Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1882-02-05
THE UNION GENERATE.
A FineMc;al War Bet,ceen Catholics and
,JesCS
New York Sum-

F5mencsal War Bet,ceen Catholics ana
JeWs
New York SUM-
In November last the San gave an ac-
count of the origin and methods of the
financial concern whose collapse has
brought misery upon good Catholics in
all parts of the Old World. At that date
French financial circles had been greatly
excited by the manipulation of a "corner'
in the shares Of the Union Generate and
the Lander bank About three years be.
fore SPECTATOR named DervieuX had
founded the Union Generate, and, beng
a devout man, conceived the brilliant
idea of inducing the pope to give the
scheme his blessing. How he accom-
plished this is not known, but may be
guessed at, some of the holy fathers
household being sufficiently well versed
in worldly matters to know
a thousand franc note when
they see it. The shares of this
blessed company were soon placed on the
market, and, the Faithful French
bought them as eagerly as If they were
passports to Heaven. The capital OF the
company was nominally 200, 900 shares at
| 500 francs each, 125 francs the share being
paid up. Dervieux. however, in weak
moment, placed the managing director
| ship of the company in the hands OF one
| Eugene BontouX, who had had some ex-
perience in financerlng in Austria.
Bontoux quickly managed to depose the
confiding Bervieux, who was heard OF no
more in the operations. Having obtained
full control of the capital of the Union
| Generate, Bontoux established in Austria
the Lander Bank, the 200, 900 shares of
which were also 500 francs each, one
half paid up. With these nice little
sums of money Bontoux went into
mining speculations, and bought all
the Austrian mines he could at
prices the owners jumped at. For some
| time Partisan financiers had been watch
ing for chance to euchre M. Bontoux,
| and, unfortunately for themselves. in
stead of permitting that gentlemans
schemes to fall by their own inherent
weakness, determined to "bear" the
shares of the two companies. In this,
however. they reckoned without their
| host. The shares of the Lander bank
| were all in the hands of Bontoux. and the
| French priests and devouc old women
| would not part with one of the sanctified
shares of the Union Generate. The
ssbears," therefore, being distinctly "cor-
| nered.'' Bontoux proceeded to make them
dance. and calmly put the Union Gener-
ale shares up to 1850 francs and the
shares of the Lander bank to 1000 francs.
One Partisan banker Vas said to have
paid 100000 francs before Bontoux
would 'Iet up" on him Amusing stories
were told about other prominent ''bears."
NJ Banberger went down on his knees
and begged Bontoux to have mercy.
Three Hebrew bankers went to the Arch
bishop of Paris and offered to be publicly
baptized as Christians if he would induce
Bontoux to lend them the shares they
had contracted to deliver.
The struggle between the Union Gen
erale and the brokers Of the Paris stock
exchange assumed then very bitter form.
NJ, Bontoux had the whole Catholic world
at his back-both clerical and ariStocratic.
The Comte de Chambord was the owner
of 5, 000, 900 francs worth of the c0mpany's
shares. The De Broglie family, the Comte
dc Nun, the d Harcourts, the De Microbes,
the Polish magnates and all the Faubourg
st. German had invested largely in the
concern The financial war became act
ually war between the Catholics and
the Jews The Catholics were "long," the
Jews were ssshort' of the stock, and the
death of Mr. James Rothschild was at
tributed to the loss Of some $4,000, 900
francs on the short side of the market.
The Hebrew contingent seemed to be bad
ly beaten, but shrewd observers were in
clined to believe that their defeat was
only temporary. 1t is notable that such
schemes as the Union Generate, which pro-
fessed to be guided in its operations sole
ly by desire to further the cause of
charity by enabling its adherents to gain
an enormous percentage on their invest
ments-invariably come to grief sooner
or later. Goodness and cent per cent
seldom row in the same boat without up
setting it, The Catholics had the Jews
| by the throat for while, but che laughs
best who laughs last and the children
of Israel have now repeated their ex-
PLOTS of the land Of the Pharaohs.
The financial methods of the Union
Generate were by no means the methods
adhered to by business men. A fair sam
pie of the operations of this company. as
well as of the Lander bank, which was
but branch of the Union Generate, is
found in the purchase of the Innesberger
iron works for 100000 fiorins more
| than the proprietors had valued them ct
a month before the sale. The
Pesth- Semlin railroad, which is an
| other Of NJ Bontoux's bonanzas,
has always been a losing con-
Germ. That gentleman also in
vested an immense sum of money in
| bringing the Servian government to grant
him the concession for building railroad
through that country. The railroad Is in
| course Of construction, and cannot posi-
| bly, pay any dividends for years after it
is completed, Besides these enormous
OUTLAWS, about 2, 900, 600 forms were spent
in advertising the Lander bank.
The original capital of the now 'bust
| ed" concern was Is 900, 900 francs. This
was in 1878, and at that time one-quarter
of the twenty five millions had been paid
up. In the next year the capital vas
doubled, the stock being allotted by pre-
| ference to the old stockholders, who paid
one-quarter on the new stock. Thus the
capital was raised to 50,000,0 900 francs. of
which $500, 900 were paid up. In 1886
the capital was again doubled, bringing
it to 100, OO0, 900 francs, and last NoVeul,
Der it was resolved to increase il
once more to 150, 100000 francs Ii was
also proposed to apply the earnings Of 1885,
and the premiums on the stock to the
paying up in full of the LOG, 900, 900 francs