The Bridgeport evening farmer., 1914-05-22
GAS 60. STOCK EARNED ROAD
 sIOO 900 YEAR Mellen Tells of Getting Control of Waterbury Cor
 poration. DUE TO LEASING OK
 CONNECTICUT COMPANY Shares Whose Par Value Was S25 Were Bought In At
 s65, He Says.

were when the 1nIGTSLdl6 .SOHlH6TCS Commission continued today it's in- uuiry into the financial transactions ! of the New orks New Haven & Hart ford railroad and it's subsidiaries the examination of Charles s. Me1len, former president of the road, would for the present at least be brought to an end today. This could not, how ever, definitely be foretoId, because. it has been the announced purpose of the commission to make an exhaus- tive investigation as to the acquisi-s ton by the New Haven of all it's sub sidiary properties It is understood that there is still considerable ground to be covered. but the prospects were that Mr. Mellen would be excused late likely he would be recalled some time next week.
 Indications were that none of the directors of the New Haven who have been subpoenaed to testify in connec- ton with the investigation would be called to the witness stand before next. week. One of the directors, William Rockefeller, who had been certified to the commission as being too sick to appear at all. was present at thes regular monthly meeting of the New Haven directors in New York yester- day, according to press dispatches.s
 Beginning his examination today, MT. Folk asked Mr. MeIlen to tell puECnaS0 New Haven of the Rutland.
 ssThat was corporation operating in New York and Vermont replied MT. MeHen, land is a natural exten- sion north and west of the New Haven lines We purchased from the New York Central one half of it's interest in the Rutland. which gave us the controIss
 Did the purchase Of the Rutland have anything to do with the agree ment reached with the Boston and Albany?
 ..Yes and no There were so many negotiations effecting the Boston & Albany at that time that they may possibly be regarded as having been handled together
 What was the Tarrytown. White Plains & Mammar oneck ?' asked MT. Folk.
 That was an electric line running through White Plains It was sold at public auction. It brought between $9 80. .0O0 and one million
 OPERATION COST ExECCEsIVE
 e.Did 1t cost 15o per cent of it's cost to operate?" Well. it cost more than It's receipts. It is a good property. | haven't the slightest doubt but much of its receipts had to be paid out for reconstruction.'s
 Who bid against you in the ac- quisftion of the property ?.
 | committee of New York;
 Who objected to your control of
 .sThe fellow who stood in the way. MT MeIIen said, smiling
 Who stood in the sway-the poli- tical bosses ?''
 They usually are tfere.'' respond ed MT. Me1len. *.I had my experience with them in the Westchester transac- tfon- That was enough,
 That Waterbury Deal.
 Did not the New Haven buy Water bury Gas Company stock acquiring control of the company?s' asked Mr. Folk
 Yes. through the Housatonic Pow CT Company. a subsidiary
 What was the price paId per share ?''
 T think about s5.,'
 Had it not been selling at 40 ?'' e we paid We later leased it to the United Light & Water Company of Philadelphia and made $1e0.000 a year out of it.s'
 MT. Mellen testified that the New Haven's entry into the lighting busi- ness was due to it's leasing the Con- necticut Railroad & Lighting Com pany.
 Under that lease we got the Con necticut Lighting Concerns lease of the Waterbury company, which was to expire a few years later, and we thought it advisable to get control of the lease at the time of it's expira-= tion.'s
 .sThe par value of the stock was 257.
 seYes.''
 MT. Folk read a letter to MT. Me1len from MT. Whittemore, 3. director of the Waterbury concern in which he said he was willing to sell 1,230 shares of Waterbury to the .Iousatonic com pany at such price it could afford to pay for less than 50.
 MT. Folk thought this in effect an order to sell at 50 but MT. Mellen did not think it could be so regarded
 What did you pay for the stock of J. H. Elton, another of your direc-s
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