New-York tribune., 1921-12-24
Takes ChanceThatA Appeal
Will Purge Contempt in
Defying Court Order to
Restore Pension Funds
City Clerk Consents.
Craig Deputy Balks
Realty Men Threaten to
Punish All Involved and
Tie Up 1922 Tax Levy


Tor contempt of court against himself
and other members Of the Board Of
Estimate, Mayor Hylan yesterday
signed the 1922 budget amounting to
$3.50, ,23S,420. The Mayor signed at the
advice of the Corporation Counsel. who
held that the appeal taken by the CITY
to the Court of Appeals from the order
OF the Appellate Division of the Su-
preme Court directing the city officials
to restore $3,000,00O of pension funds
to the budget acted as stav to the
order of the lower court, and mean
while would absolve the Mayor and his
associates from any possible contempt
Deputy Comptroller Henry Smith
who is acting Comptroller in the alb
sence of Mr.. Craig, declined to sign
on the ground that it did not comply
with the law. The law requires that
the budget be signed by the Mayor.
the Comptroller and the City Clerk not
later than December 25. City CLERK
Michael Cruise also signed the budget
and transmitted. it to the Comptroller's
office. The city authorities were no
nearer to finding way yesterday to
provide for the $3.000.OO0 pursuant to
the court order without increasing the
budget beyond the constitutional tax
limit. '" =
Liable, Realty Men Saw
IN United Real Estate Owners AS
sociaton, petitioners in obtaining the
court order against the Board of Esti-
mate. through it's counsel Yesterday
took the attitude that the city's appeal
from the affirmation of the order by
the Appellate Division would not act
as stay or relieve the city officials
from liability for contempt of court.
Stewart Browne, president of the asso-
cation, sent a telegram to Mayor Hy-
Ian and the other members of the
Board of Estimate declaring that if the
Mayor or other city officials signed the
budget in its present form without in
cluding the pension funds the associ-
alton would move to punish every mem
! Der of the board, and the Board of AL
dermen who passed on the budget, for
contempt of court. Furthermore, Mr.,
Browne said the association would tie
up the 1922 tax levy by court proceed
ings. A similar telegram was sent to
the City Clerk.
al lIHuI 1. IN lCHOlSOI, Assistant Cor
poration Counsel, who represented the
city in the court proceedings in regard
/ to the pension funds, conferred with
the Mayor at City Hall prior to the
latters signing the budget. The ques-
! tlon had arisen as to whether an ap-
! peal could be taken to the Court of Ap-
peals BIZ the city because of the fact
! that the decision of the Appellate Di-
vision was unanimous and would neces-
state the consent of that court to an
appeal The Corporation Counsel de-
clared that the order of the Appellate
! Division against the city officials was
a modified order and therefore a di.
i rect appeal could be taken without the
as a stay.
Court to Sit January
The Court of Appeals is not ex-
pected to sit before January 8, anc
probably would not pass upon the case
until some days later The Corpora.
tion Counsel contended that the stay
would not only preclude the enforce
ment of the Appellate Divisions or
der in the mean time, but also wout
preclude any proceedings for contemp
of court. In that case the city of
iicials would not have to face Jail fol
contempt until the middle of January
provided the Court of Appeals affirmed
the ruling of the lower court and the
city authorities still refused to re
store the $3,000,000 to the budget.
Officials of the Finance Department
yesterday maintained that however tn,
matter may be adjusted the city nov
finds itself in serious situation.
is understood that Deputy Comptrolle
Smith consistently will refuse to sigl
the budget until way is found t.
provide for the pension funds an,
other funds deducted by the Board o
Estimate and the Board of Aldermen
and will leave the matter for settle
ment by Comptroller Charles l.. Graf
when he returns from his vacation
early next month.
Under the charter, the names of tn
three city officials must be affixed t.
the budget to make 1t effective, ant
it is a question whether the legalit
of the budget will hold with only tn
names of the Mayor and the Cit
Clerk. The Corporation Counsel con
tends that pending the appeal to TIL
highest court the time limit for actual
ly signing the budget in the require
form is extended until the Court o
Appeals hands down it's decision