The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1878-02-25
THE PACIFIC SLOPE.
HOW A GOLD NINE Is WORKED IN
CALIFORNIA.


CALIFORNIA.
How the Stock is Placed on the Market
and sold, and How the stock.
holders are ''Frozen" Out.
Especial Correspondence of the Democrat
SAN FRANCISCO, February Is, 1878
Never before in the history of this city has
THE STOCK MARKET
and general business been SO depressed as now.
The streets are strewn with financial wrecks
men who a few years or even months ago were
wealthy, but are now "piece- strikers" waiting
for lucky turn in the tide of speculation that
may wait them again on fortunes golden
shore Stock speculation, or rather gamb-
ling, is the curse OF California All
gamble-the chambermaid, the mechanic,
the laborer, the professional man, the mer-
chant and the millionaire, who has retired on
his obviously gotten wealth. Even ministers,
who should be above the sordid desire for
gold, dabble in stocks, and through them en-
tire congregations of Christians are kept con-
tinually "broke" Ladies', who by the wealth
OF their husbands are placed beyond the reach
OF want and are given every luxury that
craving feminine fancy can suggest, gambl
for pastime and excitement. Those who are
not SO fortunately situated in regard to this
worlds goods gamble in stocks from an
ambitious DESIRE inherent only in wom-
an, to shine in society and rival
bestowed her greatest blessing and yet her
greatest curse
THE STOCK GAMBLING MANIA,
like other passions, often proves too strong
for woman nature, and honor is weighed in
the balsnce with gold, to be followed in after
moments OF recovering sense of shame with
heart-burnings of anguish and hot tears of
| repentance. There are four stock boards in
this city, with @ membership of 100 in one or
two and eighty in the others The clerks,
"cappers' and retainers of these brokers aggre-
CRATE 1000 men, who make q living on stocks.
There are probably as many more who do
nothing but speculate on the outside. "
nifty must support One-tenth of this number
| is sufficient to transact all the legitimate
mining business of this State and Nevada
| But large number of retainers is necessary
| to set up
sPAsMODIC DEALS
! For instance: clique of these sharpers who
control a certain mine wish to sell their stock
The mine is located in Virginia City, Nevada
One of their confederates teegraphs to an
other one of the ring in San Francisco that
there has been a "rich strike, and that there
are millions in sight; buy all the stock you
can get, etc.
The dispatch is in cipher and bears the
impress Of secrecy This man shows it to
two or three Of his most intimate friends, (?)
who are not in the ring. They tell it to three
or four of their most intimate friends and are
honest in their belief.
Some OF them are weak enough to tell it to
their wives, and, of course, in a remarkably
| short time II is ell over the city; Everybody
| is wild. "They have struck it rich in the
Fleeceum .mine,' and everybody buys the
| is gradually advanced 81 or So share, when
| they become frantic, and, after investing all
| they have, they beg, borrow or steal more,
and invest that. About this time the stock
| 'thump." like the stick of an exploded rocket.
| 1t now turns out that the body of ore found
| in the Fleeceum was not as rich as at first re-
ported, but the swinded dupes have no rem
edy. In order to get this stock back the
directors meet and levy an assessment for
/ prospecting purposes.
| Probably the directors at that moment do
not possess one-tenth of the stock in the mine
| it Is distributed in small quantities through
out the community. But they meet and as
sess everybody out OF their boots, all the
same. Thinking the mine is swindle they
| sell their stock for almost nothing, rather
than pay the assessment. In a few weeks
after the stock is all garnered in by the
eSthulHC lhG VI lltl iI6 ID
made in the Fleeceum. Then everybody is
| mad as blazes at himself for selling his stock
SO soon Yet if they had not sold, another
| assessment would have been levied, and yet
another, until the holder would have been
| literally
FROZEN OUT.
The managers and directors of mine have
| exclusive management and control of it.
| Stockholders are not permitted to examine
| the books or go down into the mine to exam
| inc their own property. Consequently, the
"insiders" have the advantage. They know
| when mine is good, and when it is a white
| elephant. When bonanza is struck, they
keep the information to themselves and buy
| in all the stock secretly. But IT, at last, the
indications are that the mine will never prove
| valuable, they as secretly unload their
stock by false rumors of "rich Strikes and
quietly step from under.
NOTES.
About eighteen inches of rain has fallen
this season An average crop Is almost sure.
Chinese immigration is on the decrease.
The great "workingman's' scare has subsidized.
The legitimate drama has given way to the
illpgitimate, consisting of muscle interspersed
with the spectacular. One of the theatres
has revived that slanderous absurdity, " I'm
Gle Toms Cabin" It receives the proper con-
tempt in empty seats.