New-York tribune., 1919-10-16
Independent Operation of
70 Surface Roads With
Straight 5 Cent Fare Is
Approved by Judge Mayer
City's Plea Is Denied
Fourth and Madison Ave.
Cars i'll New York to
Break From Big Group

Federal Judge Mayer to day will sign
the formal order directing Lindley NJ.
Garrison. receiver for the B. R. t. to
turn back TO the Brooklyn City Rail-
road Company for Independent oper
atlon the twenty-six surface lines in
Brooklyn leased since 1898 from the
Brooklyn Heights Railroad Company.
According to Carl NJ Owens, counsel
for Receiver Garrison, the surrender
will be made at midnight on Saturday,
and the order will cover all the ar
rangements made for the equipment of
the surface roads to accommodate the
travelling public. If the order follows
the example set in the severance of
the Eighth and Ninth Avenue lines of
the New York Railways system Mr..
Garrison will be directed to discontinue
all transfer arrangements that have ex-
listed heretofore between the Brooklyn
Rapid Transit Company and the sur
face railroads.
The Brooklyn Railroad surface lines,
therefore, will be operated independ
emily, beginning Sunday morning, with,
1t is presumed, a straight 5-cent fare
basis for each line. The operation of
the main lines through the borough by
separate companies Will impose on pas
sengers fares ranging as high as 90
cents for a distance now traversed for
nickel.
Unable to Pay Rental
Inability Oh the part of Receiver
Garrison TO pay the 100000 quarterly
rental due the Brooklyn City Railroad
Company from the Brooklyn Heights
Company, according to the terms Of
9s9-year lease, brought about the
breakup OF the system A total of
S696,OO0 in rental and taxes was due the
brooklyn City Company on October l.
The receiver then said he had no op-
ton IN the matter but to default and
surrender the lines to the owner, as
the lines were already showing a
monthly deficit of $4,000.
Judge Mayer authorized the final
drafting of the order yesterday after
full consideration of the city's OBJ
lection, presented by Edgar J. Kohler,
Assistant Corporation Counsel on be-
half OF Corporation Counsel Burr.
Mr.. Burr called Judge Mayors at
tentlon to suggestions made on January
10 BY Controller Craig for the appoint
ment Of co-receiver in the interest
o. the city, and the continuation of
transfers at all costs. 1t was also
suggested at the time that the contract
V'ith the Brooklyn City Railroad Com
pany, including particularly high rental
provisions, ought to be modified.
City viii Oppose Move
Corporation Counsel Burr announced
,ast night that if the order results in
increased fares, the city will oppose
re move by every legal means IN its
power
= assert that the receiver must per-
sorH his duties as receiver according
% the laws of the state" he said
Contracts cannot be abrogated with
oat an order from the Public Service
Commission, and this can be issued
oniy after proper application and after
tins city has had chance to be heard
u maintain that Judge Mayer has
70 power as a Federal Judge to change
the conditions of municipal franchises
tic Service law makes it the absolute
duty of the Public Service Commis-
sioner 10 look after such matters, and
establish through routes and joint
.ates for contiguous lines"
Mr.. Burr said that he voiced his
Irotest against a contract whereby
Receiver Garrison should obligate
brooklyn Railroad Company in case
,hc lease of the BROOKLYN City Rail
.oad Company should be terminated,
O. its lines returned to the owners for
operation by them. Mr.. Burr said
nat. in spite of his objections, the
court Immediately ratified the CON
tract, and denied the request for one
oay adjournment.
Calls On Nixon to Act
H.
mat the time had come for Public
Service Commissioner Nixon to re-
store the free car transfers abolished
by him. He made the statement when
shown a report that papers were be
ing prepared, asking the Federal
courts TO separate the Fourth and
Madison Avenue line from the Metro
poltan Street Railway system.
The Corporation Counsel contcnde ed
that Commissioner Nixon had cut off
the transfers the ground that he
could thus prevent dislntegration of the
entire system. The action of the Fourth
and Madison Avenue line officials, Mr.
Burr said, emphasized the fact that
olslntegratlon had continued, even in
ereased, in spite OF the revocation of
transfers, with its additional revenue
The people of Manhattan arc be-
ing mulcted out of $500 900 a wear
oy the cutting off Of the transfers.
eai1 Hr. burr- ne travelling public
Of Brooklyn is suffering yearly loss
of 81 100000, making a total for the
TWO boroughs of S2,0o0,00o \
Sees Position Justified
have always maintained that cut
ing of transfers would not save tn,
lines or prevent disorganization Of tn,
systems. Nixon said it would At
hearing on October / | brought ou
from street railway executive tha
other lines were contemplating break
jng up into independent corporations
his is Just another proof that 1 wa
light in my contention"
Mr. Burr said that COMMISSIONS
.SJxon ought to take immediate step
- cope with the present situation. Tn
corporation counsel quoted Nixon "a
laying, when he issued an ordc
sboishing transfers:
This order ~ made upon condition
fnat the lines Of this company arc no
disintegratcd. II they arc, by orde
NJ Judge Mayer, the commission vii
make such further orders az the situa
non demands"
Supreme Court Justice Finch, o.
Brooklyn. granted injunction
aYainzt Commissioner NIXON and WIZ
arn x. Begg and Arthur {. Hume, re-
cciYers Of :hc Manhattan and Queen
.