Show HOLDING FIRMS FIRMS' VALUE ASSAILED I Trade Commission Questions Justification in Report R port porton on Investigation WASHINGTON Dec 5 T The Thc federal trade commission posed the question today whether there is economic economic economic eco eco- justification for tor the existence of public util utility t holding companies Making another report on its six six- year ear inquiry into public utilities it said Without doubt one of the most important im Ira- objectives of ot the financial phase of ot this investigation is to determine determine determine de de- de- de termine whether there is economic justification for the existence of those holding companies whose functions include in any degree decree supervision and management Today's report dealt primarily with utility publicity efforts before discussed holding compa companies nies briefly The commission is now at work on recommendations to con congress ress for regulating regulating reg reg- such companies Although the investigation Into the financial setups and relations of holding companies has not yet been completed ted the report said enough has been disclosed to raise very seriously seriously seri serio many questions not only relating relating relate ing to certain practices of holding companies but to the basic basie reason for their existence The report discussed what it called efforts by utilities to create favorable opinion in connection with work of chambers of commerce Banker good will the commission said was sought through depositing utility monc money in scattered banks without requiring an any interest Efforts to obtain the good will of ol women's clubs also were described Other groups including the Do Boy Scouts Y W C. C A. A and Y M. M C C. C A. A were approached the report said Quotes Utilities Official The report quoted a utilities official official of of- at a meeting to organize a Texas committee of the National Electric Light association L. L in A April ril 1922 1022 as stating the need for procuring procuring ing outside aid to forestall municipal ownership As of the type of advice to the industry from the outside outside outside out out- side the report continued was the statement of Prof C C. C 0 O. O Bolton BoHon Dean of Engine Engineering ring Texas Agricultural and Mechanical college to the Texas f state slate committee December 7 1923 It seems to me that in getting this idea over o in some of or the thc districts in almost all of the states you ou are not using wing the women's ornen clubs as much as you ou should II The report said caid on December 7 1923 that the Texas committee director director director di di- rector reported The utility men in this district have been elected a as presidents of oC u chambers of commerce young oung mens men's business league and other civic organizations organizations or or- which signifies their standing amon among the public |