New-York tribune., 1907-09-24
WATCHING INTER-MET.
MORE TALK OF RECEIVER.
Action on Ncr York City RailUay
Hay Come from UHthout State.

1,st how or when the New York City Rail
wsv Company would be placed in the hands OF
q receiver could not be learned last night. but
following a series of conferences between the
directors Of the Interborough- Metropolitan and
the subsidiary companies, lasting most of the
dav. the feeling Increased in financial circles
that such a receirership would be applied for.
The plan, according TO report, is TO throw the
erton into the federal courts by having the
srrIica:ion for receiver made by a foreign
co-porstion-that is. one outside OF this state
.n5 outside the jurisdiction of the courts of this
s-ste The great advantage to the companies
hsrtrg the federal courts assume jurisdiction
.s that 1t would unquestionab1y block the in
re.tigafion Of the mergers now being made by
the Public Service Commission.
There was a rumor yesterday that an appli-
cation for a receiver was to be made before
United States Judge Lacon1be in the Federal
Building. % lawyers appeared before him in
his chambers however. before the close of court.
At the judges home last night it was said he
had left the city and would not return until
Wednesday,
Every one having any connection with the In
terboTough- Metropolitan Company or IF its
subsidiary lines represented in the merger was
unusually reticent and evasive when the sub
sect Of q receivership was brought up. Most Of
them seemed willing TO deny that there would
he any receivership for the Metro
politan. but refused to talk about the posi-
bility that the New York City Railway would
be placed in the hands af a receiver
Conservative opinion in the financial district
that under the circumstances the involved
affairs Of the various companies IN the merger
could be Strengthened out more easily by New
York Railway receiversflip than in any other
way
Early in the morning groups Of directors IF
the various companies began TO gather in the
board room Of the marlborough Metropolitan at
fits Offices. No 115 Broadway. A series Of con-
aerences was held until 2:30 in the afternoon,
when a special meeting Of the 1nterborough-
Metropolitan directors was called This lasted
about an hour. II was then given out that the
only subject discussed was the demand of the
Public Service Commission that its account
ants be allowed 10 have access to the books
Of the company.
L was decided that the demand of the com
mission should be complied with. This was
taken TO mean that the directors felt II would
not he the part Of wisdom al this time to an
fagonize the commission.
Among those at the meeting were Theodore
P Shonts- August Belmont. E P. Bryan. Cor
1elius Vanderbilt and z J. Berwind- 1t had
been said that the Berwind- White Coal Com
pary. Of Pennsylvania of which F. J. Berwind
is president. had been selected as the foreign
corporation which should make application for
the receiver This was denied by Mr. Berwind
and others But the denals that such action
would he brought by some other foreign cor
poration We're not strenuous.
Following The meeting in the Offices of the
Interborough- Metropolitan Delaney NicoIl.
who with Paul Cravath, cares for the important
legal affairs Of al the companies in the merger
rad nit,
is said 10 represent the Belmont interests
Mr.. Cravath went directly 10 HIS office al No.
III William street. with H II. Treeland presi-
dent ~ the New York City Railway Corrnanv:
oren Root. vice-president and general manager
ot the same company. and one Of the directors
II was nearly o'clock when they left the office
afr. Cravath. when approached on the question
of q receivership for the New York City Rail
way, declared most erlphaticaIly that he could
not SAY word al this time
Just how seriously federal recevership for
the New York City Railway would tie the hands
of the Public Service Commission. which is con-
Quoting a special investigation of all the trac-
tion companies of the city. makes an interesting
speculation IT is believed in some circles that
the federal court might check any further
probing Of the companies in the Inte-borougfl-
Metropolitan merger on the ground that il
might interfere with the proper settling up of
the affairs OF the New York City Railway Com
pany, which are interviewer with those of all
the companies.
u is certain that the books OF that particular
company would be placed out OF the jurisdiction
OF the commission Mr.. WINS. however the
special counsel for the investiga ton has already
obtained much important data from these
books, and Il is not believed that the federal
court would prevent him from summoning wit
nesses snd examining them this date.
This investigation under the direction Of Mr.
wins VIII be continued to-day in the hearing
room Of the commission in the Tribune Building
81 2. m. Mr.. Twins would not talk yesterday
about his plan OF procedure. It is understood,
however, that he purposes to take up certain
traffic conditions to-day in addition probing
q number Of things brought TO light by account
ants Of the commission in their investigation Of
the books Of the New York City Railway Com
panv.
Among the witnesses to be called are z p
Bryan, president Of the Interborough Rapid
Transit Company; Oren Root general manager
OF the New York City Railway Company: d c
aoorehead. treasurer Of the Metropolitan Street
Railway Company. and Mr.. Turner the engineer
of che commission who has supervision of the
operation Of the various systems
s,4NA4- oc~N~,rosNr nonne.