The Sentinel=record., 1914-05-21

"l think" continued Mir. Melleu, that these properties were d good purchase, because we subsequently leased them to the Shore Line cleo tric railawy for , per cent of their total cost to us.'
 "Who owns the Shore Line electric railway
 Morton F. Plant of New York
 He is one of the directors of the New Haven, is he not?'
 "He is now
 Did the New Haven ever lend him money?'
 "Oh, mo-" replied Mir. Mellen, "Alr Plant has more money than the New Haven road"
 Was that the only lease of trol- leys you made?"
 No. We made a lease of some lines to Thomas L. .Dolan and his as sociates of PhiladelpS;,..
 Did any bankres have anything to do with this leaseo"
 "I do not think so. It has been a profitable lease to the New Haven" :"
 Mir Folk, taking up the purchase of the New Haven, of the Rhole Island trolley system, asked if there had not been a break in the nesOtia- tions after they had been begun.
 There was an interruption of some months, possibly almost year" answered Mir. Mellen.
 "What caused you to resume the neeotiations after they had halted?'
 They had conversations re5ardins the matter with Mr. Morgan, MT. Dolan and others
 Didn't Senator Nelson w. Aldrich see you about the matter%
 Yes. He called at my home at Stockbridge and asked me what the status of the negotiations was. l told him that from my standpoint l did not think could yield to the terms. He said he thought them too severe and that he was going to see Mir Dolan, as ] understood it, and presume he did. l believe it was the call of MT. Aldrich on me at Stock bridge that resulted in the resump- ton of the negotiations, but how inn portant was his influence or what ac- ton he took, l do not know
 %Did the fact that he was United States senator at that time have any weight with you?' interrogated Mir. Folk.
 That had no influence with me in the matter
 "Wasn't he a large stocldholder in the Rhode Island trolleys9'
 "I think he was
 What did he say that led you to think so?"
 Tt is not my recollection that he said anything to indicate it, but l beliave it was the general talk at the time".
 The following letter from Mir. Mel. len to Senator Aldrich, under date O. August 20, 1906, was read by Mr. Folk:
 My Dear Senator Am l wrong in the impression that ! was to hear from you again regarding the matter we discussed at our last interview, before taking any actior
 Ut was my understanding you were to get some definite assurance that was to be transmitted to me, which could use as a basis for pre- sentation to my directors for action, and l handed you a copy of the trust that has been provided for the hand ling of this and other similar mat ters. and since my return to my oI- flee 1 sent you a copy of the contract by which the New York, New Haven and Hartford railroad becomes the guarantor of all the preferred shares that were to be issued by said trust.
 q have taken no action on the un- derstanding l was to hear from you further. hut the delay has been so long 1 am in doubt whether or not there is not some misunderstanding as result of our interview
 What was the definite assurance alluded to-" asked Mir. FolA.
 That MT. Aldrich was to bring about a resumption of the nesotla- tions."
 What was the reference to 'trust?' "
 That refers to the formation oi voluntary association which is done under the laws of Massachusetts 10 carry out transactions
 MT. Mellen testified that the price paid for the Rhode Island trolley system was between $19,000,0OO and $2O000,OOO.
 "We paid about twice the value of the properties, but we thought they soon would be worth what we gave.
 You knew there was bound to be deficit?"
 Yes. we looked the matter square Iy in the face and did not deceive our selves"
 The deficit, Mr. Mellen added, was larger than had been expected.
 Hasn't it been on an average of s400,0O0 annually"
 q think that for the year tnding