The Red Cloud chief., 1888-08-03
VALUE OF DIAMONDS.


~ VI OtSO"
uov the Price Of Pure Stones Is Main
tanned by . Monopoly.
"When l was in London u short time
a-o." said SIR. ID. De 5. Mendes. the
diamond cutter, IL was allowed as spe'
cial favor to see the great diamond thai
was found last year in South Africa
think they are going to call 1t thf
Jubilee diamond. but l believe it Is MOI
vet named. 1t is the whitest stone II
the world. and one of the largest. and
is owned by eight persons on shares
the value being greater than any one
even of the enormously rich diamond
dealers could afford.
when found it was of an irregular
shape. being somewhat like an egg with
the small end somewhat elongated.
The owners. in order to reduce 1t to 4
regular shape. split of this end. and
after cutting the fragment found they
had Il f~Orty-karat brilliant. which they
sold tothc King of Portugal for f4O.ooo.
The value of the remainder was not I'M
paired by the subtraction of this triiie,
but rather enhanced. since the split was
successful. and the shape of the stone Is
improved. 1t is valued by the owners
ut 81 800. 900. and any gentleman who
wishes To invest ina rather costly trifio
can not do better than examine it.
THE owners intend keeping il until
the Prince Of Wales shall succeed to
the throne Of England. and then trying
to sell it to him. Failing this sale. it
is hard to tell what they can do with
it."
"WhO are the owners nOw?" Was
asked Of Mr.. Mendes.
Il do not think Id better mention
names." he replied, with the caution
which Il dealer in diamonds must needs
have. There is considerable mystery
maintained about it. and it would not
perhaps he safe to tell all the facts,
wen if knew them. about when the
stone was found. who bought it and
wha: they paid. know that there il
such a stone. however, for | have seen
it. and l know it is owned in eight
shares. for the gentleman who showed
it to mo owns Onc-ei.hth.
1T is difficult for.people outside the
business to realize the enormous wealth
of the diamond dealers in London" no
AS an indication. I may
say that the same gentleman showed
one package of stones aggregatiny
5000 carats. which he valued ut five
guineas a carat. This was by no means
his stock in trade. 1t was one Of q
number Of packages"
HE is one OF the shareholders in the
two great companies which practically
the diamond market of the
They r the Central Diamond
Mining Company. and the Kimberley
Diamond Mining Company. Between
the two. they W or control
every important claim in tho
world in which diamonds are
These are in Africa. for,
as is we'll known. the supply from the
Did mines has entirely ceased. Tho
two companies control hundreds Of
Of capital. and were formed
BY a consolidation of all the small COM
owning claims. for the purpose
If controlling the output, and 50 keep
ng up the value of diamonds"
'.Is the value then fluctuating?'
ut has fiuctuatcd considerably with
q few years. The scare or furry
n the trade that was talked about
the African mines were discOv-
red. and which was pOOh-poohed by
he bulls. was a very active reality.
md was very nearly approaching
when the consolidation was eff
The large dealers saw plainly
hat unless something was done to
INIT the supply the market would ba
and they banded together and
ought q control of all the diamond
mines. Since that time no new dia-
nOnds have been put on the market,
Excepting those which they have AZ
owed. and the price. which had coma
own. has been restored to about what
had been for many years"
Then the price or value of dia-
,onds no longer depends upon their
atural supply. but upon an artificial
of it."
Precisely So" ,
And it is within the power of these
NO companies to break the market
'henever they choose" ,
undoubtedly. but they will never
. it. for they would be throwing away ,
lillions OF pounds of their own proper .
~. !. Cor. st. Louis Gl01c-Demo- ,
-0k. .
Russian Book Collectors. 4
1t will be news to half the world that .