The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-05-15

oongenitally and constitutionally so fxed
that he did not want to put his name
to anything.
g. Was anything said AT the time about
having this agreement IN writing a.
No. felt perfectly confident that Mr..
Byrnes would do what he said he would
do. I did not ask him. lie did not ask
anything except that the New Haven
stock should be put In my hands. lie was
willing TO trust me and trusted him.
Q Soon after this stock was placed
In your hands did you sell 5000 shares
and turn II into money? a. oh. no.
q. You kept II In your hands? A. II
stayed right as 5000 shares as collateral
to my note In the treasurer's Office OF
the New Haven railroad until I began
to draw on the shares for the purpose OF
exchange and when turned over West
chester shares as fast as I delivered New
Haven.
-. And these unknown persons behind
Mr.. Byrnes would present these due bills
and either get stock or cash. A. No,
the large majority took these New Haven
shares. three for one.
@ You said one man looked like he was
from the East Side presenting one Of
these due bills and you paid him more
than $4,000. Mention some other In
stance where some one else presented
one OF them. A. They all looked so
much alike that II is confused in my
mind Governor.
Every One . STRANGER.
O. They were all strangers to YOU,
were they? A. Every one OF them.
Commissioner McChord--Were the
Westchester shares Endorsed by any one7
A. The Westchester shares had apparently
been made out In the name OF clerks and
were Endorsed in blank have natural
curiosity. and I tried to hnd out II
MI ~ ha s..I 49,. -. t...a
l ran up against a stone wall every time
and have not the slightest idea. know
that the party In whose name the shares
were issued and who Endorsed them in
blank did not own the shares discov-
cred that fact, ] recall only one name
who mad a very large number OF shares.
His name was a peculiar name. re-
member the name was Ralph Polk Buell.,
You get these lists and I think you will
find there were $4,000 or 100000 shares
IN the names of parties who had no more
relation TO the ownership OF the shares
than did this man whom have mentioned.
.. Did you know Buell.? A. knew
he was n clerk, and I know he IL still
clerk in some capacity or an officer OF
the Westchester and Boston Railroad.
- What efforts did you make TO find
out to whom these shares We're trans
ferred? A. ! made inquiries OF Mr.. Mou
ton. who was then president Of the West
/ chester. anu ne Stlu there Nds
nothing in the office TO indicate who
had these shares.
@ So the real ownership was concealed
\. Absolutely. and II was done for the
purpose. IN my judgment, TO conceal who
was the real owner.
Mr.. Melen said his suspicion was that
these shares had been issued 10 contract
ors to do work for the New York West
chester and Boston Railroad and that
! these shares were placed by those con-
tractors where they would do the most
good.
q. You do not know whether these
shares went to contractors who actually
did work or contractors who did nothing,
but simply used the shares TO get politi-
cal and official influence? A. | absolutely
/ know nothing about IL. no. We found
! these shares scattered. We found a bunch
OF them concentrated. represented by Mr.
Byrnes. We were in such position
that we felt IL necessary TO acquire the
outstanding shares. We acquired them
| In the best way We could and I made all
the conditions that | thought that pos
| slbly could get compiled with before de-
! 'iverng our good stock for what consid-
cred practically their worthless stock
worth 10 Cents q Pound.
O You did not consider the Westminster
stock worth anything them 4 ! thought
| Il was worth about ten cents "A pound.
c. And so you had your due bills out
/ TO deliver good stock or its equivalent in
cash for stock you considered worthless
or 10 cents a pound? A. No. Governor.
YOU mistake, ! had no due bills out of
g. 8. Mellens that I did not have the
wherewthal from the New Haven rail-
road to redeem those due bills with.
q. OF course the New Haven stoo
back of them \. No. 7 gave my personal
obligation and there has rever been a
default put 10 the New Haven through
/ ANYTHING the New Haven has given me.
Mr.. AIellen said he had redeemed. all
told. about $50. 600 OF these due bills In
cash and there are stIll outstanding $50
ooo Of Their,
''They have been outstanding FOR over
five years and | am hoping they Will out
! stand until six years when the statute OF
limitations will bar the collection of any
thing on them" added Mr. Mellen.
40 you mean To say there are out
standing about $4,000 OF these due bills
that could be presented and cashed by
you?"
There are outstanding to-day due bills
representing the value al the market
price. when they are presented. of 493
shares"
Mr. Mellen said he never drew check
in this transaction that was not drawn 10y
&C s. Mellen," indorsed sc s. Mellen,'
and when II came through the bank II WA
as clear "A piece OF paper as you ever
saw"
There was not" aid the witness. "ar
indication that anybody ever had II cXcep
myself"
O. They did not indorse the checks yol
gave them? A. They did not indors'
them and there was not the usual bank
STAMP on the back 10 indicate they ha,
passed through the bank,
O. About how many different person
did YOU pay this $4,000 to- \, Their
may have been fifteen and there may hav'
been twenty.
, Mr.. M,llen then described what usually
took place when one OF these due bill
was presented.
They would say: is this Mr.. Mcllen
Yes Well, | have "a due bill OF yours
, | would say Yes, let me see it The,
r would pass II out to me. would say
! That IL all right How shall | pay you
Do YOU want II in stocks. No DO yo
2 want a check" NO DO you wan