Evening star., 1928-12-05
GAS VALUATION
HEARING HALTED
Utilities Body Postpones Fur
ther Action While Appeal
Is Pending.

The Public Utilities Commission ruled
at the outset of the hearings in the
Washington Gas Light Co.'S valuation
case today that no further proceedings
would be allowed in the case until the
company had settled its appeal in Dis
trict Supreme Court from the commits
sion's valuation finding in 1917.
The hearings were then adjourned
until 10 am. December 13 to allow
counsel for the gas company to confer
with their clients and decide on their
action. George p Hoover, one of the
counsel, stated he believed meeting of
the company'S board of directors would
be necessary to decide what to do and
said he could not be sure of a decision
by the date named.
The ruling of the commission upheld
motion made at the last hearing
day by Peoples Counsel Ralph B.
Fleharty. It grew out of an attempt
on the part of the company lawyers to
strike out the testimony of the COM
missions first witness, Byers Mex.
Bachman, on the historical cost of
the companys property. Bachman had
based his findings on a report on his
toric cost of the company TO Dece1r-
ber 81. 1914. by Andrew. Sangster,
which was adopted by the commission
In its formal order setting a valua-
ton on the company for rate-making
purposes in 1917.
Move to Drop Testimony. -
The company lawyers moved to strike
his testimony from the record on The
ground that the Sangster report could
not be considered as a basis for CAL
culation subsequent to 1914 unless Mr.
Sangster could be produced in person
to subject himself to cross examination
as to the accuracy of his report. Mr.
Hoover, in voicing this objection, cited
the fact that the report itself was
questioned in the appeal from the
which has been dormant in the Dis
trict Supreme Court for the past nine
years.
Mr.. Fleharty countered with a motion
to halt the proceedings until this ap-
peal had been settled, and his motion
was upheld today.
At the outset of the hearing Chair
man John w. ChildresS of the COM
mission read the following ruling:
1T appears that there is now pend
ing in the Supreme Court of the Dis
trict of Columbia, a suit between the
Gas company and the commission
Equity NO. Z5,38O.
THE commission rules that 1t will
not proceed further with formal case
No. 1875 While the above suit is pend
ing"
Swagar Sherley, another of counsel
for the company, asked what action
had been taken on the companys mo-
ton to strike out Bachman'S testimony
Mr.. Childress replied that the COM
mission had considered this motion, but
was not ready at this time to announce
its decision.
Mr. Sherley said that in fairness tc
the company the commission ought tc
announce what was the basis for its
decision and what alternatives were
open to them in order to secure a re-
opening of the valuation case. Vice
Chairman Harrison Brand, jr., of the
commission, remarked that if the conf
pany thought any alternatives were
open they might submit them to the
commission in writing.
I'm other words" asked Mr., Sher.
ley, "can the company make condi.
tionS to diSmiSSing its suit in the
courts? Is that what we are invited
to do?" y
This Is not an invitation" replied
Brand. "but you are free. to submit
any alternative schemes you care to-
Mr.. Hoover said the company would
not be in position to decide on alter
native schemes of action until 1t knew
what was being done to its motion to
strike. Peoples Counsel Fleharty re-
torted that since the case was suspend
ed ruling on the motion would be
illogical
Mr.. Hoover then stated that the COM
pany might be ready to dismiss its ap-
peal in court If 1t knew In advance what
was going to be done with its motion
Conferences Are Suggested.
Mr. Fleharty then suggested informal
conferences among the company repre-
sentatives and the commission to dis
cuss any proposition the company might
make for 'dismisSing its suit in return
for concessions by the commission. The
company lawyers did not appear to take
at all kindly to this idea.
why" exclaimed Mr.. Sherley, "any
man can say at one of these confer
ences anything that may be in his
mind, and yet it would be binding upon
no one 1t seems to me that the COM
mission has taken a most extreme posi-
ton"
Its position is, in my opinion, un-
fair" added Mr.. Hoover "Of course
realize that any action taken by this
commission is presumptively correct
But we have attacked the correctness
of one of these actions by a suit i'll
court, and yet we seem called upon
to withdraw that attack without any
clear view of the results"
Mr.. Childress, however, declined to
reveal what action would be taken OF
the motion. and the meeting accord
ingly adjourned.
The open hearing today was preceded
by lengthy executive session, at which
Corporation Counsel William w. Bride
discussed with the commission the
wording of its ruling on Mr. Fleharty'S
motion. When the meeting was declared
open, Mr.. Bachman, who was due fol
cross-examination by the company to.
day, took the stand, but was not asked
Single question. The entire time was
taken up by discussion of the commits
sion's ruling. t