Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1914-05-22
Still Holds 3. & M. Stock

Stiit FIolOS D. x Nis StOCk
Questioned by Mr.. Folk as to his
present business relations Mr.. Mellen
said: L have not a dollars interest
today in the New Haven. 1 disposed
of all my stock. I retain a little in
terest yet in the Boston & Maine and
in the Ontario & Western"
Why did you personally favor the
consolidation of the trolleys with the
New Haven?"
Because consolidation would result
in better service, lower rates and
greater satisfaction to the public. l
believe the public is better served by
a monopoly of transportation than in
any other way. think, however. that
the monopoly should be controlled and
regulated by the government
IF Mr.. Morgan had not died how
far would you have gone in this dream
of consolidation?
Gone to Heaven, ] suppose"
Didn't Morgan have more power
| than any state government under
| which you operated"
That is not so.'
Why not?'
He never tried to exercise any such
| power"
Chas. Morses Offer
MIR. Mellen, after testifying regard
ing an offer Of $20,o00.0o0 made by
Charles W. Morse for the purchase of
steamships owned by the New Haven,
said he came to Washington and con-
suited President Roosevelt in regard
| to the matter.
Mr.. Morse" he said, had acquired
practical control of nearly all the
steam lines of the Atlantic coast. He
wanted our holdings. and l finally got
definite offer of $20,000.000 from him.
1 wanted to sell but was a great ad-
mirer of President Roosevelt and I
thought a matter of that kind, that was
so full of interest to the public, ought
to be laid before the President of the
United States. l saw him and he was
anxious, apparently, that Morse should
! be checked in his acquisition of control
| Of steamer lines. He urged me not
! to SELL"
Il told Mr.. Roosevelt as it was ex-
pected the bill being prepared by Her
bert Knox Smith, commissioner OF cor
| porations, would contain a clause pre-
venting railroads from owning steam
ship lines, 1t would be to our advantage
! to accept the Morse offer. told him
| felt 1t was doubtful that we ought to
turn down the proposition when by it
we could turn our property into cash.
| Herbert Knox Smith and Commits
sioners Prouty and Knapp were pres
| emit having been called in by Presi-
dent Roosevelt.
RooseveIt's promise
Mr.. Roosevelt told me I can only
promise you, Mr.. Mellen; for myself
that if you do not sell your lines
will promise you, SO far as | am con-
cerned, while the law remains as II
is, you shall experience no trouble
! from me in your ownership of what
you now have"
Mr.. Roosevelt substantially told me
! that il we did not sell to Morse he
would use his influence to prevent our
| having trouble over our steamships
When was the bill put in by At
torney General Bonaparte?"
II think in 1907"
WHY was the provision preventing
the railroads from owning steamers
| left out?"
Il imagine it was because Mr.. Roose-
Welt kept faith with u.s."
Mr.. Folk read a letter from Mr.. Mel
len to Stevenson Taylor in which he
| expressed the opinion that it was I'M
wise to take up an option of the Joy
| Steamship Line.
IF you thought it unwise then, why
was it that the directors Of the New
| England Navigation Co. later approx
| ed the purchaser"
circumstances that arose later LED
me to change my view"
Regarding Massachusetts, trolleys, Mr..
Mellen said:
INV interest In the Massachusetts, troll
leys was personal. c. S. Mellen & Co.
| acquired them in his own capacity. !
bought them myself and paid for them
myself with my own money. l would
| have lost money II the stock had gone
down. They went up and made money.
| I'm glad of 1t. 1 made total of $22,5OoO.
but that profit was reduced because l
| paid 10 per cent. in dividends to other
shareholders during about two years
| when no dividends were paid by the COM
panies. That reduced my profits to about
$500.
The Joy Steamship Limo
Concerning the control of the Joy
| steamship Line by the New Haven, Mr..
| Mellen said:
IT didn't think 1t necessary to en-
! tighten the general public regarding the
purchase of the Joy Line. 1t was sup
posed. by the people of Providence par
| ticularly. to be an independent line.
And you did not care to disillusion
them?' suggested Mr.. Folk.
II merely thought 1t well to let the
matter rest where 1t was
ibid you inform your directors of the
purchase of the Joy Liner"
''Oh. yes; they all knew about It,"
"Who is John Hall MoKKay?"
He is a lawyer In New York. He
merely was employed at times by the
New Haven to attend to certain legal
work.