The sun., 1919-10-07
necessary by the city might be

deemed necessary by the city might be
| taken.
AS you must be aware, Il Is a very
common thing In large receiverships to
I appoint additional receivers, particularly
where there are varied and conflicting in
terests, and l have never been able to
understand why in n matter of great
public concern such as this Judge Mayer
set himself against It. 1t was clearly
understood that conditions were certain
to develop in these receiverships where
the responsible authorities would be
urged to take action (which no honest or
Intelligent man could be expected to con-
slider without the most exact and COM
plete Information upon the entire subject.
Judge Mayer refused to grant any OF the
relief sought by the city. He not only
denied the relief, but he made orders
which preclude any application being
made by the municipal authorities to any
other court OF judge for any right OF ex-
animation into the affairs or conditi. ms
of these corporations seeking municipal
aid and favor.
Aseertainment of Truth.
Truth is the mightiest weapon in
every controversy. The orders OF Judge
Mayer deny to the municipal authori-
ties the opportunity to ascertain the
truth
THE franchises and rights enjoyed by
these corporations were mostly all pro-
cured many years ago when corrupt po-
litical rings were in control OF public
Affairs and the darkest scandals OF
municipal history, both in the old city
OF New York and in the city of Brook
lyn prior to consolidation are those in
relation to such grants. The affairs of
the franchise holding corporations have
been in the hands of the boldest and
most interruptions manipulators en-
gagged in the exploitation of the rights
obtained from the corrupt political. rings.
Up to the present moment they have
defied every power that has sought to
open UP the books and orr .inal records
for search and examination in the public
interest They will open. and open
wide, without any reservations or re-
strictions before there will be any con-
ference so far as 1 am concerned.
1T seems to me monstrous thing
that an order of Federal Judge in
court OF equity should stand between
the public and the truth under such
circumstances. Such an order rs hostile
to every interest of the city of New
York in these controversies. Its OPERA
ton and effect is to disarm the munich
pal authorities, to deny them the most
effective instrument of redress and to
force them into contest with corporate
powers entrenched in darkness and
concealment.
The responsibility for the turmoil
delay and dissatisfaction that has fol-
lowed upon the orders OF Judge Mayer,
denying to the city of New York any
representation in these receiverships,
rests upon those who procured and are
III " nrda
las a first and preliminary evidence
of good faith those who desire such a
conference and reasonable solution of
existing complications should procure
the entry of orders by Judge Mayer
putting the city Of New York on an
equal footing with the private intere st
active in the receiverships. A refusal
to do this can but prolong and embitter
the controversy; and II will not In the
end procure any advantage whatever to
the traction interests.'
Statements Holly Combated.
Although reporters had been excluded
from the conference before Comptroller
Craiss letter was read, it was learned
that the Comptroller's statements re-
garding the availability of information
concerning the financial affairs of the
terborough, were hotly combated by the
representatives of that company present,
and also of the New York Railways
Company. Henry l.. Stimson, counsel for
Job E. Hedges, receiver of the New York
Railways Company, was said to have
been particularly severe in his charac-
terization of the Comptroller's state
ments, and he is credited with having
first drawn Judge Mayors attention to
the contents OF the letter.
Within an hour after the letter had
been presented to the conference Judge
Mayer issued the following order to
United States Attorney Caffey:
1T Is hereby ordered that the United
States Attorney advise the court by for
NAL information concerning the conduct
of one Charles l.. Craig on October s,
1919, at which time he is reported to
have published or caused to be published
a written communication addressed to
the Hon. Lewis Nixon. Public Service
Commissioner, No. 40 Lafayette street,
New York city. concerning the orders
and action of this court in n pending
cause or causes. JULIUS NJ MAYER,
United States District Judge"
Among those who attended the con-
ference at the invitation of Commits
sioner Nixon were Frank Hedley, vice
president and general manager, and
James l.. Quackenbush. general counsel
of the Interborough Rapid Transit Com
pany; Job E. Hedges, receiver OF the
New York Railways Company: Col.
Timothy s. Williams, former president
of the Brooklyn Rapid Transit Conf
pany; w. o. Wood, president and gen.
eIal manager. and w. B. Robertson,
counsel, of the New York and Queens