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Judge Throws Out Challenge to NYC Stadium

June 2, 2005

NEW YORK (AP) _ A judge Thursday dismissed a lawsuit alleging illegalities in a deal involving a planned $2 billion stadium _ a decision that boosts the city’s hopes for hosting the 2012 Olympics.

The proposed stadium, to be built over railyards along the Hudson River in Manhattan, is critical to New York’s bid for the Summer Games. The International Olympic Committee will select a host city July 6.

Cablevision Systems Corp. had sued the Metropolitan Transportation Authority, alleging it conducted ``a sham bidding process″ in selecting a bid by the New York Jets to purchase the land. The football team wants the stadium to become its new home.

Cablevision, owner of Madison Square Garden, the big arena near the proposed stadium site, had submitted a higher bid for the property. But a judge sided with the Jets.

Judge Herman Cahn said he concluded ``the MTA did not act in an arbitrary and capricious manner.″

Cahn did order the MTA and the Jets to put off their closing on the deal to allow Cablevision and the others to appeal his decision.

The stadium, strongly backed by Mayor Michael Bloomberg, faces another possible challenge on Friday, when the state Public Authorities Control Board may vote on funding vital to the proposal.

The city is vying with four other finalists _ Madrid, Moscow, London and Paris _ for the 2012 Olympics.

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