New Britain herald., 1914-06-03
COMMISSION RESUMES NEW HAVEN INQUIRY
Director J. $. Elton First Witness
 .. Called by Folk.
PUBLICATIONS PAID BY ROAD

Mellen Was Predominating Figure at
 Board Meetings-F0rmer President
 of Road Proposed the Acquisition of Trolley Lines.
 Washington, June 3.-J. S. Elton, director of the New Haven road, was the first witness called today when inquiry into the systems financial af- fairs. was resumed before the inter- state. commerce commission.
 Chief Counsel Joseph w. Folk, be- fore beginning the examination of the witness presented several telegrams bearing on the New Haven's payments of money to newspapers and other publications Among them he said, were many payments manifestly for legitimate advertising. Most of the payments referred to were already of record. In all, he added, several hundred publications were paid. Among them he named the Boston Herald and the Boston American. Ef- forts to secure the attendance of J. w Atwater of Boston and man named Boyle, who had sent some of the telegrams he said had been unproductive.
 Ready to Testify.
 William Skinner, another director, and Laurence Minot, member of the board during a part of the time Charles S. Mellen was president, also were ready to testify.
 MT. Elton said he was present at the meeting at which Messrs. Nor gan, Rockefeller and Miller were ap- pointed committee in the New York Westchester and Boston transaction, and also when they reported.
 What was your opinion of their advocating spending over $11,0OO, 900 for the road?" asked Mr. Folk
 T would not say that felt it was unnecessary, but that it was extrava- gance.''
 Had Absolute Confidence.
 Were you surprised?"
 T think I was, but had absolute confidence in Messrs. Morgan, Rock efeller and Miller
 Who was the dominating figure at the board meetings?"
 tI think MT. Mellen was''
 Did not the board usually acuui-
 
 J. Pierpont Morgan?'
 Tes, I think it did." s-
 dr. Elton said he remembered no de mite instance where the wishes of MT, Morgan were opposed. sH
 After Morgan left the meetings were any objections made by the di- rector against some of his wishes %
 "Oh, amongst themselves they would probably object
 Remembers No Statement.
 Did MT. Morgan make any state ment of value of securities acquired for the $11,00O, ,0O0?"
 "Not that I remember
 MT. Elton said he did not recall anything about the eight thousand shares of stock of the New Haven turned over to MT. Mellen with which to acquire '24,0O6 shares of Vest chester stock, as testified by MT. Mel len. He said he knew nothing of the transactions with police Inspector Byrnes except as he had read the testimony of MT. Mellen.
 The witness said he had expressed disapproval of the expenditure Of $20, 100000 for taking over the Rhode Island trolleys, but had not voted against it.
 Why did you no, stick to your dis approval?" 1T don't know why I didn't stick to it''
 Proposed by MeIlen.
 Did MT. Mellen propose the &C., quisition of the trolleys?"
 II think he did,
 Why were you afraid to make ob- jectfons at the meetings?" Natural tinidity, I suppose Ton see I did not pretend to be railroad man and when MT. Morgan or Mellen said to do a thing I had confidence in them You paid s2O,oo0,00 for property that admittedly was worth $S,000,000 and was encountered to the extent Of about what you paid for it?" suggest ed MT. Falk.1
 'Yes,'' said Mr. Elton, that's about it.'
 Did you protest against the deal?" T thought then the price was too high and I think so now
 Not So Timid.
 Were the other directors as timid as your" asked Commissioner Me- Chord.
 "No," said MT. Elton and added that William Skinner at times ex- pressed disapproval in the presence of MT. Morgan.
 MT. Elton said he was a director also of the New England Navigation company. Asked if he could tell the difference between a meeting of one board and a meeting of the other, he replied: ..a.
 Well, the same men were on both boards One was called the New Ha,