The Bridgeport evening farmer., 1914-05-07
BILLIARDS $2, GOO, 900 NOTE DEAL EXPLAINED
Got Loan From New Haven Road to Take Over
 B. & M. Stock
econtinusd from Page 1.l
econtinued from Page 1.l

econtinusd from Page 1.l
 (Continued from Page 1.) both in the purchase and resale of this stock the negotiations between me and the railroad company were absolutely free from any secret ar rangement or understanding.
 I did agree, as is shown by a writ ten contract dated June 30. 1909, in view of the profit was nlaking, to take over from the New England Navigation Company in payment for the Boston & Maine stock over $16,- 000,000 of gold notes of the New Eng land Investment & Security Company a Massachusetts voluntary association which controlled the street railways in worcester and Springfield. These notes bore low rates of interest.
 These were to be guaranteed by the New Haven Railroad Company but as to the validity of this guarantee l think there was some doubt These notes turned out to be worth less than expected.
 Tn the contract of June 30, 1909, by which $I took in payment for the Bos- ton & Maine stock $16. 250o00 of gold notes of the New England Investment & Security Company, the New Haven agreed to help me finance this ac- quisition.
 ssIt was understood at this time be- tween me and the president of the New Haven Railroad Company that r should organize a corporation whose notes, similar to the notes of thes5Ne England Investment & Security Com pany, should be taken over by the New Haven Company or the New Eng land Navigation Company also de- sired to form the corporation as a measure of self-protection and also to avoid complicatins in even of my death.
 ..The charter of the Billiard Company was granted by the general assembly of the state Of Connecticut in August. 1909 The Billiard Company never had s.nything to do with the Boston & Maine stock. Its capital was origin ally $50 GOO but was later increased to g, 600 GOO This capital was paid in by me in cash.
 PERsoNAL TRANSACTIONS
 eThe transactions between myself stantially as follows: sold to the Billiard Company $14 ,2s0, 600 of gold. notes of the New England InTestmens & Security Company, receiving the payment therefor, s14.250,0e0 in gold notes of the Billiard Company. These Billiard company notes were in ac-3 cordance with the original ur1d CT standing purchased by the New Eng land Navigation Company part. of the purchase price was applied by my order in payment of my note at the National Bank of New York. Two. million dollars was paid me in cash and the balance was applied on my notes held by the New England Navi- gation Company. The $2, 1000, 900 cash capital Of the Billiard Company was used by the company to purchase for me the remaining g, ,00o GOO of gold notes of the New England Investment 5& Security Company which I still hold ssyVhen the transaction was cofle1ud- ed held $2,000,0o0 of the capital stock, of the Billiard Company That com :pany had outstanding notes for $14.- s250, ,o00, the proceeds of which together vested in $16, ,25e 900 of gold notes Of New England Investment & Security Company.
 Any subsequent dealings of the Bill lard Company with the New Haven Railroad Company or it's subsidiaries we're all simple business transactions and in no case that recall but one was there any accompanying verbal yund nderstanding
 t In response to some further ques- tions of Chief Counsel Folk, Chase said that, in the fall of 1910, the Metropon- tan Steamship Company of New Jer- sey. having only $11,000 in cash, with many outstanding obligations and fac ling receivership, reached an oper- ating agreement with the Pacific Nav 1SaLlOns com paIly, ILEOuSH SdpIaIn EGoodsell of San F'rancisco. by which the Pacific Navigation Company took over the steamers Yale and Harvard. This. MT. Chase said. was great fi- nancia1 help to the Metropelitan
 Was not Charles w. Morse con- cerned in some negotiations several years before 1910, looking to this traisfer of the steamers?'' Inquired Adr Folk
 s.In 1907. . day before the financial panic, Morse and Captain Goodsell had come to some understanding but the panic stepped everything
 Did MT. Mellen have anything to do with the Yale and Harvard going to the Pacific coast?'' MT. Chase was asked
 Never while had anything to do with the Metropolitan Company. so help me God, governor,
 ROBBINS PROTESTS. Questions put to MT. Chase as to de- tan steamship Company and other stocks by the Chiln1ark Company aroused the ire Of MT. Robins whose name was mentioned in connection with some of the testimony. Jumping to his feet he declared:
 1T object to MT. Folks interrupting the witness while he is in the midst of answering question: He continued to protest in such vigorous language that Cornnissfoner NIcChord commanded him to take his seat.
 Mr Chase said that the stock of the Chflmark Company was owned by himself personally ard not in trust for anyone else
 $1, ,ooo. 900 because the Chilmark Com many owns fhe Mafror01ffau Corn