The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-12-08
UNFAIRNESS IN
METHODS LAID
TO WATER CO.
City'S Attorneys Given No
Time to Study Evidence,
Says CuthbertSon.
BATTLE OvER VALUES
Worth of Property Again Is
Bone of Contention
at Hearing.
BY JAMES DOSS

Charge that the Indianapolis
Water Company was unfair in sub
hitting some of its evidence was
made today by Harry K. Cuthbert-
son, attorney, as the public service
commission renewed the hearing to
determine permanent rates to be
charged by the company.
C~uthbertson's comment came as
William M. Ransom, New York at
torney, presented the company's.
exhibit covering analysis of the
utility land holdings.
Il think it's unfair for the COM
pany to submit bulky documents
that we haven't had opportunity to
study for the purposes of cross-ex-
animation" Cuthbertson said.
you've had plenty of time"
Ransom reproved him, referring OBJ
viously to Cuthberson's service with
the public service commission, from
which he recently resigned and be-
came attorney for an apartment
house operating firm.
Gives Heated Answer
"That's my business rejoined
C~uthbertson, somewhat heatedly,
land I assure you I'm capable of
taking care of it. The considera-
ton asked is for the public and not
me-"
George T. Whelden, Indianapolis
realtor, witness then on the stand,
was recalled and William G. Mabee,
the water company's chief engineer,
was put on the stand to testify to
the groundwork from which WHEEL
den drew conclusions resulting in a
land appraisal of $3,711,2OO
This appraisal is one of the sew
eral items making UP the company's
estimate of $28, 053 1903 for total re-
placement value, and which attor-
neys for the city and water patrons
are attempting to tear down.
Wide disparity between the COM
pany's estimates and those of Har-
ry Wenger, public service commits
sion engineer, make up the public
case. Wenger's estimate of the
utility land value is 81, 729,066.
Fight Over Values
His estimate for total replacement
value of the company is ST. 72, 900,
non-incluSive of allowance for water
rights and other tangibles.
Water rights was the Franken-
stein monster which pursued attor-
neys and witnesses through night
marish slumbers Wednesday night.
They refused today to create a
brother demon in property values.
Shortly before noon recess, Cuth-
bertson Edward H. Knight, corpora
ton counsel; A. B. Cronk, repre-
senting an apartment operating
firm, and Walter Rothermel, rep
resenting civic groups, began dig
ging into maps and plats of the
company holdings while they cross
questioned Mabee.
Preceding Mabee was Harry
Boggs, certified public accountant,
who testified to audits of the COM
pany books. Boggs asserted he found
the company's accounting depart
ment invariably fair in charging
costs against the proper accounts.
Wages Cut by Company
Among reductions in operating
expense effected by the company,
Beggs said, was a uniform wage re-
duction Of 10 per cent as of Oct. Is,
1882, which would result in $43, BAT
in annual economies.
This sum represented slashes
from the top down, inclusive of
the top" Boggs said. He explained
$34,911 would be charged to operat-
ing expense and the remainder to
capital.
Questioned by Cronk, Boggs 5es-
titled the 81, 900 a month formerly
paid to c. H. Geist, president of
the company was discontinued Dec.
81, 1881.
Examination of Boggs late
Wednesday brought out that there
had been a loss of $251, 839 in the
net income of the company for the
fiscal year ended Oct. 81, 1892, as
compared with the previous year.
Net income fell from 1888 ,006.72
in the 1881 period to $431, 1861 in
1882, he revealed.