The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-03-03
NAEEV, BUT THB GAM OLD
THE ~TURF INVESTMENTS GET
RICH-QUICK SCHEMES.

u. Lou1e CoAiapeo0 CooCeSus moSoy
successers q the Y. o. Dean Com
pany. the Miller Syndicate and similar
NEUTRALITY-SUSPICIOUS. q the Pub.
10 TO Throw lts Money Away.
When the turf Investment concerns Of
st. Louis went up the fiums the other day.
leaving nothing but once furniture and
empty safes for the clamoring creditors.
the wisdom OF the old saw. that q sucker
Is born every minute was again estab-
lished. The success which attends the
efforts Of the operators Of get-rich-quick
syndioates In America to separate men
and women from their money justides
the conclusion that II La possible to fool .
great many people all the time.
Notwithstanding the many exposures
that have been made Of similiar concerns.
a. often a. the public gets chance TO in
vest It's money In one Of them IL promptly
steps up to the Office Of the receiving teller
and planks down its dollars. Moreover.
the history Of these concerns shows that
the majority Of the 'investors' or stock
holders' have always been persons who
could Ill afford 10 lose dollar Of the money
they put In.
The bait at which the dupes nibble II,
Of course. the high rate Of interest which
the concerns invariably guarantee. Yet.
II any reputable savings bank guaranteed
such rates Of interest the probabilities are
that run on II would put 1t out Of business
long before the authorities got . chance
to step in. Why, then, the public should be
duped 30 often by these get-rich-quick
schemes Is problem.
A little thought ought to convince any
body that no matter how plausible and
alluring the prospectus may be. the returns
offered on investments in such concerns
can only be paid out Of the principal sum
taken in It il all Q matter Of arithmetic.
So long as the operators Of the 'syndioates'
take in more money than they have TO pay
out in interest they keep anoat. When
the time comes, as come 1t will, that the
interest charges nearly or quite equal the
total amount Of money received, then
the 'syndicates' prepare to put them
selves out Of business. and when the crash
comes there are never any assets worth
the name.
Probably the most successful swindle Of
this nature ever carried through to the
collapsing point was that engineered By
the men or man behind the Z. 8. Dean
Company. There are Thousands Of men
and women all over this country who hold
the Z. 8. Dean Company In . remembrance
that will be always green, just how many
persons had the savings Of lifetime wiped
out by the failure OF that concern will never
be known, any more than anybody will be
able to tell just how much the master mind
Of the alleged company made out Of his
dupes
The concern failed In 1907, after having
done business In New York for about q
year. The whole scheme was blocked
out ty a man who. after long legal fight.
was sentenced not long ago to q term OF
Imprisonment, but through q stay OF
proceedings 10 believed to Be still out on
bail.
This man was assisted in carrying out the
details by probably the most expert 40
oountant who ever went wrong, but II was
With dss:ls . Only , that 8, this ~. man w,. con-
supplied BY . man who 70 acknowledged
to Be the master get-rioh-quick swindler
OF hh or any other time.
1t Is said Of him that under no circum-
stances, no matter how trying. did he ever
may be imagined when It IL remembered
that the failure Of the Z. 8. Dean Company
left him with about q 900 900 In valuable
New York real estate and about 81 900 900
In gilt-edsed stocks and bonds, and those
who know him BEST say that he has most
Il is beyond the reach Of attachment or
other legal process. James B. Kellogg
Ia fairly entitled TO be regarded as great
nnancisr. Alfred r. Goslin 10 ANAL fry
by comparison.
The Dean company was the immediate
predecessor Of q great number OF similar
Ia savndtOofAra" MS
q few months after the failure. but In due
time they were up and at II again and the
way the money came In justified the CON-
clusion that the public seldom learns any
thing by experience.
The ofYioe buildings Of lower Broadway
and New and Wall streets were get-rioh-
quick hives. Some Of the places the police
broke up. but the most Of them failed.
with millions OF liabilities and no assets.
Then came the Franklin syndicate.
better known a. the Miller syndicate,
whose business was opersted from a little
trict Of Brooklyn. A young. vain, soft
beaded man named william Franklin Miller
was the supposed head Of this outfit, which
guaranteed 70 pay $40 per cent. year on
ali moneys deposited with the 'syndioste.'
The concern lasted about four months,
and In that time Il got out OF the men and
women Of this country something over
o. 900 600. Miller, who couldn't keep .
81 OF books straight, 10 now In Sing Sing
and Q man named Edward Schlssingsr y
now travelling abroad.
Schisainger was the nominal manager
Of the concern. but the police have always
believed that he Vas tbs DISCOVERIES Of Miller
and the foundsr and father Of the -syndi-
cate A. any rate. II he would call al no
Mulberry street any hns morning he would
lis kindly reoe we'd and soms questions would
be put to him regarding tbs final disposi-
,ion Of the bulk ~ the 'syndioa,s's' profits,
All the ooDoerns mentioned pretended
10 conduct Operations In Discretionary
pools and 10 have inside Information on
The STOCK market. And u vas the sasns
Kind of busin~ss out ~ which = conoesn
which u yl~d itssif Berry 10 alleged that
IL made its fabulous pfonts
berry 4 90. 10 worth more than . pAssiiS
notice, bsoauss u holds tbs sndursAos
reoord ~ all si-rioh QUICK aosnI,anlss
II did businsas IN ksw York. on eas ssds VI
lower Broadway az the oihss. fof tso oS
thfas years But about . yea ago tbs pro-
niotsss oonoludsd 10 fsil
tbs turf Investment eDnosis NJ ~
Louis u.sd tbs turf, lIstssd ~ tbs sleok
InsIkss, ~ tho osisasbls Lass ~ thar oI.ef-
silohs TO thai. sstsh ,hs .,'.sn.s yes
nss and, thsiofoss, MATS abrasive w.
msny Isss-sss Noe muah ~ tbs nonsy
Isnslssf ~ The 'syndio.iss ses t.sliy
llsi sn dis Tsls hasss. 10 stall "a Ia dls l.,.sd
The .siilss Asinlrsf ~ ii,s hfin ~ y
Arnold q Ia sAs A. niikla II. slllllnssnd ,