It seems the directors had carried on with the drilling after company funds were exhausted, incurring personal obligations, and stopped the drill when approximating the required depth for a strike, with a large deficit—which, with our contribution, was now reduced to something like $9,000. While in the office of the physician-surgeon-secretary going over the books, the banker—of German extraction, if not the whole thing—came in, and nodding toward a back room, said as if in great distress, “Dokther—I’ve got a stick in the eye.”
I decided that I ought not vote for the increase of stock—and, without leave, came home on Sunday. One of our group, an ex-businessman, attended the meeting on his own hook to get first hand knowledge of the situation. He wired Joe Searles Monday afternoon, saying, “Bristow absent; could I vote the proxies?” I told Joe to wire him, “Yes—if you have them.” I had just turned them in to Joe. In a couple of days Searles got a long letter from him—written by a stenographer in Kansas City—berating me for running out on them, and boasting of the business-like interest he himself had taken in the meeting, saying, “I stayed with them until we got in proxies enough the next day to get the money—and I bought $250 worth more of the stock.” He did not say—probably didn’t know—if his purchase was of the newly voted stock, or from the old issue. I had a strong suspicion that we had all ready bought and paid for a generous take of the newly voted stock—and got short changed as well.
I had called on that “stick-in-the-eye” banker a short while before, and obtained from him the log of a producing well recently brought in by Frank Letson and associates in the Enid field—and this, I think, might have been what had alerted the banker; or, maybe, the president had sent his partner scurrying in to forestall an admission of their questionable finagling. I wanted that log to compare with the log of “our” drilling, which I had obtained from “our” president. Then, too, Frank Letson was a younger brother of Ed and Ella Letson who were my schoolmates in Wetmore, when their father, Bill Letson, owned a general store here; before going to Netawaka to engage in like business. I had called at the Fleming and Letson bank in Enid two days before, but did not get to see either of my old acquaintances.
The Fleming bank, now an imposing brick structure having tall columns, on the east side of the square, was started on the south side, opposite the land office, in a small frame building in the new town after the opening of the Cherokee strip, in 1893. I also had occasion to call at the old bank about six months after the opening, to get a paper notarized.
Attorney Elwin Campfield, in the law office of John Curran, formerly of Seneca, on the west side of the Enid square, filled out relinquishing papers for me, without charge—we had been neighbors in the Bleisener building in Wetmore—and suggested that I wait in the Curran office a few minutes when he would have one of the office force notarize it for me, presumedly also without charge—a small matter hardly worth waiting for. Up here the fee for such service was then, and still is, twenty-five cents. I told Elwin I would go over to the Fleming bank and get it notarized, that I wanted to pay my respects to Ollie, anyway. 01 had grabbed off, at Netawaka, a red headed girl (Ella Letson) whom I had thought pretty nice when we were care-free kids running wild on the streets of Wetmore in the early days.
Well, 01 was sure glad to see me—and he would gladly remember me to Ella. When he had returned the notarized paper to me, I said, “How much, 01?” He said, “Five dollars!” I shot him a wordless blank look. He laughed, and said, “Oh, give me two-and-a-half.” There had been a time in that frontier town when one could get most anything asked for services, but that time was now over and passed—half-over, anyway.
That officious Wetmore man was in Dr. Lapham’s office when I reported my findings. I told the group that I had spoken only for myself when I gave those finaglers my word that I was not there to make trouble—that I had to do this to get them to open up. I told the group that I had no desire to pursue the matter further, but that they themselves were not barred; that any one of them who might wish to, could notify the Blue Sky Board in Topeka—and the Board would do the rest.
The man who had taken matters in his own hands and helped put over the vote for the increase of capital stock without the formality of first finding out what it was all about, popped up and said, “You had no right to tell them that.” He insisted that I should make the complaint. And the surprising thing is, he had some supporters. There were some hard losers in the group. I had not made the investigation with the intention of filing a complaint—wouldn’t have accepted the assignment had it carried any such provision. I don’t like fussing.
