The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-07-25

fusing aid will not cause us to pay more
than two cents"
In addition to asking for rehearing
| OF the proceedings on which the two cent
transfer charge was based, Corporation
Counsel Burr also asked for stay OF
the order, which Is TO become effective
on August 1. and for a reversal or modi-
f1cation OF such order. He declared that
the making of the transfer order with
out defining the points at which the re-
oeiver of the railroad could charge such
additional charge was unwarranted by
statute. 1t deprives the city, 1t is stated,
of the oppoI tunity of establishing what
are the points where transfers must be-
issued under The franchise terms.
Points That Burr Alleges.
The FIVE points on which the Corpora
ton Counsel based his application are:
81. That the commission had neither
power nor jurisdiction to make the order
entered herein.
III. That the said order is defective
in that 1t fails to sdjudicate the transfer
points, and further that II is not based
! upon proposed tariff schedules OF the APP
plicant as required by the statute and
the regulations of the commission.
I'LL That the proceeding herein lie ir-
regular in that the application upon
| which It is based ia defective and falls TO
meet tho requirements of the statute
| and the regulations of the commission.
NV. That the order is unwarranted in
law In that IL Is not based upon adequate
and comnetent proof, and further that by
reason of the hurried and summary man.
ner in which the said proceeding was
conducted and terminated the city was
prevented from properly presenting It's
case.
"V. That the new matter referred 10
| herein shows conclusively that the sole
purpose for which said order was made,
1. e.. the prevention of disintegration of
the New York Railways system. had al
ready been frustrated and defeated in
part. in that one of the principal lines
of the system has been separated there
from and returned to Its original own
ers'
Replying to the Corporation Counsels
argument Mr. Farley. counsel for the
Public Service Commission, said infor-
mally:
AT the hearing the receiver offered
maps. &c, indicating the transfer points.
i, The city was represented by Assistant
Corporation Counsel Kohler. He offered
no evidence tending to show that free
transfer points, in addition to those
named, were obligatory.
There is n fine of $50 that may be
collected from any company for every
fare illegally collected. Ours was no
snap judgment Mr.. Burr had copy
Of Mr.. Nlxon's order eight days before
it was signed. The city is not now shut
out. If evidence Is furnished that
there are other obligatory free transfer
points the commission will order them.
las already stated, the commission,
following the order Of the Federal court,
had no option between either allowing
an extra charge of or 10 cents for
extra rides of sanctioning an extra
charge of 2 cents for transfers"
Job Hedges admitted that the rental
of s215, 1000 for the Eighth Avenue rail-
road was q y per cent. on an authorized
capital stock of 100000.
your 211a per cent" he added. as a
return on the capital stock and not on
invested capital. The return on the In
vested capital represented by the capital
stock. plus the expenditures later made
is not 21lh per cent, but nearer 4 per
cent. When you can demonstrate that
invested capital Is not entitled to a re-
| turn Of 4 per cent. you will be justified
| in opposing an increase In fare to the
New York Railways Company.
This is a mans game. Your re-
! sponsibilities and mine are commanding.
| 1t is time to talk to the public and not
at it. The city authorities should grant
, public and the railways No business
can be conducted successfully by selling
| it's product at less than cost