The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-07-24

line to the New Haven is gone into at
great length in the bill, as well as the
alleged attempt to buy the Central YER
monts proposed competing steamship line
from Providence to New York
I'm order to prevent this competition
the bill says, the New Haven vigor-
ously opposed the granting of authority
to the Grand Trunk to build such extern
sions and also opposed their construc-
ton. After authority had been given for
the extensions Charles $. Mellen at
tempted to purchase the Central Yer
mont from the Grand Trunk"
The bill then rectes the agreement be-
tween Mellen for the New Haven and
T.. j. Chamberlain and Alfred w.
Smithers of the Grand Trunk. for which
all three were subsequently indicted here,
ito prevent the further construction and
the operation of any of the proposed lines
OF railway and tn prevent the operation
OF the steamships between New York and
Providence. in pursuance whereof Cham
berlain caused work on construction to
he stopped. the proposed extensions OF
the Grand Trunk and the Vermont Gem
trail and operation OF the steamships
(now idle) to be abandoned. thereby pre-
venting competition between the New
Haven and the Grand Trunk, which
would otherwise have resulted"
The hill asserts that The New Haven oh
tained ownership or control of twenty-five
boat lines Of thirty In existence until the
Enterprise and the Boston and Portsmouth
Steamship companies were forced to the
wall by unfair competition and Illegal
methods"
THE New Haven, the bill says. began ac-
curing steamship lines which competeu
with IT as early AZ 1885 some OF the
methods used by the New Haven To sup
press water competition are set forth as
| follows: ,
| Tn. 10y Steamship Company was used
| nv the New Haven In addition to a pre-
| tended Independent line, the thteu
| states Transportation Company, in It's
| lights. -
! Nv such agents and In such ways the
| New Haven has forced several steamship
comnanies into bankruptcy. including inc
l,n,a,nriss TRANSFORMATION. which for n
long time was bitter rival OF the NJ"
! Haven.
Line Bought In secret.
The JOY Line was secretly purchases
and that control concealed for Two years
subsequent to 1905. "ostensibly as an IN
dependent company, for the purpose OF
driving out of business the Enterprise
! company
The sale of the Joy Line Boston boats
to the Metropolitan company after unsuc-
cessful attempts by the New haven 10
buy the Metropolitan IL gone INTO Al
length. This is the matter which Mr. Mel
len told to the Commerce Commission N
relating his dealings with {. w. Morse
on the trolley situation the bill says
that from time to time vigorous steps
we're taken by the New Haven company
90 prevent and suppress the competition oi
the troll.ys" The first trolley line was
, acquired IN 1895 and from then on th'
New Haven did an active business In buy
ing up competing trolley systems ana II
. rendering them Incapable of divertins
business from the railroad, the oil
charges.
control OF these trolley lines was not
! acquired in the natural development am
, growth OF the New Haven system the bill
continues nor because IT had any neet
OF them az additional transportation IA
, cilities. but 70 the purpose or suppresslni
actual and potential competition Tor III
terstate and foreign traffic between tfoIIe!
lines and its railroad system and Il
4 nonopolize parts of trade and commerce
Y In accomplishing this purpose X dlsre
0 On rded cost. II paid over sl2b, 1000, 600 TO
{ II. interests in trolley properties-mor
g than twice the actual value of such In
terests"
one Of the methods used to render trol
ley lines innocuous as TO competition. VI
I bill says, was. for Instance, TO run troleN
- bet Meen certain tONIlS ~ Si'" 49, 80
q satisfactorily that the railway line Dc
Q tween the same towns would naturally re
the business The bill also says that IN
New Haven has acquired control OF CON
nanics and abandoned their plants TO bun
!, iin.s which would otherwise have Doe
y competitors. 49,.
/ The history Of the purchase of the Me-
/ York. Westchester and Boston kallWa
e company. the sll.O00,o0o deal OF whic
u 4 : MeIlen told the Interstate Commer'
70 Commission, is gone into thoroughly u
" Guiding the control exercised through "
- NIillhrook Company The New YORK an
. portohester Company, which had bee
formed TO construct an electric line
M Boston, was merged with tho Westcheste
l., the bill says, continuing
N ."rhe acquisition of control of those con
a uanies and the completion or the line
"A WHITE plains has cost the New Have
company approx imately t35,0OO.Ooo' whi'
,e is at least sl2,O00,000 more than the {.
10 tual value 81 the property. During u
m las, wear the gross receipts OF the cor
to many were $500, 600 less than its actu
W operating expenses.
w All the acts alleged, the hill conclude
ne are NO interrelated and so confused WI
TO one another that the Government brin
to only one suit, in order that there ms
ar not be endless litigation.
IN ANSWER TO DENY ALL.