davidaulloa/AmericanStories huggingface dataset:
Evening star., 1914-11-14
INVESTMENT PROPERTY.

MODERN. WELL CONSTRUCTED APART
ment building: price only $4,000: locat-
ed in the choicest residential section OF
three-story building containing six apart
nents: ali rented: will exchange for bust
ness property or smaller properties This
IS an opportunity to make an advantage
ous deal We are open for proposition.
1t would be to your interest to get fur
tl,er particulars concerning this property.
GARDINER DENT. INC,
S12 14th st. NV.
Evening star., 1914-11-14
BUSINESS PROPERTY.

FOR RENT-S15o MONTH.
637 and 6:s9 Mass. ave. NV.
five-story -and-cellar brick building, contatn-
ing nearly 10000 square feet of floor space
Building runs through to street. Electric
elevator. Suitable for any commercial pur-
pose. Situated next to Home Savings Bank
and opposite Goldenbers's. Hahn's and The
Peoples Drug Store-all large advert1sers'
which brings a great many people to this cor
per. 7th and Mass. ave- Is one of the busiest
corners in Washington.
B. F. SAUL CO., 934 n. Y. ave. NV
FOR RENT-FOR BUSINESS PURPOSES. NO.
615 La. ave. NV, 4-story bldg. Store on
first floor Extensive floor space.
FLOYD f. DAVIS, 7th and f SITS. s.w.
Evening star., 1914-11-14

HAVE BEEN AUTHORIZED BY THE EX-
ecutors to sell, to settle estate, 100acre farm
and home. situated on Leesburg pike. II miles
from city; nicely watered and wooded, in good
state Of cultivation and fenced; fine orchard;
S-room frame dwelling cellar. porch: native
shade: large bank barn and outbuildings; wa
ter in house and barn.
GEORGE WIN. SUMMERS. 312 Evans bldg.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21

board OF the paper. I met Mr.. Holmes.
too. who was largely interested in the
paper.
Q.-Do you remember how long II took
the Boston Railroad Holding Company
bill 10 pass? About fifty or sixty
days after Governor Draper advocated
ii in a message. He wanted 10 bring
stock Of Boston & Maine outside of the
state under company controlled by the
State Of Massachusetts,. Mr.. Mellen tes-
tilted that copies OF the draft of the bill
had been sent 10 him before its passage.
Q.-Who sent you these? A.-Either
Mr. Choate or Mr.. Byrnes
Q.-That is Timothy E. Byrnes, your
legislative agent in Boston? Ale was
vice. president Of the New Haven.
Q.-And publicity man for the road?
A.-No man can be in the railroad bust
ness nowadays and not get publicity.
Sometimes he gets too much.
Odd you retain Mr.. Chcate 10 draft
this bill? A.-Mr Choate. about this
time, was our registered legislative
agent. There were other attorneys en-
ployed. too. Mr.. lines among them. !
felt that an enlightened public opinion
would favor railroad ownership of troll
leys and believed that we were entitled
20 that ownership.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
Asked About Byrnes.

Odd you spend 100000 in enlighten-
ing public sentiment in this regard? A
! know nothing of that kind.
Q.-Dd Byrnes spend money to in
fIuenoe legislation? Al am sure not.
Q.-Do you recall the prayer from, the
Hills? Ayes, in general, but
know little about it.
Odd you pay for III Al fancy
| have to pay for all prayers in my
behalf.
Q.-Were a large number OF news.
papers carried on the payroll of the New
Haven? Al never heard Of a large
number of newspapers on our payroll
I never heard of some papers until
saw them mentioned in the testimony
OF president Byrnes.
Odd you know THE Boston Repub
lie" published advertisements and ther
sent the bill to the New Haven? A.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21

