The evening world., 1919-01-04
TRACTION MUDDLE
PART Of DEAL" IS
WH|TNEY'S CHARGE
Sees Plan to Force City Own
crShip Of Certain Lines
ShontS'S ForebodingS.

with ns plea for an Scent fare
transfers cents cNtra rejected,
but not finally. by the Estimate
Board. Theodore Shonts predicts n
nation -wido panic; Public Service
Commis r-,r whitney charges that
city and traction officials are In n
deal Comptroller Craig declares
Whitney io Irresponsible" and dc
MICS whrnoy's charge that he has
made secret settlement with the
Intcrcontuon'll Construction corpor-
alton, allowing IL S32s.oOo.
Incidentally e is alleged that
James q shaw. financial officer Of
the corporation, Is the Same James
G.. shaw who forgot" what he did
with Sil-5O in tho famous "boailond
Of ston aqucduct scandal. Craig
denies only that the settlement was
secret whitney declares that any
payment over $4,000 on the corpora
tons claims is a clear gift OF the
peoples money.
The assertion OF CommissioneI
Whitney that there Is an understand
inr between city officials and traction
officials merely cOrrobofatCs the nc
lIcf expressed IN WCll-infOImCd CYCLES
downtown. II ~ not believed IN thOs"
circles that the lntcrburOugh 10 IN
serious StTutiS.
Il Is bcucvoI that municipal owncs-
ship OF certain traction properties -
literally to he forced on the city
through rcc,iNcrahips and threats oi
tcccivcrHhlps 1t IL believed tHtt
Hylan. CriS and Gov. Smith are, 20
say tho least, coInplaccntiy con'crs-
ant with what ~ going on.
SAID Mayor lIsIan at the Board ul
Estimate meeting yesterday:
ono great big Job that the new
Governor ul the state can do Tor tho
people Of this city, is to get that man
Whitney ou' II Office. II he docs thh',
he VIII have ~ per cent OF the people
| Of Brooklyn behind him. We can
never better cur-Iitions until NhI'heS
is out"
This. and other comments or inc
! sort. brought the following answer
/ from Commissioner Whitney:
/ "Bv saying that the Governor
shouid IRE me. Mayor llylan ana
Comptroller Craig have brought Gov
smith into tho New York City oI'u!
uon. which should be OF intor'S' /"
! thr entire state. / accept the iss"'.
/ Whether / am removed or iesi7''t,"
ou, of utlicr ls a matter OF niue 40
! portancc to me. II is important tor
the City Of New York TO realize that
a uaro 10 IN control OF the city that
under cover OF war patriotism and eh'
| eitement. has uot its feet under the
table and the city is threatened WIN
traction deals and contractors deals
that will throw Inc past into 'ns's'
nifIeanee.' ,,,..,.
The dire torcbodings OF Mr.. Shonts
were In the shape Of another letter.
The SAuuts Icttcr went 10 lhc
Chamber OF Commerce, tho M'r-
chants Association, real estate boards
and "A lot OF other ORGANIZATIONS. u
began Events OF the utmost moment
to the prosperity OF this city are
Chrouclca In the news Or the day
Then there were refer rccs 10 the II
X. T. rrcv,NrrSh,p, The upward cost
of things, the credit a.. local trans
portatloilS.
Ia IA s.uac." ya.d Shouts. "thc stu
alton Of the electric railways Is mort
serious than that q: tur steam Ial
roads, for the puullC ls awake 10 TN
stcam railroad problem Iiu
the public has seemingly not awak
/ cred TO the peril that les IN the plIsh
l OF the electric railways
Then Mr. Shuuts quoted AlCNdndo
!. ICmphills statement uf a wee
ago, went on to say that the Cl,Ctrl
Il railways Of the State represent
billion and a quarter of dollars wit
$500, 100000 Of bonds and $500 0OO.0 90
OF stock" or about l-2OOth of tn
y wealth Of tn" country
This ~ all In jeopardy say
Shonts. because the traction lines a.
= not allowed to increase fares, an
, "mlny weaker lines are alrcId
bankrup' and all the lines are hCIdo
toward Bankruptcy"
Mr.. Shunts goes on gt length To 81
that : cent fare Is all the interior
ough requires for itself us that wOui
pay It's preferential; but II the city
20 got interest ON It's money, tn,
there must be an s cent fare Tor a r.l
In tho subway, In fact. with an S cen
fare. says ShontS. there would bo
the next two fiscal years "a surplus
t2 100000 And listen to this:
- This would 60 into the city treas
ury and would hc credit tpr sue
purpose as the city might desire.
- can ho used 60 reduce tho TAX raj
or could be Lscl Ia 4 nucleus OF
NJ fund 60 acquire public utility pruIc
VI tics"