New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-02-01
REALTY SWINDLERS
FACING U. s. PROBE
Federal Grand JurieS Will
Indict Fraudulent land
Sellers Soon.
VICTIMS MAINLY
IN GOLDEN WEST
Lots Under Water Sold TO Con-
fiding Investors Under Lure OF
Catchy Advertisements.

indictments charging extensive frauds
through the use Of the mails are expected
70 be handed up in the United States Dis
trict court this week against the officers
and agents Of two real estate companies
that arc alleged 10 have reaped golden
harvest selling lots under water on Long
Island and in marshes in New Jersey 10
Investors IN the West. The victims are
scattered from Maine TO California
though the territory about st. Louis has
heen the most fruitful field OF operation
Tho cases are the most fragrant that
have vet come 10 the attention OF the
Postofiice Department and l. , DistIi0'
Attorneys office. and have been under IN
vestigation many weeks. In some IN
stances witnesses have been brought
many hundreds OF miles and large
amount Of work has been done tracing
the swindling operations in this city
So clever have some Of the operators
been that il is almost impossible 10 con-
wet them of any crime, though the intent
10 defraud is most patent In several
aid of crooked lawyers. just managed 10
keep within the law.
Fasteners Reverse Game.
United States Attorney Marshall con-
.isered these cases OF such importance
that their being unfinished was one OF the
chief reasons for his wishing 10 nave 'le
January grand juries sit next week "heh
their terms expired by law YESTERDAY
He refuses, however, TO discuss them a'
this time .,
GENERALLY" he said. ut is reversal
Of the old process. Willy Westerners rSeu
IN swindle Fasteners IN Western farm
lands and city lots. Now the process Is
being reversed. . o
The companies complained OF were
heavy advertisers in magazines ana per-
odicals having large circulauons IN inc
cit,es and towns Of the West ana sent
ont large amounts OF literature some
If which was enough TO make the origlhai
1obn Jacob Astor and other founders Vi
great real estate holding families IN Ne"
York revolve in their graves ike 'ulOiii'
engines. ,.o roar
1,he immense fortunes that have been
,,ade IN real estate in this city were pct
med in lurid colors. and the lihlnehse
,.os,ibilities Of the investment Of Few
dollars brought out in black faced Np9
and no uncertain terms. every P4dOo vs.
,ltrer lust on the New YORK inc anu s"'e
I'D be within the greater city IN sNoI
time or so placed as TO be sure 10 receive
all the benefits of the city, with none "a
ats disadvantages
Nicely Drawn Plans.
Others sent out nicely drawn plans of
the property, showing subdivisions. wide
avenues and other improvements, abut-
ting upon some fashionable town well
known TO readers of the daily papers,
though in at least one instance the prop
erty offered for sale was several miles
away.
All the resemblance it had to the prop
erty it was supposed 70 abut on was due
TO the promoters having appropriated the
name OF the place as part of the name Of
their development. 1t was of this prop
erty. offered as an ideal place for the
raising of chickens and fruits, that the
circulars said there was plenty OF water
upon the premises for all practical pur-
poses" This was more than trua, as at
high tide half of the property was under
water.
The ancient swindle OF giving lot 10
the lucky holder Of a certain coupon
at cheap show. and then charging the
winner several dollars for recording the
title and endeavoring to sell him or her
more lots for real money is still being ex-
tensively used. In many of the cases that
have come 10 the attention Of the local
inspectors the swindlers have got down
20 defrauding the patrons of cheap NOV
Ing picture shows.