Owen J. Roberts

“ The petitioner argues that the bonds were property and were taken by the respondent and, in the alternative, that they were liens, actual or inchoate, on the realty, and as the lien could not be foreclosed against lands owned by the United States, the respondent's acquisition of the lots destroyed the value of the securities and gave rise to an implied promise to pay the sums remaining due to the bondholders. ”

“ The withholding of a portion of the purchase money pending an investigation of the possibility that the realty would be liable for a reassessment, falls far short of indicating that the government intended to pay the bondholders if it should develop that no lien existed at the date of acquisition. A purpose to pay only valid subsisting liens negatives an agreement to pay something which had no such character. ”

“ There was general knowledge prior to 1927 that the total of the assessments would be insufficient to pay all the bonds. The petitioner asserts and we may assume that statutory authority exists, in case of a deficiency arising from causes shown by the record, to reassess the property within the districts for the amount of the deficiency. By ordinances enacted July 3, 1928, and proceedings pursuant to them, the city reassessed all the land within the districts. But as the land was then owned by the United States, the assessment was a nullity. ”