Years of Chaos In Youth Homes In New Jersey
New Jersey Division of Youth and Family Services records show state continued to place teenagers in two shelters run by Newark Transitional Supervised Living Corp even though its inspectors meticulously catalogued failure to correct ills such as rotting food, unsanitary bathrooms and dearth of adult supervision; supervision became so lax that teenagers set own rules, state documents and interviews show, having sex with each other and occasionally beating weaker or younger children; Children's Rights Inc, advocacy group that sued state and got records, says shelters got more abuse and neglect complaints than all but one other foster institution in state; state officials and social workers say shelters were not closed because of lack of alternative placements for troubled teens; sampling of incidents; photo (M)