New-York tribune., 1922-04-01

city should take such action on the
ground that the traction company had
broken its contract with the city The
resolution, introduced on motion of the
Mayor, gave notice to the Transit Com
mission that it was required forthwith
to give the appropriate thirty day
notice to the lnterborough that the city
would exercise its rights and option
to terminate the contract and lease"
and take possession of the railroads" ;"
unless the company complied with the
contract to the satisfaction Of the city
officials.
The resolution further stated that if
the Transit Commission refused to
comply with the demands of the Board
of Estimate, the Corporation Counsel
would be instructed to proceed in the
courts to enforce such demands. The
Mayors resolution, however, was not
adopted by the board yesterday but, on
motion of Comptroller Charles L. Craig,
referred to the committee of the whole
for discussion on the legal phases Of
the matter.
After stating the terms of the con-
tract between the city and the Inter
borough, pursuant to the provisions of
the Rapid Transit act of 1891, in which
the traction company agreed to furnish
adequate service on five-cent fare,
the resolution continued:
Whereas, it has appeared to the
satisfaction of the Board of Estimate
and Apportionment of the City of New
York from abundant evidence and tes-
timony taken before the board, from
documents in its possession, from
facts which are notorious and matters
of common knowledge, and from the
evidence and testimony taken before
the Transit Commission in an inves-
tigation into the general condition of
all railroads and all persons and cor
poratons within it's jurisdiction, that
the Interborough Rapid Transit Com
pany, as such lessee now actually US
ing, maintaining and operating the
rapid transit railroads mentioned and
described in said subway contract No
3, and the responsible managing of,
icers thereof have been for several
years last past, and still are, Will
fully and deliberately ignoring and
violating the above covenants and
agreements in said subway contract
No contained in respect of the equip
ment use, maintenance and operation
of the said rapid transit railroads;
that they knowingly dissipated the
surplus earnings Of the said railroads
in improvident and extravagant divi-
dends on capital stock, so that moth
ing was left for the emergencies and
requirements Of adequate service un-
der the lease; that they have trimmed
and are still trimming the required
service everywhere where they felt
and still feel it possible to trim it to
save a dollar, so that the stations,
tunnels, cars and equipment are un-
81 I'm, RI nd 40 t1.ai in
service, both local and express. dur
ing the rush and 'non-rush' hours Of
each and every day is grossly and
notoriously insufficient. inadequate
and unsuted to the needs of the pub
lie and violatve of the requirements
Of said subway contract No. 3; and
that they have caused thereby, and
are still causing, great and intoerable
congestions of traffic OH all the said
railroads and indecent, improper and
dangerous crowding on the stations
and in the trains so that an intoler-
able public nuisance has supervened,
all of which is contrary to the public
interests, menace to the morals.
fare of the people of this city, and a
threat against the continuance of the
public peace and tranquility and
"Whereas, 1t has appeared that the
Transit Commission, as the successor
of the Board of Rapid Transit Railroad
Commissioners and Of the Public Serv-
ice Commission of the 1st District, has
failed and neglected, and still fails and
neglects, TO take the steps provided
for, in said Subway Contract No. 3
and by the statutes to compel the In
terborough Rapid Transit Company
faithfully to observe, keep and fulfill
the conditions, obligations and require
ments of the said contract and lease.
Now, therefore, be it
"Resolved, That notice is hereby
given to the said Transit Commission
that it is requested and required forth
with to give the appropriate thirty
days notice to the said Interborough
Rapid Transit Company, as lessee, that
the City of New York will take the
necessary steps and bring and maintain
the proper actions or proceedings to
enforce compliance by the said Inter
borough Rapid Transit Company with
the conditions, obligations and require
ments Of the said lease, so that, in
case the said lessee does net cure its
said defaults, as directed, within
ninety days as provided for in Part 3!
| Subway Contract No. 3, the City of
New York will exercise its rights and
| option to terminate the said contract
and the lease Hereunder, and will take
possession of the said railroads and
use, maintain and operate the same
in the public interest, as in said con-
tract and the rapid transit act, as
amended. is in such case prescribed
and provided; and be it further
Resolved, That, upon the neglect OF
refusal of the Transit Commission tc
comply with the requirements of this
resolution, the Corporation Counsel be
and he herebs is, instructed to bring
the proper action or proceeding to ac-
complisfl the above expressed purposes
of this board to protect and safeguard
the public interests in the city-owned
subway railroads"