The Blair Witch.

In the winter of 1785, an Irish woman named Elly Kedward was banished from the town of Blair after several local children accuse her of witchcraft Although her acts of witchcraft were allegedly evil in nature (she had withdrawn blood from the childrens' fingernails, possibly to examine a new, unidentified illness which she had discovered) the townspeople acted towards her in a way which, if possible, was even more evil than anything Elly could accomplish. They pounced on her, accusing her of being a witch and being too reclusive and using her religion as a Catholic (the Blair residents were Protestants) to back up their evidence.

After being convicted of witchcraft, the townspeople tied Elly Kedward to a sledge and dragged her out into the woods in what was the harshest winter in human history. The townspeople led her blindfolded into the woods and tied her to a tree. There they set about abusing her, cutting all sorts of signs into her which labelled her as a witch, then the citizens pressed their palms into her wounds, and finally they left her by the tree, but they still kept coming out into the woods to see if she was dead. They kept on physically abusing her until they saw she was still alive and set their dogs on her, which tore at her flesh. Then they saw she had survived every form of human torture which she could undergo and finally they left her hanging by her neck in the branches of her execution tree.
Everyone believed she had died and that the witch had been punished, but her spirit was doomed not to rest: Her ghost returned the following winter and abducted half the town's children from Blair.
A year later, children were dissappearing in the same woods randomly. Afterwards, everyone fled the village of Blair, Maryland thinking Elly Kedward came back to life to haunt the village.



Plot of The Blair Witch Project:  
In 1994, film students Heather Donahue, Michael C. Williams and Joshua Leonard set out to produce a documentary about the fabled Blair Witch. They travel to Burkittsville, Maryland, formerly Blair, and interview locals about the legend of the Blair Witch. The locals tell them of Rustin Parr, a hermit who kidnapped seven children in the 1940s and brought them to his house in the woods, where he tortured and murdered them. Parr brought the children into his home's basement in pairs. Parr forced the first child to face the corner and listen to their companion's screams as he murdered the second child. Parr would then murder the first child. Eventually turning himself in to the police, Parr later pleaded insanity, saying that the spirit of Elly Kedward, a witch hanged in the 18th century, had been terrorizing him for some time and promised to leave him alone if he murdered the children. The trio also interviews Mary Brown, a local eccentric who tells them that she had encountered the Blair Witch as a child.
The second day, the students begin to explore the woods in north Burkittsville to look for evidence of the Blair Witch. Along the way, a fisherman warns them that the woods are haunted, and recalls a time that he had seen strange mist rising from the water. The students hike to Coffin Rock, where five men were found ritualistically murdered in the 19th century, and then camp for the night. The next day they move deeper into the woods, despite being uncertain of their exact location on the map. They eventually locate what appears to be an old cemetery with seven small cairns. They set up camp nearby and then return to the cemetery after dark. Josh accidentally disturbs a cairn, and Heather hastily repairs it. Later, they hear strange crackling sounds in the darkness; they cannot locate the source and assume it was animals or locals following them.
The following day they attempt to return to their vehicle, but cannot find their way; they try until nightfall, when they are forced to set camp. That night, they again hear crackling noises, but cannot see anything. The next morning they find three cairns have been built around their tent during the night. As they continue trying to find their way out of the woods, Heather realizes that her map is missing, and Mike later reveals that he kicked it into a creek out of frustration the previous day. Josh and Heather attack Mike in a fit of intense rage. They then realize they are now hopelessly lost, and decide to simply "head south". Soon, they discover a multitude of humanoid stick figures suspended from trees. That night, they hear more strange noises, including the sounds of children and bizarre "morphing" sounds. When an unknown force shakes the tent, they flee in a panic and hide in the woods until dawn. Upon returning to their tent, they find that their possessions have been rifled through, and Josh's equipment is covered with slime, causing them to question why only his belongings were affected. As the day wears on, they pass a log over a stream that was identical to the one they had passed earlier, despite having traveled directly south all day, and again set camp, completely demoralized at having wasted the entire day seemingly going in circles.
The next morning, Josh has disappeared. After trying in vain to find him, Mike and Heather eventually break camp and slowly move on. That night, they hear Josh screaming in the darkness, but are not able to find him. The next morning, Heather finds a bundle of sticks and fabric outside their tent. Later inspection reveals it contains blood-soaked scraps of Josh's shirt, as well as teeth and hair, but she does not mention this to Mike.
That night, Heather films herself apologizing to the co-producers of her project as well as her family, and breaks down crying, terrified that something terrible is hunting them. Later, they again hear Josh's agonized cries for help, but this time they follow them and discover a derelict abandoned house in the woods. Hanging on the front of the house is the same human stick figure that they saw in the woods. Mike races upstairs, following the voice, while Heather tries to follow. Mike then claims he hears Josh in the basement. He follows the sound and, after what seems to be a struggle, goes silent and drops to the floor. Heather runs down to the basement screaming for Mike, but gets no answer. She then enters the basement looking for both men, and her camera catches a glimpse of Mike facing the wall. Heather then screams as she and her camera drop to the floor. There is only silence as the footage ends.