Show NEW NEWYORK YORK By James McMullIn 1 Copyright McClure Newspaper Syndicate The utilities have acquired bin ble allies for their battle against the rising ising tide of municipal competition with federal backing F. F H. H Ecker o of Metropolitan Life wasn't talking for fun when he spoke out ut against subsidized competition He had lad moral support from the other big insurance companies While utility securities se- se are only a small fraction traction o of their heir investments they own enough to tomake tomake tomake make the fight worthwhile Even op op- crating rating company mortgage bonds can depreciate i if municipal plants take takeaway takeaway away way their business Most utility companies have been afraid arald to try to mobilize security holders holders holders hold hold- ers directly for their defense They've given iven unofficial aid lid and comfort to various security owners' owners formed ormed for tor the purpose but up to now these hese haven't been strong enough to count Enlistment o of insurance interests inter inter- ests traceable eats traceable to skilled diplomacy by y the utilities utilities changes changes a corporals corporal's guard to an army corps And the mutual companies especially especial- especial ly y are prize allies ames because the arent aren't open to the charge of special pleading on behalf of a privileged few The active adoption of their cause causey by y insurance people has emboldened the he utilities to strike more aggressive aggressive- aggressively l ly y on their own behalf George B. B Cortelyou's Cortelyou's Cor- Cor elyous threat that there wont won't be a permanent utility code unless the government government gov- gov lays off oft fostering competition competitions Is s a sample sample not not to be taken too seriously seri serf of o of what's to come There will willbe willbe be legal action against projected municipal municipal municipal mu mu- plants in Camden and elsewhere elsewhere else- else where and publicity rockets will soon give reminders of a feverish Fourth o of July ruly COMEBACK National Power and Light has a n snappy nappy comeback to the Knoxville distributing dis- dis plant proposition approved at the last election The They have figures figures figures fig fig- ures to show that they can meet the T. T V. V As A.'s advertised rates and still maintain their earnings provided state tate and municipal taxes taxes especially especially municipal municipal are are abated So they are planning an offer to Knoxville as follows Well give you jou power just as cheap as the government government government govern govern- ment l if you'll abolish local taxes on our properties and you wont won't have to wait walt five years and go three milion mil mil- lion ion dollars into hock to get It The company will probably renew its ofer offer offer of- of fer er to buy T. T V. V A. A power to appease the he government Those who should know say that Washington wouldn't be at all dIspleased displeased dis dIs- pleased with this solution solution might might even regard it as a shining example |