a,.,,,y uas turned over TO the Boston
Maine without profit ana on '"e
of interest at 4 per cent -,
"Did Mr.. Billiard make any'hihs o''
this Transaction AZ
..I know he did not" responded MI
M.llen. "He is n highly honorhp'e ""
and I would trust him
Mr. Mollen could not recall the "'
of shares that Mr.. Morgan bous"' ''o"'
IN. Mutual Life. but said II "as a ''a
,o,,,v NJ the stock. He did not remehoer
the amount involved. but SAID u o'n NV
run very considerably into millions
what compensation did Morgan 60.
from the Boston & Maine directors for NE
mart in the acquisition OF the Worces'er
"f do not remember that he was gwen
ANYTHING al all, except possibly one
fourth or oue-eIghth commission"
Mr.. Folk produced letter rom MI
uelIen 10 President futile, OF the bos'oh
A. Maine. II was dated January 10. i'lV
and referred TO the acquisition OF inc
Mutual Life holdings After nearing ]"
read, Mr.. Mellen said:
"I think that shows must have nso
some talk with Mr.. Morgan before inc
telephone conversation. but I still DO not
recall IT.
Q.-Now, M. Mellsn, the Mutual L"e
not 1855 for its stoek7 Ayes, tho let.
ter to Mr.. futile says II held 'o,os4
shares, so at 1865 it recovered $2,744,o'o.
o.-Is it not true that all other hold
ers Of the Worcester stock only got 100
for their shares7 A.-Stoek when hold
in bio blocks always brings better
prices.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21


Mr.. Mellen was asked as TO the purchase
OF the Worcester, Nashua Rochester
Railroad by the New Haven. He SAID
Mr.. Morgan bought the controlling hoin-
ir.gs Of the road from the Mutual Lie IN
surance Company of New York.
Odd he consult you beforehand A.
No.
o-Wha, was the price paid? A.-l6o or
1ss n share. | think.
Q.-What was your first knowieose Vi
the transaction? AIR. Morgan toin me
he bought the road and wanted me W
take I'D the matter with Mr.. Tuttie' Pre''.
dent OF the Boston & Maine. which hau
leased the road at S25o,oO year an"
which Morgan had bought for the Boston
e. Maine.
"Oid Mutual Life UnIoadT
The Worcester & Nashua line, 1t was
explained. ran from Worcester MASS
through Nashua TO Rochester. \. II.
o.-Was IL not true that tho Mutual
Life had to get rid Of it's stock in the
Worcester road? A.-Yes; by tho laws
Of New York it had to unload its hold
ings.
$50 they unIoaded on tho Now
Haven't A.-WeII, ! don't know az to
that.
Mr.. Melen said he was not positive that
he had any other arrangement concerning
the purchase than that over the telephone
with Mr.. Morgan.
Explaining the details OF the acquisition
of the Worcester, Nashua Rochester
by the Boston & Maine. he said that some
OF the stock OF the road was held by d.
ectors Of the New Haven and SUISSE
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
MELLEN PAVES WAY TO
PROSECUTE DIRECTORS

have yielded TO me. think he had
confidence in me-"
Bought Without Authority.
Mr.. Mellen said OF the sale Of the
Worcester. Nashua & Rochester Rail-
road stock by the Mutual Life lnsur-
ance Company that the New Haven
leased this line for S250,000 year,
and while he admitted that its pur-
chase would cost the road S33Gooo a
year. or $4,000 more than the leased
price. he nevertheless thought it wise
transaction.
Had the directors authorized Mr.
Morgan to buy this stock" Mr.. Folk
asked
Il do not think it was ever consid-
cred by the board" Mr.. Mellen an
swered, before 1t was purchased
Mr.. Mellens testimony concerning
the acquiring of the various trolley
companies was exceedingly intricate,
and in unravelling the transactions he
told of the purchase Of the New Eng
land Steamship Company by the Con-
solidated Railway Company for So
100000 The New Haven Railroad. he
said, later acquired these two COM
panies for 100000 which was
turned into New Haven stock, part of
which was used to pay for the 1O9,94S
shares of Boston & Maine stock.
One Of the interesting incidents Of
this transaction was that Charles w.
Morse had offered S20.0OO.0OO for the
New England Steamship Company.
The Rhode Island trolley transaction,
Mr.. Mellen said, was costing the New
Haven approximately 100000 year.
He admitted that while the value of
these properties was approximately
only 100000 the New Haven had
issued securities to the extent of almost
S20,00,00O TO cover their purchase. He
also said that most of the trolley COM
panies purchased by the New Haven
were overcapitalized.
The hearing was adjourned until to-
morrow morning, when Mr. Mellen will
resume his testimony.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
Continued from psxe I

