Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-08-04
EFFORTS T0LEASE
Street CAR LINES
NCTYD|SCOUNTED
Head OF Capital Traction Co.
Expects Nothing to Come
Of Negotiations.
OFFICIALS KEPT IN DARK
OF ATTORNEYS PROPOSAL
President Of W. r. q :. Disclaims
knowledge of Plan for Joint
Operation Of Service.


Efforts Of an unnamed out-of-town
concern to lease Washingtons two
street car lines and operate them joint.
" created stir Of interest in the local
transportation field today. The matter
was discussed ct 1 lengthy conference
Yesterday between A. X. shipe, local
attorney, representing the prospective
lessees, and President John II. Hanna
OF the Capital Traction Co. Mr.. Hanna
said today that he did not expect that
anything tangible would come OF the
negotiations.
Mr.. Shipe said today that he had
received an inquiry from an out-of-
town concern as to whether there were
any available traction properties IN
Washington, but that the query was
too general and tentative To discuss Al
this time. He said that no s,ira ~
money had been mentioned As the price
OF the lease and that he was not even
ready TO say that . lease was cuntem-
plated. While he would not disclose
the identity OF his client. he said fIat
u was not the North American Co. a.
New York.
Negotiations Surprise.
The North American owns more than
so per cent Of the stock 81 TIRE Wash-
ington Railway q Electric Co. which
gives u ownership OF the Potomac Elec-
ETC Power Co. Harley r. wilson. .
director In the North American, 4 also
director In the w. n. Il g. and pEpCO.
and the owner Of . majority or the
stock Of the washington Rapid Transit
Co. which operates the Sixteenth street
and other lines Of busses. Mr.. Wilson
y on his way 70 Europe and could not
De reached for comment.
The stories Of the negotiation came
as 9, surprise to Public Unlfttes COM
mission OfIieials, Commissions Fsarieirh
II. Hartman. the only member OF the
commission in town. said that he had
heard nothing Of the offer. and had no
aasa where y might have come from.
SAID that he too was ii The dspk
Neither would make any comment on
the matter at this time.
President william r. HAM Of alfs
washington Railway & Electric Co. said
that he knew nothing about the matter
That does not mean that the story
Is not true" he said there are lots
OF things that so on that don't know
anything about
AAASQ WHStueE MS company WAS IN
receptive mood toward . proposition
to lease its lines. he replied:
IT'S q hot day
Properties being Valued.
Any deal Of the kind suggested would
probably not be entered before the COM
pletion Of the valuation proceedings
now under way. These are expected
to be finished In November or Decenl-
ber. They will form the ffrst up-to.dafe
valuation Of the properties for the last
IL years.
There is 4 question as to whether
such . scheme would have to be APP
proved by Congress before being put
into effect BY an amendment to the
/ Ia Toilette Anti Merger Act, adOpted
In 1925. It Is provided "that any or
all Of the street railway companies
operating in the District Of Columbia
4. are authorized and empowered
TO merge or consolidate either by pur-
chase or lease provided that no
merger OF said companies shall be
finally constnated until the same il
approved by q joint resolution Of
Congress-"
Several attempts have been made 10
put merger scheme through Congress,
but objection TO features OF the diff
ferent schemes have been fatal to all
up 70 date. Whether leasing OF the
properties To some third concern for
joint operation would come within the
words Of the acts Is not certain.
\ I 1tf y