Jasper County Democrat, Volume 13, Number 6, Rensselaer, Jasper County, 27 April 1910 — FACTS vs. FICTION. [ARTICLE]

FACTS vs. FICTION.

What the Home Telephone Co., Officers Did and What They Did Not Do. The agreement to dismiss all suits on each side between The Democrat and the Republican was reached at about 10:45 o’clock Friday forenoon, only a short time before The Democrat went to press, and only a brief mention was made in Saturday’s Democrat as a result. The facts in the case as told to us by our attorneys, were simply this: Judge Vinton and T. B. Cunningham, one of our attorneys in the case, returned together from Kentland Friday morning. On the way over Judge Vinton told Cunningham that\ the parties to these cases should get together and compromise them and dismiss all around, and when he arrived here he told Geo. A. Williams, one of the attorneys for the other side, the same thing. Williams then called his client* out of the court room and a consultation between them was had, after which we were asked what we would do. This was about nine o’clock. There was considerable discussion between attorneys and principals, in which Judge Vinton took an part, and finally it was verbally agreed to dismiss on both sides, we to pay the costs in our- case and the other side to pay the costs in theirs. The Republican was to publish a retraction of its charges of crookedness on the part of the directors of the Home Telephone Co., in its opposition to the granting of a franchise for said company in Rensselaer last December. At that time the Republican charged that the stock in the old telephone company had been offered to the new company at 70 and 75 cents on the dollar, and that “slyly the directors of the new company conceived the idea that they might work up an organization that would buy the plant on an 80 per cent basis and thus make for the directors five and ten per cent for the, sale.” Now one director couldn’t form any such organization as charged above, and as a matter oi fact no stock was ever offered at any time by the Jasper County Tclephpne Co., at any price except this same 80 per cent, that it was proposed to sell it for to .he stockholders of the new company, if the latter bought the former out, a statement which is verified by the written proposition from said company’s president and by D. B. Nowels, now of Lamar, Colo., who is a large stockholder in the J. C. T. Co., and who himself was here about that time and spoke to'the directors. of the Home Co., at -a meeting called that lie might present their proposition to them. Mr. Thompson, president-of the J. C. T. Co., also says orally that the written proposition of 80 per cent was the only one ever made to the new company. In this agreement arrived at Saturday we supposed the mailer was ended, and the Republican di.l retract in a way this charge, but bitterly and without justification attacked the editor of The Democrat, at whom its venom has long been directed, and we elsewhere show why the Republican is so bitter in its enmity to the writer. No one regrets these personal things more than we, and the files of the two papers will clearly show that we have only replied in self-defense all the way through.

We have not sufficient space at* this time to say as much as we would like about the Home Telepljone Co., of which the wri-, ter was made a director, and also the secretary against his open protest before the directors at the time of * the organization and election of officers of said company, a fact which every one of the directors will substantiate. In February, 1909, when the old company asked for a new franchise at an advance of 25 and 50 per cent in rates, The Democrat opposed said franchise, and it would oppose.one of the same kind now. The public was' not asking for any change in system which could not be made at the old rates, and the increase in

