N.Y. Council Chief Files Bill To Ban ATM Fees, Predicts Banks Will Sue

The war over automated teller machine fees added a major new front on Wednesday as New York City Council Speaker Peter F. Vallone followed through on a promise to introduce legislation that would bar financial institutions from levying noncustomer surcharges.

Backed by 17 council co-sponsors - half the number needed for passage by the city's 51-member council - Mr. Vallone said banks had been given "every opportunity" to propose alternative measures since he floated the idea of a ban last fall. Instead, he said, they put up a "stone wall," resorting to threats of a lawsuit.