Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-12-28
MORTGAGED FOR 100000.


A National Bank Scheme.
A mortgage covering the Harmony So
ciety's lands at Economy has been nego-
tiated for a very large sup, as exclusively
published in THE DISPATCH yesterday.
The amount is S4O0, 900, and the mortgage
is Harry Darlington, acting as trustee, pre-
sumably for the Mccullough estate. 1t
will be remembered that the late J. n. Nc
Cullough was Vice President of the Penn
sylvania Company, of which j. T. Brooks
is counsel. Mr.. Brooks is also counsel for
John s. Duss, and has recently made his
home great part of the time at Economy.
The mortgage was signed by Jacob Hen
rlci and John S. Duss. acting as trustees Of
the Harmony Society, on December q, the
Wednesday before Mr. Henrici died, and
recorded one day later in the Recorders
Office in this city and at Beaver. The in
strument which is on file sets forth that the
money borrowed from Henry Darlington,
trustee, namely, S400, 900, by the trustees of
the HARMONY Society is for the purpose
of paving the debts of the society hereto
fore legally incurred and contracted. Four
notes of $780, 900 each, to run five years at
per cent, are given by the society'S trus-
tees. The notes are made payable at the
Peoples National Bank of Pittsburg. The
mortgage is in the usual form and is of un-
usual length only because the society's
property at Economy is described at length
and there is a good deal of it.
The Harmonic Property Pledged.
The land is divided into six parcels, as
follows: No. l, ., ,S29 252-1000 acres IN the
township of Harmony; No. ., 45 757-1O0O
a
acres in Leet township; No. 4, 96-1000
acres in Leet township; No. 5, 1 lS+-100O
acres in Leet township; No. G, Is 19I-10OO
acres in Leet township. This includes
every acre of land owned by the society at
Economy, partly in Beaver county and
partly in Allegheny county. 1t amounts
in all to about 3, ,070 acres, and all the town,
the farm buildings, factories, ETC., upon it.
The authority cited specifically in the
document for the making of the mortgage
is that Jacob Henrici and John S.
Duss as trustees are acting in
virtue of powers vested in them
recorded by the society, among which are
those dated August u, IS47, and the sup
Elementary articles signed April 80, 1890,
and so recently as December 20, 1S92-that
is last week. The privilege is given the
mortgagors of paving off the mortgage after
three years have elapsed in sums of not less
than $4,000 at the Peoples National
Bank.
The customary form of attestation by the
Justice of the Peace, which is attached to
the mortgage, possesses some interest in
this case because the instrument is dated
December q, or Wednesday last, when Mr.
Henrici WAS on his death bed. The for
mula runs: Personally before me q JUS
tice q the Peace in and for Harmony town.
ship, ETC., came Jacob Henrici and John S.
Duss, etc." and is signed Henry Breiten-
stein, j. P, but of course the Justice went
to Mr.. Henrici's bedside.
Once Owned by BIaine's Ancestors.
In the description of the various parcels
of land composing the Economy estate it is
worthy of note just now, when James @.
Blaine is once more so much in the popular
eve, that the Economics bought q part of
their land from his ancestors, James and
Robert Blaine, in 1924 The mortgage is
signed by Jacob Henrici and John
S. DusS, and the signature of the
former is said to be the same hardly
legible scrawI that is to be seen in the Deed
of Confirmation of Association, which was
written a day or two previous, and of which
q reproduction is shown in THE DISPATCH
to-day. The property mortgaged for $780,
600 is generally considered to have far more
than that intrinsic value, although if put
up for sale in a lump to-day it
would not probably fetch even that
sum. Land of the same general
as the Economy property
and in the same neighborhood is selling to-
day at from $50 to $50 an acre, and tract
Of 5000 acres would be hardly likely to
command as good a price per acre. Six
per cent is the usual rate charged upon
agricultural mortgages, but money has been
lent upon such security as the Harmony
Society offers for AZ or per cent
The object of the loan is stated in the
mortgage to be the payment OF the debts of
the Harmony society, heretofore legally In
Cured and contracted. Some members of
the society, as well rs the outside public
are In the dark as to the nature and origin
OF these debts, and wonder that
with its supposed resources of
cash and negotiable securities the
society has been forced to mortgage
its old homestead, as IL were. The interests
of the society outside Economy itself are
centralized in Beaver Falls. In that town
OF over 10000 inhabitants it is generally
supposed that the Harmony Society owns
or owned till recently two-thirds of the
realty, and Mr.. Heinrich said four or five
years ago that the society had there in one
shape and another s., 900, 600 worth of prop
erty.
Valuable Property at Beaver Falls.
1t was stated yesterday by local author
ity in Beaver Falls that the upencumbered
Of the society in the town was of
a vast extent still This gentleman said
that the society owned outright the Beaver
Falls Steel Works, and a majority interest
in the Bicycle Works, the Cold Drawn
Steel Company and the Shovel Works In
the File Works, according to the same
the society possessed the
next to the largest interest, and was
negotiating to buy out the preponderant
interest owned bv the Blake Bros, of New
York. The society is also interested in the
trunk factory, the brass foundry and two
or three other works recently started. The |
real estate interests of the society in |
Beaver Falls have been greatly reduced bv |
the hundreds of sales made, mostly in the |
last decade, but they are still considerable. |
The amount of money which the society |
has made by selling building lots in Beaver |
Falls is not known, but it must have been
considerable. The number of householderS |
in Beaver Falls who obtained the title for |
their land from the Economics must be |
nearly 1000, and perhaps more. In addi- |
tion to these interests the society controls |
the Economy Savings Institution, de- |
servedly popular private bank which has |
always done very large business
1t is in connection with the last named |
institution that part of the $400, 900 OBJ |
tanned by mortgage is TO be used, at least
that is the impression in Beaver Falls and the |
towns 1t is understood to be |
the desire Of the Economic managers to |
turn the savings institution into a national |