The Marion daily mirror. (Marion, Ohio) 1892-1912, 1907-11-21

whether ~ judicial interpretAtiqA of
ny legislation, 1T is absolutely 66son'
tial that the issuing Of false pros
pectus be made crime before II 10
possible to deal effectively with the
largest class Of swindlers that now
prey upon the public.
While tho United States govern.
ment cannot directly prosecute
schemes to defraud, yet, II the mails
are used In the ftirtherance Of the
scheme, the government can act. AZ
most OF these schemes contemplat4
the use Of mails. 1t Is possible FOR IN
government to proceed against tl1qih
under sections $3.50 and $40 Of tn
United States revised statutes. He0
tion $3.50 provides that whoever de.
vises scheme to defraud and pro-
notes 1t by opening correspondents
through the mails, shall ke guilty OF
a misdemeanor; section 6440 provides
that II two or more conspire to com.
nit the offense denounced In section
54S0, they shall receive still great
or punishment.
Acting under the authority given BY
these two sections. the post Office de-
partment and the United States dis.
trict attorneys Office for the northern
district of Illinois have for years
waged vigorous and relentless war
against all swindlers who make use
of the mail service. The task present
ed the authorities is dificilt one.
In the. first place, where the mails
have been used, the victims are wide.
ly scattered, and 1t is difficult to know
who has been swindled and the gov.
ernment must choose It's witnesses
from those who happen to make com.
plant These Witnesses are scattered
from Maine to California. II Is neces.
sary to bring them here for the, pre-.
liminary hearing, then for the grand
jury session and once more for the
trial OF the case. Much labor and OK.
pense are necessary. 81
Then, too, 1t is necessary for the
attorney who draws the indictment
to go through correspondence and the
various conversations with the great.
est care IN order that he may analyze
the scheme and determine exactly In
what the fraud consists, so that the
indictment may be accurately drawn.
Then at the trial of the case, the gov.
ernment Is. perhaps, confronted with
the fact that the scheme has been so
cleverly devised that direct intent to
defraud Is impossible of proof, and re.
sort must be had to circumstantial
evidence
The records show, however, that
the government has very seldom lost
a case,of this kind and that swindlers
and confidence men stand In the
| greatest fear Of the federal authorities
because Of the vigor OF prosecution in
the past. II the law could be amend.
ed as above suggested, undoubtedly
the government would be able to
reach and suppress a large majority
of the schemes to defraud that are
now operated from this city.
| One of the surprising things IN
connection with this subject, IL tho
credulity Of the average person who
has saved little money, and hopes
for large and immediate returns from
1t. II seems that there is nothing 90
extravagant, SO improbable, that the
people will>not believe 1t. rf the stock
Of any company had any chance Of
earning the dividends which these
promoters represent that It will, Of
course 1t would be subscribed and
over-subscribed for at once by the big
moneyed men. and would not have to
be peddled around at absurd prices--
often as low as ten cents share
When this is suggested to the promo.
ter. he always states that the big
moneyed men are trying to get hold
of the stock. but that 1t is not desired
that they should have 1t. because they
would then come into control of the
property; and the victim swallows the
explanation.
The swlndler usually has a confed.
! crate to whom he refers the victim
who wishes to learn about his stand
ing and integrity; and 1t seems the
ate instead of going to banks or bust.
ness mon and making inquiries from
people upon whom he could rely.
Every prospective purchaser should
stop and ask himself the question:
why is this stock being peddled
around In this manner? Is II possible
that good safe Investment would be
so handled when SO much money is
lying idle ready for good Investments
in the hands OF men who are compe-
tent to pass upon the safety Of an
investment? Who are the men back
OF this scheme and what are their an.
tecedents? At what banks, or at what
established business houses are they
known as honest. conservative men Of
business?" esSS
| or course, tho swindler has his
plausible answer to all these Ques.
tions, and the victim takes his explain.
alton without making thorough ad-
ditional investigation. -Ss
Copyright. by Joseph B. Bowles.)
Il Rare Coin to BE Sold.