Evening star., 1960-03-28

SOAAbONSS hAdOC by 4liOAAuo ".
"braintruSter," in connection
with a case decided by the
FPC last October.
The October discussions were
just the latest in a series of FPC
contacts by Mr.. Corcoran in be-
half of Midwestern Gas Trans
mission Co. and its parent firm.
Tennessee Gas Transmission
Co.. Mr.. Kline and Mr.. Con-
hole said.
Not Listed in Case
Mr.. Kline cited one specific
instance Of an earlier contact
by Mr.. Corcoran. q well-known
Washington lawyer. He said
Mr.. Corcoran came around"
last May to discuss a related
phase of the October case. The
October ruling by the FPC au-
thorized MidweStern to build a
pipeline to import gas from
Canada. Last Mays ruling au-
thorized MidweStern to pipe gas
from the South. Mr.. Kline said.
Mr.. Corcoran was not listed
as an attorney of record in the
cases. Mr.. Kline and Mt.
connole said everyone at the
FPC has known for years
that Mr.. Corcoran is connected
with Midwestern and Tennes-
see. In fact, Mr.. Kline said, the
question came up formally
some time ago when the COM
mission disallowed a claim for
Mr.. Corcoran's expenses.
FPC Examiner Joseph Zwerd-
ling said that in 1857 a claim
by Tennessee Gas Transmits
sion to have legal fees paid
to Mr.. Corcoran and the Chi
cago law firm of Jacob Arvey,
a powerful Illinois Democratic
leader, made a part of the
company'S expenses in the rate
case was disallowed. i
The fees, $50, ,444 to Mr.. Cor
coran and $4,000 to Mr..
Arvey's firm, were paid in 1854.
The company wanted them in
cluded in its expenses so that
they could be considered by
the FPC in determining the
rate of return to be permitted
the gas company.
There was no claim that the
legal fees were improper. Mr..
Zwerdling said, the Associated
Press reported.
Monthly Retainer
Mr.. zwerdling said that
Ronald McVey, vice president
of Tennessee Gas Transmits
sion. explained that a retainer
was paid to the Corcoran and
Arvey law firms on a monthly
basis for legal services "irre-
spective of the extent OF the
services actually performed by
them"
In a footnote to his decision,
Mr.. Zwerdling said Tennessee
Gas is represented in all GER
tificate and rate proceedings by
competent counsel aside from
the Arvey or Corcoran firms.
He added:
THE legal services rendered
by these two firms thus ad-
mittedly relates to matters of
an entirely different character,
but that precise character can
only be the subject of guess
and speculation so far as the
record made here Tin commits
sion proceedings) is concerned"
Mr.. Kline said he under
stands that Mr.. Corcoran re-
ceives a 100000 annual retainer
from the Tennessee and. Mid
western companies. He said
Mr.. Corcoran has visited the
commission with Gardner Sym
onds of Houston, Tex, who is
president Of both companies.
Unavailable for Comment
Mr.. Corcoran has been un-
available to reporters since his
name was brought into last
weeks hearing. Mr.. Symonds
also was unavailable when a
reporter phoned his office in
Houston.
Commissioners Kline and
Connole said Mr.. Corcoran's ac-
tivity was not unusual. He and
other lawyers and company ex-
ecutives who have a stake in
FPC proceedings often do the
same thing, the two commits
sioners said in separate inter-
views. They defended the Gus