, 1886-09-15

Petroleum V. NdsDy, went 10 NcW VT
leans to investigate the workings Of the
Louisiana State Lottery, about which he
had heard so much. He went there pre-
JUDGED against it, but, as will be seen
from what he wrote home to his news
paper, the Toledo Bioie, he fully satisfied
himself OF the honesty and fair dealing Of
this world renowned company. The fol-
loving is a portion of his letter, and is in
teresting reading:
In Europe the lottery is a government
institution as much as the tax catherer.
Germany, Austria and Italy all nave lot
terics that are a part OF the government
system. In Austria loans are contracted,
the interest being paid in prizes deter
mined by lot. and almost every Austrian
and Italian purchases these tickets. The
principal is paid by the government at
maturity, aud the interest is divided
anon tho &c making the loan. A man
simply lends the government an hundred
forms at five per cent. Instead Of receiv
ing five forms interest, he and all the
other holders throw it into a pool, and
five lucky men draw the interest from a
million OF such loans. Which is to say.
they prefer TO take a chance of receiving
1901 900 forms to a certainty of receiving
five. Aud so the hundred forms bond
lies from year to year in the hope OF its
making the holder an ind, pendent man.
The same 81 stem is in vogue in New
Orleans. The city issues what are called
premium bonds, - the interest being dis
tributed in blocks by lot. These bonds
they sell the same as other securities ON
which interest is paid in the usual way,
in fact they arc preferred.
The greatest lottery in the United
States Is located in New Orleans. and this
is how it is.
The people Of the south, Louisiana
especially, have always been devoted
patrons Of the lottery. Enormous sums
were annually sent abroad to Havana,
Vienna, Rome, and everywhere else for
tickets, all Of which told severely upon
the resources Of the state. Taking AL.
vantage OF this tendency of the people,
irresponsible lottery companies were form
ed all over the state, which were swindles
OF the cDmmOnest order.
To remedy this, the legislature of the
state in 1868 authorized the incor poration
Of one lottery company, to be known as
the Louisiana State Lottery company. J
with a capital OF 81 900. OOU, and enacted
that this company should alone have the
right to prosecute the business within the
state. The methods of conducting the
business were all set forth with great OK
actness, and a certain percentage Of the
profits were required to be devoted to the
support of the hospitals of the city: and
it was also provided hat all drawings
should be conducted by a board of com
m%issioners appointed by the state.
I1nInr TINS % tIa ,ro ,r.,..
lied and its stock taken by the very best
citizens Of the state. all classes OF business
men being included in the list of stock
holders, and the best citizens accepting
positions in its management. In 1879 the
SAME provisions were included in the re-
vised constitution of the state, giving the
company the double seal of legality. legis-
latlve and constitutional.
Under this charter, or rather charters,
the company has operated ever since
The stock III the company is quoted regu-
larly upun the stock exchange; its stock
holders and those in the management
from year TO year are among the best
known business men of the city and state.
men not only Of recognized financial, bur
social position
1t is essentially a state institution. The
state hospital, one OF the largest. best
conducted and best equipped in the
United States, is supported by the com
pauy, not by donation, but in pursuance
Of a provision in its charter. The pay
ments to the hospital are made quarterly.
1t IL n large contributor to every charity,
and 1t is the most important factor in the
material prosperity OF the city. Its stock
holders are planters. mill owners, sugar
%retiners, and real estate owners, who have
an interest in the city and state greater
than any association within its borders.
Consequently the company is the very
center and heart Of all enterpris IS directed
10 the development .fthe state. 1t Is the
promoter of the various railroad enter
prises and manufacturing schemes which
since the war done so much toward the
development OF The resources Of the state.
The company has to day n larger capital
than sny banks in the state, and its finan-
clal are practically unlimited.
No one in New Orl.rns questions its in
tegrity. No matter what may be thought
OF the morals OF lotteries III the abstract
the state VI Louisiana believes in them,
and 1t has made a giant corporation, and
so hedged it around, that il stands the
severest possible tests.
The character and standing of those
who from time to time have been in its
management, has never been questioned,
either on the Legislative floor or in the
press. Ii owes its existence 10 a vo c of
the people Of the state, who twice EN-
dorsed it, once by a majority Of 81, 900
votes, and ii is 80 hedgcd with safeguards
that it possesses their entire confidence
The managers know nothing ol the draw
ings-the commissioners, who are really
state officials, have sole control of every
detail. They have always actual posses
sion of every ballot placed in the wheels,
and they can reap no benefit whatever
from any drawing. Added to this source
of confidence is the additional fact that
men of the very highest commercial in
tcprity are active in II, owning its stock
and controlling it's operations. There is
scarcely 4 banker or merchant in New
Orleans who is not directly interested in
it, and they take rs mnci pride in lis
reputation as they do III their own private
business.
The company own a very fine building
on st. Charles street, in which lis v,st
business is transacted, and an army of
clerks and accountants are required 1t
has the appearance, internally and exter.
nally, Of a systematically conducted bank.
which it really is, only it does more husi
ness than any ten banks in the city.
This would be impossible in the north
ern states. No merchant, shipowner or
manufacturer in Boston would want it
known that he was concerned in a lottery.
even as a ticket buyer, much less as IL
s%tockholder or manager; while here in