The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-10-31
CRAIG ON STAND TO
SAVE CONTRACTOR
Comptroller Protests Against
Forfeiture of Gaffney's
Big Subway Job.

Comptroller Charles l.. Craig ap-
peared yesterday before the Public Ser
vice Commission in what Commissioner
Travis II. Whitney described as an ''un-
precedented' proceeding. Mr. Craig was
tract between the city and contracting
concern OF which James L. Gaffney, one
time business associate of Charles F.
Murphy, was one of the organizers.
Mr.. Craig opposed cancellation by the
commission OF the contract for subway
construction work with the Intercon-
tlnental Construction Corporation OF
Brooklyn. Mr.. Craig appeared in sup
port OF an argument by Frederick l. c.
Heating. attorney for the construction
company, which it is alleged virtually
has abandoned the work in the impor-
tant link under Eastern Parkway be-
tween Prospect Park Plaza and New
York avenue.
Mr. Heating had presented argument
purporting to show that the delay In
the completion OF the contract was due
to market conditions and a failure on the
part Of the Public Service Commission to
furnish required plans on time. Mr.. Craig
protested against any action by the
commission that would tend to 'ham-
string and knife in the back" action pro-
posed under the Lockwood bill. which
provides for the modification OF subway
contracts upon agreement between the
Public Service Commission and the
Board of Estimate.
The Comptroller's statement reused
Commissioner Whitney, swho shut Mr..
Craig Off by declaring:
The unprecedented character OF this
proceeding appears from the fact that
for the first time N the history of n
rapid transit contract, on notice OF a
default. the Comptroller Of the city ap-
pears In opposition to a defaulting OF a
contract, and his entire point Of view is
and must certainly be/ taken to be in
harmony with the arguments that have
heretofore been presented In behalf OF
the contractors"
William l.. Ransom, counsel to the
commission, pointed out that Mr.. Craig
had been among the first 10 call for the
forfeiture OF contracts held by contrac-
tors who had failed to live up TO the
terms of their obligations
Mr. Craigs solicitation In behalf OF the
Interconttnental Construction Corpora
toms contracts aroused considerable In
terest among officials OF the Public
Service Commission last night. Prior
to the ultimate passage OF the Lock
wood bill providing for the modification
OF existing contracts between the sub
way builders and the city by the Public
Service Commission and the Board Of
Estimate, Mr.. Craig was almost as I'M
compromising IN his attitude toward de-
linquent contractors as Mayor Hylan
professed 20 be.
Under the provisions OF the Lockwood
bill the Comptroller may advance money
to subway contractors who can show
that they are handicapped in fulfilling
their contracts by reason of advances In
the cost of material and labor due to
war conditions when such claims are
filed with him and certified TO by the
Public Service Commission. Mr.. Craig
point yesterday was that the Intercon-
tinental Construction Corporation had
been placed under financial embarrass-
ment through being forced TO contract
for material at iDceased war prices by
reason OF delays On the part OF the Pub
| lie Service Commission.
The Intercontinental Construction Cor
poratIon was organized IN 1915 with an
initial capital of $500. The incorpora-
tors were Frederick J.. Hartigan, an
engineer or 20 Cortiandt street. preSi-
| dent and director: Austin w. Andrews
II Battery place. vice-president and
treasurer, and Arthur II. Faust. secre-
tary, IS Cortlandt street.
In April. 1915. the corporation entered
bid for tho subway work covered by
the existing contract and when engineers
OF the commission made an examination
| OF the corporate affairs on April 20
| the information was given that the capt.
| tai stock had been increased from $500
| to $4,000. The stockholders at that
time were: Austin w.-Andrews and
Mrs. Harriet Andrews, $50. 900; Tomiins
McIlvaine. $4,000: James f. CARNEY.
s35 1000. and Frederick L. Hartigan.
| $l5. 700.
Some time subsequent to the organi-
zatlon OF the Intercontlnental Construc-
| ton Corporation Austin W. Andrews
was succeeded as treasurer by A. p.
Shaw. said to be an official of the
Upper Hudson stone Company. con-
Germ that Is said to have furnished
crushed stone in large quantities for
subway construction work.