The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1934-01-02
POWER MERCER
RECORDS CONE,
PROBERS TOLD
Reports Missing From State
Files; Background of
Company Traced.
Continued From Page One)

ments.
According to the public service
commission act of 1882, all eight
appraisals should be on hand for
public perusal
The merger authorization of Jan.
10, 1927, by the public service COM
mission refers to eight appraisals
made by five experts"
The appraisal made by Earl L.
Carter. representing the public
service commission, is the only one
on file at the statehouse.
Missing are reports of appraisals
made by Harry T. Pritchard, w. V
Brunell, H. l.. Lowe and Charles w
Spooner.
Why are these appraisals not
available as specified by law?
Referred to as Grab"
In referring to the merger pro-
ceedings of the Indianapolis Light
and Heat Company and the Mer-
chants Heat and Light Company,
affecting the pocketbOoks of prac-
tically every resident of Indianap-
Olis-at. least every consumer of
electricity-The Times will present
the facts diSpasSionately.
Indianapolis newspapers of that
depression period frequently
referred to the merger proceedings
Of the two utility companies as a
$55, 00O,000 grab"
Such statements as "saddling the
public with SIS 1000 900 stock
grab or, the encouragement of
this state openly charged that the
small home owners of this city were
being robbed of a half million dol
lars a year" were used in the In
dianapolis newspapers of January,
1927, of which The Times has
copies.
But without resorting to the
charges or cOunter-charges of that
period, The Times will set down the
facts and let the Indianapolis
public draw its own conclusions.
Served Since 1887
The Indianapolis Light and Heat
Company had served consumers of
this city since 1887. The defunct
Merchants Heat and Light Com
pany had been in operation since
1902.
In a building on the present site
of the Columbia Club in Monument
Circle the late C. c. Perry and the
late Daniel Marmon, founder of the
Nordyke 81 Marmon Automobile
Company, formed the original cleo
trio utility concern which has grown
from an investment of a few thou
sand dollars to the great corporation
now known as the Indianapolis
Power and Light Company claiming
a physical property value of
$4,000 900.
Shortly after Thomas A Edison
amazed the world with his miracle
OF the electric light in his barnlike
laboratory at Menlo Park, N. j., Mr..
Perry and Mr. Marmon began to
serve downtown indianapolis mer-
chants with electricity.
The use of electric current for
homes and industries became uni
versal and the Perrys, the Marmons
and the WynneS, among other In
dianapolis families became wealthy.
Reputation Was High
The reputation of the Indianap-
oils Light and Heat Company up to
the time of the plans for the mer-
ger in 1927 was high in the COM
munity.
The Merchants Heat and Light
Company was formed in 1902 by a
group of Washington street mer-
chants as a competitive company.
The Times will present figures in
the course of this series to show
that the Merchants Heat and Light
Company never proSpered; that
dividends paid never were earned
and that the company was formed
primarily to force a sale of their
property to the Indianapolis Light
and Heat Company.
After various attempts to sell the
property to the indianapolis Light
and Heat Company, the Merchants
Heat and Light Company finally
sold out to Mr. Brewer OF
Grand Rapids. Mich. who, at a
later date, sold to the insult in
terests.
Then Came the insults
Prosperity realized in the wal
days ky local utility concerns serv-
ing factories engaged in the man
ufacture of war materials was fol-
lowed by the boom days of 1918 tc
1920.
Then came the insults.
Samuel insult. recently arrested ir
Greece. where he fled after the col
lapse of his financial empire. ther
was spreading his great network Of
utilities through the middle west
That was in 1925 to 1927. He finally
entered indianapolis.
insult was anxious to gain con-
troll of the city's electrical utilities
His active agents bought the I'M
profitable Merchants Heat and Light
Company as a first step to gain con-
troll of the city's electric power.
$500 for 500 Shares
T. A. Wynne, at one time vice
president and general manager Of
the indianapolis Light and Heal
Company. had died some time be-
fore. The heirs of his estate Soor
were approached by insult repre-
Sentatives and shortly afterward, hi.
estate and one or two smaller in
tereStS were sold TO insult.
BY this transaction the insults OBJ
tanned practically 28ia per cent Of
the Indianapolis Light and Heat
Company, paying the enormous price
of $500 for 500 shares.
With absolute control of the Mer.
chants Heat and Light Compan!
and a foot planted Solidly in thu
IrIin NJ tnnlis inht aud unnt Cen,