Evening star., 1914-04-11
|. c. c. SEEKS TO
COMPEL ANSWERS
Chief Counsel Folk to Begin
Proceedings in New Haven
Railroad Investigation.
WILL INSTITUTE ACTION IN
DISTRICT SUPREME COURT
Steps Also May Be Taken for Pro-
duction of Records of the
Billiard Company.


interstate commerce commission. eA-
poets to begin early next week in the
Supreme Court of the District of Co
lumbia- proceedings to compel wit
nesses in the New Haven railroad in
vestigation to answer questions con-
corning the operations of the Billiard
Company. If it should be necessary to
take similar steps to compel the pro-
duction of the book records of the
Billiard Company. another proceedil&
would be started, according to Mr..
Folk, at New Haven. Conn. as that is
the seat of the concern.
As to the witnesses, however, the situa-
ton is different They are under sub
poena to appear here and did actually
appear; and their refusal to testify
was made here. 1t is held. therefore,
that they fall within the jurisdiction
of the District court.
In the proceedings to be started the
Billiard Company. the several reca lcitrant
witnesses presumably connected with the
Billiard Company. the New York, New
Haven and Hartford Railroad Company
and the latter's subsidiary, the New
England Navigation Company. will be
made defendants although the railroad
and the navigation company have eX
pressed a desire to comply with the
commissions orders and to cooperate
with it in every way in obtaining the
information it desires.
Postponed Till April 90.
Unable to obtain any information from
witnesses on the stand as to the financial
transactions between the New York, New
Haven and Hartford railroad and its
subsidiary, the New England Navigation
u.
pany. through which millions of dollars
are alleged to have been improperlv di-
verted from the New Haven the further
proceedings were postponed until April
II has been expected that Charles S.
Haven. and John L. Billiard of the Bill
lard Company, would testify at yester-
days hearing, which was conducted by
the commission by direction of the
Senate with d view to disclosing whether
the financial transactions of the New
Haven, under Mr.. MeIen's management.
with the Billiard Company has been
Illegal, and whether any sums improper
be recovered Because the foundation
for their testimony could not be laid
without the records. they were not call
ed upon to testify.
Attorneys for the commission declared
they expected to show from the books and
from certain witnesses details of the
Billiard Company's organization: it's finan-
cial relations with the New Haven and
its subsidiaries; that immense profits
have been made by certain individuals
officially identified with the New Haven
and Billiard Company, through unique
transactions in finance between the two
companies. and that much of this money
was recoverable to the New Haven.
Decline to Answer Questions.
Just what the Billiard Company is was
not disclosed at yesterdays hearing. No
witnesses except Samuel Morehouse of
New Haven would admit that he had any
connection with the company, either as
stochholder or as an officer, although the
presumed president, treasurer and some
stockholders were on the witness stand.
They declined, "by advice of counsel,
to answer any questions concerning
the affairs of the Billiard Company. 1t
was maintained by their counsel that
neither the commission nor Congress
had the power to require them to give
the information sought.
Mr Morehouse, who said he was the
attorney for the Billiard Company. was
the only exception to the rule. He ad-
mitted that he was the company S at
torney; that in looking after the COM
pany's business" he had taken from
the vaults of the New Haven railroad
s1O 400, 900 of securities which had been
kept there by the Billiard Company; in
fact. that he had cleaned the vault out;
but said he knew of no contracts be-
tween the New Haven and the Billiard
Company. and declined positively to
tell anything else concerning the COM
pany.
lntirnations from counsel for the wit
nesses are that the matter may not be
settled without protracted legal battle.
As one of them expressed it: This is
merely the curtain raises for a per-
formance that will be long continued
Walker D. Hines. who appeared as
counsel for the present management of
the New Haven. assured the commission
that he desired in every way to CO.
operate with the commission and to IA
cilitate it's inquiry.