New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-22
Monopoly, Controlled and
Regulated by Govern
ment Best for Public.
POLITICIANS CARRIED
ON r. r. PAYROLLS
New Haven Requires 100000
900 to Rehabilitate It-West-
chester Biggest Burden.
rFrom The Tribune Bureau.l

washington, May 2l.-With pathos'
humor and matter-of philosophy
sprinkled through his testimony,
Charles S. Mellen gave by far his most
dramatic and sensational testimony In
the New Haven Railroad investigation
to-day. There were tears In his eyes
as he spoke OF the New Haven wre' Ss
They were enough to break "
heart" he said in a quivering voice.
A smile played over his fsce as he
said that he always kept away from
politicians because he was afraid he
might have something Of value In his
clothes. And he became the stern and
hard headed business man when he as
serted that the United States govern
ment must have a monopoly OF tho
railroads OF this country II there was
to be economy and efficiency.
Mellen's testimony covered vida
range. He told Of a conference with
Mr. Roosevelt in March. 1907, relative
to the sale Of the New England Steam<
ship Company. and how the President
advised its purchase by the New Haven
to keep II from falling into the hands
OF Charles W. Morse, who was then
trying to form an Atlantic coast mo~
nopoly.
AS the result Of this conference a
question Of veracity between Mr..
Roosevelt and himself came up. Mr..
Roosevelt. he said. had accused him of
sharp practice in purchasing the Wind
sor Steamship Company, but the wit
ness said he was able to prove to Mr..
Roosevelts satisfaction that he (Mr.
Roosevelt was in the wrong. He did
so, he explained. with the aid OF Her
bert Knox Smith, who was also at the
conference. whom he characterized as a
careful man and who made a memo
randum of what had taken place.
Left Out Of Roosevelt Suit.
AS a result OF this conference Mr..
Roosevelt, the witness said, had agreed
to eliminate the New England Steam
ship Company from the dissolution SUI,
which Attorney General Bonaparte was
about to file in the federal courts in
Boston. This agreement was carried
out.
Mellen also told how he had deceived
the people Of Providence into believing
that there was a competing steamship
., 7 ina
Haven owned this line, Mellen said.
and the public was not let into the
secret for a long time.
He also explained the sale of tho
freight boats of the Joy Line to Charles
w. Morse for $3.50 900, and proudly de-
clared that he was the only man living
who ever obtained any real cash from
Morse. He admitted however, that
this money had, as a part of the agree
ment, been deposited in the Bank OF
North America, which Mr.. Morse was
supposed TO control.
Mr.. Mellen said that several suits
had been threatened in consequence OF
this sale. 4 demand was made for
$4,000, but he never paid a dollar.
II was asserted, he said that Morss
had taken this money out Of .hs
treasury of the Mallory Steamship
Line and had forced the boats upon
that company, but, n answer TO q,
question from his attorney. he admitted
that he did not know that Morse hod
taken this money from the treasury #
the Mallory line.
Gave up Morse for Morgan.
The efforts Of Mr.. Morse TO interest
the New Haven in the Metropolitan
Steamship Company was also disclosed
by ir. MeIlen. He had become 4
member of board, he said. by which
he was TO obtain 81 800, ,0OO. or one-hale
OF the Metropolitan Steamship Com
pany's securities. Mr.. Morse was TO
hold the other. When he put the ques-
ton up to Mir. Morgan. however, ;hs
latter protested in vigorous terms ani
told Mr.. Mellen 10 choose between his
friendship and Morses. Mr. Melien
said he did not hesitate minute u
hold to Mr.. Morgan's friendship.
He also said that he held 40 shares
Of New Haven stock until they began
TO SMELL" as he described it. which was
last fall, and then he disposed Of them.
The witness's voice broke as he told
how he relinquished the presidency OF
the New haven Railroad
II was fired" he said. 1T was inti-
mated by a gentleman connected with
the board that a change would be dc.
sirable. and thought 20. too. could
have stayed if had wanted he added
defiantly II know thar 80 per cent IL
the directors would have voted to ma