The Bridgeport evening farmer., 1917-08-11
LOCAL CITIZENS
LOSE MONEY IN
REALTY FAILURE
Investors in New England
Development Co. Worried
Over l.. 7. Property.
Especial to The Farmer)

New Ork, Aug. 1I-Ihrough the |
filing of a suit against the William
H. Moffitt Realty Company of this
city for the foreclosure of mortgage,
more than three hundred men and |
women. widely scattered throughout /
this section and Connecticut, who |
have been purchasers of lots at Mas |
sau Heights, Mipeola, L. l., have dis |
covered that they are in danger of
losing their property and all the
money they have put into it.
Deeds that have been held for
years. under the impression that they
gave title are threatened by the prior
lien of a mortgage concerning which
these men and women were ignorant,
or which they had reason to believe
was being gradually paid off with the
money they paid to the Moffitt COM
pany
William H.. Moffitt, who maintains
an office in the Marbridge building,
this city, and also in Bridgeport, Wa
terbury and Ansonia, Conn.,, where he
is operating in real estate under the
name of The New England Develop
ment Company, is thoroughly aware
of the serious predtcament in which
investors in the Nassau Heights de-
velopment find themselves. Partial
payments and tax assessments which
1
on the mortgage appear to be lost,
along with the land, to many of, the
investors.
OF more than 400 lots sold in this
particular place by the Moffitt COM
pany only 174 have been released
from the mortgage. The others stand
to be sold at public auction whether
the purchasers have deeds or not.
Many of these purchasers widely scat
tered throughout New York and New
England have learned Of the situa-
| ton and have attempted to recover
something from the wreck of their
fortunes only to find that the statute
of limitations precludes them from
bringing suit to recover or that, be-
cause of all the circumstances, a
judgment in their favor would bring
| them nothing.
1 William H. Moffitt, head of the
realty company bearing his name and
president Of the New England Deve1-
opment Company with offices
throughout Connecticut, says that he
has made every effort, to meet the
mortgage on the property but the
1 condition of the real-estate market
makes it impossible for him to- dis
charge the obligation all at once.
! While he still maintains his small Of
principle efforts are now directed to
the Connecticut real-estate market. :
i The complainant in the present
suits which. is begun in the Supreme
4 court of Nassau county, is Gustave
Frietsche, from whom Moffitt bought
more than IL years ago. a big farm
i at Searington. which is known as
Nassau heights. Mr. Frietsche sets
, forth that on April 16, 1906, he took
from the William H. Moffitt Realty
Company a purchase money mort
gage of $1S,650, for this property
: This mortgage was to he paid off in
Irregular instalments including the in
terest, and final payment was to be
made April 16, 1911.
4 Most of those to whom Moffitt sold
were persons in ordinary circum-
stances. Lots were paid for on the
instalment plan and many purchasers
assumed the obligations of taxes and
u assessments. Deeds were given tt
) those who had completed their pay
ments, and releases were obtained
) for many of them. Others took deed.
!, and without heed to releases from the
, mortgage went on paying taxes ant
) assessments. But on October 49, 1911
: six months after the final paymen
on the mortgage of $18,650 to Fret
sche was due, there remained unpait
according to the complaint $4,35t
with additional claims for taxes, etc
! : With the Moffitt Company 269 pur
chasers of lots are named as defend
tents. In addition are named fictitious
' ly, the wives of many purchaser
4 whose names are unknown to tn
4 plaintiff. 1t is not expected that tn
Q proceedings will reach the sellin
I stage soon. 1t will take several week
d to serve all the defendants
S In an interview Tuesday Mr. Moi
: fit said: ST appreciate fully the cir
/ cumstances in which these investor
d find themselves and I feel keen1
! their predicament. But I want to sa
l. first Of all that it is my intention t
g see them through safely if it possibl
n can be done. / went to the office Q
e District Attorney Swami about thi
: matter and I believe that I convince
II them there that there never has bee
e any Intention on my part to injur
/ any one
: tThe real-estate market is bad
has been bad for some time. In sma
lr payments I am trying to do what
ir right by my creditors. If any one
IL the defendants named in this su
p will write to me and let me kno
II where he is, I will try to obtain
IS release for him, but I can't do it a
ID at once. Before this suit is brougl
& to trial I hope to be able to clear O.
in the mortgage entirely.
he st have told Mr.. Watson that tt
F'rietsche mortgage will be paid O
if the New England business prov,
as successful as it promises to be
IL The New England Developme1
Company has offices in the Securi
80 building. In Bridgeport and SUI
~ rounding sections of Connecticut
- has handled such properties as Sy
:, van park, Lakeview terrace, Greer
a. lawn terrace and other development
a, which have mostly been sold on il
"a stalments to small investors.
at At the offices of the company t.
day it was said that Moffitt was pre-
KIT ident of the company and w. Mich
ed with an office at Waterbury, vic
ne president. The office manager he
mt was said to be E. J. Saunders, who
ne 1T was later admitted was a stenogr
w pher in the office.
A telephone call to Waterbury a
ar tempting to locate Mr. Michel, resu1
f. ed in report from the Southel
Of New England Telephone vompany
an the effect that service there had be,
al Temporarily discontinued. At the A
IN sonia number where another attem
Y,,ado IN 1ocata officers Of Fl