Evening star., 1955-10-09

A new Washington bus COM
pany, headed by John r. Steel
man, former Presidential adj
wiser, viii make an offer Of
.'pretty close to SIS" q share toI
buy out the Capital Transit Co..
it was announced yesterday.
The disclosure was made by
T: william Stempil. Washington
attorney. on behalf Of the newly
organized Washington Rapid
Transit System, Inc. He said the
offer viii be made next Tuesday
to Louis E. Wolfson. controlling
stockholder of c. T. c.. who has
offered to sell the company at
SIS a share.
Mr.. Sternpil also said the new
company win file an application
tomorrow with the District Pub
lie Utilities Commission to take
over the Capital Transit fran
chise which expires next Au-I
gust IA.
Announcing election last FRI
day Of officers and members Of
the board Of directors. Mr.. Stem
pill listed Mrs. Francis w. Freed
as vice president. She is presi-
dent Of Buckingham and Clare
mont Community Properties in
Arlington, as well as of Para
mount Motors and Paramount
Communities. the parent organi-
zation of Buckingham.
Would Take Over
Mr.. Stempil said the new COM
pany has offered to take over
the contract Of the C. T. c. tram
sit workers union. whose recent
62-day strike led to legislation
which win put the company out
of business.
Also, he announced, the COM
pany proposes to write a COM
pulsory arbitration clause into
the contract to avoid any future
strikes,
Mr.. Stempil, backed UP by
other members of the group, said
the Washington Rapid Transit
System has plenty" of financ-
ing. Some of it. they said will
be obtained locally. but the bulk
of 1t is "out. of town money"
some coming from individuals
and some from corporations.
Listing himself as executive
vice president, Mr.. Stempil iden-
titled the other officers as II.
Mason Welch, washington at
torney, secretary Of the COM
pany; Archie Alexander, colored
engineer and builder. as vice
president in charge Of engineer
ing; Ford E. Young, jr.. attor-
ney and son of the former presi-
dent Of the Fussell- Young Ice
Cream Co., as assistant secre-
tary: John A. Kaye. president Of
the Wolf Oil and Gas Co.. Inc.
of Newark IN. J.) and Oil City
(Pa.), as vice president in charge
of finance and controller. and
Marshall r. Diggs, attorney and
president Of the AsSateague
Bridge Company and Ocean
Beach Club. Inc, as assistant
treasurer.
Directors Listed
Directors were listed as Col.
Frank H. Collins. USAF ret.
former chairman Of the District
Recreation Board. as chairman
of the board; and Mr.. Steelman.
Mrs. Freed. Mr.. Welch. Mr.. Alex
ander, Mr.. Young, Mr.. Sternpil
and Mr.. Kaye.
Other directors were listed as
Herbert A. Frost. assistant to
the vice president of Allis Chal-
mers. and P. H. Matthews, an
executive with the Association Of
American Railroads.
Mr.. Stempil's original an
nouncement. later corrected. also
listed as directors the two law
partners of Chairman George lE.
C. Hayes of the Public Utilities
Commission. which must choose
among applicants for the Capital
Transit franchise. The an
nouncement also listed James A.
Nabrit. secretary of Howard Uni
versity and Mr.. Hayes associate
in the District school segregation
case before the Supreme Court.
The two paw partners of Mr..
Hayes are James A. Cobb, retired
Municipal Court judge, and
Perry w. Howard. ST., Republican
National Committeeman from
Mississippi.
Mr.. Stempil later announced
Mr.. Nabrit and Judge Cobb
would not serve on the board.
but would act as advisors to Mr..
Howard.
Denies Connection
Judge Cobb denied all knowl-
edge of his selection for the
board and declared fatty he
would not tolerate any connec-
ton with the company in view
of his close personal relationship
with Mr.. Hayes. at whose home
Judge Cobb resides.
Mr.. Howard said he had au-
thorized use Of his name. Mr..
Hayes said he had first learned
of this Friday evening. Several