Evening star. [volume] (Washington, D.C.) 1854-1972, 1928-06-26
L|STSEX-GOVERNOR
WITH UTILITY GROUP
Arkansas Witness Says Dr..
T. c. H. Brough Directs
Bureau.
By the Assoclated rress.

81 the Associated FreSS.
Disclosure that former Governor Of
Arkansas Or. Charles H. Broush, is
director of the Arkansas Public Service
Information Bureau. was made today in
the Federal Trade Commissions public
utility investigation
Rex T. Brown Of Little Rock. the first
witness called to the stand with the
resumption Of hearings. said that for
mer Gov. Brouch. who served as chief
executive of Arkansas between 1916 and
1920, receives $4,000 a year Tor his
services. He said DR. Brough had de-
livercd approximately 200 speeches a
year over the State since he became
director in 1925. encouraging the de-
velopment, particularly the industrial
development Of Arkansas. He said that
very active IN the bureau because of
poor health
Sees No Problem.
Brown identified himself as secretary
snd treasurer of the Arkansas Public
Service Information Bureau and Secre-
tary and treasurer OF the Arkansas
Utilities Association and assistant TO the
vice president of the Arkansas Power
connected since he was youth. He
said that the Arkansas Power e. Light
Co. serves about las communities. rep
reSenting approximately l75,0o0 persons,
and declared that there was no serious
public relations problem for the public
utilities in Arkansas.
sci Tor the commission. If the utility
organizations had subsidized the Dixie
Magazine. Brown said that he would
not say subSidize. but that the maya
zine had been rendered financial as
siStance by the utility organizations. He
said that a Mr. McComh. editor and
publisher of the magazine. came TO
us" and said that he was in financial
straits and needed some assistance
Brown said that some money had been
advanced the magazine.
Devoted to State"
He said the magazine was devoted to
the development Of the State. and that
when State Chamber Of Commerce is
organized the magazine would be the
Official organ Of that organization. and
that he expected the money 10 be re-
turned.
The Arkansas bureau issues utility
news bulletin. Brown said. and, upon
questioning. said that the bulletin had
expressed opposition to Government
ownership Of utilities. Government
operation of Muscle Shoals and the
building Of the Boulder Canyon Dam
He said the Arkansas Power 6, Light
Co. was part of the Electric Power &
Light Corporation.
Brown testified that the Dixie Maya
zine had circulation of about 5000
and that since the bureau had assisted
the magazine, little matter unfavorable
- "a - ratif ind
peared. He declared. however. that the
bureau did not substitute" the maya
zine to convert it to the utilities. He
said that several business men q Ar
kansas requested the bureau to assist
the magazine because |. encouraged the
development of the State.
A financial statement OF the funds
advanced the magazine was introduced
into the record and it showed that
Bit had gone into the magazine funds
from the bureau. the advances" being
listed as totaling about $3.50 and the
loans approximately S3.567. IN the
financial statement of the bureau be-
ginning July l, 1927. end ending May /.
1923. loans 70 the magazine were listed
as S4.050. covering about half of the
period represented By the total of sS,717.
Brown explained that the funds were
advanced to increase the circulation of
the magazine From July 1. 1927. to
May /. 1923. the bureaus receipts
amounted 10 s24375. all but $67 of
which had been expended. the state
ment introduced into the record showed.
The largest contributors included the
Arkansas Power & Light Co. which was
listed as having paid Ia two sums of
s5,545 and 6458. respectively, and the
Southwest Bell Telephone Co., $3.50.
Staged Debate.
Brown testified that former Gov.
Brcugh engaged Carl D. Thompson,
secretary Of the Public Ownership
League. in a debate at Shreveport. La.
before the meeting Of mayors Of cities
on the subject Of public and private
ownership of utilities. He said that the
persons who invited the former gov
ernor to debate must have known that
ne was IN the employ Of the Utilities
Bureau
Asked what Earle Hodges. former d.
rector Of the Arkansas Bureau. spent
SIS for. for entertaining ministers in
1924. Brown said he did not know
Heaiy directed the witness attention
10 the financial statement for 1924
when he presented the question.
Brown said that the Arkansas Util-
itv News formerly was distributed to
$500 persons in his State by his bu-
Teau, but that the publication was dis
continued last October.
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II is estimated that by 1850 London