trolley companies Of Rhode Island ana
Connecticut He said most OF these
cofnpanies were overcapitalized. but
that ne met conditions as they were.
II never looked after dead horses,
nc said.
In telling his story of the sale Of the
worcester, Nashua & Rochester Rail-
road stock, which had been held by the
Mutual Life Insurance Company, to the
Boston & Maine. Mr.. Mellen made
dramatic defence OF the late Mr.. Nor
gan. Mr.. Folk asked the former presi-
dent Of the New Haven if he was AFRAID
TO demonstrate with Mr.. Morgan for
purchasing this stock without authority.
81 do not think that is exactly the
term 10 use" he replied. Il was not
afraid Of Mr.. Morgan. Mr.. Morgan
was a gentleman. He would not I'M
dertake 10 do physical harm TO any
body. think. in order TO be afraid of
man. you have 10 be afraid OF some
fnlnk. OF SOillt pHy oiIoi NiOiNh~N'
never was afraid of him in that sense.
] respected Mr. Morgan very highly.
| had greater faith in his judgment
than J. ID I'm my own. I yielded my
judgment to his in many cases, and,
practically with one exception. | am
bound to say think his judgment was
better.
His was the master mind pretty
nearly wherever Mr.. Morgan was. That
is my best judgment. / have discussed
many things with him very pleasantly.
| have had one or two or three very
unpleasant interviews with him. Mr..
Morgan was man held in very high
respect felt II we disagreed the
probabilities were that ! was wrong.
Il have considered very many cases
where we disagreed, and 1 have gone
back to them. tried the cases over
again think If it came to an up and
down disagreement on an ordinary
business matter that Mr. Morgan would
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
r. /. Trolley Cost s2o,ooo,o 900.

Il have taken no action. on the under
standing that was to hear from you fur
Their. but the delay has been SO long
am in doubt whether or not there Is not
some misunderstanding as result OF our
interview"
What was the definite assurance al
luded to-" asked Mr.. Folk.
THAT Mr.. Aldrich was to bring about
a resumption OF the negotiations.
What was the reference TO trust p
THAT refers 10 the formation of VOL
untary association, which is done under
the laws OF Massachusetts,, to carry out
transactions
Nj. Mellen testified that the price paid
for the Rhode Island trolley system was
tetween $1,000 900 and s2o,o0,oo
I'VE paid about twice the value OF the
properties. but we thought they soon
would be worth what we gave.
You knew there was bound 10 be
deticit?"
Yes. we looked the matter squarely IN
the face and did not deceive ourselves
Hasn't the deficit been on an average
$4,000 annually
Il think that for the year ended June
80 1918, it was not more than 5000 ard
I believe that was the largest IN any
year
Did Mr. Morgan advise this purchase
THE records will show as TO that
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
S. r. Kelly Paid $4,000.

