The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-11-19
ESTATE
FRAUD CASE
IS NEAR JURY
MorningSide Lot Sales Pro-
motors Complete De-
tense Case.
WIDOWS TELL STORIES
Three Men Are Accused of
Using Mails to Cheat
Scores of Investors.
WIDOWS TELL STORIES

Cases of three promoters OF the
Indiana Estates Company, charged
with using the mails to defraud
scores of investors through sale of
lots in Morningside addition with
promises of quick profits, were to be
decided by a federal court jury to-
day.
Attorneys for William M Dozier,
"a, president of the company, and
Mel j. O'Keefe, his partner, rested
their case at $50 Friday, and de-
tense of James F. Huteson, their
financial hacker and alleged part
ner, was completed before 10 to-
day, after which arguments were
presented.
Dozier and OKeefe testified as
final witnesses Friday to refute
testimony of nearly score of gov
eminent witnesses. many of them
elderly Widows, that they had been
promised that If they invested, their
lots would be resold within a short
time and their original investment
would be returned together with
profits.
Deny Resale Promises
Both Dozier and O'Keefe denied
making or condoning promises of
resale. 1t is upon this point that
the government is baSing its charge
of fraud.
Dozier said, statesmen of the COM
pany often put him on the spot"
by bringing difficult prospects into
his Office to get him to support the
salesmen's promises.
He admitted saying the property
was worth the price asked, and
probably would increase in value
soon and could be resold at profit.
He added that this remark prob
ably was interpreted by the custom
ers as a promise of resale.
The youthful president, who said
he now is a law student at st. Paul,
worked for Huteson in Toronto be-
fore coming here. He said he met
Huteson in Buffalo in 1929, where
they worked for an associate of
HuteSon, Lloyd Arnold, also en-
gagged in the lecture luncheon lot
sales system.
Tells of Buffalo Deal
He admitted learning that Hute-
son had been restrained legally
from continuing operations in To-
ronto, and said that after leaving
here, he, Dozier, and O'Keefe went
to Buffalo and operated there along
the same lines here until "detri-
mentally publicized" in 1881 by the
Buffalo Better Business Bureau.
,Huteson provided finances for the
Buffalo venture also, he said
Dozier said he patterned his lee
ture given to prospects after one
given by Huteson, and added that
the creed he read and which helped
to win over many prospects had
been given to him by Hutesons
Two Statesmen Discharged
O'Neefe related in detail his in
vestigation of various subdivisions
here, and decision to contract with
owners of the Morningside addition
for the right to sell lots there.
He said at least two statesmen had
been discharged for making resale
promises.
Testimony of closing government
witnesses, Forest M. Knight and
Frank E. Gates, realtors, that lots
sold by the company were worth
only about one-third of the price
asked by Dozier and O'Keefe, was
denied by defense witnesses, who
pointed out that slightly larger lots
in an addition Immediately south of
Morningside sold for much higher
prices.
Powell Is Witness
Perry E. Powell, real estate dealer
and builder, testified lots in the adj
dition fronting Kessler boulevard
were worth $40 a front foot.
Several witnesses testified for the
government Friday in an effort to
show Huteson had a definite part
in operation of the firm, other than
merely loaning Dozier and O'Keefe
$500 on which to operate.
1t was shown he received half of
the firms profits, after being paid
back his $500, the other half be-
ing divided between Dozier and
O'Keefe.
STATE GAMERS ELECT