New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-22
10Y LINE DEAL SECRET;
MELLENFORU.S.CONTROl

sOs W.
, stock. retain a little interest yet In the
/ Boston e. Maine and in the ontario O
Western"
For Government Control.
"Why did you personally favor the
consolidation of the trolleys with the NC"
Haven't"
because consolidation would resu''
in better service, lower rates and great
or satisfaction to tho public. ! be''eve
tho public is better served by n'onoP'
! oily of transportation than in any otne'
way. | think, however, that tho nnonop
oily should be controlled and regulated
by tho government"
Q.-What do you think railroads
generally are doing about tho matter
Al know of nothing a railroad can
do now except take off it's hat to some
government official.
OF Mr.. Morgan had not died, how
far would you have gone in this dream
Of consultations A.-Gone to heaven
/ suppose.
! Q.-Didn't Morgan have more power
than any state government under "i'.''
YOU operated? A.-That Is not So iio
MAYER tried to exercise any such power
! Ole was in control Of the New Eng
land situation? Al can pest anS"e'
that nv quoting the old saying Where
ucc,reeor sits. there is the head OK the
/ table"
Mr.. Mellen said he was opposed 10
the New Haven holding and operating
steamship lines.
~ was always against tho plan.
,.a. afraid of disasters on those timer
boxes"
Mr.. Mellen. after testifyinS regarding
an offer OF $1,000, 900 made by Charles W.
Morse for the Purchase or Steamship"
owned by the New Haven, said ne came
N Washington and consulted Presideh'
Roosevelt in regard to the matter.
Mr.. Folk read letter from Mr.. Melen
,o Stevenson Taylor, in which he ex-
messed the opinion that 1t was unwise 10
| take up an option Of the Joy Steamship
]
Line.
"If YOU thought it unwise them why
,,.os {, ,ha, the directors Of the New Eng
land Navigation Company later approved
/ the purchase?
! circumstances that arose later led me
/ to change my view"
Mr. Mellen explained that In the various
trolley systems maintained as corporate
! entities he was president OF the corpora
/ tons. ,c
"If was not president" said he. u
knew vino was"
..you had a good grip on the sltuat!on?'
/ said Mr.. Folk. >,
.WelI II it was not a personal grip,
responded Mr.. Mellen, 1T neVertheiesz
was a good grip. Ny interest IN the
! Massachusetts, trolleys was personal -
! 8. Mellen acquired them in his own
canacitv. I would have lost money II the
stocks had gone down. They went up
and 1 made money. l made totai Oh
s92.5oo, but that profit was reduced be-
cause ] paid 10 per cent In DIVIDENDS 70
other shareholders two years when no
dividends were paid by the companies
That reduced my profit to about $500
Joy Line Deal Secret.
/ Concerning the control OF the JOY
Steamship Line by the New Haven, Mr..
Mellen said
II didn't think II necessary TO enliShten
the general public regarding the pur-
chase of the Joy Line. II was supposed
by the people of Providence, particularly,
TO be an independent line"
Q.-And you did not care to disllusion
them? Al merely thought it well to lei
the matter rest where II was.
Odd you inform your directors OF
the purchase Of the JOY Line? A.-Oh,
yes; they knew all about 1t.
Q.-Who IS John Hall Mckay? Ale
is a lawyer, in New York.
Q.-Was he your legislative agent? A
No: he merry was employed at times BY
the New Haven to attend to certain legal
work.
Gle was a director OF the Joy Line!
Ayes. he was. Some stock was trans
ferred TO him TO enable him 10 qualify as
director.
What were the reasons for maintain
ing secrecy" asked Mr.. Folk, concern
ing the acquisition Of tho Maine Steam
ship Company"
II suppose" responded Mr.. MelIen. at
was due TO a desire to keep the matter
quiet
Q-What did Mckay have TO do with
tho acquisition of certain piers In New
York City? Al do noto know-I do not
recall IL ever knew.
Q-Do you recall an expense Of $500
paid to Mckay? A.-No. 1 do not. II you
are trying to intimate that Mr.. Mckay s
expense, or the amounts paid TO him ~
the New Haven, were wrong, / think you
are mistaken. Every dollar paid anybody
is shown on the books. He was employed
long before became president. We used
him, as l recall. in securing certain priv
ileges and perhaps in the settlement OF
some damage cases.
Q.-How long did you keep the Maine
Steamship Company? Al do not recall
the dates. but We kept 1t until we sold Il
to the Eastern Steamship Corporation.
Mr.. Melen said Mr.. Morse wanted the
Boston freight line steamers
~ let him have them and got $3.50, 600
in cash, ! am the only man living who
ever got tho cash from c. w. Morse
in business transaction"
Did you have an account with the
Bank of North America"
Yes. opened an account az Mr..
Morse's bank on this transaction. II wa.