New-York tribune., 1908-08-28
SAY P. s. C. CAN'T ACT
RECEITERS ON TRANSFERS
Contend That Board Has No PO7Cer
to Order Through Rate.

If there existed before any doubt as to the atti-
tude of the receivers of the Metropolitan street
Railwas Company regard to the restoration OF
the transfer exchange system in 5sth street and 10
the Belt line that doubt dispeled at the hear
ing yesterday morning before the Public Service
Commission, when Albert G. Millbank. for the re-
ceivers. presented this statement:
Counsel for the receivers of the Metropolitan
Street Railway COMPANY appear and object TO any any
ana @ a. prefeeanss @ 9S or I9 eb resntnn Of August
20. 1908. for hearing. on the ground that the
TO make any order to require street surface rail-
road corporations in the city of New York to estab
for the transportaton of passengers. freight o.. or
su,h through transportation TO declare the por
ton thereof to which the respective street railroad
which the same shall be paid secured, and no
ai s or nd ss on the 10 aad
to do any acts in pursuance of such orders
receivers ready and willing to furnish such in,
formati the commission may request and
the property in their charge and to produce their
subject however to the objection to jurisdiction
above stated
For the first time the receivers took charge
OF the Metropolitan system on September % last.
they represented by proxy before the com
mission hearing affecting the lines under their
charge. Although Mr. Jone in town, neither
of the receivers present. but Oren Root. the
general manager of the Metropolitan lines and
Henry w. Brown, the auditor. We're on hand, IN
addition TO Mr.. Milbank. who is a member of the
firm of Masten & Nichols the attorneys for the
receivers John G MiIburn and Robert c. Beatty
appeared special counsel for the receivers in the
beginning of the proceedings to test the right of
the commission to compel two common carriers to
establish through routes and joint rates of fare
A. H Vanderpoe of counsel and George w
Linch, general manager. appeared for the Central
Park. North East River Railroad Company
which failed TO make the agreement with the
Metropolitan for restoration OF transfers between
the lines of the two companies.
AS Mr. Milbank had read his statement
Commissioner Maltbie wanted to know if 1t had
been handed in under the direction of Judge La
combe OF the United States Circuit Court, who has
given the receivers instructions from time to time
in the course of the disntegration Of the trans
pOrtation system. This question led TO a hurried
consultation between Messrs Mibank. Milburn and
Beatty, after which the first named said the law
had been Instructed TO hand in the statement
by the receivers. Whether they received any in
structions from Judge Lacombe." added Mr. Mil
bank. II d. not know
In spite OF Mr. Mlbanks statement questioning
the power of the commission enforce joint rates
upon transportation companies. the commission de-
cided TO go ahead with the hearing. From Oren
Root, the general manager OF the Metropolitan
lines. and George w. Lnch. general manager Of
the Central Park company. the information was
obtained that the conference OF the officials Of
the two companies a week ago last Tuesday no
serious effort had been made to agree upon joint
rate OF fare. Mr. Roots statement that ut was
the unanimous opinion of all those present at the
conference that II useless to talk about di-
viding a scent fare between the two compa-
Mes was corroborated by Mr.. Linch Both off,
ciaIs said no higher OF fare had even been
considered and both pleaded inability to state what
a fair rate would he. Mr. Lnch said his company
considered itself the small fish, in the pool at
the conference and so not unduly forward
with suggestions The Metropolitan officials present
did not seem inclined to take the initiative. For
his company Mr.. I-lnch said Il had never insisted
that 1t should have a haif-and-han DIVISION OF
fares He said his company had been operating
its lines too short a time to enable him or the
otnar officials to saw what might be fair rate 10
be charged for a through route over both lines
In questioning Nj. Root the three commissioners
Messrs McCarroil. Maltbie and Eustis. found out
tbat when th,. receivers were seriously contemplat-
ing droppinv the lines OF the Central Crossto"h
1,a1road Comusnv from the system and the officials
NJ this company heard Of II. they FASTENED TO make
a nropositton for a rental of the lines ht reduced
aglire and with the consent OF the COMMISSION inc
-. 1aase v,as made. The Central Park Company
however took no such step 10 have It's lines re-
.,,.s IN the METROPOLITAN system at a sacrifice OF
income 10 themselves and so the receivers wen.
ahead and secured permission from the IeuerS1
court to relinquish "ontroi.
o. tho failure OF MI Root explain why the
rscsivers had made no effort 10 come TO an as'ee
-, .o- q toiut rate Commissioner Eustis decided
90 call the receivers themselves Mr. MHbufh
pleaded for an adjournment until next AueSNas a. a.
he wanted 10 get ont Of town but COMMISSIONS,
Enstis said that the officials OF the foduS H"N
,aues 10 make the joint rate the law required 'He
rr,,tssion to act At that Mr. Mnburn said ne
would be present this afternoon at 'ioSh' "
the hearing Is resumed ,
.r,ony the interested spectators at the nearing
as representative Of the Morton Trust Com
,anx of which Thomas F. Ryan Is Nice-preaiooH''
,rrr7 CHANGES MIND ON SUBWAY.