..Tuo parties we're bidding for the
s,ock and we got II. We paid a larger
price than il was worth on this account
and because We were ouiidlhs up Jul
trolley system said Mellen.
O.-What was the loss to the Ne"
Haven on the transaction? Al cannot
say. I don't know.
O.-Who handled these deals involving
the purchase OF street railways A.
Most OF them I handled myself
o.-What did Mr.. Robbins have to do
uith these transactions? A.-After he
became the New Haven general coussel
he was consulted. of course.
Odd Mr.. May, the treasurer Oh the
New Haven, have anything to do with
these purchases: A.-Only in so far as
he carried out orders of his superior
officers.
Mr.. Folk produced letter from Mr..
Nav TO Mr.. Mellen, dated August ,, 1901,
In which the payment of sums amounting
IN all to about $4,000 to S. F. Kelly were
mentioned, and the Importance OF keeping
the matter confidential was dNelt upon.
MFR. Kelly. il is stated here" said Mr..
Folk. was TO get so share OF Montvlle
street Railway Company, amounting 10
$40. 400. and so a share of Norwich Street
Railway stock. aggregating Sil.6so. What
was he to get all this money for
81 knew at the time, but cannot recall
now" said Mr.. n Hen.
Mr.. Mellen added that Kelly was con-
nected with a bank in Boston. and he as
sumed that the sums we're commissions
paid him TO gather together the Norwich
Line and other stock.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21

Washington. MAY ao-When Mr. Melien
resumed the stand this afternoon. follow
ing A brief recess, Mr.. Folk continued his
inquiry into the purchase OF the Worces-
ter. Nashua & Rochester Railway pS
the late J. r. Morgan in the name OF the
Boston e. Maine.
9TH. total investment OF the Boston &
Maine in the Worcester was s7,925c", was
it not?" Mr.. Folk asked.
81 presume that is So" said Mr.. Meiien'
The Boston & Maine. Mr. Mellen con-
tinued. paid $4,000 year for the lease Oh
the Worcester road, but made many I'M
movements the expenses OF which, he
testified. the contract allowed the pos'o,'
G. Maine to reclaim at the end Oh cut"
year. H..
o-Whv was not the money used TOT
improvements funded as capital sloch :
.-The laws Of Massachusetts ala hot
allow this.
o-,yould the Boston & Maine not nave
been better off II it had continued inc
,aaseq A.-As il turned out, | think IL
uouId hut at the time of the acquisition
NJ tho Worcester things looked different
O.-Was the purchase OF the Mu'uai
Life holdings by Morgan ratihed Dy the
poston & Maine directors? A.-Not at
once. Mr.. futile took the matter up later
with the directors
Q.-You carried the transaction IN the
New England Navigation Company? A
Yes. -,
O.-For how long? A.-The books VIII
show. The time was not very long.
'o.-The New Haven then owned al
stock Of the Boston Holding Company ana
thew owned the Boston Maine? A
That was the situation.
O.-NVere you a director of the Boston
G. Maine? Ayes. The meetings Oh the
boards of directors of the New maven
and the New England Navigation COM
many some times we're held on the same
date They would adjourn one meeting
and begin another.
O-What were the earnings OF the
III orcester. Nashua & Rochester road az
the time YOU acquired It? A.-There Is no
way of determining what were the earn
ings of a property in the situation IL was
We were obligated to pay the rental pro-
,.;ded for i'm the lease. II may nave oeeh,
"a YOU say. $4,000 a year. The lease VIII
show for itself
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21

the Fair Haven g. Westville trolley COM
pany. which, he said. was accomplished
by issuing ten million of 81 debentures
and giving them in exchange for about
& 900. 900 worth OF the trolley stock.
Were these debentures conyertloie'
They were not.
Touching on the purchase Of the GREEN
vich Tramway Company. trolley hhe'
Mr.. Folk asked why the New haven
wanted it. =,
"Oh. we Just wanted to operate H.
said Mr. Mellen. He did not remember
the price paid.
What did you do with the New 10TH
& Stamford Railway?
Didn't do thing to it, answered
Mr. Mellen. I'VE merely bought 1t.
What was the Greenwich Tramway
Company" Mr.. Folk asked.
THAT was line running from Green
witch, Conn, TO the state line OF Ne"
York. where II connects with the STAN
ford line, which carries IT down to New
Rochelle. y. Y. We bought the STAN
ford line. too"
who induced you TO purchase the
Stamford lne?'
IT think Colonel Heff. of Bridgeport
Conn We considered that eventually IL
would become a profitable investment
Mr. Mellen was asked who was COM
peting with him for the purchase or the
Hartford Trolley Company. He said the
principal competitor was firm In Ne"
York, the name of which he could not
remember, and that this pushed up the
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
Mutual Still Holds Stock.

