The Birmingham age-herald., 1914-05-22

1 claimed that Morse took the money for the purchase of the Boston line from it's l funds and they threatened to bring suit to recover this diverted money"
 What amount did the Mallory line threatened to sue you for?''
 Fails to Recall Amount T don't recall. I heard lots of such threats and paid little heed to them. They felt, l understood, that Morse had used their funds and they were trying to fol- low up those funds I simply told 'em to follow the funds as far as they liked" ]" What was the Metropolitan Steamship company of New Jersey?" MT. Folk asked
 ''I think it was the company that owned the Harvard and the Yale.'' Did anybody try to get the New Haven l interested in the Metropoltan?" l Yes, but l turned down the proposi- l ton by a MT Goodall of San Francisco. and q MT. McGovern of New York
 Didn't you serve on the Metropolitan l board of directors?" ''I laid the matter before my people and they opposed my serving as a director of the steamship line. l then insisted that my name be withdrawn. MT. Morgan said ! that if had anything to do with Morse, I must break with him. 1 preferred to break with Morse"
 series of questions were asked by MT. 1 Folk to develop the New Haven's acquisi- l tion of and connection with various New 1 England steamship lines. Some lines were acquired and almost immediately sold 1 MT. Mellen denied that any of the lines were bought merely as sreculations. 1 Referring to the control of the Mer- chants and Miners line, MT. Mellen said: After Southern States 1 Our purpose in obtaining this line was to get into closer touch with the southern states"
 A letter from MT Mellen to Michael | Jenks of Baltimore, president of the Mer- chants and Miners, was offered by MT Folk.
 The letter showed Mir. Melen had ir | mind a mortgage bond by which a line of steamers could be operated from New | England points to Galveston and later | possibly to San Francisco through the ] Panama canal. Mir. Mellen said in the letter he felt the proposed line could be operated for a time at least. only at a loss, and he hesitated, therefore, to im- pose the line upon the Merchants and Miners line for the benefit of the New Haven road.
 | "Now. what was done about that prop osition?" asked Mr Folk. ''rhe Panama canal act passed by the Congress- responded MT Mellen, pro I hibited railroads from owning and op- erating steamship lines The enactment of that law caused the death of our prop osition while it was yet abornin.' l MT. Mellen repeated testimony giver by him before Commissioner Prouty il Boston about a year ago, regarding $102,- GOO profit he made on the sale of New Haven stock that was turned over to hin to be put on the market, so that it coulc be listed on the New York Stock ex change.
 | c1 Mn II, l I gave to republican campaign funds, , added MT Mellen. 'The money was sen , to Cornelius N. Bliss 'Did Mr. Meyer have anything to dt with getting this money?" asked Mir Folk.
 He had nothing to do with receiving | or soliciting it. I want to say righ here that that s102oO0 legally was m. money I sold the stock and was for tunate in handling it so that 1t made { profit. Because of being president of thu road I would not take the money ant told the directors so. They authorized me to make the political contribution At that time there was no legal or ethi cal objection to corporations making DO ltical contributions"
 Received $54,O00 Yearly
 Mir. Folk showed MT. Melen mem orandum indicating the payment of none, ! plain that memorandum,' said MT. Mel len. "It was prepared by MT. Kocher sperger, in charge of the finances of tn New Haven. l wanted to know what ha' been paid in political contributions il other years.
 , That memorandum shows that in tn, Mckinley campaign four years pre- viously .$50000 had been contributed Based on that l made the same con ltribution to the campaign of 1906. lknow nothing personally of the Mo , Kinley contribution. At that time I wa pursuing my peaceful way as presiden of the Northern Pacific"
 According to this memorandum then" insisted MT Folk. the records of the New Haven, which do not shov this contribution, are false?" You say that, do not. You are a liberty to form your own conclusion
 Under what circums tances did vol leave the New Haven?
 q was practically fred" replied MT Mellen. He said it was intimated by man close to the directors that a chang was considered desirable.
 AS I wanted a change myself con tinued Mir. Mellen, q welcomed th' suggestion"
 MT. Mellen testified that contrac was offered him. under the terms O which the New Haven was to retain hi 
 give advice, etc. for five years at al annual salary of $30,0 900.
 Later" he said, two members O the committee that had arranged fo my retirement called on me and sait the matter of compensation was caus ling embarrassment and asked me if would relieve them of this. I then prac ltically made them a present of thu $150,0O0."
 Expense Memorandum Questioned more in detail as to hi. salary as president of the New Haven Mir. Mellen said that at the time of hi. retirement it was s54,000 year.
 "I started at $50000." he said, "ant later this was raised to $60,000 Wher the salaries of all employees were cu 10 per cent, I cut myself to $54,000." | He added that he received at the time of his retirement lump sum of $60,00( from the Boston and Maine, for acting as president of that road three years and was given In like manner $40,00C | by the Maine Central. 1 "Who was the man that took I'D with you the question of your retirement? asked MT. Folk.
 "He was member of the board oi directors"
 MT. Mellen stated that when he became