New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-01-21
AUNT CHARGES FRAUD.
Mrs. J.S.T Stranahan Says Nephe1c,
Addison Ely, Kept Trust Funds.
ALLEGES DECEIT IN INVESTMENTS.
rBr TELEGRAPH TO THE TRIBUNE.l

Trenton n I Ian 2O-Addisou Ely. a law
YER and politician of Rutherford. n. J.. is the
defendant in a suit instituted IN the Court OF
Chancery by his aunt Clara II. Stranahan.
widow OF James S. T. Stranahan. OF Brooklyn.
who claims that he has q large amount OF her
money and property for which he refuses TO
give an accounting. Vice-Chancellor Stevenson
has signed an order enioining Mr. Ely from dis
posing of certain Securities OF his aunt. pending
the return OF a rule to show cause why he should
not be compelled to make an accounting.
The bill sets forth that Mr.. Ely has managed
his aunt's affairs for about four years. during
which she followed his advice implicitly In all
matters of business Prior to April, 1SUo the
complainant says, she gave her nephew certain
moneys In trust deed. with the understanding
that the money to be invested IN hrst
mortgage bonds lands belonging to the Bald
win Land and Investment Company In this
State.
Accepting the advice OF her nephew, the COM
plainant says. she transferred to the land COM
pany securities valued at S417.098 for which
she received one thousand shares Of the capital
stock From time to time she charges. sales
were made of the securities, until now the total
assets of the company. according to the BILL do
not exCeede 1925 I9 Subsequently, she says,
Ely controlling the entire directorate or the land
company. caused it TO transfer TO MIN Donds
and mortgages amounting to $4,000 and then
pledged them for his personal use. realizing by
this transaction $4,000 in cash.
After he had formed the land company. the
aunt says. Ely entered into an agreement
with her for the financing and building of the
Dover. Rockaway and Port Dram Gas Company
Of Dover She says he transferred to this COM
pany various sums of money belonging to her
and agsregating in all about $4,000. She says
he represented that the $65 900 previously men
toned would be better to stand in his name In
the gas company. and accordingly he gave her
his note for the amount. without dlvulglhs the
true facts OF the transaction Other alleged acts
of unprofessiOnal conduct are charged IN the Dill
and is also set forth that, although repeatedly
asked TO do so. Ely has refused TO make any
accounting
Rutherford. n. J., Jan 2o-CaDtain Ely to-
night denied emphatcally that he was guilty OF
fraud in any Of his dealings with Mrs. Strana-
han He said he drew for her a deed of trust OF
property in which he was named trustee. but
not as a beneficiary. and that in no way does he
| benefit by it. and the deed secures to her the use
of the income for life. Mrs. Stranahan. Mr.. Ely
asserts makes the charges OF fraud against him
| under the influence OF interests which an
tagonistio to him and desire the deed set aside.
Mr.. Ely said:
Mrs Stranahan made the will the same day
| the deed OF trust was executed Both the deed
and the will were made so openly and executed
80 publicly TO preclude the possibility OF any
| deceit, as both OF the documents will show for
themselves when produced. l did not receive
anything hnQer elIner document. MIS- SlTand-
| han has trifed away over 100000 in stock
| speculation within very short period. She now
| finds her remaining property tied up by deed
of trust, and she is unable to fritter It away in
| speculation. Being OF somewhat feeble mind and
| memory as result of age. and TO further In
| dulge her mania for stock speculation, and urged
| on by mercenary relatives who hope to benef>
/ thereby. she now seeks TO set aside the trust
| deed.
There some fifteen twenty beneficiaries
| under the trust deed. and they will use every
effort to have the trust deed sustained There
has been no fraud or deceit OF any kind in rela-
| ton TO any matter connected with Mrs. Strana-
! hans affairs so far as l am concerned.