Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-05-15
POLICE TO ARREST
TAXIS CARRYING OUT
SPEEDING-UP THREAT
Continued From First Page.)


orders to the entire traffic patrol force
to "give special attention" to taxicab
drivers.
"Taxicab operators" he said, must
obey the regulations or they will be
arrested"
Traffic Director William H. Harland,
who also was aroused over the statement
of Davis, pointed out that while his de-
partment Is not charged with the en-
forcement of the traffic regulations, 1t
would assist the police to force observ-
ance of the traffic rules by using its
potent weapon of permit suspension
and revocation. Within the last month,
he said, the permit Of one taxi driver
was suspended for six months because
he was arrested three times in 80 days
for speeding.
No Action Planned.
The entrance Of the Diamond cabs
into the f1at-rate service likewise was
viewed with considerable trepidation at
the Public Utilities Commission, which
has sought vainly for the last three
months for legislation giving 1t effec-
tive control over the taxicabs. The
to take any action at this time against
the Diamond cab operators, despite
their open defiance Of its regulations
in cutting rates without formal ap-
prevail.
The effect of the 35-cent taxi service
on the operations of the street car COM
panies also is being closely observed at
the commission. In the year ending
March 81 last, 1t was pointed out, the
car companies lost approximately 2,000,-
600 revenue passengers, one-haf OF
OFF i.n hA b
in which various independent taxicab
companies started f1at-rate service.
Sets Cost ut 10 Cents a Mile.
Although the 35-cent taxicab COM
panies have not disclosed the financial
aspects of their operations, the COM
mission firmly believes they are not
earning an adequate return at this rate
and that with increasing competition
some of them will be forced out of
business. One Diamond operator told
an attache of the commission that 1t
cost him 10 cents a mile to operate his
cab and that he was confident he would
be compelled to suffer loss under the
fiat rate system.
Those making money out the S.
cent service, it was said at the COM
mission, are the firms which rent cabs
to drivers at the rate Of So day.
These firms sell gasoline and oil to the
drivers at cut rates, but make a small
margin OF profit, which, coupled with
the revenue derived from the rental of
the cab, provides a good return on the
investment.
The Diamond drivers, however, own
their own cabs and their income is
gagged solely on the fares from pas
Sengers. Under the meter rate, 1t was
so nf "a nj hn-
tween $40 and SIS day until the adj
vent of the fiat rate cabs, which have
made serious inroads not only on their
business, but also on the income of the
car companies.
The car companies have been hit
hard by the 35-cent service, it was
said chiefly because four and five pas
sengers can club together and ride
anywhere in the city proper in taxi
cab for q few cents more than their
aggregate car fare.
Hopes for Congress Action.
The commission hopes that the taxi
rate war will have the effect of ex-
pediting passage of the bill pending in
Congress giving it power to regulate
taxi rates and also regulate the opera
ton Of the cabs and require the COM
panies to show financial responsibility.
Inc proposed legislation PROVIDES Tor
the issuance by the commission of
certificate of convenience and necessity
thus furnishing 1t with the power to
restrict the number of taxicabs in \
operation in the District. The COM
claims it now lacks such power
and as result a score of more taxi
cab operators have started in business
Of which it has no record.
E. c. Ostrow, president of the City
Cab Co., which also operates the Sun
and Stop-me lines. declared in a state
ment today that the 200 cabs of the
lines had been involved in only Is
accidents since they started operating
February l. He said about six persons !
had been injured In the accidents and |
hat there were no outstanding claims !
against the company. Ostrow declared |
hat his cabs were hauling about IS 900 |
passengers a day and covering $4,000 |
o 80 900 miles q day.