New-York tribune., 1922-03-28
To-day
Expected to Fix
Fate of I. IL. Z.
Financial Powers Interested
in 1t and Manhattan Com
pany to Seek Some Way
TO Avert a Receivership
Debts Total $4,000, 600
Improved Service Order
Will Be Issued Regard
less of the Roads Control

The fate of the Interborough Rapid
Transit Company, in its existing or
Ganic form, probably will be decided
this afternoon at conference of the
financial powers interested in the Inter-
borough and the Manhattan Railway
Company at the Office of Alvin W.
krech, president of the Equitable
Trust Company, 81 Wall Street.
The conference, which is scheduled
for o'clock, will he attended by repre-
sentatives Of the Interborough and
Ianhattan companies and by Dwight
Morrow, Of J. r. Morgan & Co, repre-
sentng a large block of the Inter
borough bonds. Mr.. Morrow returned
yesterday from Cuba and the confer
ence was deferred until he could at
tend it.. Mir. Krech is chairman of
special committee Of the Manhattan
stockholders.
The interests directly concerned are
the stockholders represented by Mr.
krech and the Interborough officials
! Until the imitation due To the war the
| tHterborough Was conthnt with its
lease guaranteeing tho Manhattan COM
/ pany : per cent On share capitaliza-
tion aggregatng $G0,000,000, This
/ fixed charge, together with taxes and
other items, imposed burden on the
! marlborough Of more than $6,000,000 a
year. The war period changed the easy
! financial circumstances Of the Inter
/ borough. The purchasing power Of the
nickel was cut in half Wages went
! up, as we'll as about everything else.
! Instead Of being able 10 show a large
net revenue, the figures went "red''
showing an eVer-increasing deficit. On
/ Saturday &C TINS week the Interborough
Vill be faced with debts aggrcgatine
$4,000 600, and 20 meet these obligations
the company has at the outside only
about $4,000 coo,
70 make matters more critical for
the marlborough, the Transit Commits
sion has madc it. clear to Frank lIodley
president of the company that the
crowding and overlooking in the sub
ways, especially during non-rush hours
must be discontinued. A service order
markedly Improving the service is cX-
pected within the next t~o weeks from
the Transit Commission. Mr.. lIcdley
says that any such order. involving, as
il must, increased expenditures, spells
Il rcceivorsbip for The Intorborough.
TO Discuss Al Phases
All Of the phases Of the problem viii
he under consideration mt the confer
eucc in Mr.. krech s office This after
noon.
haitian stockholders to modify the
o0erous rental so as to enable them
ia escape rcceiverehlp. The Manhat-
tan people contend that contract is
o contract, and that it is The inter
borough's own business to find the
money 10 pay their overdue rent.
# receiver is appointed for the
Tnterborouqh tho Transit Commissions
Jurisdiction over the operating condi-
tions and the service to the public
would remain unchanged. The receiver
would be subject to- the orders Of the
Transit Commission, which,. through
Chairman McAueny, weeks ago an
nounccd that better service VIII be IN
sisted upon.
When Mr. Icdlcy was asked yestcr-
day about the situation he said it was
unchanged. and that nothing would
change Il until the parties in interest
had held their conference.
The committee Of the whole of the
Board of Estimate voted yesterday to
report out for consideration by the full
board at its meeting Friday The requi-
siion Of the Transit Commission for
an appropriation Of 100000 on ac-
count of salaries and expenses Of the
commission for the remainder Of this
year At the meeting last week the
committee refused to report out the
raquisition. Mayor IIylan declaring
that he would have to be mandamusod
before he would vote for tho money.
William G. Fullen, assistant counsel
to the Transit Commission, informed
the committee that n motion for n
writ of mandamua had been argued last
Friday before the Appellate Division
Of the Supreme Court. Without
further comment on motion Of Bor-
ough President Julius Miller Of Man
haitian, the committee voted the mat
ter out for consideration.
The committee voted out the appli
cation of Borough President Matthew
}. Cahill Of Richmond for $88, 400 fo1
repairing Bradley Avenue from Rich
iaond Turnpike to Brielle Avenue
With the rcpaviug this road will bt
widened to tweuty-four feet. Becaus,
Of failure to Get the Staten Island au
thorities to repair Bradley Avenue, tn,
bad condition OF which had damage
the trackless trolley cars operated b,
the city, Commissioner Grover A
Whalen Of the Department of Plan
and Structures organized repair GREY