New-York tribune., 1922-10-31
Louis Rieell Testifies He
Refused To Be "Shaken
Down. and Was ssBlack.
lacked Out of Permit
HyIan Backed Him
I'm 1919 Franchise
Refused FenneHyAi Cash
for Big Chief He Says,
and Whalen Put Him Out

Louis Riedl, New York exporter
who TOOK flyer in the bus business
in Manhattan and Brooklyn in 1919,
testified before the Transit Commits
sion yesterday because he would not
he shaken down" fer $4,000 he was
'blackiacked" out of a permit that
the Board of Estimate had railroaded
through especially for him at the in
ssigation of Mayor Hylan.
Riedl testified that one Daniel o'Con-
nor, associated in politics with Joseph
Fennelly, Brooklyn Democratic dis
trict leader, was the man who "black-
lacked" him, after first suggesting that
Riedl pay 100000 for the bus permit.
Asked last night if Riedl's testi-
mony was to be turned over to Dis
triet Attorney Banton, Clarence j.
Shearn, counsel to the commission,
answered Naturally"
"City Record" Quoted
Mr.. Shearn read from "The City
Record" at yesterdays hearing to show
that the Board of Estimate and the
then Public Service Commissioner.
Louis Nixon, had worked with record
breaking speed to get the permit
through. Then Riedl, under oath, told
how he wss all ready to so to work
on September 20, 1919, when certain
Manhattan surface car lines were to be
abandoned. He had his buses and
drivers on the ground, when, on orders
said to have come from Grover Whalen,
Commissioner of Plant and Structures,
mis- busses were CHASED hack to New
Jersey" and he was advised by the
police and others to get away from
New York and take his buses with
him.
This, he said. was in the face of the
fact that he had received letter from
Joseph A. Guider, Commissioner of
Public Works in Brooklyn, speaking
for Mayor Hylan, expressing appreca-
tion of Riedl's services in helping the
people of the city during the strike
period of 1919, when he operated more
than. 200 bl,sses In Maahattan and the
Bronx.
Says He Had Hylan's Promise
Riedl testified that Guider took him
TO Mayor Hylan's private Office, where
he was assured by the Mayor that his
bus operation would be virtually per-
manent.
II wish to put in evidence" said Mr..
Shearn, in opening the hearing, "the
history of the granting of the first bus
franchise in September, 1919, to Louis
Rfedl and how he was blackjacked out
of it few days after it was granted"
Mr.. Shearn then began to build up
record for the minutes, reading from
"Irhc City Record" which showed that
at special meeting of the Board Of
Estimate on September 19, apparently
called for the purpose OF issuing bus
permit to Riedl Samuel Abrahamson,
counsel for Riedl, wrote the board,
saying that Riedl was ready to estab-
lish a bus service.
Accompanying this letter was one
from John A. McCollum, an assistant
city engineer, addressed to the Mayor,
saying that pursuant to the Mayors
direction of September /, he had inves-
tigated the matter OF operating busscs
on four routes upon which surface
car operation was to cease on Septeul-
Der 20: that he had conferred with
Riedl. pursuant to Instructions" and
that Riedl was ready to go ahead with
the installation OF brlsses by Septem-
Der 20. Thereupon the Board of Esti-
mate issued its permit, or franchise, to
Riedl to operate busses on Madison
Street, Spring and Delaney streets,
Avenue G, and the Sixth Avenue
broadway Line. McCollum was dcsig-
mated to act for the city. Commits
sioner Nixon issued certificate Of
convenience and necessity on the same
day.
Permit Rescinded in Week
Under that authority Riedl lost no
time in hustling for buses and drivers.
and by September 20 he had big fleet
of them READY. Then came the alleged
holdup about which he testified, and
then the action of the Board of Esti-
mate on September ga week later
than it's original acton-when it re-
scinded Riedl's permit on the ground
that he had not been ready to oper-
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