The New York herald., 1922-03-12
Companies Must Establish
I Disability to Meet Such
n Demands.
RETURN OF MANHATTAN n 2 y
Agreement as to Turning
Back Of Properties Not
Yet Reached.

The Transit Commission has repudi-
hted any intention of issuing next
week against the Interborough Rapid
Transit Company service orders for
betterment Of subway conditions so
drastic in character as to exhaust the
corporations resources and drive It
for protection into a receivership.
George McAneny. chairman of, the
commission, was asked yesterday to
comment upon the authoritative dec
iaration that the Interborough would
seek q receivership rather than SUBJ
init to the draining Of its revenues
either throusA service betterments
which 1t may regard as not yet finan-
cially practicable. or through con-
tinued efforts to carry the excessive
burden OF the Manhattan Elevated
Railroad lease.
Mr.. McAneny declined to do so, but
as defining the reasonable and un-
prejudiced attitude of the commission
in the matter Of these contemplated
service orders for subway relief he re-
ferred to the record Of his words
spoken publicly when he opened the
service examination last Monday
Chairman McAneny at that time said.
THE commission is now prepared to
20 into the general question Of the char
acter of the service given by the re-
spective roatts, with the double purpose
of securing the entry and enforcement
Of orders improving service as rapidly as
may be possible in view of the improve
ment of financial conditions of the
roads, and also in order that the rail :.
way companies. at the time when we
are concluding our examination of the
matter of valuations, shall appreciate
how the service of the future will affect
their costs. and how, therefore, it will
enter as an element in this general SUBJ
ject.
No Coercion Is Meant.
The commission is anxious II shall
be perfectly understood, particularly by
the companies. that II has not introduced
this general subject at this time as
measure of coercion or as threat Of
pressure to be brought against the com
panies while they are considering these
matters. On the contrary the improve
ment of the service Of the roads Is and
has been from the beginning prime
consideration.
Whether the companies enter the
commissions plan or not the same
standards of service will be set I'D and
the same measure of compliance with
those standards will be enforced, just
as far as the commission possesses
legal power to compel enforcement.
During the earlier months of the
present inquiry conditions existed that
were notorious in the matter of financial
inability of the companies to do this,
that or the other thing. For the fiscal
year ending June 80. 1921, the combined
deficits in the operation of the lines,
after payment of their operating costs
and allowing for their bond interest and
tax obligations. amounted approximately
TO $4,000. 900. During that period of
course. enforcement orders requiring the
expenditure OF funds that were not in
existence would have been of little
value.
That condition is changing, and for
the future the commission desires IL to
be understood, and It will make It so
clear that II cannot fail of understand
ing, that the highest standards of OPP
Grating service are going to be exacted;
that while we are bent upon a reorgan-
Szation of the system that will improve
its physical condition and that will be
susceptible or extension, at the same
time We are bent upon the best kinds
OF train and car service that the lines
can give. With that object in view there
has been prepared a standard set Of
operating principles toward which the
operating companies would be expected
20 move as rapidly as their means might
permit"
Attitude Is Indicated.
Attention was directed particularly
toward the Anal qualifying phrase OF