The evening world. [volume] (New York, N.Y.) 1887-1931, 1908-11-20
SUIT TO TIE Up
THE $12,5O0,OOO
CITY BOND SALE
David Meyer Seeks TO Enjoin
the Issue Advertised for
Next Moniay.

Justice Seabury this afternoon heard
argument IN the Supreme Court and re-
served decision On the application OF
David Meyer as 81 TAXPAYER for au iu-
junction fo~',3aMg TIE ,ompuoNc. iu
soll si.a,0.,.o Worth % .j;y hoHdS vHi,l
he : uoW aGNortsirL. t.c proceeds ct
which arc 20 lac used III running the
city's business for the next SIX months
The sale of the bonds is advertised Tor
Monday next. Meyers suit is based ON
the contention that the city's debt is
alread" more than 10 per cent. of the
assessed valuation OF all the taxable
real estate in the city, beyond which,
under the Constitution, the city cannot
involve itself
If Justice Seabury decides in favor Of
Mr.. Meyers contention there will be no
money in the treasury by March l. and
If the decision is held Up beyond Mon
day there can ne no sale Of the bonds
The action is in reality directed at tie
Fourth Aycaue SUBWAY In Brooklyn. II
IS sought to prevent The awarding of the
contracts for tAr construction Of that
ma.h-neaGed WORK. opposition 70 which
came from persons n: crested in real t.
tale in other sections Of BROOKLYN.
CORPORATION Counsel Pendleton opposed
the injunction.
1t can have bat one result said
Mr.. Pendleton. 1t viii impair the
city's credit and discourage bidders at
the approaching sale, It Will have the
effect of increasing the interest which
the taxpayers will have to pay.
Alonao O. Mclaughlin, counsel for
Meyer, said it was desired that the tom
porary Injunction be continued until
Gen. Tracy had reported findings as to
the borrowing capacity of the city.
When Gen. lIdCy was designate! by
Justice Blanchard to conduct tn" in
ollirv. COMPTROLLER NetZ had stated that
the. debt niarain was then only Sl40o-
COO" said Mr.. McLauchIin; he now
claims that the valuation of the city
under the last assessment has increased
so much that siS,C-0,e0l has been added
to the ctys borrowing capacity. ana
that 5000, eou worth OF bonds Rave been
paid of since June. ewing the city
leeway Of more than s5o.Dhro, II l'is
$ So Gen. Tracys report will uadoTSt-
eddy show 1t.
The citys Finances.
The Corporation Counsel read Comp
troller Nets affidavit and the tabulated
statement of the city's financial Condi-
ton on Oct. i as compiled by his chief
bookkeeper. 1t showed that IN percent.
Of the. annual valuation of real estate
was sS12,2il51S. The net funded debt
chargeable against the constitutional
limit is s543, S696,9; contract liability, also
chargeable, $40, iS7 .5SS. and for lands ac-
CURED. estimated a $lS9S5.96l, making a
total of sGOS, 293,l1i city debt chargeablc
against the debt limit.
Added to this is s2+, 125, 2lo for bonds is
sued in the past three Years, making the
total S633 O1S 3S4 and leaving the citV S31-
-.o,li leeway in its constitutional bor-
rowing capacity, TO which must be adj
ded S5.1lO36l for bonds sold but nr yet
utilized, making a total of si4.333 Gro.
An affidavit Of Lawson Purdy. presi-
dent Of the TaT Department. was pre-
scented showing the annual valuation Of
real estate to be sS,7@2, 4l5, $50, an in
crease Of $4S2,O 900 over last year.