The Elk Mountain pilot., 1902-07-22
The Eastern Mining Investor.

In the organization of companies for
the purpose of developing mining prop
critics, 1t would seem impossible for an
injury to be done country; the mineral
wealth of which is its greatest resource
and only hope for the future. But such
has been the case. The fact that parties
in the east invest their money in mining
stock. being entirely ignorant of the ma
ture of the investment, and in time find
ing that they have been the victim of a
misplaced confidence, has alone lost the
mining industry many good hackers.
Had they have taken the precautions in
mining affairs that men invariably
take in all other business transactions,
justice would not only been done them
selves, but to the community also in
which they have made disastrous ad-
ventures. No man who does justice to
himself and the community in which he
lives, but will hesitate to say which
company operating in particular dis
trict is good, or which is bad. 1t is at
best, very embarrassing question. 1t
cannot possibly be answered publicly,
and private opinions are, of course, sub
| iecf to many objections The only way
in which this trouble can be avoided,
and the curse of fake companies elimi-
mated from the mining world, is for all
bona fide investors to make the proper
inquiries before placing their capital.
| Unless mine has national reputation,
or an international reputation, which
latter many of the great mines of Colo
RADIO actually possess, no person should
invest in mining stock without first in
forming themselves in every way posi-
BILE, in regard to the value of the par
| ticular property to be operated, and the
standing of the promoters, both finan-
cially and otherwise. 1t must also be
remembered that there is a vast differ
ence in the valuation OF mines, as repre-
sented by shares ana amount of capital
ization in the eastern states, and what
they are known to be worth in the dis
trict in which the claim is located.
There are many indications that may be
observed by all would be investors, which
il noted in time, will always be safe
guide in SO far as the value of the prop
erty is CONCERNED. In the first place
there is thousands of dollars with which
to purchase every single share that may
be based on good proposition, and there
are thousands of men with plenty of
capital who are seeking such an invest
ment every day in the year. Shares and
stocks in mines that do, or will in time.
pay dividend, do not have togo begging
for purchasers, and when a promoter is
seen making house to house canvass
with mining stock it may be rightly in
ferred that something is radically worng,
either with the property represented, or
the person peddling the stock. 1t is to
be regretted that parties have been so
unfortunate as to invest money both to
the detriment of themselves and to the
country which the money was intended
to benefit. But so long as people per
sist in buying mining stock which rep
resents property that cannot be located
by people who have lived twenty years
in the district where it is supposed to
be situated, little else may be expected
than that the mining industry will con
tinue to occasionally get black eye,
and lose the support OF arother good en-
terprising citizen, whose intentions were
far better than his judgement.