Evening star., 1933-01-19
Statement by Chairman NJ M.
Patrick Lays Break to
Peoples Counsel.
ELECTRIC FIRM TO FIGHT
CASE TO END IN COURT
Commission Will Make New Effort
OF Obtain Reduction Effec.
tive During 1888.

The Public Utilities Commission today
broke of negotiations with the Potomac
Electric Power Co. looking toward set
ting of legal differences over electric
rate reductions and decided to fight the
litigation now in the Court Of Appeals
to the end. At the same time the
commission will make a second effort
to secure some rate reductions for 1888
regardless of the progress of the litiga-
ton.
In a statement issued by Chairman
Mason M. Patrick of the commission,
Peoples Counsel Richmond B. Keech
was indirectly blamed for the break of
in the negotiations. This, Keech de-
nies.
Text Of Statement.
The statement reads:
For some days the commission has
been trying to negotiate with the Po-
tomac Electric Power Co. and to arrive
at a method by which the pending
litigation could be ended and imme-
diate reduction in rates could be made.
Yesterday counsel for the commits
SIGN, the peoples counsel and counsel
for the company had agreed upon a
document which would accomplish the
above purpose, and by which Justice
Luhring's decision upholding order No.
9l9 would be maintained, but with GER
tain changes in the terms of the slid
ing scale contained In his original
decree.
THE commission is now informed by
the peoples counsel that he is not
satisfied with the wording Of this docu-
ment agreed upon yesterday afternoon.
The commission has informed the
power company that it must terminate
the negotiations undertaken with the
hope of effecting conclusion Of the
pending litigation.
"The commission will take up again
with the Potomac Electric Power Co.
the matter OF temporary arrangement
by which there can be made some re-
duction of rates during the next IL
months beginning February l, 1888"
Keech Comments on Case.
Mr.. Keech. commenting on the above
statement, said that the document re-
ferred to was proposition that JUS
tice Luhring's decree be amended SO
as to include all of the terms Of the
disputed order No. 9l9. He said that
when he WIS asked yesterday If he
agreed to j., he replied that he was
agreeable j. the language clearly re-
tanned to he commission the power to
fix rates st any time regardless of any
consent decree and subject only to an
appeal by the company affected on the
question of the reasonableness of the
rates. He said that he stated to those
present that he was not satisfied that
the language clearly accomplished this
purpose, but that he would study the
matter and would report back.
Last night, he said, he consulted legal
textbooks and came to the conclusion
that the language did not reserve the
power to the commission in unqualified
terms and therefore he could not &C.
cept it.
Order No. 919 was the one issued
by the commission, in which it set
aside the consent decree which had
regulated rates in the District for seven
years and set Up new sliding scale
This order was sustained in an opinion
by Justice Luhring of District Supreme
Court rendered July 20. 1892. The
power company appealed from his de-
cision and the appeal is nov pending
in the District Court of Appeals.
The company has filed its brief in
support of its case, and the next step
is the filing of brief by the commits
sion. It will probably take until the
end of the year before the case gets
out of the Court of Appeals, and is
regarded as fairly certain that the los
ing side will endeavor to secure a hear
ing in the United States Supreme
Court, which would consume at least
another year.
The conferences which broke of to-
day began Monday morning and have
lasted for many hours each day since.