Los Angeles herald., 1908-10-25
LAND OPTIONS
CAUSE TROUBLE
SUR IS BROUGHT IN OHIO
COURTS
CASE INVOLVES 10000 ACRES ON
MoJAvE RIVER
Misrepresentation and MisapproprIa-
Misrepresentation and Misappropria-
ton Of Funds Are Charged to Pro-
moter Of Scheme Said to Be
lmpractlcabIe

AS a result of the failure of the
Westwater company to close the OPP
tions on nearly 5000 acres of land
along the Mojave river, a large num-
ber OF suits have been started In the
Ohio courts by business men and others
who allege that James Westwater OF
the firm of Westwater & Casey mas
secured large sum of money from
them by misrepres entations, which ne
has misappropriated.
Arthur E. Poole, q Los Angeles man,
Is said to have been the western agent
for Westwater, and to have secuiso
options on many ranches along tne
Mojave river. Several he boughVsout,
right, and on others he made partial
payments, it Is claimed. Among the
latter was the great Rancho VERDE OF
1000 acres, owner by E. C. Sterling OF
Redlands. The purchase price was
S830,000. The sum of $4,000 was palu
down, and OF course was forfeited Wnen
the promoters could raise no more
money.
Westwater denies that there has been
fraud or that the great undertaking has
been abandoned
In an account of the eastern end of
the scheme the Ohio State Journal says:
"a Financial Bubble"
.'The bursting of financial bubble
was made officially known yesterday
when Dennis Kelly and Thomas Car
roll filed suit for $500 each against
James Westwater of Westwater &
Casey, local contractors. to attach
$4,000 due from the firm for work on
the Columbus storage dam, on the ale
CATION that Westwater had used fraud
in securing the money from them to
promate an irrigation scheme In Cali
fornia in 1905. At the same time 1t was
announced that suit for $4,000 would
be filed at 8 o'clock this morning by
Carl ]. Hoster, on the same ground and
making the same charges.
"The Columbus board of public serv-
ice yesterday approved warrant or
$4,000 of the amount due on the stor-
age dam contract and the warrant will
20 to City Auditor Noble. The money
was attached in the hands of West
water & Casey. They will be able to
collect the amount If they SO desire.
but cannot pay it out pending settle
ment of these cases.
Had Eyes on Los Angeles
"rhe suits arise out of project first
advanced by MIR. Westwater in 1905 to
buy a tract of land near Los Angeles.
build a dam to impound streams from
the mountains, and supply that city
with water for all purposes. Later the
scheme was modified to buy the land,
build a dam for irrigation purposes,
and after the completion of the project
sell out at a greatly advanced price.
"The suits are based on alleged
fraudulent misrepresentation and
fraudulent solicitations of money from
the three plaintiffs and many others,
in connection with the project, which
in its broadest scope included the ir-
rigation of the entire Mojave valley.
The plaintiffs declare In their petition
that the scheme was never carried out;
that 1t was quite impractieable; that
Mr. Westwater obtained the money
and has since refused to make any
accounting to them of the amount,
and that their claim is only part of
s145,0Oo collected for Investment in the
scheme"