Evening star., 1913-07-29
Assessor Richards Questioned
as to District Tax COL
Iector's Property.
USE OF A "STRAW MAN"
IN DEAL CAUSES QUERIES
Mr.. Richards Details His Realty
Transactions Since 19OO-Many
Seemed to Turn Out Badly.

ooMy UIousnl into the investigation
of District affairs in the House Dis
trict committee rooms today, when
Representative Johnson, chairman of
the committee, departed from the
thread of the quiz and began interro-
eating Assessor Richards about MIR.
Rogers property.
Representative Johnson aimed his
queries at property owned once by Mr..
or MRS. Rogers and since condemned
and sold to the government as a part
or the proposed enlargement of the
Capitol grounds. Mr.. Johnson asked to
produce figures showing how much the
Rogers' property was assessed for and
how much was received for 1t from the
condemnation jury.
Information to Be Produced.
The Information will be given to the
committee at another session.
Mr.. Richards today was taken through
a portion Of his real estate deals, starting
in 1900. Many of them seemed to turn
out badly. The committee was particu-
larly eager to learn why straw man.
named Davis appeared in a deal to pur-
chase property worth S24, 600 near Kalo-
rama road and 10Th street. Mr.. Johnson
inquired particularly as to the reason for
$40 being recited in the deed as the con-
Quiz Kalbfus and Mckenzie.
Samuel T. Kalbfus, a member of the
board Of assistant assessors, was present
ed to the committee by Representative
Johnson and asked to prepare a list of
real estate owned by him, and a full
statement Of financial transactions which
he has had with banks, real estate men
or liquor men.
Alexander Mckenzie, another MEM
Der OF the board. was presented and
sworn and requested to furnish the same
sort of information regarding personal
real estate deals. loans, etc.
Richards Tells Of Deals.
Assessor Richards then appeared as a
witness. continuing his testimony of three
previous days. He brought Charles G.
Rogers. collector OF taxes, into the testi-
mony by mentioning him as being con-
nected with one OF the deals mentioned
IN previous testimony.
Il Mr.. Richards had prepared complete
diagram Of his real estate matters, show
ing q thirteen-year history of his per-
sonal affairs.
In 1900 he had five pieces of real estate
In 1908 he had seven pieces. In 1912 he
had five.
He started in to tell the story Of his
life as an acquirer of real estate.
Acquired First Trust in 1900.
'In 1900 In square 916, lot 62, at 9th
and c streets northeast, had q trust on
property there" he began. His trust was
81 200. the other trust was $4,000. He
sold this for $4,000 in 1905.
He rented the house on 1t for $3.50 a
month. He bought lot IN a suburban
division.
He started to tell about a second deal.
but fell into q long discussion which had
him to get written statement as to the
early details OF a small transaction.
Bought Lamont Street Lot.
On Lamont street, in 1900, said Mr..
Richards. he bought q lot 80 by $50 feet,
on south side of the street, east of Sher-
man avenue. He told how he got it. with
$500 he had left with real estate firm.
The firm loaded 1t up said Mr.. Rich
ards. saying the firm had loaned 1t out
on the property. Richards had to take
the property in order to get his money
back
The lot was worth 30 cents a foot in
those days, according to the real estate
man. said Richards. whose story was to
the effect that in this deal he was
stuck" woman with a second trust
figures in this deal, and Mr.. Richards,
not remembering her name, was asked to
produce the records.
0uizzed as to $1,000.
Mr.. Richards was quixxed very closely
as to a thousand-dollar loss he stood in
this property when he finally cleaned
up." The woman who held the first trust
could have refused to pay and the loss
would have fallen on Richards, who said
he felt bound to pay. and as he had no
recourse he simply paid 1t. The firm of
Mallory & Easterday had induced Mr.
Richards to take over the property"
The committee dug into the past for
further names, but could gain no fur
ther information.
How many pieces of real estate have
you owned in the District of Columb.a
since 1902 asked Representative George
The long answer would be resolved into
ten pieces" by the committee.
Two OF these were acquired. says Mr..
Richards. by lending money and taxi
ing the land in final payment. Mr..
George asked him IL he had speculated.
Denies ANY Speculative Deals.
'I never ventured any merely specu-
lative purchases. 1 did think I could
better invest money by purchasing
than by lending money on real estate"
He said he purchased 139 street
under peculiar circumstances. mention
Ing disagreeable neighbors az one of
the elements leading up to q sale Of
one Of his former homes.
Mr.. johnson asked Mr.. Richards for a
list of bank loans or loans from any
other source.
Then Mr.. George swung into the real
estate acquisitions again. Mr. Richards
took up a six-room brick house at l2+S
Linden street, which. he said, was badly
run down, and was next to Mr.. Richards,
property at 1850 Linden street Rich
ards bought 124S Linden street, subject
to q first trust and paid this on in time.
Purchased in Bloomingdale.
Mr.. Richards took up real estate DUR
chased by him In Bioomingdaie He pur-
chased a lot 5Ox17O at IL. 10 and n T
street and turned it over to Mr.. NAL
lory to develop. build on. etc. for a small
percentage. Mallory built three houses
and sold Nos. 10 and Il and attempted to
sen No. Il and failed Mr.. Richards
took over No. IL. rented ii for two years
and later Mallory sold No. IL to a man
Gantinusd on Tenth F3saa