Evening star., 1932-08-25
BUS DEAL PROBED
IN WALKER CASE
Delaney Denies Seabury Con-
cIusion That Company Did
Not Deserve Franchise.
BY the Associated Press.

BY the Associated Press.
ALBANY, N. Y, August 25.-John H.
Delaney, chairman of the New York
City Board of Transportation, testify
ing for Mayor Walker today at the
custer hearing, said the Equitable
Coach Co. bid for bus franchise was
the best the board received.
Samuel Seabury, counsel to the Hof-
stadter Legislative Committee. advised
Gov Roosevelt when he submitted his
Is conclusions that the Equitable was
mot At or qualified" to receive fran
chise He held it received the right to
operate buses because Mayor Walker
used his influence for the company
with which his friend, State Senator
John A. Hastings, was connected.
The Board Of Transportation reported
favorably on the company and the City
Board CT Estimates and Apportionment
granted the franchise. The mayor is
member Of the latter board.
The hearing before Gov. Roosevelt
became "three-a-day" proceeding to-
ming sessions. 1t has continued 10 days
The morning session adjourned for
luncheon shortly after noon.
Delaney Resumes Testimony.
Delaney resumed his testimony as
Gov. Roosevelt called to order today's
session.
Delaney testified at length last night
describing the procedure by which the
application by the Equitable Coach Co.,
Inc, for the much discussed bus fran
chise was brought before the Board of
Estimate and Apportionment, which
granted it. The franchise was later re-
voked by the State Transportation
Board.
Bus Deal Shown.
The questioning of Delaney droned
along-a highly technical and involved
discussion.
In reply to one question by Curtin,
Delaney said:
Il considered the Service Bus Co
proposition inferior to the Equitable
proposition, and I still feel that way
The Service Bus Co. was the chief
competitor against the Equitable for the
New York City bus franchise.
Proposing to offset report that the
Service Bus had the financial support
of the International Harvester Co., Cur
tin put into the record a contract to
show that a large transaction between
the concerns was conSummated by a
cash payment and not by the setting up
OF obligations on the part OF the Service
Bus.
Mayor Walker remained at the hear
ing only few minutes. A member OF
his party said he had gone to another
part of the building to attend to some
official correspondence.
Seabury Cross Examines.
After an hour of direct examination,
Curtin turned the witness over to Sam
uel Seabury, counsel for the Hofstadter
Committee, for croSS-eXamination.
Seabury started questioning Delaney
about the Equitables financial backing
the discussion revolving about the re-
sponSibility that devolved upon J. S.
White, Inc, a New York banking firm,
by the fact that one of its subsidiaries,
the j. S. White Managing Co., had Of
fered to take over the financial man
agement Of the Equitable's bus opera
tions.
Once during the discussion Delaney
rose to his feet and addressed the Gov
ernor, earnestly reiterating his belief
that the resources Of the White bank
ing flrm were behind the offer Of its
subsidiary.
1t is the contention of Seabury that
the White banking firm was in no way
committed to back the Equitable Coach
Co.
SquabbIe Over Mr.
You knew. of course, that Hastings
was associated with the Equitable, didn' Z
you?" Seabury asked.
Mr.. Hastings" Curtin corrected
Seabury.
Senator Hastings" Seabury said
stressing the Senator"
II heard he had some connection
with the company" Delaney replied.
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