The Wichita daily eagle., 1897-12-24
and inexplicabie instinct

instance OF this was at Kimberley.
Diamonds were found in yellow dust on
the surface. There was no idea that
there were diamonds in deep levels.
There were plenty of difficulties. besides
/ = caving-in OF roadways. water, and
finally
To the diSmay OF almost all men, the
yellow ground gradually gave out. and
revealed an under stratum Of dense blue
rock, varying in hardness but ap-
parently Of great thickness.
Examination Of the blue for some time
revealed no diamonds, and the optimists
were rapidly reduced in number. The
water charges were increasing, and
under the impression that the mines had
given out, numbers of men sold, or If
no purchaser was obtainable abandoned
their claim, and cleared out with what
they had saved, afraid Of losing all.
Barnato held on, and, moreover, bought
up and acquired all the interests he
could; for ne was convinced that the
| diamonds were still there, if the miners
could only go deep enough. OF the rea-
sons that LED him TO this conclusion ne
could nevef give scientific explanation,
4
DETERMINED TO KEEP ON.
I Il was certain he said, "that the dia-
monds came from below. II not
in the blue. then on the other side Of it.
So L determined to go on until it broke
me-" He was able to buy cheaply and,
having the courage Of his opinions, went
on buying claim after claim UNTIL in
| 1881, ne was able to float his first COM
pany, THE Diamond Mining company"
| Meanwhile dependency still reigned in
! the camp; excess Of competition and
| panic brought the price Of diamonds
and simultaneously the necessity for
deep shafts, big machinery, all the ap-
paratus for underground mining, brought
working expenses up to a higher figure
than ever.
But Barnato was not daunted and soon
gave an extraordinary proof of his faith.
Six claims in the very center Of the
Kimberley mine were owned by a man
named Stewart, and they were the very
last claims in the mine Still owned by
an individual digger, adj the rest having
passed into the hands of bewildering
number OF companies. According to
Barnato's conviction of the origin of the
mine, whoever held these claims held the
very key and center, and would control
the whole. He, therefore, bought them
over the heads of every one else for no
less sum than f30,O 900 claim a record
price on the fields, and that, too, in face
of an apparently declining industry. It
was great stroke of business and full
filled all his expectations, for it gave him
the virtual control of all other properties
and interests in the mine, and placed
him in the position Of chief negotia tor
with the de Beers group for the forma-
ton of the ultimate monopolist COM
pany.
CECIL RHODES AN ACTOR.
At this same moment there was an
other man in the Kimberley diamond in
dustry who was destined to play an even
more remarkable part in South African
history than Barney Barnato. Cecil
Rhodes was even then dreaming OF a
great African empire; but for the mo-
ment he was simply leading figure in
the great rival company of the De
Beers. Both Rhodes and Barnato were
good fighters; but they were men of
business, and knew all the virtues OF
combination and monopoly They split
on the final purpose of their combina-
ton.
To lessen cost and to control price was
Barnato's sole object. With Rhodes.
on the other hand, all this was merely a
means to an end. He desired to do all
that Barnato had in view; but when this
great, powerful nonopolst company
had -aJ H.
and a portion OF its enormous reserve
wealth for the purpose of extending the |
British Empire over the vast fertile dis
tricts and auriferous lands to the north |
&. Barnato was not by any means /
deficient in pride of his British birth and |
citizenship. He could not, how |
ever see eye to eye with Rhodes that /
the business of Kimberley chould be |
made possibly suhservient to a policy of /
empire extension.
Their views having proved irrecon-
cilable, Rhodes opened war on Barnato. |
Barnato attempted 10 get control OF the |
one independent mining company left
the French company. Rhodes. who had !
back from a trip TO Europe with the l
backing OF great financiers-
Suddenly put forth scheme whereby |
the control of the French company was
to pass to himself. Many meetings were
called of the shareholders OF the COM
pany for the purpose OF pressing the ac-
ceptance of Rhodes proposal upon them;
but at all events it was made evident
that Barnato. though not actually dom
mating the French company, was able to
exert sufficient influence to insure the
rejection of any scheme Of which he did
not approve. Then Rhodes and Barnato
tried to increase their influence in the
company by buying all the shares tha.
came on the market, and In this opera
tion the advantage proved TO be with
Rhodes: for while all the shares that he
commanded or bought were retained, many
of the shareholders who were Barnaoo's
pledged supporters found themselves un-
able to resist the temptation OF the tigh
price TO which the shares rose in conse-
quence OF the competition, and basely
sold 10 the enemy. As Rhodes
had commenced the war. so he com-
impetuosity he came him
self 10 Barnato and representing that
il was Of no use for them 20 continue
a fight which was merely a benefit 70
traitors, offered BarnaSo check for
very large sum Il be would withdraw
his objections 10 the proposals for ac-
quiring control OF the French COM
pany.
Barnato refused; the war went on
CONTEST OF MONEY KINGS.
There is something fascinating IN he
story OF Shis war OF financial giants:
Rhodes. with the powerful, practi-