The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1929-12-02
HUGE UTILITY
Merger RUNS
AGAINST SNAG
Late Filing of Amended Pc
tition Causes Delay
in Hearing.
POSTPONED TO TUESDAY
Spokesman for insult Is
Denied Opportunity to
Cite Advantages.
BY DANIEL NJ. KIDNEY

viz fNLh GtikSASSOs
BY DANIEL NJ. KIDNEY
First snag of what promises TO
be tortuous journey for the
$70,000,000 insult utilities merger
petition was struck by the petit
TONERS after the first hearing had
been in session before the public
service commission less than an
hour today.
Petitioners had neglected until
last Friday to file an amended petit
ton, which practically rewrites the
original filed Aug. 27, 1928. Conse-
quently, attorneys representing the
communities and organizations
other than insult appearing in the
case were unfamiliar with the new
setup. They requested time to study
the amended petition.
Commissioner Howell Ellis, who
is presiding in the case, adjourned
the hearing until Tuesday at 10
n. m. in the house of representa-
tiveS.
explanation Uenfeu
In announcing the adjournment.
Ellis thwarted an attempt Of the
utilities counsel to have Robert M.
Feustel, Ft. Wayne, spokesman for
insult interests in Indiana, explain
the alleged advantages which are to
accrue. A request to permit Feustel
to explain was denied.
Appearance of Feustel at the
hearing emphasized the political
angle which has become a matter of
public discussion in regard to the
gigantic merger, affecting two o-f1fths
of the poulation of the state.
Feustel is a close friend and
former Purdue classmate of Cover
nor Harry G. Leslie. He supported
Leslie'S primary campaign.
The question, where does the ad-
ministration stand?" was taking
form today.
In this connection, observers re-
garded as significant and as a possi-
BILE reflection Of the admiration at
titude, an editorial which appeared
Friday in the Lafayette Journal and
Courier, published by Henry
Marshall.
Praises Mcintosh
Marshall is the godfather of Gov
ernor Leslie in politics and is said
to be closest to the throne" The
editorial congratulated Commits
Sioner Calvin Mcintosh for request
ing an opinion from the attorney
general in regard to the legality of
the merger.
1t then cited the opinion, empha-
sizing that it set out that unlike
utilities can not merge and trans
portation lines involved must par
allel and serve the same territory.
Furthermore, the editorial set out
that the question of public welfare
is involved and, pointing that the
way lies against the huge combina-
ton, declares that this is the test
of the Leslie administration"
If this is the Governors attitude
in the matter, there will be little
chance for approval of the merger
petition, it is predicted.
Two other factors have loomed
large in the last two weeks as strong
obstacles to petition approval.
Must Show Revenues
One is the opinion of the attor-
ney-general regarding legality. The
other Is the requirement that "pres-
ent revenues" must be shown to be
sufficient to meet all securities de-
mands.
Attorney General James M. Og-
den sent George w. Hufsmith. au-
tor Of the opinion on legality given
to Mcintosh. to the hearing. He is
prepared to rule on legal questions
involved.
In order to meet the legal re-
quirements to merge, as set out in
the opinion, it must be shown that
utilities involved are giving the
same service in the same locality.
and In the case of traction lines,
must parallel.
Mcintosh appeared armed with
The opinion and ready TO question
any expert testimony in regard to
the location and service involved.
Harvey Harmon, former commits
stoner who, before retiring from the
commission had the original petit
ton in charge, entered an appear
ance in the case as attorney In op-
position TO the merger.
Under insult Control
Under the merger petition, the
Central Indiana Power Company
and the Terre Haute, Indianapolis
81 Eastern Traction Company and
their subsidiaries will be merged
into the Indiana Electric Corpora
ton under insult control.
Seventeen local or intercounty
companies, serving 344 Hoosier
towns and cities, are involved.
Services include electric light and
power, street railways and interur-
bans, heat. ice, water. gas and bus
lines. Decision in the case win effect
directly about two-fifths Of the
states population.