LETTER OF TRANSMITTAL

FEDERAL TRADE COMMISSION,
Washington, May 15, 1933.

DEAR SIR: Herewith I have the honor to transmit the fifty-third interim report of the Federal Trade Commission made pursuant to Senate Resolution No. 83, Seventieth Congress, First Session, directing investigation of certain utility corporations. The report is accompanied by transcript of testimony taken and exhibits introduced at the hearings held, as therein stated.

By direction of the Commission.

PRESIDENT OF THE SENATE,

Washington, D.C.

CHARLES H. MARCH,

Chairman.

LETTER OF SUBMITTAL

FEDERAL TRADE COMMISSION,
Washington, May 15, 1933.

To the Senate of the United States:

Pursuant to Senate Resolution 83, Seventieth Congress, First
Session, approved February 15, 1928, directing the investigation of
certain classes of operating electric power and gas utility companies
and holding companies, and associated engineering, finance, manage-
ment and construction companies, and directing that the Commission
report to the Senate within each 30 days after the passage of the
resolution and finally on the completion of the investigation," upon
the matters specified in the resolution, and that it transmit therewith
the stenographic report of the evidence taken, this fifty-third interim
report covering the period from April 18 to May 15, 1933, is respect-
fully submitted.

Public hearings were held April 18, 19, 20, 21, 25, 26, 27, 28, and
May 1, 2 (2 hearings), 3, and 4, 1933, at which reports and testimony
were presented relating to Central Public Service Co.1 and Southern
Cities Public Service Co., both of the Central Public Service or A. E.
Peirce group, the Cities Service Securities Co., a securities marketing
company of the Cities Service (H. L. Doherty) group, and the St.
Lawrence Securities Co. and the Utica Gas & Electric Co., both of
the Niagara Hudson group.

The witnesses called were:

William B. S. Winans, of the Cities Service Co.;

W. A. Roberts, counsel for the Public Utility Commission of the District
of Columbia;

Arthur J. Wood; and

Sidney T. Fleming of Brunswick, Ga.

and the following, all members of the Commission's economic staff:

Thomas W. Mitchell,

Robert J. Ryder,

Charles R. Taylor,

Melbourne C. Steele,

Thomas A. Thibodeau, and

Harry H. Carter.

Reports presented included the following:

Report by Thomas W. Mitchell on examination of accounts and records of
Cities Service Securities Co. (Exhibit 5334.)

Report by Robert J. Ryder on examination of accounts and records of Central
Public Service Co. (Exhibit 5332.) 2

Report by Melbourne C. Steele on examination of accounts and records of
Southern Cities Public Service Co. (subsidiary of Central Public Service Cor-
poration). (Exhibit 5340.)

1 Printed in Part 52, Senate Document 92, 70th Cong., 1st sess.
2 Printed in part 52, Senate Document 92, 70th Cong. 1st sess.

VII

Report by Charles R. Taylor on examination of accounts and records of Utica Gas & Electric Co. (subsidiary of Mohawk Hudson Power Corporation— Niagara Hudson Power Corporation group). (Exhibit 5337.)

Report by Thomas A. Thibodeau on examination of accounts and records of St. Lawrence Securities Co. (subsidiary of Niagara Hudson Power Corporation). (Exhibit 5335.)

Report by Harry H. Carter on interstate transmission of electric energy and gas by Central Public Service Corporation. (Exhibit 5333.)

Since the last interim report, field accounting work was continued on 4 holding companies, 3 subholding companies, 1 securities company, 6 operating companies, a finance corporation, and an investment company of a large holding-company group. Field work was begun on one distributing and operating natural-gas company and completed on one gas company.

Accounting reports on natural-gas companies were completed on a natural-gas subholding company, 3 affiliated gas-distributing companies, 1 pipe-line company and a gas-producing company. Accounting reports were also completed on a construction company and two electric subholding companies.

The inspection of physical properties and operations of a large holding-company group was begun.

Hearings will be resumed on May 15, when reports on various Connecticut companies of the United Gas Improvement Co. will be_presented.

Transmitted herewith is the transcript of the testimony of the hearings from April 18 to May 15 (pp. 32143 to 33121, both inclusive), and the testimony of the hearings on the St. Lawrence Securities Co. (pp. S. 1 to S. 129, inclusive) and Utica Gas & Electric Co. (pp. U. 1 to U. 124, inclusive), together with exhibits introduced (nos. 5325 to 5340, both inclusive).

By direction of the Commission.

CHARLES H. MARCH,

Chairman.