Evening star., 1931-12-22
NEW UTILITY PROBE
TO Be UNDERTAKEN:
Texas Representative Urqes'
Further Inquiry Into
~,
Holding Companies.
BY GEORGE E. DOYING.

Three years Of probing into the af-
1alrS OF electric public utility holding
companie1 by the Federal Trade Com
mlSlon in response to Senate resolu-
ton adopted early in 1923, apparently
mas not developed sufficient informa-
tlon to enable the House of Representa-.
yves TO determine what legislation. IL
any; is needed to control holding COM
panies. '"'
Representative Rayburn (Democrat)
OF Texas, chairman Of the House Conn,
mlttee on Interstate and Foreign Com,
Herce, mas introduced a resolution for
announcer investigation of holding COM
panles. this one also to include those In
the railroad field.
Inc Federal Trade Commissions in
veStlgatlon Tor the Senate. according to
MT Rayburn, will go far to disclose
"hether or not legislation is needed"
Inquiry in Progress.
Inc TACT that the inquiry, which is
stlll IN progress. has disclosed a tre.r
inenoouS mass OF information regarding
lhe operations and relationships of the
principal holding companies in the cleo
tric utility field, where they are OF
greatest magnitude. does not appear,
however, TO be sufficiently enlightening.
II the Congress comes to consider
iurtheT ~ remedial legislation in this pub
nc utility field says Mr.. Rayburn. 1t
VIII at once be confronted by the man
ner OF control of the operating COM
panleS by holding companies. and the.
prooIem Will be how to reach the hold
ing company to the extent necessary 10
properly regulate the operating COM
pally and IN manner which is within
the constitutional power of the Con-
greSS.
L propose to limit this investigation
70 thlS problem; that is, the manner OF
the control of the operating companies
IN the utilities field, and the corporate
ihter-re!atlonShlpS Of those companies
WIN other companies. Then, if reel-
lation Of any of these activities becomes
! necessary on the part of Congress, the
legislation can be drawn in full knowl--
edge OF the actual facts as to the ulti-
mate control and by what means It is
exercised"
CHAIRMAN Rayburn also announces
that ne Will recommend for committee
consideration a proposal carving out
| a recommendation Of the Interstate
Commerce Commission for an investi-
cation into the competitive situation
between the rail carriers and other
transportation agencies, including mo-
tor vehicles, water and air carriers to
NSNNAA44AAiN " "4!dI thlCIlI lIle ldlLeT are
| subsidized directly or indirectly by the
Government.
Whether this inquiry will involve a
measure of duplication remains unde-
termined, as Mr.. Rayburn said that
inquiry into the bus and truck situa-
ton may depend upon the amount Of
information contained in a report soon
to be made by the Interstate Commerce
Commission on its recent Nationwide
investigation of the common carrier
truck situation.
Bus Legislation.
The House committee according to
its chairman, will not report out
measure for regulation of buses and
trucks during this session unless it be-
comes evident that the Senate will sup
port such a bill. Mr. Rayburn expressed
the belief, however, that legislation for
the control Of interstate buses will be
enacted during the life of the present
Congress, though perhaps not during
the first session.
The opinion continues to prevail in
informed circles here that interstate bus
legislation is unlikely if regulation Of
interstate common carrier trucks is in
cluded in the bill. as contemplated by
Senator Couzens Republican, of Michi-
gan and Representative Parker RE-
| publican) Of New York