Evening star., 1934-12-23
WIRE UNIT REPORT
GIVEN ROOSEVELT.
Probable Legislation for
'Radio, Telephone and
Telegraph Outlined.

The Federal Communications Com
mission, headed by Chairman Eugene
o. sykes, yesterday gave President
Roosevelt q progress report by way Of
acqpainting him with the extent Of
recommendations likely to be made to
Congress covering the radio. telegraph
and telephone service.
With two Of the three major inves-
tigations, those dealing with the radio
and telegraph, virtually completed, at
least as far as the taking Of testimony
Is concerned, the commissioners were
enabled to give the President the In
formation necessary for his annual
message. Under the law establishing
the commission. a report will be made
to Congress February !.
Although Chairman Sykes would not
discuss the details of the conference
with the President, beyond saying the
present status Of the report has been
considered, plans and dates for two
inquiries were announced by the COM
mission.
The White House discussion also
turned more or less on the N. r. A.
code Of fair competition which the
administration has indicated it will
impose on the telegraph companies
Members Of the commission figured re-
Gently in q White House conference
with officers Of the telegraph COM
panies when the code question was
considered.
Hearing Dates Set.
As for the new Investigations an
nounced by the commission, January
81 has been set for hearings on inter-
locking directorates in the communi-
cations field. Leading oficials Of the
radio, telegraph, telephone and cable
companies have been summoned to
appear. More than 400 applications
it was learned, are now pending be-
fore the commission for authority to
hold positions Of officer or director OF
more than one carrier.
A hearing also has been called for
January IA to inquire into the present
operation of the "franking" privilege
particularly as it relates to the tele-
graph companies. The purpose of the
commission Is to curtail the use OF
telegraph frank, now said to be un-
limited. by officials Of railroads
steamship lines, air services and bus
transport companies.
The Communications Commission
has given a month or more to hear
ings on the proposal to allot IS per
cent Of radio time to educational
broadcasts. Definite proposals are be-
fore 1t in behalf Of such an arrange
ment, together with a record of testi-
mony Of the commercial broadcastine
companies opposing the plan. What
to do about the radio in this connec-
ton is one Of the commissions three
major problems.
Merger Is Discussed.
The second covers the proposed
merger of the Western Union and tht
Postal Telegraph companies, and pos.
slble consolidation of all record
forms of communication, both nationa
and international. On this phase
hearings also have been completed anc
the commission has before 1t two
programs:
First, the formation Of one hug,
| company to take over all communi
cations, including radio point-to-poin
service and the cables, giving it in
ternational character.
Second, consolidation of the domes
tic services, telegraph and radio com
munications, in one company and tn,
formation of second and distinc
organization for the cables and tn,
radio communications In activitie.
outside the United States.
As far as can be learned, the com
missioners have reached no definit,
conclusion on the radio educationa
plan or the communications mergers
although sentiment appears antagon
istic to reallotment of radio and ia
vorable to some form of telegraph
merger.
The inquiry into the telephone field
to deal largely with the capital struc
ture Of American Telephone & Tele
graph, licenses and purchase Of equip
ment from the Western Electric Co
is hardly under way. It appears un
likely that this investigation will b
complete in time for q report to Con
gress on February /.
| The announcement of the commits
sion fixing January 21 for the hear
ings on the policy which must be de
termined on interlocking directories
indicates it hopes to evolve its prac
tices and standards for the authorize
ton or disapproval of applications +
hold positions in more than one com
| DanV