The Sentinel=record., 1914-05-22
DECLARES EVERY TIME RAIL ROAD MAN GOES TO WASHING
 TON HE MUST TAKE HAT OFF.
GOVERNMENT MUST CONTROL
Says a Monopoly is Necessary to Get Efficiency and Economy in the op- eration of the Railroads of the United States.

Washington, May 21.-An absolute monopoly of transportation, under government regulation and control, was suggested by Charles $. Mellen, former president of the New Haven railroad, to the interstate commerce commission today as solution of the American railroad problem. "To get efficiency and economy declared Mir. Mellen, there must be a mo nogoly: and that monopoly is certain to be the United States government.
 A little later Mir. Mellen remarked:
 Every time a railway official comes to Washington he has to take off his hat to some government off cial."
 MT Mellen appeared to have recov- cred entirely from his fatigue of yes terday, when he appeared before the commission today to resume his testi- mony. He responded to interroga- tories fired at him by Chief Counsel Joseph w. Folk promptly, never hesi- tating for a second for word. He told at length the story of his steam ship transactions with Charles w. Morse
 Concerning these, MT. Mellen ex- plained he felt it desirable to confer with Colonel Roosevelt, then presi- dent of the United States. He told the president he had received an offer of $2o.0OO000 from Morse for the New Haven steamship holdings and felt inclined to accept it because thus the New Haven would be able to turn the property into cash. Mr.. Roosevelt, he said. apparently was anxious that Morse should be checked in his ambition to acquire monopoly of steamship lines, and urged MT. Mellen not to sell.
 MT. Mellen said at that time he was apprehensive of the enactment of a law by congress to prevent rall- roads from owning or controlling water lines, but he was assured by Mir. Roosevelt that, so long as the law remained as it then was, the New Haven need have no fear about it's water line holdings.
 In the acquisition of New England trolley lines, Mir Mellen says he hau proceeded on the theory that trans nortation might better be handled on electric lines than on steam roads He had been convinced that the al- version of much of the trafiic oi steam roads to electric lines wouiu Inc more economical, rates lower ana service generally more satisfactory to the public. -
 Late in the day the witness atteh- tion again was directed to campaign contributions made by the No" Haven to the republican natiohal committee in 1900 and 1904. He re- iterated statements he previously had made.
 When asked why he reinqulsheu the presidency of the New Haven Mir. Mellen said he practically was fired"
 MT. Menen's examination probab-y will be concluded tomorrow.
 Mir. Mellen repeated testimony given bv him before Commissioner proutv in Boston about year ago regarding $1O2,OOO profit he made OH inc sale of New Haven stock that was turned over to him to be put on tue market so that it could he listed on +he New York stock exchange.
 And that was the famous $loO'- GOO that I gave to Republican cam naion funds" added Mir Mel.en. "The money was sent to Cornelius N. Bliss"
 "Did Mir. Meyer have anything to do with getting this money?' asked Mir. Folk.
 "He had nothing to do with receiv- ing or soliciting it. want to say rieht here that $12.OO0 legally was my money. I sold the stock and was fortunate in handling it so that 1t ident of the road I would not take 8 made a profit Because of being president of the road I would not take the money and told the directors so. They authorized me to make the po- liticai contribution. At that time there was no legal or ethical objec- ton to corporations making political contributions"
 Mr. Folk showed MT Melen mem orandum indicating the payment of