The San Juan islander. [volume] (Friday Harbor, Wash.) 1898-1914, 1914-05-29
RAILROAD Deals Dominated
By Late J. p. Morgan

BIZ Late J. II Morgan
washington, D. c. - The story OF
absolute domination by the late J..
p;erpont Morgan in the affairs of the
New York, New Haven & Hartford
railroad system, Of the spending OF
millions in awed and ignorant silence
Of the command of the all-powerful
financial ruler, was told to the Inter-
state Commerce commission Thursday
bv Charles S. Mellen, ex-president OF
the railroad.
It was the most extraordinary chap
ter vet unfolded in the commission
inquiry into the alleged exploitation Of
the great New England railroad and
disappearance of fortunes from its
treasury through acquisition at ex-
travagant prices Of subsidiary proper
ties.
There was not time in single day
to give all the details of all the incl
dents and events dealt with in the wit
ness testimony. He barely touched
on some of the big things, paving the
way for exhaustive questioning that
will follow.
Members of the commission, counsel
and spectators fairly hung on every
word of Mr.. Mellen as his story devel-
oped dramatically under the examina-
ton by Chief Counsel Folk. Every
body listened with amazement as he
related how he had stood in awe of Mr..
Morgan because of his comprehensive
grasp and perfect prescience of finan-
cial matters; how he had consulted
Theodore Roosevelt, then president OF
the United States, regarding the pur-
chase of the Boston & Maine railroad
how he had prevented the late E. H.
Hartman from acquiring the Boston &
Maine by getting it himself for the
New Haven, and how he had dealt
with the late Police Inspector Byrnes,
of New York, to obtain the West
Chester stock held by persons whom
he assumed to be connected with Tam
many Hall.
AS he did when on the stand last
week, Mr.. Mellen gave his testimony
with apparent willingness, answering
questions readily and concisely-that
is, every question except one. He die
try to avoid telling about the time
when Mr.. Morgan Inundated him by
brusquely refusing to give him in
formation concerning the West Chester
transaction to which he thought, as
president of the New Haven, he was
entitled.
When he finally related the incident
his face was drawn into hard lines,
and he clasped his hands over the
table in front of him almost convul.
sively.
His voice, however, indicated nc
signs of emotion. Later he even gave
the story a touch of humor. Wher
Directors Hemingway and Skinner, Of
the New Haven, demanded of him why
the road was expanding $11, 900, 900 or
the West Chester purchase, he hac
offered to appoint each of them 9
committee of one to find out; said he
"barked his shins in futile endeavol
to obtain information from Mr.. Nor.
gan, and that they could try it if they
desired"
"They ducked," concluded Mr.. Mel
len grimly, and ripple of laughter
ran around the room.
Particular interest was aroused by
Mr.. Mellen s account of his conference
with the then president, Colonel Roose
welt, concerning the acquisition of the
Boston & Maine. He explained he
was great admirer of Colonel Roose.
welt and frequently conferred with him
about important questions.
Colonel Roosevelt said to him al
that conference, according to the testi.
mony, that he was not a lawyer anC
was not prepared to advise what he
would do about the proposed purchase,
but on Mr.. Mellen's statement of the
situation he thought there might be
nothing Objectionable in it. Mr.. Mel.
len added that the President said he
would countenance no illegal action,
and suggested that he confer with
Commissioner Lane, of the Interstate
Commerce commission.
From Mr.. Lane, he said, he got nc
expression of opinion.