Evening star., 1914-07-16
NEW HAVEN BOARD
FACES CRISIS TODAY
Must Accept Massachusetts
Demands on B. & N. +.
Stock or Fight.
McREYNOLDS' TIME LIMIT
ON DIVORCE PLAN EXPIRES
Threatened Suit Under Sherman Law
Forces Immediate Action-Other
Issues Discussed.

NEW YORK. July 16.-The threatened
suit under the Sherman law, the report
Of the Interstate commerce commission
and the bill passed by the Massachusetts
legislature permitting the sale of its Bos-
ton and Maine stock, with the provision
that each stock certificate bear stiupla-
ton that the purchaser agree to sell 1t to
the state Of Massachusetts at any time,
are the chief questions up for considera-
ton today at the meeting Of the board
of directors of the New York, New Haven
and Hartford railroad.
Upon the action of the board rests in
all probability the attitude Of the De-
partment of Justice with reference to
the filing of dissolution suit, the pa
pers for which have been held in abey-
ance for several weeks by an agreement
providing the sale of the Boston and
Maine stock control. June 25 the board
Of directors adopted resolutions and is
sued a statement to the stockholders in
which it was declared that 1t would be
ton proceed rather than submit to the
terms of the Massachusetts, law, which.
1t was declared, would make the Boston
and Maine stock unstable on a fair
basis.
Mr.. McReynolds' Attitude.
Attorney General McReynolds took
the ground that objection to the
Massachusetts law was not sufficient
basis for the refusal Of the New Haven
to carry out its agreement for a
partial dissolution. and intimated that
he would file suit under the Sher-
man law If the directors persisted in
the stand they had taken. He gave
the board until today. it is stated, to
file with the Department of Justice a
report showing that all steps had been
taken to carry out the terms of the
agreement, including provisions for the
naming of trustees for the sale OF the
Boston and Maine stock.
A statement bearing On the matters
contained in the report OF the inter-
state commerce commission is also ex-
pected today. 1t is expected that the
statement will be signed by James H.
Hustis, president of the New Haven.
who will probably preside at the meet
ing in the absence of Chairman How
ard Elliott, now on vacation.
Prior to the meeting of the New Haven
directors which was set for 1880 o'clock.
reports as to the anticipaIed resisna.
board were dispelled by announcement
from Mr.. Rockefeller that he intended
not only to take part in today's meet
airector. The effect of the announce
Tnent was to diScredit a similar report
that John L. Billiard was also on the
point Of rendering his resignation.
No Change Of Views Evident.
Tn to the time of the meeting, which
was expected to be a long one. there
were no indications that the directors
would change their stand Of a week
ago. when they asserted their willing
ness to fight dissolution rather than
submit to the terms prescribed by the
Massachusetts legislature for the dis
position of the New Haven's Boston and
Maine stock.
The question of decided reduction
In the number of directors was among
those to be discussed today. A recom-
mendation to this effect was proposed
hv Lewis Cass Ledyard when he ap-
peared before the interstate commerce
commission.