GOVERNMENT: Eicher's Dissent

In administering the Public Utility Act of 1935, SEC has been fairly consistent on one score: its power over capital structures (Section 10 of the Act) has been used to keep down utilities' debt, prevent them from over-bonding themselves in railroad fashion. But another major SEC objective is the integration of utility systems-breaking down scattered systems into their regional components under the "death sentence" (Section 11). Last week SEC settled a case which brought its Section 10 principles into collision with its Section 11 goal. Main casualty: New Deal Commissioner Edward Clayton Eicher, who was jolted into delivering his first...

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