New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-07-22
BLAME FOR MELLEN
IMMUNITY ON FOLK
"Others Flagrantly Culpa-
Bile" Escape Same Way,
Says Attorney General.
DISSOLUTION PACT
WITH u. s. BROKEN
President Contends Directors
Rejected on FIimsy PreteXt
Their Own Terms.

From The Tribune Bureau
Washington, July 2l.-President
Wilson. acting on the recommenda-
ton of the Attorney General, di-
rected tonight that a suit IN equity
for the dissolution OF the New York
New Haven & Hartford Railroad
and its subsidiaries be instituted and
that those facts believed to warrant
criminal prosecution be submitted II
a grand jury.
The Attorney General announced
that these directions would be car
ried out Immediately.
Mr.. McReynolds afflrms that he
ras not held out the slightest pros
pect that those guilty o; intractions
OF the law would escape, but he re-
fleets on the course OF JOSEPH w.
Folk. counsel for the Interstate
Commerce Commission, rcmarkinS
that. in spite of warning, the COM
rnission placed on the witness stand
"Mellcn and perhaps others ia
grantly culpablc" and that as a result
any effort at crimina' prosecution
probably will be embarrassed by
claim Of immunity.
Mr. McReynolds charges bad faith
by the present management OF the
New Haven. and this charge is re-
iterated in the Presidents letter to
his Attorney General.
President Wilson refers to the un-
willingness to accept the government
plan of dissolution as their failure.
upon so slight a prctext. 10 carry out
an agreement deliberately and
solemnly entered into and which was
manifestly in the common interest.
Suits Coming TO New York.
The Presidents approval Of tho
course mapped out by the Department
Of Justice means that the civil .L't
will be filed against the Now Haven IN
the United States court AZ New York
AZ once. The Attorney General i:so
Immediately will direct United Sta'as
District Attorney Marshall at New
York TO summon a grand jury. and INC
task Of laying evidence before tua,
body on which to ask FOR criminal un-
dictments against officers and dir
tors Of the New Haven under the Ne'-
len management will be begun a. soon
as possible.
T. ". Gregory. the special assistant
i'm charge Of the New Haven case. "Il!
have full charge OF the civil SUIT ana
before the grand jury will be aided 'y
+. VI. Swacker. from the Interstate
Commerce Commission. who has helped
him in the preparation OF the eve
dence.
How many indictments will be
sought was not divulged tonight, DIT
II was plainly indicated in correspond
ence made public that the Attoracy
General expects to ask for bill
against Charles :. Mcllcn, former pre-
ident Of the New Haven.
The most significant fact IN come
ton with the proceedings was said 90
be a statement which Mr.. NcReynoli5
gave out several months ago. when IN"
Interstate Commerce Commission o.
gan its New Haven iaquiry. ln ga.
statement the Attorney General warned
the commission 10 consider whether
immunity might be given certain men
If made to testify As 20 their actions
as directors Of the road:
The names he mentioned were
Charles :. Mellen. William Rockefeller,
George Macculloch Miller. Charles |.
Brooker, Edwin Miner, Lewis CsSs
Ledyard. George +. Baker and Edward
d. Robbins.
The attitude OF the Department. ot
Justice is made public IN a commurI-
cation addressed by the Attorney Gen
eral TO James II. Hustis. president Of
the New Haven, under date of July @,
in which Mr. McReynolds dismisscs a.
practically unworthy of serious cou-
sderation the contention OF the dircc-
torate that il cannot comply with the
Jams Of dissolution hitherto outlined
because the Massachusetts Leglslat-
urc. in granting the right TO sell the
Boston & Maine. added thereto pro-
vision that the Commonwealth OF Mas
rdNuuTfAAN TlplAh fAlVf tN 81 NfAt'|'
the right to purchase the stock so sold
AZ a fair valuation.
Mr.. McRcynoldS contends that tins
!, without Justification. Furthermore,
MIR. McReynolds indicates Skcptici,m
that the provision imposed by the Mas
sachusctts Legislature should have
any "delcterious" effect on the selling
value OF the Boston & Maine stock.
Throughout the communication ot
Mr.. McReynolds IT is assumed TO be
IN, obligation OF the New Haven man.
agemcnt to carry out its agreement
with the government irrespective OF
the course Of tho Massachusetts, Lccis-
laturc. and tho conviction Of the Attor.
rcy General that in refusing to do so
the management is guilty Of bad faith
is reiterated.
President Wilson's Letter.
The Presidents letter TO the Attor.
ncy General follows:
have your letter of to-day in.