The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1914-05-20
THE inside STORY
HELLEN SHEDS SLIGHT ON FINANCE
OF The new HAVEN Road
REVELATIONS To AMAZE
Former Railroad President Starts
What is Expected to be the Most
Astonishing Of Business Revela-
tions-Tells OF Acquisition Of Stock
Of Another Road

of Another Road.
Cool, composed and matter OF fact,
responding readily and concisely to
the fusillade Of questions put to him,
Charles S. Mellen, former president
Of the New York, New Haven & Hart
ford railroad, Thursday began before
the interstate commerce commission
what is expected to be one of the
most amazing stories ever told IN thu
history Of high finance.
Mr.. Mellen, placed on the stand
over the emphatic protest OF Attor-
ney General McReynolds, Is the prin-
cipal witness in the proceeding
through which the interstate CON-
merce commission, by direction OF the
United States Senate, is endeavoring
to develop the facts concerning the
financial operations Of the New
Haven and its subsidiaries, as well as
of the much discussed Billiard COM
pany. He promised, both personally
and through his counsel, to place as
the disposal Of the commission every
fact and "every scrap Of paper with a
New Haven mark on it, relating to
the transactions with which he had
to do as president of the New Haven
system.
It was evident that Mr.. Mellen was
anxious to tell his story. He had In
dicated his desire in letters hereto
fore produced In the pending inquiry
in which he said he was tired Of bear
ing the brunt Of the citicism heaped
upon him for the New Haven trans
actions and that, if any blame was at
tached to them, he proposed to put
the blame where it belonged. As he
seated himself in the high backed
cathedral chair, he turned smilingty
to Chief Counsel Joseph W.. Folk.
Mr.. Mellen is bald and his face has
the appearance Of parchment. Be-
meath the closely cropped gray mus
tache is a mouth drawn In firm, al
most hard lines. His eyes are keen
and his glance direct. He responded
to all inquiries promptly. at times
even emphatically. HIS answers dis
closed, too, a sense of humor, some
of his responses provoking outbursts
of laughter among the interested au-
ditors.
Mr.. Mellen was on the witness
stand only little more than an hour.
Just before the opening Of the hear
ing he was served with new sub
poena which covered much more
ground that that originally served
upon him. The new one called for
the production Of all documents or
papers In possession Of Nj. Mellea
that related in any way to the opera
tions Of the New Haven and ali It's
subsidiaries. Although he had
brought to Washington several
trunks full of papers and books, he
did not have all the commission
wanted.
Not more than an linking OF Mr..
Mellen's remarkable story was given
by him during the brief hour he was
on the stand. He told how, In the
ACQUISITION Of the New York. West
chester & Boston railroad by the New
Haven, $4,000 shares Of the stock OF
the latter were given for $4,000
shares Of the Westchester's stock, al
though, he said, he considered the
latter stock worth only 40 cents a
pound.
The details Of the exchange were
arranged, Mr.. Mellen testified, BY
Former Police Inspector Thomas r.
Byrnes Of New York, and he said that
he found much Of the Westchester
stock was made out in the names OF
people who really did not hold IT.
Mr.. Mellen testified, at this time the
New Haven wanted certain changes
made in the proposed charter Of the
Westchester and he had "a suspicion
that the Nestchester shares were
scattered around among people who
had influence.
Mr.. Mellen said that often when
the holders Of Westchester stock
came to him and asked for the re-
demption of their value he did not
have the cash with him and could
not make out checks or give them
new New Haven stock. On thesa
occasions, he said, he gave them per
sonal due bills. About IS or 20 OF
the holders Of these, ne testified, had
come to him later, some after he re-
signed from the New Haven. and he
had given them the cash. He said
he had redeemed about o,oo0.e 900
worth of the due bills IN this way but
that there now were outstanding