New-York tribune., 1921-03-11
Davenport May
Lead Fight on
Traction Bill
Oneida Senator Who Caused
Defeat of Utilities Act
i'll 1919 Is Chosen. but
Won't Discuss Subject
Advocates See Victory
Deny Shortage of Votes;
Duggan Calls Measure
''Stock Gambling Steal''
E+om a Steft Correspondeat

T'o"e u totcU correspondent
ALBANY, March 10-,Senator Fred
erick M. Davenport, of Oneida, one of
the Republican leaders who assisted
the late Colonel Roosevelt in organic
ing the Progressive party, is expected to
lead the fight against the Knight-Adler
public utility bill, providing for reor-
ganization of New York's traction sys-
tom.
Senator Davenport would not dis
cuss the report that he had been Sc
lected by the opponents Of the bill in
the Senate, merely saying, ~ am not
committed to the BILL
Republicans in the upper house, how
ever, are looking to Senator Daven-
port to lead the fight, and the oppo-
nents Of the bill are Of the opinion
that 1t he does the bill will be de-
feated.
Senator John Knight, who introduced
the pill In the upper house, declared
tha: it would be advanced to the order
OF final passage some time next week,
probably on Tuesday or Wednesday
but that he did not believe that it
would be voted on before early the
following week. 1t could, however, be
made special order in both houses
next Wednesday or Thursday and
jammed through, If as the leaders in
sist, the votes are there.
Supporters Say They Have Votes
The leaders brand as "poppycock"
the stories that there are but twenty
three votes for the measure in the Sen
hof &hoty
than the necessary twenty-six. There
is no doubt of the passage of the bill
in the Assembly.
There will be determined effort
made by the New York City Repub-
iicans to amend the bill so that there
Will not be any possibility of an imme-
dlate increase of fare as is now pro-
vlded for in the bill.
Other amendments also will be
sought by the New York City Repub-
llcans opposed to the measure, but it
IS toregone conclusion that no amend
ment OF any moment will be adopted
with the consent of the leaders.
Senator William Duggan, Republican,
OF New York City, tonight character
lzed the measure as steal and
charged that its enactment would
"consummate the greatest stock gam
bling steal in the financial history of
America"
Legislators themselves who follow
the lead of traction-owned bosses," said
senator Duggan, must know that they
VIII lay themselves open to public
frank questioning as to their real mo-
tives IN advocating legislation of this
character.
Rate-Making Is handspring
The handspring of the Adler knight
Dill, sponsored by Governor Miller, is
an amendment of Section 49 of the
public service law delegatinc rate
making powers to the Public Service
Commission irrespective of local con-
sents
Ihls clause was contained In the
Carson Martin increased fare bill of
1919. Senator George F. Thompson. Re-
publican, testified that he had been
offered the Republican gubernatoria
nomination in 1920 and campaign
fund OF 100000 to withdraw his oppo-
sltion to this measure
why was the traction trust willing
to spend $6oo,ooo in 1919 for the Car
Martin bill? And why is the trac-
ton trust, undoubtedly willing to
equal or double this sum to get the
same legislation this year?
Former Comptroller William A.
Prendergast, of New York City, an
swered sS this question at the hearing on
the Knight-Adler bill, when he said
that the capital stock of New York
City public utilities was upward of
5000 100000 Governor Miller sunnlied
further clew when he called atten-
tion to the crooked financing of utjli-
ties that had alienated public CON
fidence.
Stock oily Worth Third
"The ssoo,ooo,ooo capital stock of
New York City utilities conceived in
crooked financing is now worth at
its par value, or $3OO,O0O,OOO.
THE Knight-Adler bill is solelv p
drive for higher utility rates on trac-
ton, electric light and gas property
Enact it and you will take from the
pockets of the people sufficient money
to pay interest and dividends in the
vast capitalization conceived in crooked
financing
"This will, in turn, increase the mar
ket value of utility stocks and bonds
at least to par, which will cause this
gigantic market appreciation in the
securities of approximately 5000 900 600
who will benefit by this steal? The
widows and orphans? No. Statistics in
my possession show that this class of
investor owns less than / per cent of
New York City traction securities"