The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1915-07-08
Chosen BY ID. u. r.
BondhOlders to Pro-
tect Their Interests
HEADS SAY THEY
WILL SELL LINES
Stockholders Will Vote
July 14-COurt to
Fix Price

Elihu Root. former secretary of
state, and now president OF the New
York state constitutional convention.
will be asked 10 pass on the agree
ment between the city and the ID. L.
r.. which the n. L, Y. officials have
agreed 10 submit TO their stockhold-
ers.
Mr. Root. 1t is said. has been chos-
Ell by the various attorneys repre-
senting the trustees OF the ID. L. X.
bondholders as the logical man 10
search the agreement for fays and
for conditions prejudicial 10 the
bondhoiders' interests.
Oae OF the chief reasons Tor the
n. L. RS request for plenty OF time
IN which 10 submit the agreement
tC their stockholders was that II
could NOT be submitted until Mr..
Root had passed upon IL. and as Mr..
Roo; is very busy with New York
state matters. Il would take him
several days 20 go over the agree
rien5 thoroughly
The entrance OF the bondholders
into The sU' which will be brought
To determine The value OF the D. L.
X. properties j. the one-fare zone
will be decided by what Mr.. Root
thinks Of the agreement. II he finds
that their interests are not jeapard-
ICED. they will become party TO
the suit. tut II he thinks that the
agree acn' Is prcjudicial to them.
they will probably decline 10 take
rart in the proceedings, and IL Is
likely lha, the agreement will be
shalved
The care with wrich the d. L. X
has considered every step OF the ne.
gotiations with the city is shown
BY tao paragraphs Of President
Hutchins' letter 10 the board OF
street railway commissioners, July
!. which Mr.. Couzens found so unsat-
isfacfory. Mr.. Hutchins said:
~You understand. OF course. that
up0p your tnzistenCe. the proposed
agreement contains a provision that
the railway company shall procure
the general apresrances-in the pro-
resdfng to he instituted tn court TO
fix the price 81 the property and ad-
iust the liens against it-of The
trustees under the several mortgages
covering all or portions Of the prop
erty involved in thc proposed sale
arJ purchase, or affecting the same.
and as soon aa the details referred
to are settled. which VIII he. we con-
ndentiy expect before the close or
the present week, we viii immediate
- 81 rr t-lr nrir m
for the appearance ~ the trustees
under the mortgage referred TO m
such proposed suit. This, you VIII
recognize. cannot be undertaken un-
IN the proposed purchase agreement
has been IN all substantial matters
agreed upon for 10 must he consid-
cred by such trustees and their
counsel
comment upon the published state
ment purporting 10 have emanated
from YOU that the attorneys for the
railway company. 10 the conference
looking 20 the settlement az an
agreement have endeavored 10 Intro
dnce into the agreement clauses pre-
judicial 20 the city's interests and
contrary 10 the spirit OF the agree
rnent between tho city and the com
pany We think ~ would be quite as
fair for us 10 say that counsel for
the city seemed 10 he insistent on
writing into the agreement clauses
pre- judicial 10 the company and con-
trary tn the spirit OF the agreement
between the city and the company.
but we refrain from doing so. for we
are confident that counsel both for
the city and the company have In
good faith erdeavored TO have an
agreement settled which would be
fair TO both sides-and. fortunately.
that result seems TO have been
practically accomplished
Mayor Marx said, "Wednesday.
that he In unwilling to have charter
amendments providing for bond Ia.
sues for garbage reduction plant
and a tutercuIosis hJspital voted on
when the streei car question comes
before the people, bat wants that
question considered all by itself
This will make these cond issues I'M
possible until next year. for u is IL
legal 10 hold more .hnn two special
clcctions In one year. and the u'di
cl.l election OF Friday and the mn
nlcips, ownership election In 'Septsm
her will be all that the city can hold