A typical example -- and not a fictitious one
-- of hundreds of knavish concerns foisted on
the public may be quoted. A certain company,
of which no prospectus has been issued, nor of
which anything is publicly known, appears in
the mining lists. One day, a paragraph in a
financial paper reports that the agent for the
mines, on the spot, has cabled that the promise
of success exceeds all expectations, that samples
of ore, yielding three ounces to the ton, have
been found, and that the necessary machinery
must be sent out at once. This is followed up
by an editorial leaderette (of course, paid for),
in which the writer expresses surprise that the
shares of so promising an enterprise should be
at so low a price, and predicting a rapid advance
when the work is further developed. These
notices effect their purpose to the extent of rais-
ing the quotations of the shares a few shillings,
but this is not enough for the promoter; a cir-
cular is next issued, in the usual way, to the effect
that the directors have been fortunate enough to
secure additional property near their own, which
furnishes wood and water, so essential to the
proper development of the mine, and including,
moreover, alluvial pits abounding in gold. An
elaborate lithographed sketch of the property,
with mines at work and a steam-engine, accom-
panies the circular, and the whole presents an
appearance of real business. The next move is