n The lease was TO be taken as the
civ basis for the purchase? A.-WeH'
YES, should say so.
~ uovou consider that good financing!
Under most conditions ! should say So
Mr. Mellen said that the Boston q Maine
handled the Worcester road trahsaclioh
itself without reference to the Ne"
Haven.
oD;d the law require the Mutual Life
Insurance Company to sell the stock OF
the Worcester road
THAT was the law"
"poes not the Mutual Life now hold
az. COO shares Of the Now HavenT'
Oft holds a large block OF Now Haven
stock, but I don't know what amount
"When M Morgan told you no had
bought tho Mutual Life stock at loo
what did you say?'
~ think I said Jerusalem, or some
thing like that
why didn't you demonstrate with MIN
and ash him how he came TO do this
81 did not think this was the way TO
approach MIR. Morgan
Were you afraid to remorstrats
with hm?"
at was not question Of being
afraid. I always had great respect for
Mr.. Morgan. had greater faith in
his judgment than had in my own
"Was Mr.. Morean's the master
q A
His was the master mind pretty
nearly everywhere tina; Mr.. Morgan
was"
Mr.. Melion aid he thought Morgan
might have been willing to yield 10 him
in some matters Of ordinary business.
You would not have purchased this
stock IL 1t had been left to you?" sug-
gested Mr.. Folk.
II don't think the price was more than
IS or 80 out OF the way at the time. 1t
was worth more to get a block Of minor
lily stock that would give control than
perhaps the stock at the moment really
was worth
DO you think that the purchase Of the
Worcester line was wise proposition?"
Il should say. in the light of several
years. that it probably was not wise
purchase. You must consider, however.
that our hindsisht is better than our fore
sight. Mr.. Morgan was dealing largely in
railroad properties. lie was a man whom
held in the highest regard. / at times
disagreed with him. but II I had come TO
an up-snd down disagreement with him
think he probal ly would / ave yielded
Can't Recall "HolIerins."
Did you object to the payment made
fo- the Worcester line-obiect TO Mr. Nor
gam" asked Mr.. Folk
Il don't know whether / did or not. I
do not remember. however. whether ]
hollered' TO Mr.. Morgan about 1t or not.
| did not really care very much about the
price paid for the Worcester line.
might have paid the same price Mr.. Nor
gan paid n ! had been in his place.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
"Who Had the ksy?'

"Uere not all securities Of the Biilard
Company in the vaults OF the ne"
tIaven?" Mr.. Folk continued.
..rhev were in a separate vault OF the
road the keys TO which were held by the
billiard Company people
o-Wbo were they? AIR. Billiard and
Mr.. Hemingway.
Odd the treasurer of the New haven
have a key? A.-Not that I know OF,
Odd Mr.. Robbins have q key? Al
have read i'm the testimony that at some
time he had key.
o.-Why did the New England Naviga-
TON Company loan Mr.. Billiard N0O.co'
Al suppose there were some transac-
,iors between Mr. Billiard and the com
pany.
O.-How did it happen that Mr. Billiard
was allowed TO wipe out his Obligations
later on per cent basis instead Of per
cent? A.-That Was Mr.. BILLIARDS. way 10
raw as little interest as he could.
MIR. Meilen testified that the price of l5i
received by Billiard for the Boston &
Maine stock and the price of 40 the hold
ing company received were both fixed BY
tho Massachusetts Railroad Commission
Did they Ak different prices in this
vay?'
YES"
Homer s. Cummings, counsel for Bill
lard brought out from the witness that
no one other than Billiard was entitled to
any OF the assets OF the Billiard Company
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
Bouaht Electric Lines.

