When the stock of a local utility company is owned by a holding company, difficult problems of regulation are presented to the state utilities commission. The commission can still control the rates which the local utility can charge, but, usually it cannot directly control the holding company which is a private business or is engaged in interstate commerce. Yet some control over the holding company is necessary for the effective control of the local utilities, and recent years have witnessed several attempts on the part of state commissions to obtain this control. So far they have not been entirely successful.