New Britain herald., 1914-07-17
DIRECTORS REFUSE 10
 SELL B. & M. STOCK
New Haven Board Defes 1hreatencd
 Suit Of McReyno'ds.

| vote the directors of the New York, 1 New Haven and Hartford railroad l company, at a special meeting yes l terday, decided to stand by their de- l cision not to sell to the state of 1 Massachusetts their holdings of Bos- I ton and Maine railroad stock under l the terms imposed by that state. In the language of the official statement l "the directors have neither receded from their position nor closed the
 door to further negotiations" l The terms imposed by the state of Massachusetts in connection with the sale of the New Haven's Boston and
 Maine stock contain the provision 1 that each certificate must bear a stipulation on the part of the pur- l chaser that he will sell his shares to l the state of Massachusetts at any time named.
 l The New Haven directors took the 1 ground in a recent official statement
 that compliance with this condition l would render the stock undesirable as | a purchase on any fair basis 1 No Receiver Asked for. Emphatic denial was made of the
 rumors recently current that applica- ton for friendly receivership was l contemplated. On this point the l statement says:
 1 'The directors will not apply for nor will they consent to a receiver ship. The company Is solvent, is learning it's fixed charges, and is able
 to meet it's current obligations promptly
 l President James Hustis, who pre- sided at yesterdays meeting in the absence of Chairman Howard Elliott, now taking a vacation, declined to amplify the formal statement dealing with the Boston & Maine situation. It was inferred, however, that tho New
 Haven directors had re-opened nego- tiations with the department of jus l tice at Washington on this point and
 that further extension of time might
 be granted by the federal authorities 1 pending an adjustment of this ores- l ton.
 As a matter Of fact, Attorney Gen I eral McReynolde gave the New Haven directors until midnight Thursday to
 arrive at some agreement regarding
 the sale of the Boston and Maine
 stock. This time was extended by tho
 officials at Washington when they 1 learned that a special meeting of tile New Haven board had been called for l yesterday.
 l On Interstate Report. | &sA The session of the board was in son1e respects the most important since that at which the resignation of iCharles 8. Mellen was acceHfed,- ana l MT. Elliott elected as his successor. l Among other momentous questions, 1 the board was called to consider the Interstate Commerce Co1nnnission,s
 recent scathing denunciation and ar- 1signment of the former f1anaxe- l ment.
 ls The only direct reference to this arraignment was contained in the
 bare announcement that A cornmlttes
 of three was to be appointed to take the commissions report under con-
 sideration and make known it's con-
 clusion to the board at a future l meeting.
 The persistent rumors of anticipat- ed resignations from the board were 1 not substantiated. John l.. Billiard,
 one of tho directors, who was the
 subject of much criticism in the ir- terstate commerce commission report. l did not appear at tho meeting and so far as could be learned no action re-
 garding his status as director was 1 taken.
 | Win Sue Billiard. l It is considered sufficient that a special committee of three directors, appointed a few weeks ago to inquire into the relations of the Billiard com l pany with the New Haven company.
 reported to the directors that under advice of counsel they were taking steps to recover such sums as may
 be due to the New Haven road l Yesterdays meeting was attended
 by seventeen of the twenty-three
 members of the board, including Will
 liam Rockefeller, who issued a denial Of the report that he intended to re-
 sign. The other absentees in addition
 to MT. Elliott and Mr. Billiard, were 1 Frederick F. Brewster, George F. I Baker, Morton F. Plant and D. New 1 ton Barney.
 Official Statement. The following official statement was
 made after the meeting: l "At the regular monthly meeting
 of the board held today at the Grand
 Central Terminal, President Hustis l presiding, the directors absent from .A4 4A-