The Bridgeport evening farmer., 1914-07-10
MELLEN BLAMED
 FOR BAD DOOR OF
 NEW HAVEN ROAD
DirecteFs AvesIt ANas- He, Not.
 Morgan, Who Bossed
Directors.
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Vvashington, July 1o4That Charles S. Me1len. former tpresident of the New Haven railroad system, and not the late !. Pierpont Morgan, don1inateo ven, and that the New Haven Woulu today be in good standing in the rail- road world but for incessant and in terminable investigations and hostile legislation are the broad statements made in brief by William Nelson Cron1- well with the Inters tate Commerce. :. Commission 1T. the pending investtsa-s ton of New Haven affairs.
 Mr. Cromwell appears before the Comnniss5on for William Skinner and Charles F. Brooker both m ennberss of the New Haven board of directors The distress Of the New Haven is attrfbut-s ed to Inability to finance the o9oliga- rions qf the road because of sleEis1a-- tive lirnitat tions imposed hs the legis- lature o< Afaesacnusetts, Rhode Island and Connecticnt the connicting laws of these three states which do not permit long term .bonds secured by mortgage upon the company. the fore ed separaflon of the properties of the New Haven because of the antitrust law, the alleged general business de- pression, and the Increased cost of operation and maintenance without an increase in freight and passenger rates
 Mir. Cromwell declares that the New
 
 est characlef Asd tAat not one o& chem had any epeeu1ative interest in the stock or the operations of the system, or even made a dollar in that way from his connection with the road. He neserts that the directers acted in the best of faith and with great intel lsence. but all the meetings were dominated by Mir Mellen-
 It Mas MT. Me1Ien who. according to 7Er cfonaweIl. did all that was done in ..ma -. rAa- am rHu. -. FTNp.44 4--1 for which MT aGel1en. in his testimony, said he took the vicarious part for 1fr. Morgans and was indicted because, zs MT MorEan's son said, according to MT AfeIlen. it would have killed his father to have been indicted. It was 1dr- sFsIlen. too, who conducted the whole deal with Billiard out of which Billiard madei s2.7O0 900 profit, although the minutes uof the board of directors, stated that .fau shares and prof1ts in the B0ston G. Maine stock held by Bil- lard less reasonable compen nsation for his services and risks, and the amount of hisA actual expenses ip com nectfon with ft1e purchase and sale o1 the BoEtonA & Maine stock. should be vested ln ,tl1e New Haven Railroad company at the close of the deal
 1Lr- CromFF el says that tie directors never knew a thing about 4his whole matter. n Fassa11 attended tp by Mel len and Bfnard. he deciares Meilen denied the witness stand that the New Haven had any interest In the stock o3 the Boston & Maine after tk2 sale to BiIiards and Billiard made the same statement But Mir Cromwell points out that MT. 1Ge1len also testi- fled that fhe .rnintlts qnoted above was adopted r0 5doube by the New Haven directors to -sstren gthen his Hands to force reasonable settlement with Billiard"
 The policy of acquisition of trolieys steamship Hens and all manner of Federal railroads, together with the Tvestchester and Port Chester pur- chase to get an entry fzsto View York city is to be attributed to causes in tory of the road. They were in op- eraticn before MT. Me1len became president. Mfr. Morgan urged them because of a sentimental interest He had been born in New England, and his fathers tomb was in tn capital city Of Connecticut and he was i'm pellsd to bring all New England un- der the New Haven system.
 In his final appeal to the commits sion to view the New Haven in the light of the historical and business 1Ir Cromwell says that the physical condition Of the road is good. that it Is operated by efficient and loyal officials, and that the main line is free from a mortgage lien, which is a staten ent + that cannot be made by any other rail- road of equal importance in the Unit ed States Therefore all the New Ha- ven needs to rehabi1ftate ftself he de- clares, Is to be let alone and this means that it's directors should also be let alone.