Evening star., 1935-06-11
.ROOSEvELT'S NOTE.
BACKS UTILITY BILL.
Message Read in Senate in
Effort to Block Amend
ments.
BY the Associated Press.

BY the ASSuClktsu Rtess,
Amendments by Senator Dieterich.
Democrat, OF Illinois to take the
death sentence" out Of the bill to abol-
ish public utility holding companies
were met in the Senate today by
message from President Roosevelt de-
claring such move was contrary to
my wishes" ...-
The brief penciled memorandum Of
the President was read into the rec
ord by Senator Wheeler. Democrat, of
Montana, In charge of the bill, In an
effort to beat on the proposal of
Dieterich to strike out entirely the
sections providing for elimination in
five to seven years Of all public utility
holding COMPANIES deemed ''unessen-
tjal" to the utility business.
"A vote for the Dieterich amend
mentS is O vote TO kill the bill, SEN
ator Wheeler shouted TO the Senate,
adding it is "a vote for the power lob
byists in the galleries"
Naturalization Charged.
From scowling Senator Dieterich,
however. came the assertion that the
Dill was luIeuQcQ W ndbAOL1AAA1G bAAC
public utility industry.
There is no question what the pur-
pose of this bill is," he declared as he
opened the debate on his amendments
under a time limit which required
them to be disposed of by pm.
This bill. instead of being a regu-
latory measure, instead of correcting
evils of the holding company system.
is an effort toward public control of
ali the utillries in the United States"
Senator Wheeler, Democrat, of Mon
tana predicted the bill would go
through virtually unchanged. Wheel
er, a co-author of the measure, has
led the fight for it.
Young Denies Opposition.
A new development in the situation
was a declaration by Owen D. Young,
chairman of the General Electric Co,
declaring "the holding company is q
very useful instrument.
In a letter made public last night,
Young said Wheeler had misquoted
him. Declaring Wheeler had quoted
him as saying in effect that there
is not any excuse for the tremendous
loss involved In the holding companies
system" and that there is no excuse
for their existence, Young said, this
did not state his opinion fairly
II see no more reason for abolish
ing the holding company merely be-
cause abuses have crept into its op-
Grafton than I do for abolishing the
automobile because Of the disasters
which have come from reckless driv-
ing" Young's letter said. The i'm
portant thing Is to restrain and cor
rect the abuses and not to abolish the
useful instrument"
Long Charges Exemptions.
Charges by Senator Long, Demo-
crat, of Louisiana that the admins
tration had approved exemption OF the
Standard Oil Co. and the Mellon in
terests from operation of the bill hared
out during yesterdays debate.
Senator Wheeler said the two inter-
ests we're exempted because their con-
nection with the power and gas buSi-
ness affected by the measure was
"only incidental to their main line
of activity.
Wheeler'S ihsistence he was not
seeking to include all holding COM
pEnies of all industries brought the
Louisianan to his feet with failing
arms
This bill has been already too
much compromised" Long said, and
then topped that with an assertion
that President Roosevelt was wilfully
permitting the Tennessee Valley Au-
thority amendments to be held up In
the House.
Wheeler Amendments Hit.
DR.. Hugh s. Magill president of the
American Federation Of Utility In
vestors, last night denounced the
amendments offered by Wheeler as
an "olive branch" which. he said, was
only a twig Of poison ivy"
If Wheeler has succeeded in per-
suading the President to share his
views on the Wheeler utility BILL" he
added, Democrats owe no party ale
glance to the measure which violates
the spirit and the letter Of the Dem
ocratic platform of 80 and Is COM
pletely in harmony with the Socialist
platform.
He asserted the bill was part and
parcel" Of q deliberate scheme so to
disrupt and debate utility values and
utility service as to render them help
less prey Of public ownership politi-
clans"
Wheeler, he said, els only following
the La Toilette platform Of 1924 when
he bolted the Democratic party to run
for Vice President on a pledge for
Federal ownership Of all utilities"