The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-05-13

the American Express Company be viii.
Ing to sell It's Boston and Maine stockT
II said, MIR. Lane. I don't know: they
would naturally want to know who was
buying It. He said. MFR. Mellen wants to
buy It for the New Haven road. had
some talk with him about what his idea
was as to the price. He had an idea that
the New Haven could take some Kind Of
a lease. Finally he said he thought they
could give US New Haven stock for Boston
and Maine stock
II saw the directors Of tho express COM
pany. for which I was counsel. I never
saw Mr.. Morgan In the transaction In my
life. SO far as I know he was not in It,
! never told Mr.. Lawrence or any one else
that he mfr. Morganl was. and never
told him that I represented any interest
In the matter except the express company.
81 went back 70 Boston and at the next
meeting OF the executive committee or the
board, don't remember which. reported
as TO Mr.. Mellen wanting to buy our stock
] told them that We would probably sell
II Mr.. Mellen and the New Haven we're
willing to AFFORD the same opportunity TO
other stockholders to dispose Of their
stock.
The Financial Reason.
II told these gentlemen the real finan-
c!ai reason that induced ,he American
Express Company 20 part with tho stock.
and that reason was found In the peculiar
laws Of Massachusetts as TO what II
thought was stock watering. but these
laws have been changed since.
THAT was the reason we welcomed the
opportunity to sell the stock Another
reason was the inactivity OF tho stock.
We owned 10000 or 10000 shares. and II
was an unstable asset In our hands.
These were the reasons ! gave the stock
| holders. l notified Mr.. Lawrence and
others. represented no ono In that
transaction. not Mr.. Morgan nor any one
| else except the American Express Com
pany.
This testimony OF Mr.. Lawrence IS
without one word of truth so far as n re.
| fers to Mr.. Morgan wanting TO limit the
railroads and express companies OF the
country. No living man ever heard me
say any such thing"
rs II not a fact" interrupted Lawrence,
that William X. Vanderbilt acquired a
block OF 5000 shares of stock at a special
price from the road. stating that II was
to DO his personal property and that NJ
would not sell It to the New York Central
\ Railroadr"
81 never heard OF any such transaction -
said Mr.. Ledyard. civilian X. Van
derbilt already owned that stock before
became "a member of the board. and
never knew wha. the terms OF the &C.
\ quisition were"
| Timothy T.. Byrnes, formerly vice-presi-
| dent of tho New Haven. finished his test'-
mony to-day. identifying vouchers signed
| by him. He Identified voucher showing
that $1,000 had been paid to W. s. Nc
Nary. a furniture salesman. Mr.. McNary
| received this money for advice given ir
! come elton with the entry into Boston VI
| the Grand Trunk Railroad system.
80 you gave furniture salesman
$1,000 for this kind OF advice?" Mr.
Byrnes was asked.
Mr.. Byrnes Retorts.
"A good many people who know as
much about rairoading as he did" said
| Mr.. Byrnes. "are trying 10 tell tho rail-
roads how to run their business"
II also developed that Arthur p. Russell
, drew from $4,000 to $1,000 year and
worked under the direction OF Prof Bruce
Wyman OF Harvard. who had been en-
| gagged to advise Mr. Byrnes and also &c
popularize the New Haven.
! Did Mr.. Mellen ever turn over TO YOU
money to be disbursed without vouchers
inquired Mr.. Folk.
mo-" replied Mr.. Byrnes. "at no time 8
Mr.. Folk submitted a voucher for $3sl.st
In favor Of Sylvester Baxter "for l5,0oC
prayers"
prayers :" unused Mr.. Folk. What did
the New Haven want with $4,000 pray.
| ers?"
1T probably needed moro than that
| smiled Mr.. Byrnes.
This rurports 90 be- prayers from th'
hills" suggested Mr. Folk. why wer,
the appeals OF the people being paid 70
by tn" New Haven?
81 don't know about that" Mr. Byrne
replied. The bill was paid by the New
Haven. People wer" praying then. Jus
az they arc praying now, for a rest"
Mr.. Ryrnes further testified that 81 DOT
paid to Clarence W. de knight. Wash
ington lawer. by eN-Rear Admiral F. 7
Bowles, president OF the Fore River Ship