New-York tribune., 1908-06-13
P. S. BOARDS REPLY
TO 4PPRAISE NET. LINES.
WM Find Ont If Receivers Can
Afford to Obey Orders.

The puhlic Service Commission in reply to the
threat TO disintegrate the New York City-Metro-
politan traction system and abolish transfers IN
case the Public Service Commission should insist
on an adequate service the lines of the system
will find whether the receivers are financially
able to comply with it's orders The commission
decided yesterday appraisal of all the prop
erty of the street railway companies in Manhat-
tan.
The action of the commission follows the conf
plants of Adrian II. Joline and Douglas Robinson
the receivers that they could not provide what the
commission thinks is adequate service without
defaulting on the rentals of many leased hnes OF
the system Chairman Wilcox started for the
Chicago convention yesterday afternoon but ne1ore
he he let it be understood that the conmis-
sion would lose time in making the appraisai OF
the property in the control of the receivers This
time the appraisal of the property will be given
over to carefully selected body of experts under
the general direction of the chairman
The immediate cause Of the commission Is action
is the issue of orders the receivers to provide
10 per excess of seats over passengers on the
sd street crosstown. Lexington avenue. Eighth
avenue. sth street Christopher street, 18th street
and williamsburg Bridge and the s6th street cross
town lines. The first of the orders were complied
with. but when the commission showed a dspost-
tion TO 60 touching up the service on other
lines the receivers objected
on Wednesday last they applied to Judge La
con1be in the United States Circuit Court, for
authority to discontinue the operation of the 2sth
and 29th street crosstown line. and to default on
the rental of the Central Park, North and East
River line controlling the tracks in seth street and
the Belt Line the West Side.
Chairman Wilcox said: The letters sent by the
receivers to the commission to indicate that
the first object Of tho receivers is to pay rentals
of leased lines and other fixed charges This idea
is mistaken The obligation resting upon
those enjoying public franchises is primarily to
give adequate service. and it is to be regretted
that the Importance of serving the public is not
orSida at asst wit
stockholders."
Mr.. Wilcox pointed out that the receivers had
made objection to the definition of adequacy OF
servics as given in the orders adopted by the
mission and that the only excuse offered was that
tho fixed charges would not allow of the receivers
complying with the orders. AS the commission has
the power to fix and to compel system OF
transfer exchange between two companies whose
lines form continuous route. it must find out the
value of the property before attempting to fix the
rates.
Mr. Wilcox said tho orders Of the commission
for adequacy of service would be insisted upon
lit is time he said, Ito have it thoroughly set
tied whether a mismaraged local public service cor
poraton escape the obligations placed upon
it by the law the state when it throws itself
into the hands of receivers appointed by any court
If such action the part of such corporation re-
leves from the operation of the laws of the state
and thus constitutes immunity bath so far as
the operation of the statutes is concerned the
sooner it is known the better"
The commissions resolution drew forth a state
ment from the receivers, signed by Oren Root as
general manager. Far from being defiant of the
state law or assuming that appolntees of fed
eral court they immune from the operation
OF such laws. they say the resolution 'Commends
itself to the judgment of the receivers They say
they have no in the property other than Its
operation benefit of the public and the cred
itors While recognizing the power of the Puohc
Service Commission to issue orders IN regard 10
operation of the roads, with that power, they
take care TO add. lis involved the responsibility
for the results entaied. AS to the inference tIia1
might be gained from recent statements In the
uevspapers that the receivers are keenly sollctous
to save exorbtant rentals for lessor companies
thev declare that nothing can be further from the
truth.
The total of fixed charges on which defaults nave
so far been made mortgages and rentals OF 'le
Mctropolitan Street Railway Company, the Ihlrd
Avenue Railroad Company, the Central CrosstoWn
Railroad Company and the Fulton Street Railroad
C.ornnarv is S7751,3s Should the federal court
also act favorably the application TO discontinue
tho oneration of the Central Park. North q East
River Railroad Company and the TWenty-elshth
& 1,vventy-ninth Streets Crosstown Railroad COM
many this figure will be increased 10 sI@s'SS