Evening star. [volume] (Washington, D.C.) 1854-1972, 1958-08-19
Eight TokeIs
With Findings
Of Putmun
BY GRACE BASSETT
star stan Writer

AAAAtJCC bOAdy CAAdA ECU OhAaN
Gray Lines, Inc, may be the
monopolistic giant Of the
sightseeing field in Washing
ton.
The report sharply rejected
findings of Committee Chair
man Patman, Democrat Of
Texas, that D. c. Transit Sys-
tenn was driving nearly 100
sightseeing competitors, includ-
ing Gray Lines. out of business.
Mr.. Patman refused to
recognize the committee vote
as an official action. But he
said he would respect the in
dividual views of a majority.
even though he disagreed with
them.
Il will consider calling q
meeting to make the vote off,
cial." said Chairman Patman.
after being informed Of the
vote by telephone.
Multer Called Meeting
Rebel committeeman, meet
ling at the call Of Representa-
tive Multer. Democrat of New
York, author Of the opposition
report, also voted to ask Mr..
Patman to file their opinion
with the House clerk by the
tclose of business tomorrow. If
The fails to do so, committeeman
authorized any one of their
number to give the clerk q
copy.
They won't coerce me-" said
Mr.. Patman. But I never
would stand in the way of q
majority"
The Multer report singled
out Gray Lines as the principal
complainant against D. C.
Transit's sightseeing activities.
1--WE cannot overlook the fact
that any complete antitrust in
vestigation might find Gray
Lines a defendant rather than
a complainant" the report
adopted today said.
Gray Lines is the largest
. sightseeing and bus chartering
, service in the District, it con-
tinued. 1t said no other oper-
ator had such "far-flung as
sociations and Affiliations
throughout the country"
Henry F. Burroughs, presi-
dent Of Gray Lines, commented
J that he had no fear Of an
investigation. He pointed to "a
years of service in Washington
! with mo complaints in that
time"
Charges and Comments
Committee accusations and
Mr.. Burroughs comments on
. them went like this:
Charge & Gray Lines COM
plains that D. c. Transit should
confine itself to mass trans
portation. At the same time,
Gray Lines listed SOS, 1000 in
1857 besides its sightseeing
revenue as other income"
Answer-The SOS, 900 repre-
sents payments to Gray Lines
from hotels and other groups
J servicing the sightseeing Gus
toners who travel to points Of
interest and stay overnight.
Charge - Gray Lines never
has denied under oath that It
was attempting to force sale Of
its business to D. C. Transit.
D. G.. Transit President o. Roy
Chalk has charged this under
oath before the Public Utilities
Commission.
Answer offered to deny
the charge under oath If the
Patman committee wanted me
to The Public Utilities Com
mission rejected the Chalk af-
fidavit and it was offered the
Small Business Committee two
months after hearings closed"
Charge - Gross income Of
.lGray Lines increased steadily
from 1854 to 1857. The in
crease in 1857, was almost
exactly the same as in the
prior year, although D. C.
Transit was actively competing
with Gray Lines then.
= Answer-The bulk Of sight
seeing bookings are made three
years in advance. Most Of
the Gray Lines 1857 business
was booked before D. c. Transit
was on the scene. Mr.. Bur-
roughs stressed that his dol
lar volume dropped $10o, 1000
through the first six months of
1858. Those bookings have
gone to D. C. Transit, he said.
Charge-Gray Lines attacked
gas tax exemptions Of Mr..
Chalk applied by the city to
ID. c. Transit sightseeing serv-
ice. Yet the gas tax is IAN in
finitesimal part" Of operating
costs. For instance, Grey Lines
license fees and taxes, exclude
ing income tax, in 1857 totaled
only S48,054 out Of total In
come of 1926, 901.
AnsweF-In 1857, Gray Lines
profit was $1,000 despite total
income. If Chalk tax exemp-
lions had been given Grey
Lines, the latter's profits would
have increased TOO per cent.
In general, the Multer re-
port insisted that the committee
was prying into business II
other Federal and District ieg-
ulatory groups. 1t hailed D. c,
Transit for pumping life into
sightseeing business that had
failed to expand to its full po-
tential in the Nations Capital
previously
The active and aggressive
e entry Of d. c. Transit System
49, ot,.~4a~ and aiOiafanafv4o