The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1875-08-11
JERSEY GUY FRAUDS.
, NEW AID sYAEU1Eo CHATTER N THE hl'-
roIx or THAI PLUEDHRED oirX-fpi' ms


AND YAcTs TdR rHE STUDY OF TAXl'Afhi9
Early IN tae year 1872 the inhabitants OF 'no mn
eeetion Of yaysv CITY were afflicted by tho in'rodneHoh
-. .,rt,,,,nce for Lighting the street lamps
rbe yhs we're generally either hArns and sputtering
- sv, a. On make the darkness more visible An
acea,syn, loud explosion and shattered lamp showed
thaa 5hat dangerous material, nahtha, was the man
ronsf JtDent OF The com6ustble fluid In the lamps.
Peoy 4. v,re puzzled why, with two gas COM
ma esoUe Of them situated IN the very region whore
~ ost OF these new devices placedJersey City was
bus plagued the reason Of the change win be more OBJ
vious 70 the people Of Jersey City when they read 70
days HERALD.
A ntue over three years arc three clever local muni-
ripsd managers in Jersey City, named Alexander W.
Harris Michael Nathan and David B. Brdgford as VIII
r seen by the subioned testimony got hold OF poor
Inventor named Henry Payette who had exhausted h's
Hneansn experiments and casting about 70 secure
Lhe introduction OF patent procsss-of his own nVeh-
non-Gor lighting street lamps They took him under
their protection and promised 10 do something FOL him
II was at Tho time when -fmWovemenls'' weFe
WEIGHING down BALANCE
ussa the finances were Kicking the beam. No ndict
snents found to dampon the ardor OF city
oncials Fayetie Was brought INTO contact with ''the
mowers that be The result OF the interview was
alleged the ''placing" Of the stock the Fayee Yapor
Light Company, then in embryo. II was placed" IN
about the usual proportons-onefourh 70 the inventor,
three fourths others The company was organized
and le streets lighted-sparngy a. hrst but en-
sroaehns more more untl bills began 20 reach re-
spectacle proportions and satisfactory dividends could
De- paid on the stock
The stockholders we're content however, with
she hons Of the CONTRACT Ii charged that they
took advantage OF Pyette's necessities force him 70
cell Lie roInalDder ~
A GRHsr sacRIPfCK
and acquired most OF hs interest al twenty two or
twenty-three cents on the dollar a time when tho
stock paying profit Of hfiy per and upward
per Il happened then shat a creditor OF Fa-
yette named J. r. Walker OF New York. got wind Of
what had been going He held Payettes notes it is
said TO OF $50 GOO upon which Fsyette
secured further by promising great results from his
Jersey City contract Learning thai Fayette had now
further interest in the contract Walkers counsel
cured from him confession Of Judgment, and insti
tuted proceedings against the Superior Court OF
New York with view % having his gnment Of. i'll
teres N the contract declared fraudulent and void on
abe ground that 10 made without consideration. He
speaks confidently OF his ability 70
PRESENT HOLDERS DrsGoRcE.
The testimony uus lT taken Ia the case under an
order BY Judge Speer before whom the
sworn dscloses additional fcts and circumstances OF
Henry Fayotr tes1rd tha, he E ttrr rltcnee OF tho
FRyetSe Vapor Light; that the company organized
SIS 600 and permanently about a month alter THAI .he
orAglnAl stockholders were Commissioners
suNsrEAD 0ILLaT.r AND sfAEFUr
Of the Board Of Public Works Of Jerscy CITY ehh or
whom received 1sk per cent Of the stock; Michael Ma
than, David B. Bridgford and Alexander W HaTrs who
~So retained tie iernsin S WEES pr 0 cent
ahai the Fayetie vapor Light FIRST essns into
Station Island and elsewhere tiat r1Dborz Of ts
Board Of Works above naed exacted this allotment 81
shhres condition Of masking the contract for tho
o. the company was held ~ the house OF one OF the
Glet;s either the president Of the Board Of Works
his broth filpfrs both
together with James Startup representing Commits.