rates proposed wfent into effect at once without regard to the npmber of phones in use. Through The Democrat’s opposition remonstrances were circulated and universally signed and filed with the council, and the franchise was virtually killed right then and there. Some discussion of the matter was thereafter had, however, and the ordinance was withdrawn. The Republican after the thing was killed and buried also opposed the increased rates. But the old company was mad, and it was remarked that if - the public wanted cheap service it would get it. And we did get it, and it was something fierce. It seemed that the poorest service it was possible to give was “dished out” to force a consent to something more expensive. The rates were; raised to country subscribers 50 per cent, and the service given them was something avbominable. Toll rates were also more than doubled. Then patron after patron came to The Democrat and urged it to try and work up a sentiment for a new telephone company organized along mutual lines, and we finallv did so, spending perhaps SIOO of our own money in correspondence, traveling expenses, etc., in investigating such systems at other places and the telephone business in general. This money was spent freely for the public good, but some people, knowing what they themselves would do, can never see anything but an ulterior motive in anything of that sort, and we were denounced both privately and publicly by members of the okLcompany and their satellites. Well, the new company was finally launched' and then the old company got busy. The service soon became very satisfactory in* deed while the. rates to country ’phone patrons was placed back to the old figure of $1 per month. Not a pole had been erected nor has been erected, yet by the new company nor a wire strung, yet its organization improved the service immediately and has saved every country user of a telephone 50 cents per month for the past nine or ten months, and it is still doing so. No one can honestly dispute this statement. The new company was in earnest, however, and wanted a franchise in Rensselaer. An application was filed, the prayer of the petition granted and the matter referred ltd the city attorney and ordinance committee to prepare an ordinance. The presiident of the new company appointed Directors Marion Adams, Frank Welsh, John O’Connor and Harvey Davisson as a committee to look after the interests of said ordinance. The writer had nothing whatever to do with employing the city attorney, as charged, by the Republican and he was not employed by anyone, the records in the city clerk’s office plainly showing that he was directed by the council to prepare said ordinance. We never said a word to him about its provisions in any way. Well, this committee went before the council when the ordinance was first presented, and it then provided for a full metallic system, an improvement over the old system which is part metallic and part common battery. But the old telephone company had “friends at court,” and through their efforts the word “metallic” was changed to “common battery.”, . Two of the members of the committee appointed by“ President Yeoman of the new company were so thoroughly disgusted after seeing what the dominating influence w§s in the council that they never .went back again, but th<j other two members were there on two or more occasions, and by request of Chairman Adams the writer also accompanied Mr. Adams one time and went once alone, also at his request. After, investigating it was soon found by the directors of the new company why the common battery system had-been substituted. Its cost of installation and operation was about double that of the magneto and metallic sytsem, and could not possibly be put in and operated 5 at the old rafes, which no one wanted to advance. The public was not clamoring for any change in system —all it wanted Was good service at no increase in rates, precisely what it was proposed to give them. Aside from, the usual double

cost of installing and operating the common battery system, It would req-nire a plant or building of sufficient capacity to put in two. gasoline engines of ten to twenty horse-power each and two electric dynamos, the machinery being in duplicate so that in case of accident to one the other might be used. In the common battery system, understand, the phone batteries are done away with and electricity is dispensed at the central office, hence its name “central energy” or common battery system. Rensselaer has no day current, nor no traction lines from which to secure cheap current, as is the case in many towns in other sections and in the central part of the state, and this proviso for the common *battery system in the ordinance was inserted for the sole and only purpose of killing it then and there, for it could not be operated for the rates provided of $1 and $2 per month. After getting this information and being unable to the council to recede from this point, although they were shown the letters from telephone system manufacturers, it was asked that a rate of $1.25 and $2.25 be permitted after 500 phones were in service within the corporate limits of Rensselaer —a greater number than was ever in operation here—and that when the number exceeded 700 phones, in the city the fate might be made $1.50 and $2.50. Before the maximum rates ’ could possibly become operative the city would have to just about double in population, therefore at no time was the charge true that the new company asked for the ' same rates which The Democrat opposed in the old company, which asked for $1.50 and $2.50 without regard to the number of phones in operation, but the old rate of $1 and $2 per month would have applied to thle hew company with its common battery system until it had in a greater number of phones than the old company ever had! So much for the false statements and false position in which, the new company was placed by those owning stock in the old company-—the devil looks after his own, jt is said, and this case was no exception. The public be-d was the motto. ' The new company is not dead, and the time may come when it can obtain a just and equitable franchise in Rensselaer, when the domination of the old company wilj be forced into the background by an aroused public sentiment that will not permit a few to over-ride thle will of the many. The expense of organization of the new company has been but little and tfee good it has accomplished is much. The public is welcome to the unsclfisn efforts and expense of The Democrat in bringing about its organization, and although- the slanderous abuse these efforts have caused to be directed toward us have hurt, as they have others of the directors, time, that, great healer of wounds of this sort, will also vindicate every man connected with the new company of any personal or ulterior motives.

At the annual meeting of the stockholders in January an assessment of $2 per share was made, on this stock—the first assessment ever made—<and it was directed that the fifteen men who had advanced $5 each at the start be refunded. $3 where they subscribed for but one share, and that the unpaid expenses incurred be settled. The Secretary now has the stock certificates ready to issue, properly signed by the. president, and on receipt of $2 for each share subscribed will mail the certificates to the subscribers with the amount of the assessment properly receipted for on the back. If you are a country telephone user thle organization of the Home company has already saved you $6 in the past year —because of the reduction of rates fey; the old company—and you can pay your $2 assessment and then be $4 to the good. Call on or write the secretary, enclosing the amount of your assessment, and get your lithographed certificate of stock. Use the souvernir envelopes on sale, at The Democrat office \yhen writing to your friends or business acquaintances.