Nj. Mellen explained that the New
Haven acquired three electric lines-the
New London, the Montvile and the Nor
nich. all In Connecticut. For the New
London sl05 a share was paid; for the
Norwich $40 was paid, and for the Mont
vile $50 a share.
Odd YOU ray IN addition seaIeo to
xelly for mis- services in acquiring the
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
utock Of tha sfontyills line,

stock Of the Montvills line! A-kdo,Y
remember exactly.
Q.-And i,es0. also to Kelly. a. 4 o..
mission for other trolley purchaser A.
That may be.
II think" continued Mr.. Nellen. TIA,
these properties were n good purchaa1
because we subsequently leased them \.
the Shore Line Electric Railway for "a,
cent OF their total cost to US"
O.-Who owns the Shore Line Eeet,,.
Railway? A.-Morton r. Plant, Of Ne,
York.
Ole is one Of the directors Of N.
New Haven. Is he notY Ale Is nov.
Odd the New Haven ever lend hin
money? A.-Oh, no. Mr.. Plant has NOR
money than the New Haven road.
Q.-Was that the only lease OF trollsu
YOU made? A.-No. We made a lsss
OF some lines TO Thomas L. Dolan and liz
associates, Of Philadelphia.
Odd any bankers have anything "a
do with this lease? Al do not think
40. II has been a profitable lease to III.
New Haven.
Mr.. Folk. taking up the purchase by thu
New Haven Of the Rhode Island TROLLEY
system. asked IL there had not been
break in the negotiations after they had
been begun.
Senator AIdrieh Named.
There was an interruption Of sons
months, possibly almost a year" an.
swered Mr. Mellen.
What caused you to resume the neso-
/ tiations after they had halted?"
"Oh. ! had conversations regarding the
matter with Mr.. Morgan. Mr.. Dolan ana
others"
Didn't Senator Nelson ". Aldrlch see
/ you about the natter"
Yes. lie called at my home al Stock.
bridge and asked me what the status OF
the negotiations was. 1 told him that
from my standpoint I did not think
could yield TO the terms. He said he
thought them too severe and that he va.
going TO see Mr. Dolan. as ! understood
/ il. and I presume he did. believe Il was
the call OF Mr.. Aldrich on me al Stock
bridge that resulted in the resumption o.
the negotiations. but how important wa
his influence or what action he took O.
not know"
Odd the fact that ne was United
States Senator at that time have any
weight with you?" A.-Thst had no in
iuence with me in the matter.
Q.-Wasn't he large stockholder in
the Rhode Island trolleys? Al think
he was.
O.-what did he say that led YOU 10
think so? Alt is not my recollection
that he said anything TO indicate II. but
I believe 1t was the general talk at the
time.
The following letter from Mr. Meilen
August 90 1896. was read by Mr Folk:
my Dear Senator: Am / wrong in the
impression that | was 10 hear from YOU
again regarding the matter We discussed
at our last interview before taking any
action?
1t was my understanding you we're "a
get some definite assurance that was "a
be transmitted TO me. which | could USE
as a basis for presentation TO my d.
rectors for action, and I handed you g
COPY of the trust that has been provided
for the handling OF this and other simila
matters, and since my return to my onic
| sent you a copy OF .he contract b
which the New York, New Haven 4
Hartford Railroad becomes the guarantee
of all the preferred shares that were {
lie issued by said trust.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-05-21
FLlNrQuALITY

FLINT QUARRY
The ideals embodied in
FLlNTs FINE FuRNTuRE
Tor the past three quarters
Of a century all that has
made the Old Flint Trade
Mark a guarantee Of fur;
nlture satisfaction and
the term FLINT. Quarry
synonymous with, Tie best
will Be as faithfully upheld
under Tx: polcqd The new
corporation as m the past