The sun. [volume] (New York [N.Y.]) 1833-1916, 1879-02-25
READY FOR A HARD FIGHT.
THE $50 DEFENDANTS TO THE MADI-
son PARK FORECLOSURE.
The story OF the Patterson Land Associntion
whose Members aii Became bankrupt aud
whose Lot Owners Unite for Defence.

The story OF the Patterson Land a ssocintion
whose Members all Became Bankrupt aud
whose Lot Owners Unite for Defence.
PATERSON, Feb. A.-Some years ago,
James Crooks. n wel-known real estate opera
tor; james McNab. President Of the McNab Il
Harln Manufacturing Company and Edwin II.
Mason leading halter and ex-Clty Treasurer.
purchased what was known Us tho Warren
Farm " in the southern part OF this city. and
cutting il up into streets and lots. mapped II out
and threw II upon the market. The property
was egibly located. and the lots were sold
rapidly. and brought large prices. They were
sold on what were then considered easy terms,
and wore bought mostly by poor workingmen
dcsirous OF having home OF their own. The
three men named composed the company. un-
der the name OF the Madison Park Association.
In tho purchase OF the property the company
gave a mortgage for about $50 900 to the owner
who soon after died. and his executor. the late
Col Philip Rafferty, sold this mortgage to the
Mutual Benefit Life Insurance Company OF
Newark. Despite this mortgage the association
gave warantee deeds TO the purchasers Of tho
property and continued to take the payments
on installments until a comparatively recent
time. Some OF the purchasers we're unable TO
meet their payments on account OF the panic.
but others. through great exertions and stint.
kept them up until they had paid the whole
amount and got their deeds. Those who did
not keep UP their payments forfeited what they
had paid.
Two or three years ago MIR. Crooks was forced
to GO into bankruptcy. and he withdrew from
the association before becoming bankrupt At
that time he got from the others an indemnity
bond for his share Of the mortgage held by the
Newark insurance compnny. This bond was
filed in the County CLERKS Office, After Mr.;
CroOkss withdrawal, Messrs. McNab Aand
Mason continued 10 sell the lots and carry on the
business Of tho Association na before. But after
while Mr.; .McNab also had to 20. into bank
ruptcy. aud he assigned his share OF the prop
erty in trust to a Paterson lawyer. Mr.. Mason
continued to sell the lots. take the money in
payment in installments. and give deeds IN his
own namc as the sole remaining partner OF tho
OF Mr. McNab
But in the course Of time Mr. Mason also APP
piled To- 20 into bankruptcy. His first applca-
tion iailed, and for some reason the case was
| before the general bankruptcy law went out OF
| cfert. however Mr.. Mason made another ap-
| plicauon. aud the proceedings reached the point
| of appointing an nsslgneo last week. The as
sgnee IN Mr.. Edmond l.. Dayton, n young Pat
crson LAWYER Whether the discharge ia bank
| ruptry wall he granted yet remains To be seen.
Few weeks ago many persons in Paterson
were surprised by the rtpOrt that the Newark
| Mutual Benefit Life Insurance Company had
! begun foreclosure proceedings on the whole Of
\ the Maiisop Park tract. and this report was
soon verified by the Sherifs sending out the
usual summons to the defendants to the mort
| gage. OF these defendants there were about
$50. including all who held or had held any of
| theiMadison Park lois. The'summonses are re-
| turunhle bifore the Chancellor's Court in Tren-
! ton on the 2Sth inst. This is alleged to be the
first intlmaton that the purchasers OF the Madi-
son Park lots had that there was anything the
! matter with their titles. When they purchased
the lots. they aver. they were told thnt they
! could have "A warrantne deed. and that the title
wis in every respect free and cenr. Some one
| circulated the report at one time that there was
a mortgage held in Newark but the purchasers
| they .y,tr fold tlut after tlnt the insur-
| ancc company released from the mortgage the
lots ms last ~ they We're sold. and that the asso-
| citation paid on the mortgage on that part OF the
| property. and made II clear. SO that n warrantee
| decd could he gwen. In corrotorntion OF this
| the purchasers aver. they were shown map
! win u large number ot lots marked with an
| II. which was represented ~ being the lots
that had thus been released. It was also repre-
| srnlrd, II ~ alleged that with few exceptions
all the lots that had been sold had been released
| and that there was no other encumtrance on
| them. But II turns out tina; not moro than hall
dozen or SO Of all the hundreds of lots that
| were sold. were first released from the Newark
| Insurance Compuny's MORTGAGE Before the
fore"isuro a., N, ert ttnn, h al ei,raed af,er the
| last transaction 10 bring II without the statute
| ofnmltaton for criminal proceedings.
Much Indignation has been expressed by the
lot owners, and they have held several meetings
| and on Friday night last they appointed a COM
| mittee 20 consult with a lawyer and sea II any
| thing could be done for them. Another mert-
ing was held tonight in Brauns Hall. in Mar
| shaii street. A large number OF the persons
! interested attended. and unanimously resolved
70 form combination for the defense OF their
interest in the property 1t was determined to
/ employ one Of the best firms Of attorneys in
the city. and to stand ready TO be assessed al
| any time for the cost OF maintaining the de-
| iensiye suits. The lot owners will make a
| strong fight. and their feelings are bitter
| With many Of them IL is baltic for
about all they have in the world. There is
! much feeling among the lot owners against Mr.
Mason, rs they consider that he should have in
formed them Of the existence Of the mortgage
! Mr.. Mason acknowledges that he and his asso-
| ciates did wrong and deserve csnsure. but says
| that they intend 10 do all they can TO undo the
wrong that Is threatened to the purchasers OF
tho Mad son Park property He adds that he
was Induced TO sell the lots without having
| them released from the Newark mortgage
! through the influence Of Messrs. McNab and
| Crooks. This MIR. Crooks and Mr.. McNab deny
| Mr. Crooks says that Mason was the treasurer
| of the association. and kept the books, and nc
one else could get n look at them nor would he
| make any report.
There are only about dozen persons who
would bee actually turned out Of the houses tha
they have bought and paid Tor 10y the fore
! closure OF the insurance cOmpanys mortgage
hut there are several hundred others who hav,
| only been waiting for the times To he n littl,
better. 50 that they can put up houses. and II
many cases these persons have had to SHARPLY
deny themselves in order to keep up their pay
mcnis. The case causes good deal OF excite
fr4aan nj In