The Detroit times., 1914-05-19
Was Opposed to Notorious West
chester Deal, but Dared Not
Lift Voice in Protest
MORGAN DOMINATED
ENTIRE SYSTEM
Other Bankers Not allowed to
Bid On BOnds-Hand of Tam
many Figures
By JOHN EDWIN NEvIN.

WASHINGTON, May l9.-The
goat had his inning today. Charles
S. Mellen, tor 10 years head OF the
New Haven railroad admittedly the
rubber stamp" OF the late j. p. Nor
gan. William Rockefeller and the big
financial magnates who dominated
that system, today carried the respon-
slbillty directly to these men.
From the dusty recesses OF his let
ter files, Mellen produced a remark
able prophesy written In 1907. Speak
ing OF the now notorious Westchester
railway deal, in which the New Haven
paid S35,000,0O0 for only 26 miles OF
rails ana franchises. Mellen then
said
Many regulations will be damaged
and in the end will be the goat"
He frankly admitted today this was
( how IL had worked out. and while 9TH
Il ers had gone Co Carlsbad he was
1 left To face the music.
II While crowded room leaned for.
ward breathless, hanging on his every
utterance, Mellen told his tale Of Jug.
II gled millions His letter files indi.
Gated that Tammany had 10 be taken
care Of In the WestChester deal But
ne put the responsibility for whatever
H action was taken al the door of Oak,
leigh Thorne, New York financier. and
politician and cleared his own skirts.
Il don't feel proud OF my part in
the Weschester deal" plaintively de-
olared the dethroned railroad king
II should never have been dragged
into IL But even | was kept in the
dark Mr., Morgan and Mr. Rockefel-
Ter approved the deal. They believed
the Westchester valuable. | thought
its stock worth 10 cents a pound And
| now know | was right"
Nellen never faltered in his re-
/ markahle tale He related in pic
tGresone details how J. p. Morgan, in
L Lalf minutes telephone CONVERSE
ton. made him head OF the Northern
Pacific Then when he came to the
New Haven he declared in tones that
carried TO the outermost recesses OF
the room:
II was proud to be known as Nor
4 gans man"
That was his attitude throughout
He believed in Morgan and the Nor
! gan methods. Only once had he
clashed with the stern lnapcier. Then
4 he admitted he was Inundated and
sidelight on the character of the dead
linarcier from the record and only
told the facts under protest and under
direct orders from the presiding com.
| missioner.
With trace OF pride in his voice
Mellen admitted he was afraid OF
| Morgan, OF the dominating manner
OF the king of finance. in the same
reply he Indignantly refuted the sug
| gestion that he feared for his job II
was Morgan, the man. he was afraid
. of-not Morgan's power He boosted
. that Morgans fellow directors, who
| had protested an expenditure or SILL
| 100000 when they had expected 20
spend $5,000,000 were. like himself.
unwilling personally TO demand Nor
| gans reasons for the act.
The griZzled old railroad man re-
cited the innermost details of the
Westchester negotiations where two
paper roads, the New York, Westches-
. ter & Boston and the New York *
Portchester systems, were unloaded
on the New Haven al total OF $780,
100000. He charac terized them
| frankly as physically worthless, their
value being potential. Morgan and
| Rockefeller believed in them, he said,
and their judgment was usually good.
Folk showed Mellen q letter writ
ten in 1907 to Allen Wardwell. deal.
ing with the Westchester transaction
The following notation was at the bot
tom
Il am sick and tired OF this whole
business. | fear that before il is all
Settled many regulations will be dam
aged and in the end ! Will be the
goat"
did you write that?' asked Folk.
Yes, and in the light of present
developments, | believe ! was a
prophet"
Folk read a letter written by Mel
len by Thorns. in which Thorne said;
II have had several interviews with
the city authorities and | am sure |
will get what | want There are PEG
pie in Fourteenth-st. who are iavora-
BILE TO Westchester and others favor
able to Portchester In the end both
sides will have 10 be taken care OF
How we're they to be taken care
Off" demanded Folk.
well, he might have meant that
ne was going to take the Salvation
army there TO pray for them" snap
| led Mellen, apparently disguised with
| ene unseemingly unnecessary ques-
/ ton. Commissioner McChord rebuk-
ed Mellen for his hippancy and Mel
len said he thought Folk could an
swer the question himself equally as
! we'll
What do you understand by the
people In Fourteenth.st" asked
Folk.
"Fourteenth-st- is a broad street in
/ New York with a building on II
Enown as Tammany Hail. was the
1 uiand reply.
Folk tried hard 10 get Mellen TO ad-
Eit that Tammany was holding up
Thorne. Mellen refused to say so.
A lie insisted this was matter OF
rpinion only.
Several pretty girls occupied seats
n the improvised court room today.
They and the trio of aged women
New Haven stockholders added a
ouch OF color 90 the scene.
+ Mellen was an early arrival. tie
wore his usual dark business suit
popped on with a dark red necktie.
In anticipation OF the Mellen testi-
nony touching upon the operations
b. the Billiard company the head OF
hat concern, John J. Billiard. was
linz