Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1907-12-13

Against
Mag,oon
Improper Handling
Of BIaiSdetI
Estate

Charges which virtually amount to
allegations of trickery, II not abso-
lutte dishonesty, are made against J.
A. MagoOn in a report filed by John
MarcallinO this morning as master, to
whom was referred the final account
of Magoon as trustee of the John l..
Blaisdell estate.
MarCallinO, who In his reports as
master is noted for showing neither
| fear nor favor, goes into Magoon's
accounts thoroughly, ana picks them
| to pieces item by item. lie finds that
the attorney has for years made a
practice of transferring from his own
account, "Or some other account"
worthless securities to the Blaisdell
estate. These transfers are for the
most part made on August 81, 1904,
! but have not been recorded. This.
gays MarCallinO, in Il statement made
this morning, allows Magoon to Jug
gle with the securities to suit him
self. and fool the Court.
MarCallinO recommends that Ma
COON be surcharged with amounts to-
falling about $4,000.
The Blaisdel estate taking all the
mortgages at their face value, is
worth $3S,511. But many of the
mortgages are practically worthless,
not even bringing in interest, and
unless MagOOn can be made to make
them good, the estate stands to suf-
fer materially. It has been handled
by Magoon for about IL years.
Magoon's method, according to the
report of the master, has been to
transfer these bad Investments from
j. A. MagOOn to J. A. Magoon, trus-
tee for the estate of J. l.. Blaisdell,
but not to record the transfer. Thus
the Court could know nothing of the
transactions.
The LightfOot mortgages afford
good Illustration of the method pur-
sued and the value of the securities
which Magoon has transferred from
his own or some other account" to
the estate.
He lent Lightfoot $3.50 on the
property in 1889, five years later
transferring the mortgage to. the
Blaisdcll estate. although 'LiGhtfoOt
had made none of the payments
agreed upon. Yet, notwithstanding
this latter fact, in 1902 Magoon
loaned Lightroot $500 more on the
same property. the money coming out
of the funds of the Blaisdoll estate.
The transfer of neither mortgage has
ever been recorded.
The Masters report Is on Magoon S
final accounts as trustee OF the estate,
filed November IS, 1907, and cover
ing period up to and including Sep
TENDER 80, 1907.
The trustee charges himself with
the sum Of siG9S.5l, receipts on &C
count Of principal, and asks to be al
lowed Sizes, disbursements on the
same account On account of income
| ne charges himself with S292l.34 and
| asks to be allowed the same amount
Is disbursements. These eXpcndi-
lures Marcallino finds, correspond
| with the items of the schedule.
There are a large number of mort.
cages in favor of the estate, most of
which have been transferred from J.
\. MagoOn to ]. A. MagOOn, trustee of
me estate. any of these the Master
finds to he practically worthless, and
'CCOmmCnds that MagOun be required
% take them over himself.
"All the mortgages" says the Mas
ter in his report, referred to In the
trustees inventory are made tn j. A.
MagOOn, mortgage. These assign
mCnts were subsequently made by J.
\. MagOOn to j. A. MagOOn, trustee
under the will of j. l.. Blaisdell. but
are not recorded.
"ThC Master contends that when
Mr.. Magoon took these mortgages,
they should have been made in the
name of J. a. Magoon trustee under
the will of ]. l.. Blaisdell, and not In
The name of J. A. MagOOn. The Court
can see that there will be further eX.
pCnscs when these assignments are
| recorded. Even If these mortgages
we're transferred to this estate from
Mr., MagOOn or from some other &C
count Mr., Magoon, or the account
| rom which they were transferred
should be made to bear all the eX.
| lenses Of assigning, acknowledging
and recording them. therefore rec
ommend that the trustee be sur.
charged with the sum Of Sll, the same
being for acknowledgements to assign
mcnts."
Regarding the II. n. Kahulu mort.
gage to W. r. Castle for $575, as.
| signed to Magoon Nov. 30, 1889, the
| Master says that by a legal defect,
foreclosure proceedings as to Oahu
| land werC Intellectual. Besides this,
| another party contests the title 10 the
land, which Is valued Al about $500,
"AlT MagOun holds that he should
| ne credited with the sum of SIS to
! correct error stated, but | am Of the
opinion that adjustment Of the item
should be delayed until such time as