The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1878-12-25
FIVE MILLIONS.
A Boston Syndicate that Went into 81
ezra Nevada auo stage I'm Too Long.
ISan Francisco Evening Post.

A Boston Syndicate that Went into ST.
ezra Nevada sua stayed I'm Too Long.
ISan Francisco Evening Post.l
When the recent excitement in Sierra Ne |
yada and other north end stocks got fairly |
under way, a syndicate of prominent Boston |
capitalists was formed for the purpose OF In !
teresting themselves in our market. Tnls |
syndicate had its headquarters with Stone q |
Bonner, leading bankers on State street, IN |
that city. and about So 600 600 was put up oy
the members for operating uses. The Boston
syndicate bought largely on telegraphic or
iers to this city of Sierra Nevada, Union, Mex
lean and Ophir. Their purchases were not
confined To these stocks alone, however, for
they corraIled quite quantity OF such col,
laterals as Gould Curry, Savage, Hale q
Norcrnss, Bullion, etc, with the view that
the developments IN Sierra Nevada must
cause vigorous appreciation all along the
Comstock line. The syndicate received the
Neutrality-suspicious. b tainsble by telegraph from
day by day regarding the condition OF the
Sierra Nevada, etc. and the internal forces
st work in the market. Having purchased
most of the stocks before the lufi1uon was
at its highest, and having made several sue
cessful turns with their holdings, the syndi-
cate could have cleaned up aud retired from
the field before the final crash came had
they been so disposed, with third AS much
/ of our peoples money as they themselves
| had originally invested But Ike great
MANY syndicates and combinations formed
| for the same purpose on this coast, the bOs-
| ton capitalists were thoroughly enthused
| and carried away by their first success They
| hadn't had sucn a glorious opportunity 10
make money since the good old times dur
Jog the wa and ,hey were going to take al.
| vantage of the occas. on They were ADVISED
that some kind OF fight was going on in the
market between two riysl combinations
struggling for power, but they placed very
little importance upon the fact, feeling
like thous tnds of Others, that none OF
the heavy holders of the fayorite
stock would ever dream of selling out at less
than $500 per share, and that the Sierra Ne
yada mine was going to realize all the san
euine expectations OF its friends, immedi
atsly when cross cutting commenced on the
tyenty-two hundred feet level The great
crash therefore took the Boston syndicate
unawares. 1t came as stealthlly as thief
comes in the night, and the enormous
shnnksge in values happened so suddenly
that they were unable to dispose OF hardly
anv stock Their profits were destroyed.
! But deeming that the decline was merely a
stock lob. a result of the supposed fight be-
tween Flood aud Skse, and thai the showing
of the mine was not responsible, they did
what great many other people nearer home
, have done-aversged the cost OF their collat-
| erals By purch asng more shares on the de
, cline. Two or three days OF averaging in the
face OF a fearful shrinkage and constant
call for money caused the Boston syndicate to
weaken They found themselves loaded TO
the guards They suspected that something
was wrong Not knowing exactly wha
the SOM thing was, they did what ha'
E always bean deemed the proper thing
by easter people under simllal
Circumstances. they fell to anathematlzlnt
California Nevada, the mines and every thlnt
els. connected with them up hill aud dowr
dale Just what is 10 blame for the havoc
(, | caused among our Boso friends is dim
cult mater to state. A combination o
things is at the bottom of the disaster, an.
4 one of which may have been the cause. Tn
| mine did not show as rich WAS expected
: on the . 100 or 2, 200 levels. 1t is quite Gel
O tain that The large blocks OF inside s,oc
: we're thrown upon the market The Bonanz
z firm until recently made no effort to chez
the decline. But il the dissatisfaction
great In Boston, it Is still greater here. Nor
aratbemas on the market will be heard o.
Z Pine street In one hour than in the stald oil
y Hub" in q week. But We do think tn
< Sierra Nevada mine will yet come out a
q right an. that Boston will have chance {
II get even on its investments; but 1T mast nc
be impatient or too hasty. Our folks on
( | here are not worse than people there, th
q. syndicate man to the contrary notwithstanC
|. log. Ii we possess any advantage over Cd
{, syndicate, it is that they did not clean u
O. and remove from this coast large prom
a when they might easily have done 50.