New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1883-03-19
TRUST FUNDS MISMANAGED.
METHODS OF THE LATE JUDGE TAYLOR.
EVIDENCE INCREASING THAT LARGE SUMS WERE
LosT-soME OF THE LosERs-JUDGE TAYLORs
METHODS.
fBY TELEGRAPH TO THE TRIBUNE. !

fBY TELEGRAPH TO THE TRIBUSEl
NEwBURG. n. Y, March 18.-The evidence that
the late Judge James W. Taylor used the trust
funds committed to his in an improper manner,
continues to accumulate. Persons who call and re-
ceive the securities standing in their names from NJ.
H. Hirschberg who is settling the estate, find that
many are unaccounted for. The Philip VerDlanck
estate apparently will suffer the most. Judge Tay-
lor was the executor of the estate; it amounted
originally to about $25O,OOO Judge Taylor paid
over 800 600 in legacies of the remainder $4,000
is not accounted for Thomas G. Vernol, of this
city, is understood TO lose from $4,000 to
S75, 900. Reuben T. Reeves of Cornwall, loses
about 81 TO- OOO and the Tooker estate, of which he
was executor, about $4,000.
There were in the possession of Judge Taylor
securities to q considerable amount belonging to
the estate OF the late Dr. Gardner there are about
80, 600 of these missing The Fleming estate isalso
likely to lose Il good deal. Several building lots
belonging to the estate were sold by the Judge ana
apparently accounting made. j. L. Headley,
the historian, had $4,000 in securities lodged
with tho Judge; of these $1,000 cannot
be found The Rev. Dr. John Brown, rector for
very many years of St. Georges Episcopal Church
here, had small amount in Judge Taylors hands.
on which he received interest regularly up to the
time OF the Judges death. Ii is known now that
the investment was bad one and that Judge Tay-
lor received no interest Oh the investment. lie had
simply paid the interest in order to prevent an ex-
posure of the fact that the investment bad and
thus lead to an investigation.
ONE or JUDGE TAYLOR's METHODS.
One of his plans was to invest in second mort
cages, leading the owners of the money adj
yanccd 10 believe that he held o first
mortgage. When J. G.. Roe, of Cornwall, failed not
long ago il was discovered that there a mort
gage of $4,000 ahead Of tho one which Judge
TAYLOR had placed. There are new cases coming to
light almost daily. Il is asserted that there are
even bogus mortgages which have been drawn, tho
mortgages having 10 real existence, and the prop
erty mortgag,d is a myth. Very many Of the loans
have been made on farms and village property IN
the countries of Chautauqua, Cattaraugusand Mag
ara this State, and I'm Wisconsin and Minnesota.
A good deal Of the loss IL due to the depreciation
in value of the property mortgaged to cover up
losses"
4 VERY SERIOUS CHARGE.
Itis charged that the Judge sold property and
used the proceeds to pay the interest other mort
cages Ii is known that he bought in consider
able amount of property at foreclosure sales and
this is held IN his own that of the Western
Lana COMPANY a concern organized by Judge lay
lor for the purpose of buying and holding the lands
sold under foreclosure. Everything indicates that
the Judge had about reached the end of his
financial tether at the timo of his
death He owned ffty-fve shares of the highland
National Bank, Of which he was n director, but
these were hypothecated for their full value for
loan and his account was overdrawn $l5. He had
also hypothecated 900 Of his life insurance pol
icies His handsome residence in Grand-st, which h
is I'm the name of his wife, is mortgaged for
$4,000.
EXPENSIvE LIVING AND SPECULATION
Those who are in n position to know say that the
Jndgo's embarrassments wcro due in part 10 his ex-
cessiyc expenditure in living and keeping up
good deal of style in his business, and IN part TO
speculation in Wall-st Two weeks be
fore his death, Judge Taylor sold
a honse and lot belonging to the CauIe estate. He
paid some of the heirs. Congressman Beach's wife,
whose share was about $4,000, huds that there Is
no money left in bank TO satisfy her clam. The
total misapproprlatlOn is abOnt S22JOOO. MT.
Uirschberg who Is settling up the estate SAID TINS
evening that he thought there might possibly be q
better showing than most persons have believed.
There was a good deal of Western property and
securities in the Judges name and this OF course,
would be turned over To his creditors. What would
be the outcome he would not pretend to say.
A full inventory of the assets VIII be begun TO-
morrow IL will take two or three weeks to COM
plee IT, There is judgment of S3l 900 IN favor OF
Judge Taylor against the estate of his former law
partner William H. IiasbrOuck. which will also add
10 the assets of the estate As IS usual III cases OF
this kind Judge Taylor was the last man whom the
community at large would have suspected of being
guilty OF anything of the kind.