New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1920-03-23
Court Order
Holds Up New
Bus Projects
Temporary Injunction, Made
Returnable Thursday, Is
Served on Mayor and
o t h er City Officials
Hylan Blames 'sInterests''
Clause Hating Operation
of the Present Lines
Is Revoked by Justice

temporary injunction restraining
the city from using the $1,200,000 ap'
preparation made by the Board OF Es-
innate for the construction and opera
ton of buses was served on Mayor
Hylan and other members OF the Board
of Estimate yesterday. A representa-
tive Of the firm of Guggenheimer, Un-
termyer & Marshall appeared as the
the hearing on the traction situation
on Staten Island and served the re.
straining order, which was obtained
from Justice Newburger, of the Su-
preme Court. Edward l.. Schafer, a
stock broker, of 100 Broadway. APP
peared as the plaintiff in the taxpay-
ers' action.
The order as originally drawn also
restrained the city from operating the
fifteen municipal bus lines now in OPP
Grafton. 1t was later amended by jus
tice Newburger, at the instance of Cor
poration Counsel Burr, so as to apply
only to the proposed new buses.
Grover A. Whalen, Commissioner Of
the Department Of Plant and Struc-
lures. who is supervisor of city bus
operation, was included as q defend
ant. The order is returnable in the
Supreme Court Thursday, when the
city will have to show cause why the
injunction should not be made perma-
nent.
The order was obtained on the
grounds that the bus project would in
cur indebtedness other than for city
or county purposes in violation of the
state constitution; that the city has
not received from the Legislature any
power to use the credi, or the funds,
OF the city for such a purpose and
that the city, IS municipal corpora
ton. poss sses no franchise to operate
motor omn, bus routes.
Mayor Hylan and the members of
the Board of Estimate had got wind of
the injunction and Corporation Coun-
sci Burr was hurriedly summoned to
the council chamber. The Mayor &C
cepted service of the papers and read
the order to the other members of the
board, who we're also served with
copies.
This is only another move on the
part of the traction interests to stop
the running of municipal buses in the
city of New York." said the Mayor.
Comptroller Craig suggested that
Cooperation Counsel Burr be in
structed to go right ahead and COM
piete all the necessary legal arrange
mcnts for the operation of the bus
lines, so that in case the injunction
failed the city would have lost no time.
Borough President Riegelmann. of
Brooklyn, called attention to the fact
that the order apparently stopped the
operation of all existing bus lines, and
the Mayor directed Mr. Burr and Com
missioner Whalen to see Justice New
burger Immediately and seek an
amendment of the order.
Turning its attention to the Staten
Island traction situation, the board
adopted resolution serving formal no.
tice on the Midland Railway Company,
which discontinued it's trolley service.
that its franchises would be revoked
within ninety days. However. it was
not determined as to whether the
ninety-day clause in the franchise
gives the company that much time to
reconform to the obligations of the
contract, or whether ninety days no.
tlce is required to give the company
time to remove it's tracks and equip
mcnt. That will be determined in the
action brought by the Corporation
Counsel.
substitute resolution was offered
by Borough President Van Name. Of
Richmond, stipulating that the ctv
grant a 10-cent fare to the comnany
with the proviso that the company give
tree transfers to all it's lines. Mr..
van Name declared that he didn't
want TO place the company in a worse
position than it is in at present, but
wanted to strengthen it's position, so
that it would resume service and af
ford the needed relief. This rcsolu
ton was rejected.
District Attorney Joseph Maloy, of
Richmond, appeared before the Board
and said he represented the Richmond
county Grand Jury, which had inter
ested itself in the matter and desired
to act as mediator to bring about the
restoration Of the trolley service With
Mr.. Maloy was James Frank Atterburv.
foreman of the Grand Jury.
iney made proposal to the Board
winch they said originated with repre-
sentatlves of the trolley company, that
the city lease and operate the Midland
road tor slX months at q rental which
would provide for per cent return
on the 81 100000 property investment.
me rental to be applied toward part
payment of the company arrears in
taxes amounting to about $500 900.
No.action was taken on the proposal.
out counter proposal which had the
unoncial sanction of the Board was
submitted to the Grand jury represen-
tatives to take back to the companv.
MAJOR La Guardia, President of the
BOARD OF Aldermen, suggested that the
IVY enter into an agreement with the
midland Company to operate the road
4. o-cent fare, without waving any
Al its rights in regard to the forfeiture
VI the franchises. If the company sue
seeaed IN defeating the action to be
brought by the city to abrogate the
.lancnises the city was then to pay a
e".al' the amount to be determined
py the members of the Board of Esti-
mate and officials Of the company, In
vase the city succeeding in abroeatinr
tne franchises the company was to turn
over It's equipment to the CITY az mart
payment of its debt to the CITY.
District Attorney Maloy consented ia
submit the proposal Of the Alderman;c
resident to the company and rive an
answer to the Board of Estimate 10.
morrow, when the traction probe vii,
be resumed VIII
Alderman John j. O'Rourke. Of
staten Island. also spoke in behalf ri
the people of Richmond, declaring Thai
they wanted the trolley service 70.
stored, no matter how it was done n
started to criticize the city bus line,
IN Richmond. saying that the over
crowded conditions in rush hours wers
indecent and q real menace to women
and children. Mayor Hylan interrupted
him.
Bear in mind aldermen, and keen il
right in your eye" said the Mayor
that tho buses are here to stay. The