New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-03-14
Unsigned Draft Proposed
TO Spend $780, 100000 to
Build Subway.
WHITNEY HAD PUT
MEMORANDUM IN SAFE
Mayor Declares He Does Not APP.
prove of Shifting Control
to City Now.

Explanatory statements Of tho al
legged sccreting Of so-callcd Shonts
letter by Secretary Travis II. Whitney
Of the Public Service Commission, ard
tho refusal OF Mayor Mitchell TO APP
prove OF the transfer Of the jurisd'c-
ton Of subway construction from the
Public Service Commission, were the
developments in the Thompson inves-
tigation committee yesterday.
The letter concerned supposed
proposition Of President Shonts Of the
Interborough company, whereby his
company was 20 build the subways
practically at it's own expense, thereby
saving the city Sl65,OOO,OOO.
One Of the statements is in the 'orm
Of letter to Senator Henry NJ. Sage
chairman Of the Senate Finance Com
nittee. from ". r. Wilcox, chairman
NJ the Public Service Commission II
1910. when the proposal" is said to
have been made, and the other from
Controller Prcndergast. Both are
favorable 10 Whitney. who has been
nominated by Governor Whitman as
a Public Service Commissioner.
Wilcox Defends Whitney.
Mr. Wilcox also takes the oppor-
unity 10 again deny that Whitney was
NOT in any way responsible tor tAe
RESIGNATION of Henry b. Seaman As
chief engineer Of the commission.
The proposal Of the city 70 supplalt
tho Public Service Commission IN SUP
.yav work was made 10 the Mayor ny
chairman Thompson and Senator Rod
,rt Lawson. one Of the committee. Fol
loving the conference Mayor Mitchell
81 told Senator Thompson subs'an-
.allv what / said before his commit
TOO last year that logically TINS IS
,.tv function. but I hoped and trustee
fbc change would not take place dun" &
tho life of the present city admins
ration. think while the present
.ubways are under construction II
would be pity TO disturb the si'u"-
Senator Thompson left the city fer
Albany after his talk with the Mayor
H. cIpects to return on Ihur5iaN'
yrben a public hearing ln the Alder
manic Chamber viii be held regarding
,ho proposed change OF Jurisdlcu2h
,r subway construction. On FRIDAY ne
,,n confer with the presidents OF tie
boroughs Of .hc greater CITY
Shonts Letter Just a Draft.
Mr. Wilcox. in his letter TO Senator
Sage. said:
For several months before March,
1910 Mr.. Shouts. Of the lnterborough
,omnany. and had been cOnterrnS
and negotiating with reference to an
offer from his company which might be
accountable 20 the Public Service Com
mission From time 20 time draft let
tors were made upon the various sub
iect7 which we're 20 be embraced IN any
offer that was TO be made. and the So
called letter was a draft, which was the
result of several of these conferences,
and while 10 was not acceptable IN all
respects 90 me as representing the
,icys of the commission. | had hoped
that Mr. Shonts would be able 20 pre-
sent II a. a tentative offer OF ms COM
panv. The draft letter 10 which refer
cuce is now made Is nothing more t9an
a draft OF an uncompieted ana uh-
signed letter
Mr.. illCON states tudl 0I. Hinii 10
later said he had taken up the matter
with the executive committee, but they
did not favor 10 along the lines cut
lined i'm the draft.
The so-callcd letter, therefore. rs
really nothing more than memoran-
dun which was never submitted Mr.
Wilcox states. "Somc months later ]
found the letter and asked Mr.. Whit
ney 20 put 10 in a safe for safekeeplng.
This was not because ! considered II "a
public document, and IN no sense vas
The paper turned over 20 Mr.. Whi'ney
as secretary OF the commission.
The Shonts proposition 10 IS said,
practically proposed that the Inter
borough company build the subwaFs,
thus saving the city Sl65,OOO,OOO
Controller PrendcrRast says the $50
called proposition from Mr.. Shonis was
known 20 the city officials at the time
4 was made" Continuing, he states:
1T was. however. nothing but an UNI
signed communication, setting forth
possible terms and conditions upon
which the marlborough Rapid Transit
Company would be willing 20 build
subwavs with its own money. Mr.. Whit
news opponents are now juggling with
this communication and calling 10 d
plan 90 save the city SlG5,000,00O. They
arc also asserting that If 10 had been
known 20 the public the city would
never have entered into the dual sub
way contract scheme Such a premise
is ridiculous and atrociously false