Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1915-10-22
NEW HAVEN DEALS
DISCLOSED AFTER HOT
LEGAL SKIRMISHING
Absorption of Formidable Ri
walls Shown by Extracts
From Minutes of In
dicted Directorate
MELLEN STILL ON STAND

NEW YORK, Oct. 22.-Long extracts
from the minute books of the New Haven
directorate, read at the trial of William
Rockefeller and half a score of other
directors of the corporation, indicted for
conspiracy to violate the Sherman law,
showed that in the absorption of the
New York. Providence and Boston Rail-
road, one of it's most formidable rivals,
the New Haven, Increased it's capital
stock only 100000 and leased the road.
The deal was effected by trading the New
York, Providence and Boston stock
holders New Haven stock on share
for-share basis.
This transaction was approved by the
Rhode Island Legislature.
FORGING THE CHAIN.
The Government, through the testimony
Of Charles s. Mellen, former president of
the New Haven Railway, today began
to forge the real links in the chain of
evidence by which it hopes to convict
Rockefeller and his fellow defendants of
monopolizing transportation lines of New
England. ... ,f.'.-
Following the detailing of how the New
Haven, by the so-called agreement,
choked out the New Haven and New Eng
land Railway. its most powerful rival, in
1892, the Government today showed how
the New Haven swallowed up the Boston
and Maine, the New York, Providence
and Boston, the Providence and Wor-
cester and Providence and Stonington
Steamboat line.
This was followed by the reading from
the minute books of the record of the
so-called Sound agreement" the com
binatlon of the New Haven, the Old Col
ony Steamboat Line, the old Colony
| Railway. the New York, Providence and
Boston Railway, the New York and New
England Railway and other rail and
| water lines between New York and New
England points, to fix and control freight
rates.
ATTORNEYS IN FIERCE CLASH.
This evidence. despite the bitter objec-
tions of r. V. Lindabury, counsel for
William Rockefeller, was got before tho
| jury by means of extracts from the min
ute books, identified by Mellen and read
by Attorney General Frank Swacker.
The entire proceedings were marked by
! violent clashes and acrimonious debate
between the Government attorneys and
| counsel for the New Haven directors.
Raids on the Governments line of ex-
animation were led by Lfndabury. who
was ably backed up by John G. Milburn
and Delaney Nicoll
The only weakness of the Government's
case was that much of II rested upon
dead men. Figuring largely in the pro-
| ceedings were reports and recommenda-
| tions of the Standing Committee Of the
New Haven for 1892 and 1898. all but two
| of whom are now dead.
LINDABURY VAINLY OBJECTS.
When Swacker attempted TO read tn,
| minutes covering the Sound agreement
| Lindabury was ready with long objec
ton. He declared that It was the sam,
sort of an arrangement as was recent,
upheld in this same court in the Ham
burg-American Steamship case. III,
further objected TO the introduction O
the agreement as 1t was made in 1881
before the eqactment OF the Sherman ac
and long before the present defendant
became directors OF the New Haven.
In overruling the objection Judge Hun
| said:
1T Is rule of law that when sci
OF men enter into conspiracy 10 destro,
| either lines or property or rights, othel
men who may join the group later 4
carry out their purposes ana plans ar,
equally guilty and subject to indictment
with the original conspirators."
Swacker then read the agreement, which
became effective In February. 1881. AM
which gave the schedule OF freight rate
TO be charged by all the lines In IN,
agreement, all rail. all water. and rain an,
water, between New York and New
Haven, New London, Providence, Bosto,
and other points. The agreement was 1,
be terminated as soon as practicable an,
was not subject TO renewal.
swacker read from a minute book a
1881 resolution by the New Haven al
rectors 10 cut on the freight business 8
the New York and New England Rail
way under the Sound agreement =
80 far as Il could be done within tn
law II that road established a new lin