Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-12-04
WARDMAN REFUSES
TO PRODUCE FIRMS
BOOKS AT HEARING
Continued From First Page)

continued From First Page.)
K. Parrish Wood, jr., and ]. Floyd
CisSell, his associates in the Wardman
Corporation, all OF whom said they
had no knowledge as to possession of
books which the committee had sub
poenaed.
Lot Purchasers Are Heard.
The committee spent most of the
morning delving in detail into affairs
OF this subdivision, being sold by the
County Club Properties Co., Inc, of
which N. B. Clark is the promoter, and
heard from several lot buyers stories of
how they were led to buy unimproved
lots in the suburban section by the free
lunches given by the organization, the
talks on psychology and real estate by
Mr.: Clark, the low down payments for
their purchases and promises" that
their lots would be quickly resold at a
big profit for them. Four such lot
buyers told the committee they later
found, however, that the promotion
concern either could not or would not
resell their lots as they had been prom
ised
After the meeting adjourned at l
O'Clock, to meet again next Wednesday,
1t was reported in informal discussion
that the district attorneys Office, as well
as the Senate Committee had SUBJ
poenaed and obtained possession of the
records Of this concern for the purpose
OF investigation.
Mai. E. Brooke Lee, prominent DO
litical leader of Montgomery County and
real estate operator and builder, and
Frank L. Hewitt, Silver Spring operator,
both were called to the stand and
testified that as part owners of the large
acreage they had sold the property in
sales contract transaction to the
Country Club Properties, Inc.
$4,000 Named As Price.
Maj. Lee, in response to questions,
explained that he had no connection
with the organization of Mr.. Clark
other than the sale contract agreement.
He said he was to receive total con-
sideration of $4,000 for the sale of
80 acres. He was given a down-pay-
ment of $4,000, and since has received
payments amounting to $4,000, he
said. He added that Mr.. Clark per-
sonally had guaranteed IL payments
on each lot included in the 33-acre
purchase.
Mai. Lee presented to the committee
an appraisal of the value of the prop
erty made by two members of the ap-
praisal committee Of the Washington
Real Estate Board, in which the value
of the land was found to be 20 cents
per square foot. The appraisal was
made by Harold E. Doyle and Charles A.
Jones. it was reported.
Mai. Lee said that the land was sold
at a figure below that of the appraiser
by these two real estate men. He said
he had received a number OF calls
from lot buyers regarding the value
of the lots they purchased and that he
believed they had acquired well located
lands at fair value"
The committee heard several buyers,
who described how they were led into
signing sales contracts.
Mrs. Eleanor G. Burns, 4006 Seventh
street, 60 years old, said she went to
the free lunch and free lecture at the
sales Office on the property because a
woman gave her tickets to the events
and said that she would make COM
mission if she got Mrs. Burns to at
tend. She said she paid $50 down on
lot priced at $1,375 and that the $50
was all I had with me-" When mem
bers of the committee inquired as to
what her complaint was, she became
exceedingly excited and shouted that
she wanted her money back. After
quiet had been restored, it was brought
out that she felt aggrieved because she
had been promised" that the COM
pany would resell her property ana
make her quick profit.
When this was not done, she SAID
she told her hNsband CT the investment
and added that "he went up into the
air and the. family has been IN that
condition since"
Mrs. e. T. Stevenson, 208 Maryland
avenue northeast, told the committee a
similar story of how salesman for
the company had led her to buy lot,
for which she made down payment OF
$262.50, on his premise that he would
resell the lot almost Immediately at
an advanced figure. MIS-. Stevenson
said she did not tell her husband of the
purchase because she wanted to make
good deal all of her own, but was
forced to tell him when the property
was not resold and when an agent
OF the company made demands for
additional payments.
She said the agent told her 1t would
be easier for him to resell the lot If she
paid him more money. The husband,
however, refused to make more than
two installment payments. Mrs. Steven
son brought out that the sales contract
was signed In tiny booth on the SUB
division where there was no opportunity
for her to have a witness present re-
garidng the promises Of quick resale.
Impressed by Lecture.
Maria Gasser, private servant, en-
ployed at 304l w street, told in the
hating speech Of the foreign born how
she was tTnnressed hv the V1SvchOlO0v