Evening star., 1955-07-22
Continued From First Pag,

of money and where is the money
coming from?"
He pointed out that the union
earlier this week had turned
down a company offer of a 10
cent per hour wage boost and
a proposal to increase monthly
pensions by S..
Had they accepted" he said,
"this company would have OPP
Grated u months without one
five cents of profit. I offered
everything available. For one
year. the full value of the prop
erty would have been devoted
to the public service without a
nickel of profit"
II don't think Congress is 60
ing to pass" the legislation to
cancel the company's franchise
and permit its seizure. Mr..
Broadwater declared, where
the only question is disagree
ment between the union and
management" It Is, he said,
dangerous and vicious legisla-
ton"
Statement Draws Reply
Mr.. Broadwater's statement
drew a sharp rejoinder from
Senator Case, who denied that
"this committee is out to get
anybody"
He questioned Mr.. Broadwa-
ter closely on his use of the
term corporate rape"
Still uncertain of the word
Senator Case asked whether MIR
Broadwater was using the term
"R-A-P-E?" MIR. Broadwater
said he was using the word COM
monty employed when "a female
gets into difficulty"
That's a rather unfortunate
word for you to use," Senator
Case told the transit company
president. Il believe the shoe
is on the other foot. The longer
I sit and hear the story that
unfolds 5. the more I am drivea
to the conclusion that this COM
pany does not believe it can
operate a utility-a transit
operation--in the city of Wash
ington-that it is hopeless about
the situation.
1T is impossible for us to
continue the transit company
in a position where it is the
only instrument of mass trans
portation in the District of Co.
lumbia that no matter what
rate increase they are given You
cannot see a future for their
company.
"It seems to me that is due
in part to the way-and won't t
use the word you have used. .
he said to Mr.. Broadwater, but
! will Just say the way the as
sets of the company have been
dealt with over the years. There
has been an evacuation of prop
erty which could have been used
to tide the company over, and
I think it should have been used
for that purpose" And. he
added, II haven't seen any dis
position to change"
Intention Denied
Senators Case and Morse de-
MED that the bills trainers had
any intention of preventing
Capital Transit owners from OBJ
tanning "just compensation" If
their property should be seized.
Senator Morse said this is
guaranteed by the Constitution
and need not be spelled ous in
the bill. Senator Case said the
only question is whether dam
ages shall be paid to the owners
for a property valued as a going
concern or as one In liquidation
Senator Morse said one reason
he supports the move to canoe
the company's franchise is tt
protect the taxpayers" by Civ
ing them the advantage of Q
valuation based on liquidation.
Commenting on the Morse bill
which would rule out seizure but
allow the Commissioners to con-
tract with some other firm X
provide service, all three Com
missioners warned there woult
be difficulty in finding another
company.
"It might be asking a lot tt
invite a company to bring II
1900 buses with the possibility
that this new concern might
have to withdraw. if the Capita
Transit Co. came to an agree.
ment and came back into serv-
ice," said Commissioner Robert
E. Mclaughlin, former chairman
of the District Public Utilitie,
Commission.
That would mean. he said. tina