The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-02-19

done with the matter at that stage. !
full account of all operations verified b.
sent 10 every person who subscribcs, an,
the syndicate will close It's operation
within three months.
Those who come into the preseO
gamble with us will have the first chanc
on future occasions. of which there will
he several. We estimate the profits oil
the present deal at 300 per cent"
The foregoing is a good example of th
| advertisements which appeared day afte
day for week. Sir John Kynnersley
who tusing another namc) had inserted
them, had not misiudgea their pToban
effect. AT the end OF the week he foun,
he had received quarter of a million
With that amount OF capital Grca
deal can be accomplished. Seeking th'
advice and assistance OF one OF the clev,
crest brokers on the London stock cX
change, Sir John sold some number o
bears very successfully: and then afte
quietly purchasing the entire capital o
a certain small and speculative limited
company, he continued buying until th'
brokers who had sold TO him hndin.
themselves unable 10 deliver the scrip
were glad to get out al the prico he suG
gcsted, which TO do him Justice, was IA
below the market quotation.
| This operation was repeated Twice o.
| thrice, always with the sane results. anc
Mt the end OF two months the syndicate
distributed dividend OF 20 per cent
| scriber received In addition for each G1
| two Gl shares in the Rhodesian Eolc
! minc previously mentioned, and Sill
| John paid the cash capital into an ac'
! manipulation had raised the quoted price
| Of the gold mine shares to los, INC
promise OF the adyertlsement apr apppears,c
| pointing out the inaGvsahility of putting
! so large number Of shares upon the
! market for realization. for the mere pur'
| in cash, and advising that the shares
should be held as an Investment ac-
J Compaued the share certificates and the
| hnal statement OF account. as an apology
for the course which had been pursued
| in winding up the syndicate.
Sir John kynnerslcy. having very
care fully liquidated and transferred ne
capital Of the company In "A perfectly
/ untraccablc manner before posting ih'
! scrip of his gold mine found himself q
/ dag or two after It's delivery sitting IN
/ the smoking room OF his club. scanninI
/ the financial papcrs for comment ON thl
| action OF the Money syndicate. Bu'
apparently no one had yet tumbled Il
! the fact that the syndicate had beer
! formed and had operated exclusively
/ with the final end In view of disposinH o'
! the gold mine.
/ SIR John was also puzzled greatly. tle
/ now possessed In round figures some slH
/ or seven hundred thousand pounds. NJ
/ of his friendS-lnd they wer" many
who knew him AS Sir John kvnncrscy
were perfectly awar" that his income
when he came into the tide. was oni>
! some c 100 TO G5cO peY annUm; and knew
! also that practically all his captal naa
/ been lost over the Inflated hlaCkiuS com
many. into the affairs OF which Aarol
koodooran. the tindn"icr. had BETRAYED
him. The baronct cared nouh!nS lpi
money tsclf but he did care exceeding
ly FOR the comfort and ease Of lie which
money could huy for him. He had nc
Intention of foregoing these. but hc haI
become much too willy man 10 sad
denly blossom into wealthy person
without providinE any explanation as l,
where that wealth had been derived
from. Society ne knew. Was very curl
Gus. and he could come TO no decision
But there were other forces AT work,
Tho Money syndicate. i'm the course pl
their preliminary operations mad beer
bearing certain stocks heavily and
somebody had been badly squeezed.
As the hnrone, subsequently ascertatncd,
II was koodOorian who had provided me
the Money syndicate had distributed I'm
cash Had nc thought. h" might have
known this from the beginning. Tor the
stockhrokor hc had consulted mad reason
TO hate Koodooriau almost as much as
had Sir John. and This The latter knew.
il was only natural therefore. 'hht thG
dealings of the Money syndicate should
possess no little interest for kOodrooriHu us
who by curious coincidence. was prob
ably tho only man in London. aud IN ne
financial game. whn personally knew the
locality I'm which the reputed gold mine
wss said to bc situated.
Bcmcmhering il ~ poEeriN STRICKEN
farm. he had been surprised 10 hear OF
its conversion into gold mining estate;
hut az no shares were rpt ON the market
al the tine. he had at first. very natur-
ally. concluded that geld had hecn found
there since hc had known the neighbor-
hood. But when the accounts OF me
Money syndicate were published <oo-
doorau smeled rat. and was probably
the first To- do so. lie at once saw that
resulted from the bear" operations.
which had ieft the capital intact The
whole Of this had been absorbed in the
purchase OF tho gold -mlnc shares. II
these were worth the quoted price. then
tho deal was a good one; otherwise II
was as closely akin 10 fraud AS was pos
sihlc.
Koodoorian soon satisfied himself that
there had never been any real dealings
in the shares. and that the price was
fictitious. lie Cahlcd cut to friendly
prospector in Rhodesia. and on recent Of
a reply. he communicated the result to
one OF the financial papers. writing a
letter TO the effect that the estate was
now. AS In the past. a farm. and a poor
one; that the occupant WINS totally ig-
norant Of anything in Tic nature OF gold
prospecting ever having taken place:
that careful examination had not re
vealed the slightest probability Of the
presence OF gold, and that no one was
aware any had ever been found In the
locality
And then the storm burst. The shares
came down with run. and an offer of n
small parcel at siXpence failed TO secure
purchaser INQUIRIES quickly proved
that the Gold Mine company had re-
Iinquished their registered office and dis
missed their secretary. and that the ad-
dresses Of the directors filed with the
government were no longer occupied, and
very likely even the names were fictiti-
Gus.
\ question was asked in the house Of
commons concerning the refusal of the
public prosecutor to interfere. The
attorney general. in sarcastic tones re-
piled that as far the gold mine was
concerned, no single solitary technical Of
fense had been committed and no share
holder could allegc that he had been
mised into an investment by the state
ments OF the directors In the prospectus.
for TWO simple reasons-the first of
which was that there never was q pros
pectus; and the second reason was that
as far az he could ascertain none of the
present shareholders had become so in
a bona fide manner. or by their own con-
sent. To buy an estate for E200. and
after changing its character to sell It
for e250 900, might be reprehcnsible but
was not In itself crime. He under
stood that in the city II was considered
good business"
So much for the Gold Mines company.
.l.. H.