The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-07-05
NEW HAVEN TANGLE
FRETS WHITE HOUSE
President and Att0rney-Gcncral
Hold Long Conference Over
the Situation.
FEDERAL SUIT NOTWANTED
Passive Attitude of GOV. Walsh
Of Massachusetts Adds to
Industrial Chaos.

WAsHrNGToN, July 3--President WI
son has shown concern In the last few
days over the New Haven situation. This
was one OF tho subjects discussed by him
at length with Attorney General MoEeyn-
Odds Mt the Cabinet meeting this morn
ing.
The Administration f. perturoed over
the uncertainty of the outlook Tor the
New Haven voluntary reOrEIniz cation on
account Of the attitude OF the Massachu-
eetts Legislature. In order that q dts
solution agreement be- contaminated in the
form OF a court decree n IL necessary that
the Massachusetts Legislature amend the
charter OF the Boston holding company so
Us 20 authorize the sale OF the Boston
and Maine stock held by tho New Haven.
Thus far the Legislature has refused
even 20 Initiate a bill amending the BUg-
ton holding cOmpany's charter along the
lines acceptable TO the Ncw Haven A
bill which passed The House has been
rejected by the executive committee of
the New Haven board and grave fear is
entertained by Administration officials
that IL may be impossible 20 procure the
amendment TO which the Now Haven Will
aocede.
It Is feared The Government may be
forced into filing a suit for the dissolu-
ton OF the New Haven road, thus ter
sotiations between Chairman Elliott and
Attorney General MoRcynoids 20 preclude
such an action and It's unwholesOme con-
sequence for New England traffic and
business.
The time fixed on by Acknowledgement
McReynods and Chairman Elliott by
which the reorganization agreement
should be whipped into shape and sub
United 60 tho United states District Court
IN July 10, Both tho Attorney General
and Mr.. Elliott have realized that II
would be impossible 60 bring about final
action by the Massachusetts, Legislature
by that date and II Is understood that the
Government will assent 70 a further eN-
tension Of this time probably until
August 1,
The Administration is resolved that no
minor technicalities shall be allowed 10
stand in the way OF n successful adjust
ment out OF court. The situation IN the
Massachusetts, Legislature Is almost
Choatic 80 far as the outlook Tor leglsa-
don ON the New Haven dissolution Is con-
cerned. The Republican members have a
plurality. The majority control can be OBJ
tpined only through fusion between the
Democratic members and tho Republicans
or the Democrats and the Bull Moose.
t. acceutuate the difficulties which face
The proponents OF the agreement Gov
Walsh never has made 70 known definitely
iust where he stands Several weeks age
the Governor declined All invitation fror
President Wilson to come 20 the Whit,
House for conference on the desired
legislation and since that time he ha,
refrained from committing himself clearly
To- the movement to bring about an agree
mrnt. There are many differences o.
opinion IN the Legislature as 20 the eNac
means by which tho reorganization OF TIT
road should be accelerated.
Officials of the New Haven have com
municated 10 the Department OF justice
their belief that should the Massachusett
legislature finally enact the amend
mcnt as II now stands tho stOCkholder
OF the road would refuse ~ sanction N,
agreement The Attorney General feel
himself helpless IN measure and re
CARDS the difficulties as pertaining solel.
to- the road and the Massachusetts Leg!s
lature. Ills sole interest Il 70 see som
agreement reached under which the 81
vorcement OF the Boston and Maine from
the New Haven can be brought aOou
without an antitrust suit or course ~
present measure would be acceptable .
him We're It acceptable TO Chairman ~
Gott and his colleagues
The Wilson Administration would b
dLsmayed should It become necessary nuN
70 file "A cunt against the New Have
road. OfiiCials believe that such actio
would have serious effect no. only o
tho New Ravens immediate future, bu
on business in New England generally.