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Mike Gorman's letter in the Dec. 22 issue takes issue with my op-ed in which I mentioned the National City Lines Between 1936 and 1950, National City Lines [[NCL), a holding company sponsored and funded by General Motors, Firestone Tire, Standard Oil of California and Phillips Petroleum, bought out more than 100 electric surface-traction [[streetcar) systems in 45 cities [[including New conspiracy that helped destroy thousands of urban rail systems in the United States to make the world safe for General Motors Corp. He called it a "rabid conspiracy theory." However, National City's actions are widely known and well documented, and the proceedings are part of public record.
In May 2005, Ed O'Rourke posted a succinct summary of the NCL in the National Catholic Reporter, noting that an excerpt from an Oct. 2, 1946, letter of the Department of Justice to J. Edgar Hoover , describes the illegal activity:
"Investigation of the complaints disclosed the probable existence of a systematic campaign by National City Lines, acting with its manufacturing shareholders, to secure control over local transportation systems in various cities.... One result of the plan for integrated control over local transportation has been the elimination of electric railway cars in city transportation controlled by these companies."
On April 9, 1947, a federal grand jury unsealed two counts of criminal conspiracy against GM, National City Lines, Firestone Tire & Rubber Co., Phillips Petroleum Co., Mack Manufacturing Co., Standard Oil Co. of California and others.
On March 12, 1949, the jury delivered its decision. On Count 1, which was conspiracy to secure control of transit systems, they were found not guilty. On Count 2, which was conspiracy to monopolize the transit business for their own oil, tires and buses, they were found guilty as charged.
The defendants appealed all the way to the Supreme Court, but the convictions from the second count stood.
The National City Lines episode, in severely restricting transit choices for Americans and locking the country into development patterns almost utterly dependent on private automobiles and their attendant infrastructure, was a major factor in both devastating to the property tax base of the nation and in making us hostages to the oil market. Their success, and the modesty of the punishment they received from the court, fed the arrogance that led them, and us, into the sorry state we are all in today. It's nothing to dismiss out of hand.
Richard Risemberg
Los Angeles