The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1908-11-30
THE COMSTOCK
BONANZA KINGS
How the EarIy-Day Operators
Gathered Up Good Things
at Camp.
TRICKS OF MANIPULATORS
HOW THE "BIG FOUR" DoWNED
THE so-cALLED "BANK RING"

There were no thrilling stock excite
ments in Virginia City or Gold Hin in
very early davs," said the SeptuagenaTian
Comssocker at the Elks' Home in Reno.
New, the other evening. The first trans
actions determining the ownership of the
mines were quietly made while they We're
set mere claims or locations. The dis
cOverers and lOcators had parted with
their interests for a trifle, or AT most
a ridiculous sum as IL afterWard ap-
peared. the majority OF them selling for
fewer thousands than their interests were
soon worth millions. This may appear
astonishing in view OF the fact that as
early as September. 1888 some time be-
tore many OF them disposed of their hold
ings, Donald Davidson 4, Co. OF San
s2.e00 a ton for go tons of ore TO be
shipped 10 Swansea. England. for reduc-
ton But the ignorant locators seem to
have had no faith in the value or per-
manency OF the mongrel blue-black ore.
ana were only too glad TO sell at the first
fair offer. The whole Ophir and Mexican
groundS-1.50O feet-sOld for 10000, Pen
rod and Osborne receiving $500 each:
Mclaughlin, 50 500; Comstock, including
other claims and a ranch supposed TO
cover all Virginia City. Sl1Oo0. and
O'Riley, the last original locator to sell,
$40. 000-and that. too. after having re-
Ceiyed $1,000 in dividends. So it happened
that by 1850, when the immense value OF
the ore deposits was fully proved, the
ownership of the principal mines had
quietly passed into comparatively strong
hands.
Early Trades Were in Feet.
ITO speak Of stock transactions on the
Comstock before late in 1862. apart from
private bargains of this kind, would
n misleading use OF terms. There was
practically no such thing as stock: all
dealings were in feet and were made BY
giving a deed for the number Of feet
agreed in The transaction II
appear. at first thought. a slow way OF
conducting business in an emergency. but
a surprising facility in il was quickly
acquired. Everybody carried a lot IF
blank deeds in his pocket. and ii was an
inept hand that couldn't fill one out IN
two minutes.
4 remember having my attention called
10 a poker game in a leading saloon.
early in 1861. In which Judge David s.
Terry. Joe Vaughn and some other chiv-
alrous lawyers We're engaged. The stakes
apparently consisted entirely of feet in
different mines: and ] think / understate
the facts in saying that within half an
hour ] saw more than twenty transfers
made. without ever interrupting the deal
or delaying the game.
Stock Trading Began in 1860.
Il don't wish to convey the impression
that there was no stock at all In those
days only thar there were no stock
boards where it could be bought or sold,
for / have reason to remember very
pleasantly one OF the flfSt issues or STOCK.
In San Francisco. one night in 1850. an
old friend made me a present of GER
tificate for 100 shares of Scorpion.
mine that he and some business assOci-
ateS had Just Incorporated. | kept watch
of IL for some years. and then threw
the certificate into sort OF waste draw
er. FOR the Scorpion never came to the
fore in any of the mining booms. One
day in 1879 l noticed that Scorpion had
made its appearance on the list and had
jumped to $50. l bethought me of the
old certificate I had thrown aside more
than fifteen years before, and began rum
maging for it, To nv surprise | found
IL. and upon taking it TO the office of
the company was informed that. de-
Quoting what had been sold for assess
ments, / was still entitled 70 90 shares
of stock. which they issued to me. | told
my broker to sell IL quickly as pos
sibie which he did for over 81. 400. With
in a month Scorpion went off the list and
has never been Oh il again. to my knowl-
edge.
''Rut the manner Of dealing in mining
properties was suddenly changed when
the San Francisco Stock & Exchange
board was organized in September. 1867.
and the Washoe Stock exchange in Vir
pinia City soon afterward. Then nearly
every company Incorporated, with spe-
cific capital stock and number of shares.
and issued certificates. as al the pres
ent time: but there continued to be trans
actions in feet for a long while after
ward
How Johnny Skae Cleaned Up.
In the pioneer DAYS of open messages
and crude cipher codes there were two
very sharp young men in the Virginia
city telegraph office-Johnny Skae. n
shrewd little Cana liam. and Dave Will
liams. a bright and pleasant fellow that
might have been from anywhere. They
both took upon themselves in addition
TO their other duties. the task of dis
secting and deciphering the messages that
went through their hands. Skae succeeded
so well that he Rmassed a considerable
fortune. resigned his position and thence
forth was recognized as a capitalist and
prominent mining operator. / don't think
he shared the knowledge gained in the
telegraph office with anyone-or at most
only with someone who could stake him
al the start II was purely selfish game
with him.
But Williams. who never was able 10
penetrate as deeply as Slae. peddled such
information as he succeeded in gaining
and in consequence was soon discharged.
But that didn't finish him He made