The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1899-04-04
THE SYNDICATE MHNIA.

I HILE the press the statesmen OF the country
\NI and, to a large extent, the general public
have been more Clamorous and more en-
phatic than ever in denouncng trusts and condemn
ing their operations the creation of such combna-
tons has been carried forward to an extent unpara-
leled in any other age in any other land The en-
terprises OF Hooley and other promoters in Great
Britain are insignificant in comparison with what has
been accomplished here.
The center of activity in the movement has been
OF course in New York, but most OF the combina-
tons have been organized under the lax laws Of
New Jersey and are nominally corporations OF that
State 1t is stated that in 1893 the companies author
lied there and in West Virginia aggregated CAPT
talization of only little less than one thousand mil
lions OF dollars and the Philadelphia Manufacturer
says the indications that this year the New Jersey
authorities will authorize corporations or syndicates
whose shares will at par value aggregate six times
that enormous
In fact the organization of syndicates or trusts to
control the manufacturing industries OF the country
has become mania among Eastern capitalists, and
many of the conservative journals of that sec
ton of the country believe it has been carried too
far. The fear is that the shares OF many Of these
great combinations have been sold at speculative
prices owing to the large amount OF idle money in
the financial centers, and that sooner later there
will come collapse which will be injurious not only
to the spectators but to the country at large
From a compilation OF the opinions OF the financial
and industrial press the subject recently made by
the Literary Digest it appears there has been no
lack of words of warning to the public. The Finan-
cial Chronicle is quoted as noting that in January
and February OF this year there definitely
formed combinations having an aggregate capt.
tai OF $I,Io6, 100000, and saying: when the. end
will come no man knows definitely but that it will
come everybody of any foresight realizes perfectly
well. He knows, too, what the end will be when it
does come, and whoever can take in his sail during
the next few months will be wise mariner"
Bradstreet stated several weeks ago: 1t would
represent more or less water. For the time being
however, the financial public seems to be infatuated
with the movement, and though even cursory ex-
animation of the situation does not fail to develop
the fact that it possesses elements OF weakness there
is nothing to negative the presumption that, like
everything OF the kind, it must run its course
1t is to be regretted that this mania for speculation
in syndicate stocks has broken out among the capt.
tasts of the East just at time when the country has
every natural prospect of era of unexamped pros
perity If the OF the East would use their sur
plus capital in exploiting and developing the vast
rich regions of the West and South they would confer
immense benefit upon the country and reap rich
profit for themselves. Moreover their ventures if
made with ordinary sagacity, would be safe from
risks of disaster There would be none OF that dan
ger which thoughtful men see impending over
Wall street and its spectators