New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-06-18

SOME OF THE CHILD
amendment to the rapid transit act II
the marlborough should accept the
terms and the Board Of Estimate should
ratify the acceptance on June -. such
an amendment 70 the law would he for
warded 10 Albany at once Members Of
the board expressed the opinion last
night that under an emergency MESA ge
from the Governor it could be put
through in week or ten DAYS
II was determined yesterday that the
city in exchanging leases should do so in
way that would give it the power to
take over straight line subway on the
East Side at the end OF ten years
Members of the Board Of Estimate have
received what they consider the most
competent legal advice obtainable that
the bondholders Of the Interborough
could not successfully attempt 70 over
throw the suggested transfer of leases.
They are willing 10 take chance on
such an attempt being made. AS a
matter Of fact. If the Interborough is
sincerely anxious TO fix the matter be-
yond any question they could do so by
calling in the present bonds and putting
out a new issue.
President McAneny explained :he stu
alton as follows last night:
l believe there would be no serious diff
Guilty IN effeCting the change proposed by
Mr.. Mitchell and MIR. Prendergast IN reia-
ton 10 the exchange OF leases on the lines
below 4Zd street The Interborough Com
pany, in its letter of May 3, concedIng GER
tain notifications proposed in the course
Of the conference. stated its position on
THIS point as follows:
"SiXth-If 1t can be legally carried out,
provided the lien of any duly authorized
mortgage DO not disturbed, We Will consent
10 modify the present leases with the city
so that either the present East Side subway,
from 42d street south 10 the Battery, or the
present West Side subway, from Times
Square north. shall be held by the lessee
under the ten-year reception clause thus
enabling the city 10 possess through me
upon either the East Side or the West side
In exchange for an indeterminate lease OF
fOrty-nine years from the time OF begin
ming complete operations upon, respective
", the proposed West Side subway extern
sion from Times Square to the Battery or
the proposed Fest Side extensions from 40
street north, reservlng 10 those extensions
trackage rights for the elevated lines over
the White Plains and Jerome avenue lines
and the right 10 connect the southerly emo
of LenOX avenue extension under the terms
of contract No. 1.-The difference IN Value
upon the exchange 10 be adjusted by agree
uent between the lnterDorough Company
and the city. or. # they cannot agree, 70
be settled by arbitration upon terms ana
conditions 70 be agreed upon.
In order 70 permit the city 10 grant
forty-nine year lease on the Seventh ave-
nue. extension. and 70 give this IN exchange
for the proposed indeterminate lease on the
East Side line, II will be necessary 10
amend the rapid transit act.
No doubt this IS what the COMPANY
meant by its qualifying phrase sroed II bo oS
ever. that there would be little Difficulty m
securing the necessary amendment. II II
be desired before contracts are signed.
No Legal Difficulty Expected.
Mr. Mitchell is satisfied frnn1 his exam
marion of the terms OF the company
mortgages that they contain nothing maj
would prevent such an exchange OF Iedse '
as the city proposes: that there is IN snort
no difficulty that the company could not
legally overcome.
Assuming this to he so. an exchange
could ne made as readily now as Al any
The companv in its letter did not propose
that the right Of exchange should go over
for ten years that was the suggestion OF OF
the conference committee. The conferrees
behaved that II would be better 70 reserve
the option OF taking whichever or the TWO
lines might best serve the city purposes
in the future when new com binauons or
routes possibly may be made. and when
under the then existing conditions me
West Side line might prove more oeslra ,3r
.bsD Tho Fast Side Nj Mitchell and MI
Prendergast. however. feel that there would
he greater advantage IN establishing
definite basis Of exchange az once
President Cromwell and l were wiling 70
waive orr judgment upon The point or
difference remaining, and agreed 70 recon- 70
r1ent the change 10 our associates Al
though we could not speak 1or tneul az tn ne
moment. there IS nt'l" uou"' 'id' 'iV' VIZ
The agreement Of the company. as it's let
ter indicates was made without any reser-
walton as 20 the time az Whlch an eHcn .Ils
might ne made The change or form, tnere-
fore. cannot affect rs position on this par
The condition as 70 exchange or leases
vas frat proposed by M. Mitchell ana MI
Prendergast in their report Of January last
7 am more than gratified by the genera
stand thev have taken upon the report
After the meeting yesterday morning
President Mitchell said The only vital
thing Of which M Prendergast and J
did not approve was in regard 70 the
lease We believed II 70 he the crux ~
The whole situation. Now that the re
rort &c 10 he modified in this particular
d
We are prepared TO say that We approve
Of the report and will vote for 1t.
These six votes (three Of Prendergast
and three Of Mitchell and the two votes
NJ President McAneny and one or Bor-
ouch President Cromwell would insure
the massage oT the report by nine votes
Of loast no matter what Mayor Gaynor
and Borough Presidents steers Miller
and Gresser might do. However every
Indication last night was that they also
,,.o,,ld vote for the report and that II
would be unanimous.
McAneny placates Queens
When the committee went l''o
sion Borough President McAHeHS
rlained his report in detail. using large
man 70 illustrate it's features. Borough
President c;resser Of Queens said ne oiu
not think the report gave proper 'oi''
Grafton 10 Queens. as il had onlIl'eu NV
Jamaica line. President McAnehy point
ed ont that. although the report dlu ho'
go into detail. il had provided tha' j q
oo,tract he entered into with the Brook %
Ivn Rapid Transit Company II DE uon'
in such form as 10 link the Fourth ave-
nue system with the companys eXistlng
and projected lines in BROOKLYN an"
Queens as SET forth in its proposals OF
March and April 20.
After the question of the immediate
transfer Of leases In the lnterporoue"