The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-07-30
Additional Charges Arc Made
Against Don MOunDay.
Attorney General Alleges Mis-
representation on Big Scale.
PROTEST. OF A PREACHER
He Said He Had Been MiSled
Into Buying Stock.
The Returns From Investors
Beginning to Come In.

! New charges of Misrepresentation on
! the part of Don A MounDay in his eff
forts to sell land in New Mexico, are
contained in afidavits and exhibits filed
in the supreme court today by Attorney
General John S. Dawson. Not only did
MounDay represent to purchasers that
| they were getting in on the ground
| floor with the land department nf the
sugar trust" but it is charged that he
| represented that he held perfect title
| to land which he offered for sale and
| that deeds to this land had been de-
| posted with a bank in Las Vegas, n.
! NJ, and would be delivered to the pur-
chasers on the day of the opening"
| Public officials, business men, minis
| ters, farmers, widows and men and
women of many callingS and many
| classes seized opportunities to buy land
| in MounDay's sugar company upon the
| glittering representations made by the
| Topekan, it is claimed. The affidavits Sc
cured by the state and government III
! the prosecution of the custer suit and
the criminal case charging fraudulent
misuse of the mail, tell the stories of
alleged misrepresentation to Noun
Days numerous victims.
Even G. o. Heide. Baptist minister
at Alta Vista, Wabaupsee county,
gladly took advantage of the oppDr-
tunity to get a foothold in the big sugar
trust when a Mr.. Parker, as agent for
MounDay, told the preacher of the oeaU-
tiful prospects in the new land com
pany.
Il understood at that time and while
making my payments through the re-
presentations made to me by Parker.
| and continued in printed literature and
! advertising matter given to me and eX-
| hibited by Parker and sent me through
| the United States mails by Moun-
| Day, that 1 was dealing with the So
called sugar trust says Rev. Hel1e
| in his affidavit. Il understood that the
! American Sugar Manufacturing & Re
| fning company was a big going con-
| Germ, engaged in manufacturing and
refining sugar at various places
throughout the United States and that
as soon as enough of this land was
| sold to insure the raising of a Jufh-
| cient quantity of sugar beets that Toy
were going to invest a large sum of
money in a sugar refinery there.
II also understood that the land was
subject to irrigation and that there Was
| plenty of water available to keep it
constantly irrigated 1 also understood
| that there was a deposit in trust
company at Topeka of 100000. either
| in cash or securities actually worth
that sum- which was placed there as
a guarantee that the American Sugar
company would carry out its contract
with the purchasers of the land. I also
understood that the sugar company at
that time owned all this land and that
the title was perfect
Many people have already received
their clearance receipts emitting
them to deeds to the land as soon
the opening was held. So, with their
money invested, the purchasers began
to inquire of MounDay when the
opening might be expected. Rev.
Heide was among the number. He call
ed on MounDay in March, this year.
but the assurances of an early opening
were not entirely satisfactory.
MounDay and the Preacher.
'On the 18th or 18th of March, 1913.
says Rev. Mr.. Heide. in his affidavit.
II called upon Mr. MounDay at his Of
flee in Topeka, Kan, to inquire about
nv investment and to learn the cause
of the delay and the probable date
of the promised opening of this tract
and Mrs. MounDay made the statement
that they could not promise anything
definite because they were liable to
get into trouble if they did and get
into the pen; and they did not want
to do that MounDay said that the
delay was caused chiefly by reason of
the delinquency of the subscribers who.
by reason of drouths, crop failures, the
horse plague and other misfortune, had
been unable to keep up their monthly
payments. He said further that the
irrigation bitches which had been con-
structed on the land had been clogged
through misuse and that there were
some other drawbacks to the opening
of the tract for irrigation, among
which he stated was the fact that the
company was being bothered in some
way by other people. down there that
were putting various impediments in
their way. He also stated that he or
thew were doing their best to get the
irrigation works repaired and the con-
struction of them completed SO as to
have the opening at the earliest pos
sible date"
- feca of +b{S af6davff IL is CON
tended by the government that the