Business: Telephone Nuggets | TIME

In rural regions of the U. S. the old custom of listening in on other peoples conversations over party telephone lines still prevails. Last month in Washington the Federal Communications Commission started listening in on The Telephone Company (TIME, March 30). In the past fortnight the Commissions dapper young inquisitor, Samuel Becker, has picked up

In rural regions of the U. S. the old custom of “listening in” on other people’s conversations over party telephone lines still prevails. Last month in Washington the Federal Communications Commission started listening in on The Telephone Company (TIME, March 30). In the past fortnight the Commission’s dapper young inquisitor, Samuel Becker, has picked up the following nuggets, most of which in any comprehensive investigation of American Telephone & Telegraph Co. could hardly be rated as more than prime gossip :

¶ Through the logical development and exploitation of inventions arising in the course of research activities, A. T. & T. is now interested in automatic horse-race timing devices, artificial larynges, photo-electric eyes, electrical equipment for mechanical pianos, a special machine to play funeral dirges in undertaking parlors.

¶ Sound recording equipment led A. T. & T. into the cinema industry. In 1929 the company, through subsidiaries, loaned $15,000,000 to Fox Film Corp., assisted it through its later troubles.

¶ Lately A. T. & T. has been drawn deeper into cinema, advancing a total of $3,400,000 for production of such features as Moonlight and Pretzels, Dangerous Waters, Emperor Jones, The Scoundrel, His Double Life, Love Among the Skyscrapers. To Take A Chance Pictures Corp. A. T. & T. loaned $100,000 for filming Take A Chance.

¶ Efforts to elicit the philosophy of A. T. & T.’s President Walter Sherman Gifford on lobbying produced this dialog:

Becker: Would it be all right for a company to send telegrams favoring or opposing legislation in the names of individuals who had not given their consent? Gifford: That would be highly improper. Becker: Would you designate employes to meet trains and find hotel accommodations for new legislators?

Gifford: They usually want telephone connections. We try to be reasonably kind to our prospective customers.

Becker: I came to Washington. I was a prospective customer. I wasn’t met.

Gifford: You were overlooked. I’m sorry.

Becker: Would you give dinners and theatre tickets to legislators?

Gifford: That may be the only way you can make the acquaintance of legislators. I might give a man a cigar. I think it’s a matter of degree.

Becker: How about theatre tickets?

Gifiord: I wouldn’t do that myself, but I don’t think it’s very wicked.

Becker: Do you think giving theatre tickets might be a little bit wicked? Mr. Gifford’s reply was lost in laughter.

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