The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1901-11-20
PROMINENT mining man con

PROMINENT mining man con-
Il suited a lawyer yesterday to find
out if civil or criminal proceed
ings could be commenced against Ger
tain brokers who have been persistent
" circulating false stories about prop
critics in which he is heavily interested
He was advised that civil proceedings
could be carried to a successful issue
if sufficient evidence could be secured,
and that under certain circumstances
a man who circulated false stories to
depreciate the value Of a stock could
be imprisoned and fined. The attorney
was Of the opinion that the laws on
conspiracy and criminal libel might be
invoked He promised to go into the
matter thoroughly and give a formal
opinion on just what could be done to
p Otect legitimate investors from the
mach nations of INSCRIPTIONS manipu-
lators who have been doing their best
TO ruin the mining industry of Utah.
The man who took this step has made
a 70 tune il mining He is interested
heavily in some Of the leading prop
critics. in Utah, and he makes small
scattered investments in mines that
he examines and likes. During the last
few weeks he has lost several thou
sands Of dOlars-or would have lost it
if he had been willing TO sell at the
low prices brought about by manipula-
ton. He has concluded that something
must be done TO protect legitimate min
ing investments, and he is endeavoring
to find the best method. Whether he
viii take any action single-handed will
depend largely on the final advice of
his attorney.
Sentiment Against Manipulators.
This represents the sentiment which
has been growing rapidly against GER
tain manipul2tOrs on the mining stock
exchange who have stopped at nothing
to inju-e the reputation of meritOrious
prop rites and to obtain money from
sha- ehOlders by false pretenses. One
broker is said to have made many
thousands Of dollars by shorting stocks
and then lying to his customers about
conditions so as to make them unload
arsl bear the market. He is not alone
in this business.
Conditions have become so serious
that brokers doing a legitimate bust
ness begin to fear that a lasting blow
viii be given mining Investments in
Utah unless something is done to
check this and other dishonest prac-
tees There is talk Of getting the gov
erntng board to take vigorous action
to stop this work and save the repu-
taUiCn and the business of the mining
stock exchange.
Officers Of mining companies. invest
ors and honest brokers were discussing
the subject yesterday. trying 10 dis
cover some method Of meeting the sit
Iation. Several persons besides the
investor already mentioned were anx-
ious to know if criminal proceedings
could b started. Judge o. w. Powers
was asked yesterday afternoon if legal
action were possible, and he gave an
opinion directly in line with that Of
the other lawyer consulted on the sub
ject.
Liable Under SANDER Law.
"The law on SANDER viii certainly
apply &c any person who circUlates ma
licioUsly a false story which tends to
depreciate the value of q mining
stock" he said. IF it can be proved
that any person with such an object
in view Circulates such a story. be cali
be prosecuted civilly and made to pay
the actual damages suffered and also
exemplary damages If he publishes
such a story, he IS guilty of libel. and
can lie prosecuted both civilly and
criminally. If I controlled a property
which was suffering from these false
and malicious reports, I should begin
action at once against the person or
persons responsible, and 1 believe it
could b. won.