Charlevoix county herald., 1920-11-05

Mr.. Jernegan estimated the possible
returns at 72,OOO.O00 700 tons Of gold.
Boston went into frenzy. All New
England went into another frenzy. Mr..
Jernegan went to New York. where he
deposited $4,000 with one Of the larg-
est savings banks there. Soon after
he made another large deposit. The
deposits were checks. A few days al
ter this he drew out $4,000 and then
$4,000 In bills. Then the bank told
him that they didn't want his account.
He told New Workers. that he in
tended to issue 100000 shares Of
stock at 81 a share. Meanwhile. HIS
friend, one Frank w. Thompson"
took the money withdrawn from the
New York bank and between them the
pair bought $4,000 worth Of govern
ment bonds.
Machinery Never Came.
Meanwhile, at North Lubec, Me-. the
Marine Salts company" began opera
lions. A dam was raised, and when
the tide receded II left water twenty
feet deep behind the dam. This was
to be flowed over the "secret" ma
chine invented by Mr.. Jernegan, and
by "secret" process the metal plates,
called accumulators, were to gather the
gold from the sea.
More than 600 workmen were hired,
and the buildings were begun. BY this
time 100000 shares of the stock had
been sold and the capital was in the
hands of the ex-clergyman who had
had the vision"
To work the plant at its proper ca
pacity, machinery. of course, was nee
essary. Mr.. Jernegan and his partner
boarded French liner for LeHavre.
France. to get the machinery. Mr..
Jernegan took passage as Louis Sim
clair of Chicago" with "the necessary
funds"-that is. all Of them.
The day after his departure gold
ceased to crystalline on the plates Of
that marvellous "secret" machine up In
Lubec, Me. The company suspended
business and the 600 workmen on the
new buildings were out of job.
The shareholders In "ElectrOlytie
Marine Salts company" were without
their money, too. The gold crystals
on the plates had been planted"
Iu spite Of efforts to bring about ex-
tradition, Jernegan and his pal es-
capped in France. They later sent some
of their, money back to clear up the
activities of the company, but they did
not move back to Boston.
$50 Per Cent Miller.
Not more than twenty years ago
there was another such scheme for
overnight wealth. the notorious Frank
lin syndicate. which was pledged to
pay its investors $40 per cent. This
syndicate, the product Of the brain of
William Franklin Miller, had pictur-
esque offices and enormous nerve and
started In New York.
The plan was after the fashion of
"the endless chain" Gold was to flow
forever to the depOsitors. at the rate
of ten per cent week. Any sum was
acceptable to Mr.. Miller. When the
scheme collapsed there was 3.110
creditors and claims for $23S,000,
which were not finally cleared up un-
I'll fifteen years ago.
So the story runs, year after year.
The Luck Box" is an affair Of only
To make ones fortune
without an effort, to hope desperately
for good luck" In taking a chance"
to find silver mine or become heir to
a kingdom, to dig for Kidd's treasure
or to buy machine which will turn
out crisp new bank notes In legal
above all. to avoid as much
work as possible In the whole affair,
has been LSman trait ever since
Adam Jared forth from Eden, where
he was not. bothered with such
draomo