Eone Strtup, has fathel and hessrs Bgidord Nathan
kno that the agreement for the contract then made
thai the shares subsequently transferred in She
his brother N. b Glett, then President Of the Board
his father, Commissioner William r. sLartup, and TO
John Soper, surveyor Of Jersey City, for COtnIns-
sloneI NIlfAm Il BuInstead; that
WITNESS RECEIVED nosEY
or other consideration for these shares Of stock except
Abe award Of the contract for Lighting lamps
Jersey City nor did be take any receipt rom them that
she st contract for Lighting 200 lamps FOR year
Al 80 EACH and that the contract siterward eX-
tended 10 either three five years a. $50 year per
lamp that the prodt the contract my par
gent THAI al the time Of making Is Messra GiietS
6trtup and Bumstead we're members Of the Board II
fubiS works Of jersey City; thai
BRID0PoRD, SAIHAS HlREis
knew Al the time upon what teFmk the conirart was
Even that witness s not now connected wish the COM
pany but is sill interested the patent rights outside
or Jersey CITY: taa the money witness zoo non Walker
used partly IN iron foundry ousnes a. Harlem
and partly IN experimenting In pstenss and That he
now owns no re4 Dor PersooAl prop@ry n Shs CITY or
Michael Nathan testified thai ne VIZ present. Of the
meeting nj the house Of ore o. The GilEtts,
Iured 70 by Fsyette; thai the parties named by him
present hat The agreement hat b ". Glnett
James T. StaItup and John Soper each receive
1s[ per cent Of he STOCK and BTIdgOrd Harris The
remaining hA per cent ttal be ID Lot then Know
what The confederation for ne transfer Of stock vas
hui has learn I'd nom Harris that Vas FOR aiding
the COMPANY TO secure the contract; hst BrdgfoTd
Harris aersayc give witness 0nethrd .0f their share
which he sold " Sam ei Ma Burey Of Jersey City; shat
he Was present a Two rleetns o. he company, al ne
Ofhee Of james H Startup Nc. 80 Chambers street
VINO, with h ". GiHett A " harris D. 3 Bridgiord
and Henry Fayette also present; thai John soper
not a tho 1rEb but was ~ the sscond meeting
whore he came the representative d me suck VI
Commissioner William Il Bunlbtead
Aexander H. B&rris 10 his testimony recited the
circumstances Of Int meeting a Guletts house subs-
italy as above he SAID that some person. who, lie
thought b II Glletl HANDED him paper contain
ms u.euorandum Designating lie psrt4es whom
these shares OF stock 70 be awarded and wtBesz
meeting that the disposition Of the stock the only
Of obtaining contract loT This hight shS. he
heard Bans1ead snbsequ=1Lly gay tAAl lie stoc~
transferred FOR The
m1RgTr OF TIM ooMNrrzoSERs
rAxnd; th4t consideration Las been paid 70 The
knowlsdge q wines for Lha stock and he has been
mefnbor Of tho company il organization; THAI
witness learned from Samuel Be81rnsy that he had
bought Il " GhlsGs stock a. par and gave therefor
nersain real estate ADD Situeas a1erusnd negota.ed
sale Of lie same stock from McBurney 70 George
somsSs OF Jersey Cay, for cash AZ par. uist
Nhen Transferred u sas indorsed bv C.ljett:
al>i be learned from McBU1nsy hat the real estate
be gave for Tie etook as irn sferre r. lie spn OF g
Il Gilen Preident Of the Bosxd Of Public Works. tnat
Bufnsltsd subsequently akcd wines 10 hSve hs stOek
which stood IN John 5opor's name transferred =. nm
Bumsthadl on the books Of Tie company alleging that
boper wa trying 70 sndie hsn ~ 4 thsi Eitness
toId James II saStup = Bumstei's Essh .ad Gstap
advised INN n iet t alonn and let
0ssM zKUhKs'
fhzf tho ofcsrs Of the Yapor Light COMPANY are John
W Soper, Presidam, A. Vs. harris, Wee prna4dani and
james H Startup Secretary and treasurer thas he
thought net cash dividends Of pro1t the hal
been pad up the 10Th DAY o. JsnuAy 49, " iLe
amount Of either forty or sky Dor cenL
FNJudee HaDkin, counsel for he creditor the
ease has batch ~ additional sftdsyiLs c.-.a
Sinch he intends W Withhold til the placs.