| Show UNClE SAM WOUlD CURB PHUN TRUST W Wickersham Says Regulation by Commerce Commission sion Will Be Means of Solving Telephone Telephone T Telegraph ph Pool Poo W O J Jan fin 20 Regu O.-Regu- vy lation l b the thc state mid ll con com merce commission i i of the tho American T Telephone Telegraph company am amnot and not not hot the compulsory c competitive mp provisions pro pro- visions of tI the e Sh Sherman all antitrust law lawwill will be he the means of solving in large larg measure the so called telephone trust i problem accor according to Attorney Attorney ney ne General Yick Wickersham who ho announced an an- n- n flounced today f that he had referred the whole question to for fOl investigation n and and action This Thi move Po terminates s the Investigation tion t J by the department t t r f justice e ot of th the I alleged telephone trusa trust trus a grains against t which independent companies have ha made charges of unfair treatment t and ancl of the employment o of methods destructive of or competition The Tue commissions commission Investigation atton will b he be reaching far arr In hi effect and out of it 1 Is 18 expected fl to grow t the Uie lC outline of or a bO governmental policy with re respect to th the telephone and telegraph It must m b be determined according acco to officials wh whether r in n tie the tho Interest ant and convenience nl of ot t the pub publio a. a telephone o or telegraph ph n mo-n monopoly poly finder r rigid rl-Id regu- regu lation should hotl d bo be tolerated by br the thc 4 gu- gu cr oral cral g government nl or or whether th the o y eminent nt should take over O utilities o or finally whether competition o Ie C enforced bl under the the- Sherman h antitrust law and m monopoly nop l prohibited lime Inne pt T k Cha Cha lan j 0 of t interstate commerce e commission formally an all announced n unc d tonight that in in response to information submitted to it tda b by nj jJ Jha e at 1 at t f. f g r-i r J c lp UJ c R T Y would woud mako make an si l J. operations rates rateR and practices of the thc varlo various s telephone companies Pol Pointing to the complaints which h 11 have v b been en lodged with the government Co against the American Tel Telephone Telegraph company generally J known nonn ns 15 I the Boll BU II Telephone ono s system the lie attorney I general S says S 'S In his communication to th the commission of ot these it seems Many Ulan questions to me mc cannot c. be bo dealt with appropriately appropriately by b the law department of ot the government Jo but bul should be made the thc subject of oC r regulation a after a cal tul i investigation of oC the whole subject b by I your our honorable bod body The powers c vested te teIn in you Ou b by statute appear appeal to m me to be bc ample to enable you to make a comprehensive comprehensive com corn and thorough Investigation of tho the matter matte I It may be that t as a a a. result of such Investigation you rou will conclude that ad additional legislation I should be suggested to Congress Q Quito Quite a a. number of or the tho states have enacted laws Jas vesting vesting- In public utilities s commissions com corn missions or oi similar b bodies lJ es Jurisdiction tion which has been executed In some Instances wi with th respect ct to the acquisition acquisition acquisition tion of or telephone lines of or one company by bv another r and with respect to the tIme Interchange c of or business and facilities between tel telegraph and telephone lines State te regulation however cannot be bc bea a satisfactory method of or ultimate solution solution tion of or the questions arising out of or telephone operation The value alue o of a telephone service depends largely larg-cl upon Continued on Page 9 9 Column 4 S ATTORNEY GENERAL WOULD REGULATE TELEPHONE TRUST TRUST Continued From Pa c One the facility of connecting ever e cl every In Individual Indi l- l vidual telephone user usel with s any amly y p point upon an army any tel telephone phone line lne In the United States but bUl this should be attained I under conditions which secure to to- the 1 public time the th maximum of convenience con I upon the time most reasonable terms consistent consistent con eon with wih the fair r return turn upon the time Investment In and under suitable supervision simpers simpers' sion slon and control b by your 01 bod body t Hn In IC n Fix Rates Dealing with the powers o of time the th commission commission com corn mission Mr 1 points out that the time Interstate commerce act makes telephone tele telegraph raph an and cable companies com corn panics enga engaged ed in Interstate or foreign business common carriers requires s I that all nl their ther rates rales shall shah hal be he Just an and amid reasonable and prohibits the granting of ot undue or unreasonable preference to any fUn one That s section o of time the act requiring common carriers to file with the commission and keep open to public public pub pub- pub pub- lic Inspection schedules of or rates fares and anti charges the time attorney general adds I probably Is not nol broa broad enough to ext extend nd to telephone and tele telegraph raph companies lid 10 hol holds 8 however hOte cl that the act confers upon time the commission ample po power por r of ot Investigation on Its o own n In Initiative In- In and he lie points to the time section of ot tho them law la 3 specifically authorizing tho the commission to fix fx just and reasonable rates and to prohibit unjust and discriminatory dis dis- practices b by telephone and telegraph companies Calling tIme tho commissions commission's attention to tho the Immensity of or the subject Mr lr WIckersham said There are aro said to be some sonic OOOO In Independent Independent Independent In- In dependent telephone companies companie Investments In aggregating man many millions milons of ot dollars which together operate more than telephones No one of or those companies represents capital or business comparable In size with that of or the time American company compan or ot otan an any of ot its Is principal subsidiary com corn panics The American Telephone Telegraph company compan either directly or through sub subsidiary i lar c companies whose stock It owns operates what Is known generally as the tho Bell BeB telephone system system tem toni which reaches upwards of or places distributed among practically all al the time states of or tho the union having ha some telephones in use ue and operating oper the principal long distance lines between n the tue states It I has ha an Invested capital of ot a hook book value alue of or nearly nearl GOO GOO- It I Is also the owner o nel o of a large block of or stock of ot the Western estern Un Union io n Tel Telegraph e gra raph p ii corn company compan pan y through which it I practically controls the operations oper oper- of or time the telegraph anti and cable lines I In I. I U UJ IU WUl l Jl v Charges American Company Outlining complaints of oC Independents against the time American company th the attorney attorney attorney at at- torney general sa says s 's teat tat the they charge that the time American has not contented Itself with the normal extension of It Is s system but has purchased competing lines in such manner and circumstances as a's would destroy competition that It a has refused to make malte connections between between be be- tween local lines not own owned d or c controlled con con- n- n trolled b by It I and amid Its Is own o n long distance lines and has Ims terminated contracts anti and nd arrangements for or time the Interchange e of oC business between lines It I has hs acquired and lines of ot ind independents Complaint also s made the attorney general adds that In cases where Amerl American an companies cOI ha have assumed to tomako tomako tomako mako connections with Ith Independents they the have ha e done so In such manner as asto asto asto to prevent satisfactory exchange of fa facilities fa- fa a- a of oC communication thereby In Intending intending in- in tending to discourage the tho patrons o of the Independent n ent companies and n drive them theta to the time American companies Further to th the tha attorney general general it i Is charged that the time AmerIcan American Amer Amer- ican company compan has discriminated be between beONI bel be- be l tween ONI the lines of ot the Western estern est rn Union company in It owns an Interest and those of or the thc Postal Tel Telegraph raph com corn pany panr In cases where telephone subscribers sub sub- scribers request to bo boo put Into communication with the Postal company for tho timo purpose of sending telegrams In places where there thero If is no competition It j Is charged chard that the time local and long long- distance rates of or the American companies com corn are re alleged to be unduly nigh sal said the attorney general while In places lilaces where Independents arc are established ISsued rates have been reduced |
