New-York tribune., 1912-03-17

poets which they work on. Some legitimate
prospectors make fortunes. but they are
few, very few, and far between. The fraud
artist, upon finding show OF ore. VIII
organize a company. capitalize IL for one
or ten million dollars and then put the
stock In the hands OF a selling agent, along
with his false printed matter and his lying
statements. a friend once asked me: What
is a prospect" told him my idea Of a
prospect was a hole In tho ground owned
by liar. II would be impossible TO esti-
mate the number OF millions Of dollars the
American people have dumped into rotten
mining prospects in the hope that II they
should yield gold It would make them rich'
After all is said and done. II is the gambling
spirit OF the American people upon when
these fraud vultures feed.
THE UNITED WIRELESS SCHEME.
Many kinds Of business are used to base
fraud schemes on. We had what is called
the United Wireless cases recently. which
Is possibly the best sample that can be
given. The United Wireless Company took
advantage of the invention OF the wireless
telegraph. They organized a mlion-dollar
corporation, led the people to believe by
literature that they were going to do a
large commercial business, and undertook
10 establish on the tops OF various buildings
in large cities high poles which were sup
posed to be the instruments through which
communication was had between the sta
tions. Few instances are noted where COM
mercial messages were actually exchanged.
these poles being erected apparently for the
purpose of sending stock selling agents over
the country. calling attention to the fact
that they were in n new and wonderful
commercial field. OF all the money that
was received from the sale OF stock. about
80 per cent went into the pockets OF these
selling agents, and the balance to the fraud
promoters. and when the balance sheet was
made up II was found that practically no
commercial business had been done between
the city stations OF any character at all. II
subsequently developed that the promoters
were the principal owners OF the stock SELL
ing agency company"
Among the old types OF schemes. which
are still being worked to-day. were those
which depended for their revenue upon
what may be termed catch-penny advertise
ments. For example, articles offered .or
sale are described I'm misleading language,
but so ambiguously as to render 1t posi-
BILE for the advertiser 10 answer complaints
by saying the complainant had miscon-
strued the advertisement. Readers were
induced to believe that they could obtain
valuable jewelry for a small sum of money
by the description OF such Jewelry as
"solld-g gold laid" or German silver" The
jewery actually furnished was OF a cheap
variety. and the only gold or silver in .ts
makeup was an external wash of one OF
these metals of practically no thickness.
WoRk-AT-HOME" SWINDLEs.
So-called work at home" schemes have
vlctimized many women. The usual plan
is to advertise for women to do work at
home for which a reasonable compensation
will be paid. II is always a condition pre-
cedent however, that the worker buy from
the advertiser a typewriter or sewing
machine with which to do the work, or a
sample or model OF the article to be copied.
The interest OF the advertiser ends with
the sale Of these goods, and women who