Staunton vindicator. [volume] (Staunton, Va.) 1860-1896, 1888-03-23
elAMoNDs ON MEMORANDUM. =
A Trustful Habit That Has Long Been in
Vogue Among jewelers..

An item appeared few days ago announc-
ing that Inspector Byrnes' men were looking
for a young diamond broker who had OBJ
tanned large quantity of diamonds from
Maiden lane firm ION memorandum" and it
was supposed had left the city, with no lnten-
ton OF returning To the misinformed eye
OF reporter who read the item, the words
ION memorandum" seemed to imply that i'll
getting the diamonds the absconding broker
had practlced some sort of fraud or deception
upon the Maiden lane firm. He was some
what surprised to learn upon investigation
that the transaction was perfectly regular
one, and that it is the custom in the jewelers.
trade for one merchant to allow diamonds or
other Jewels to go out to another merchant
or to a broker for purposes of sale, with no
further security for their return than
memorandum between the parties Some
times this memorandum, even, is a verbal
one, so that the jewels go out simply on the
promise that they shall be returned.
1.-THE custom is peculiar to our trade" said
well known diamond merchant to q repor-
ter the other day. II don't believe that it
prevails in other branches of business at all,
or at least ! never heard of it there. OF
course the basis of it all is simple honor and
good faith. The custom is an old one, and it
arose, undoubtedly, in the days when jewel
ers in town were little community by
themselves and almost held their property in
common. A sale by one man was regarded
as sale by all. OF course we don't have
that idea now, but you can see how great
convenience this practice still is to the trade.
A customer comes to me and wants jewels of
q certain size, quality and cut-perhaps some
particular jewel that is known throughout
the trade. 1 don't happen to have the jew
els, but if can send out and get them to
show to the customer perhaps I can make a
sale at once. My brother merchant must
know that am responsible and that my rep
utation is good for keeping my word. Yet
must say that merchants are, as rule, care
less about letting their goods go out. They
seldom ask any questions and if man is
known in the trade, even very slightly, it is
the easiest thing in the world for him to bor
row all the diamonds he wants. 1t is a sim
gular thing, too, that SO few diamonds are
stolen in this way. I remember only two
instances besides the one you speak of where
a man who thus borrowed jewels ran off with
them.
'Wholesale diamond merchants here thus
place quantities of the gems in the hands of
out of town dealers for sale. The dealer
only pays for diamond when he sells
it. The wholesaler never thinks of de-
handing security. It's a mighty nice
practice for the dealer, and the whole
sale merchant has this advantage-that
he can recall his jewels when he pleases
If the dealer fails the wholesaler can come
right on and take away the jewels deposited.
The question of the right of the wholesaler
to do this has been decided in his favor by
the courts. 1 was going to say that fully
half of the so-called sales made by merchants
here to out of town dealers are after this
fashion. New York Sun.