Capital journal. (Salem, Or.) 1919-1980, 1922-10-17
PierceS Raid Upon
State School Fund
ShOzen In Record

II NAV not be of any benefit to the
account Of this trasactlon, but
nevertheless it should be noted these
considerations, received by Walter
for the sale of these farms to his
relatives, is slightly over three
times the $5,000.OO mortgage. The
State Law requires that the State
Land Board can make no loans from
the Irreducible School Fund for
more than one-third the value of
the property involved, but that Wal
ter should always sell Cor thnce
the limit he could borrow, may be
mere incident.
Sells to Close Friend
November 16, 1908, was appar-
emily remarkable day in Walters
Real Estate career for, in addition
to the three farms above mentioned,
which he sold that day to his
brothers and sister, he also sold a
farm to Thomas J. Tweedy, near
friend of his, for the flat eonsidera-
ton of $16,000.OO
1t seems too strange to be true,
but Thomas Tweedy, on November
23rd-the same day that the other
mortgages were made to the State
Land Board, also borrows $1,000. 90
of the sacred irreducible school
fund, and, to make the coincidence
still more remarkable, on December
18th, he sold the place back to Wal
ter M. Pierce for $16,000.00-the
exact amount he paid for 1.-THE
affable Mr.. Pierce agreeing to as
sumo and to pay the $5,0O0.00 mort
gage.
But this does not account for all
Mr.. Pierce's transactions on that
busy day. Evidently, they were hav-
ing a "sell-your-farm" day on No
vember 10th, in Union County, for,
Walter on that day, sells to one
George W. Tate, business associate
another one Of his numerous Union
County farms, receiving for this one
$17 100000. The amount received
for his place would indicate that
Walter drove a harder bargain with
his business associate than he did
with his relatives.
Land Decided Back
But, if November 10th was sell
your-farm-day" in Union County,
November 23rd was also mortgage
your-farm- day" for the State Land
Board. For the records show that
George W. Tate, on that day, bor-
rowed 100000 from the State
Land Board-the mortgage not be.
ing acknowledged in statutory form
before Walter NJ. Pierce himself, a.
Notary Public for Union County.
How the minds of the purchasers
Of these various tracts ran "willing-
ly along" together, is indicated by
the fact that Mr.. Tate, on Novem-
Der Both, seven days after he made
his real estate deal, sold his newly
purchased place back to Walter M.
Pierce, for $1720O.OO-the same
amount he had paid for it, Mr..
Pierce again kindly agreeing to as
sumo and pay the mortgage.
In spite of these large transac-
hons in Real Estate that occurred at
that time, it will be noted that
none of the parties to these trans
actions made any money off each
other-all of them re-selling the
farms bought from Walter back to
nlm' for the same prices they paid
for them.
BoTows $4,000 Himself
Evidently Walter did not nronosa
to be outdone by those to whom
he had sold his property for, on No
vember 23rd, the same day that the
others borrowed money from the
State Land Board, Book 20 of Mort
cages for Union County. shows
that the future non-partisan eandi-
date of the Democratic Party for
Governor, also borrowed S.. 900 90
from the State Land Board and
having assumed the mortgages of
the other five farms which he had
sold to his relatives and friends
Mr.. Pierce now had 100000. 90 of
the States Sacred Irredueible School
Fund for which he was paving in
terest at the insignificant rate of
6 percent.
There were other farmers how
ever, in Eastern Oregon who were
not so fortunate as to secure even
QIIDE urIn RI