The Idaho Republican. [volume] (Blackfoot, Idaho) 1904-1932, 1919-12-05

evidence that systematic oil we'll swim
dies are being perpetrated on an ex.
tensive scale In Texas, no way has as
yet been discovered for bringing Offend
ers within the reaches of the law.
1t has been found that the so-called
"blue-sky" law of Texas is practically
worthless, so far as preventing the
organization Of irresponsible oil COM
panies and the sale of stock which has
no value.
It is in the wildcat well-drilling
game that the biggest swindles are
pulled of. It has been proved time
after time that 1t is possible for a man
or set Of men with an initial capital Of
$4,000 to easily make a profit Of
100000 to 100000 within period Of
few months at the game Of drilling
wells in wildcat territory. The money
In most instances comes from the PEG.
pie Of the community in which the fake
well is drilled. There is hardly a coun.
ty In Texas that has not been the
scene Of one or more well-drilling oper-
atoms Of this kind. OF course, there
are great many legitimate companies
that are drilling or have drilled Wild
cat wells, and in many instances these
holes have had to be abandoned, for
one reason or another, before they
were completed. It is the professional
swindler Of whom the land owners and
people generally are beginning to com.
plain loudly. Enormous blocks of
stocks Of these swindling companies
have been sold to people outside Of
Texas.
How Il Is Worked.
J. g. Burkett Of Taylor county de.
scribes how the wildcat oil well men
operate:
"All at once there will appear upon
the streets Of the town two or three
strangers, and in a few days they will
let 1t out in some way that they are
making Investigations to know If there
are men in the section who will lease
their land for oil purposes. They walk
about among the farmers and ranch.
men and soon secure 5000 or 10000
acres for a dollar an acre or less.
"Then they send for an expert geol-
ogist to 60 over the land and locate q !
place to put in a well. He makes
an examination and gives favorable
report. In a short time a man is EN-.
ployed to put down well, and in a
few weeks the derrick is put up, and
the owners Of the leases begin to make
arrangements to sell leases at high
prices. After the well Is down 800 or
400 feet, the owners of the leases make
1t known that the log of the well is
first class-just like the wells at
Ranger, Caddo, or some other oil field.
This creates a little more excitement
and some of the leases that cost so
cents or dollar now sell for S. or $40
per acre. But the greatest excitement
has not come yet. Wait until, they get
down about 1900 feet and then see
what will take place.
"All at once the report goes out like
wildfire over the town and the coun.
try where the well is located that they
have struck showing Of gas and
the excitement runs a little higher
and leases 60 up again.
IF you are not careful q bit will
get hung about this time, but it may
be a little later on.
Then Comes the Cleanup.
"When they get down about 100 feet
farther, then the thing comes off just
light; they strike a showing Of oil.
By this time the oil dealers are wild
With excitement and the leases 60 up
lgain.
"Now they get ready and put a guard
lbout the well and allow no one ex.
.ept some oil expert to go about
t. Soon afterward bit gets hung OF
| casing is pulled apart, and there is
! six-weeks' delay, and during this de-
ay the owners get busy and sell at
everal thousand dollars per acre near
he well.
"Just as soon as the excitement be.
'ins to die down they send out q re-
'ort that the bit Is hung and it is Inn
ossible to pull 1t, and they take down
be derrick and leave the country with
fine bag Of money and the commu.
ity in wonder as to why they did not
ct more than showing Of OIL"
The takers got just what they went
fter-the peoples money, and when
hey got that they pulled up and left.
nee in a hundred times 1t may be
nat such men really find oil and the
eighbors make money, but in most
Asses the well is a fake and poor men
nd women are stripped Of their