The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-12-24
Mellen, Chamberlin and
Smithers Indicted by
Federal Grand Jury.
CHARGED WITH
MONOPOLY PACT
New Haven and Grand Trunk
Systems Alleged to Have Con-
spired to Restrain Trade in
Violation of Sherman Anti
trust LaW-Enter
Pleas To-Day.

New York. December 23.-Charles y.
Melien president Of the New York. New
Haven and Hartford Railroad Edison
J. ChsmDerlin. president of the Grand
Trunk Railway of Canada. and Alfred
". Smithers. chairman of the board of
directors OF the Grand Trunk, were
jointly indicted by the Federal grand
jury in this city to-day, under the
Sherman antitrust law. The three
men are charged With conspiring to re-
strain trade in connection with 4
memoranda agreement" between the
two roads under which il is charged
the Grand Trunk proposed 10 abandon
the extension Of its railroad lines TO
Providence. r. l., together with a pro-
jected steamship line between Froyi-
dence and New York.
The penalty for the crime charged
is one year in jail a fine of $1,000. or
both. Mr.. Mellen and Mr.. Chamberlin.
upon being notified Of the indictment.
promised the Federal authorities
through their counsel that they would
appear at 1 o'clock tomorrow 10 enter
pleas.
Mr.. Chamberlin whose home is in
Montreal. now is in New York. and
Mr.. Mellen will come from New Haven.
Mr.. snithers is d British subject. and
is said 10 be in London. Unless he
voluntarily surrenders. extradition pro-
ceedings will be necessary 10 bring
him within Jurisdiction OF the court. l.
is believed BY the Federal authorities,
however. that he will sail for this
country as soon as he hears that an
Indictment lies asinst him.
PrecIuded Competition.
But for the commission Of the crime
set forth" tie Grand Trunk system.
the Indictment charges, would have
activity competed with the New Haven
system for the carriage Of interstate
and foreign commerce.
AT a quiet meeting between Mellen.
Chamberlin and Smlthers, in New York
! on August .. 1912. the Indictment
charges. the defendants first engaged
| in an unlawful combination and con-
spiracy TO prevent the construction
and completion" Of the proposed extel-
sion OF the GranG Trunk Railway sys-
I TEN IN New England. and the operation
OF the Grand Trunk steamships be-
tween Providence and New York TWO
other meetings. it is said, We're held
in New York. on September 20 and
October l. 1912, TO complete the al
legged conspiracy.
Seven overt acts are set forth in the
/ indictment. They include the meetings
in New York and the exchange of two
memoranda between Mellen and Cham
berlin one MEMORANDUM, arranged
for Interchange OF traffic at certain
points. Joint Use Of certain lines. and
set forth that the New Haven should
protect the Grand Trunk in every way
in its power. in its present differential
rates from New England points. and
such new territory as IL Is supposed to
/ open up 10 il hereby.
Another act alleged was that Chamber
lin wrote to !. T.. DalrympIe. vice presi-
dent Of the Grand Trunk, stating that
he and Mr. Smithers had a long and
satisfactory interview with Mr.. Mellen.
and that it was agreed that Mr.. Dai-
rvmple and Mr. Campbell (vice- presi-
dent of the New Haven't, should meet
| quietly al Mr. Mellen's Office for the
purpose Of discussion of new divisions
on the New England division, ard de-
termining whether we could come TO
anv agreement with that company.
something on the lines suggested by
Mellen-'"
Petition withdrawn.
The sixth act charged mir. Melien
caused To be withdrawn a petition
heretofore fled by his direction 10
the Jublic Service Commission of New
Hampshire, asking authority TO extend
one OF the New Haven lines. parallel
ing and competing with a portion OF
the Central Vermont
The seventh was the alleged sban-
donrnent by THE defendant Cnam0eriin
Of the work OF constructing the South
ern New England line from Palmer 20
Providence"
The indictment recites that from May
%. 1912. until November :. 1912 there
was expended on the line in the con
sfruction Of steamships the sum OF
8. 600 900. and there has been incurred
further obligations amounting 10 v
Gee 600 more