next Two Days.

A motion asking that hearing on
the amended petition for a merger of
the two local electric utilities be de.
layed until full inventory of their
properties can be made, and a com
plete valuation established, was filed
ney representing the Chamber of
Commerce, which is opposing the
merger as proposed.
While valuation Of the two utili-
ties. the Merchants Heat and Light
Company and the. indianapolis Light
and Heat Company, for taxation pur-
poses is only $4,000, 900, it is pro
posed in the merger petition that
the company. into which they would
be Joined, the Indianapolis Power
and Light Company, would have a
$50, 100000 capital.
No Date Set
No date for hearing>on the amend
ed plea has been set by the commits
sion, the members awaiting ruling
Of Circuit Judge Harry o. Chamber
lin on a motion to dismiss the in
junction suit brought by Corporation
Counsel Alvah ]. Rucker against
the merger. Chamberlins ruling is
TO be given in the next two days.
Last week the Chamber of Com
merce appointed Benjamin Perk,
public utilities accountant, to as.
sist Matson in opposing the merger
plea. 1t is presumed that Perk
would take the leading part in making
the inventory proposed in Matson's
motion. The new motion doesn't
ask that hearings on Jurisdiction Of
the commission be deferred.
In memorandum attached to his
motion, the counsel said that the
Chamber is not opposing the merger
as such, If 1t is put through under
proper conditions. The matter Of
valuation is vital, he asserts.
There is no need for rush
ing" the memorandum continues:
Neither the purchasers nor the sell
ers are in the least danger of losing
opportunity to consumate the deal
unless, indeed. it involves the ele-
ment of stock speculation. If the
present owners of the properties are
exploiting them for the purpose Of
turning over millions in the trade,
then we can understand the hurry.
ION the other hand, If it be a de-
liberate and sound endeavor to con-
solidate the two utility properties for
the benefit Of longtime investors
and to insure safe and fair return
upon legitimately invested capital,
then there can be no danger what
ever that those interested will lose
by any delay required to make GER
tain that the public, who are the
enforced customers Of the industry,
will not suffer in the long rum"
"Vital Necessity"
1t points out the vital necessity"
Of securing correct valuation
now" by citing the fact that this
valuation will be used as the basis
for rate making and that in two
instances the valuation made by the
commission was set aside by the
courts, as not being a fair value"
because of lack of facts to support it.
These were the cases of the In
diana Bell Telephone Company and
the Indianapolis Water Company. In
both cases rates went up.
A petition also was filed with the
commission today by Attorneys Carl
Wilde and A. B. Cronk for the Price
Steel Company and the American
Foundry Company for permission to
intervene in the merger matter as
large power users.
The motion to dismiss Fuckers
injunction suit came Monday from
attorneys representing the light
companies and was in direct opposi-
ton to a stand taken by Attorney
General Arthur L, Gilliom early in
proceedings.
Conspiracy Charged
Rucker seeks to prevent the
merger on the ground that the pub
lie service body is preJudiced by con-
tribution OF $4,000 Of utilities to
Governor Jackson's campaign fund.
Evidence will show a conspiracy
involving the public service commits
sion to act one way in the matter be-
fore it and that against the public"
Rucker said.
1.-The court should continue with
the case; then if the facts are not as
we represent them to be, the court
can refuse us an injunction"
State Senator William T. Qutllan,
assisting Rucker, said the public
service commission no longer has
any discretion in the merger pro.
pOsal.
THE members have sold out their
discretion" he said. There is but
me way to determine whether a
fraud has been perpetrated That is
o place witnesses on the stand and
nIoca all the facts before tho OO,rt