Then, too, the president and the land owner had not solicited me to buy stock, nor made promise to me that the fund would be used to complete the well. Their contact had been with Dr. Lapham and other members of the group. I went in with them solely because my neighbors had invited me to join them, and because I didn’t want to stand idly by—and watch them make a “killing.” However, on invitation, I went up to Dr. Lapham’s office at the virtual close of a “pep” meeting, after the check-writing had begun. I asked for information as to how the company was organized—particularly as to whether or not the stock was non-assessable? The president and the land-owner really didn’t know. But they went to Topeka the next day and secured a transcript of the incorporation papers, which were acceptable. And I was invited to go before the adjourned meeting the following evening, and voice my approval. Then the check writing was resumed.
Also, my conscience told me, in a flash, that it would be a rather poor spirited person who should wish to send his neighbor “up” for the mistake of keeping bad company. It looked as if our old farmer-neighbor had been caught in between two fires, and didn’t know which way to “jump”—or worse still, that there was now no open way out. Thus, it may be said, that our old Bancroft farmer-friend, in his most uncomfortable position, was comparable to the banker held as hostage by a bold gang of robbers who had just looted his bank. I know. I spent two days with the dispirited old man in the oil field.
The Blue Sky Board was fostered to check on promotions whose stocks were strongly, if not wholly, tinctured with the azure blue. Along about 1905-06-07 questionable promotions—mostly mining—sprang up all over the country. Kansas City had several going full blast at one time. I had occasion to call on one of them; had arranged the meeting through correspondence. I entered a very large room where perhaps thirty or forty girl-typists were busily preparing literature to be sent out by mail to inquirers secured through newspaper advertisements. The printed portion of the literature had been prepared by “experts” copy-writers—and it is surprising how those fellows could make an inferior proposition appeal to the gullible.
The Fiscal Agent’s secretary, or outside girl, stationed near his private office—he had a better looking secretary in his office—said she believed the “boss” was not in. I gave her my name and stated my business. She went into the private office, and returned saying, Mr. so-and-so would see me. However, had I been a questionable caller, the outside girl would have told me upon returning that he was not in, and that she had learned from his inside secretary that he had gone out of town and would not be back that day. This was the system. The “boss” did not want to see any of his subscribers—nor an officer of the law.
One of those Kansas City promotion companies was selling stock in what was called a Ten Million Dollar Development—that is, ten million shares, par-value one dollar, sold at two cents a share, the idea being to offer the purchaser a lot for little money, out in our mining district in Nevada. It was highly advertised as the “Extension of the Great (Searchlight) Quartette Vein.” The outfit was actually sinking a shaft about a half-mile out in the valley west of the mountain-situated Quartette mine—a rich gold producer—without reasonable chance of picking up anything in the way of values. Too many promotions like this were victimizing the people. The Blue Sky Board’s function was to keep them out of Kansas.
In our own mine promotion, I did some newspaper advertising in Topeka—but, first, I had to get a clearance from the Blue Sky Board (in Bank Commissioner Dolley’s office) showing that our company was on the square; that the stock was a fair risk; that purchasers were fully and truthfully informed; and most important of all, that the purchasers would get a run for their money—meaning that the money so collected must not be used in paying for a “dead horse.”
On full-page advertising in a number of papers, I received on the average one inquiry for each 3,000 circulation—but I sold practically all of them. This was only about one-hundredth part of the returns the Kansas City fellows were getting. And I had strong copy, too. The newspaper boys said it was unusually strong. But I made the mistake—from the promoter’s view point—of telling the readers the truth, that we had not carried the proposition to a point where we were about ready to begin handing out dividends, which was the Kansas City boy’s big drawing card. This was costing too much—and I discontinued selling the stock, hoping that we might yet find an Agent who would have better luck. We used up the funds on hand; then went at it individually again. And the six miners continued on the job, taking their full wages in our treasury stock.
Let it be understood that the mining stock I sold was far from being in the blue sky class—and that the job of selling it was “wished” on me. While in the process of incorporating, our president, Frank Williams, had made tentative arrangements with Los Angeles “Fiscal Agents”—that’s what they called themselves then—to sell our treasury stock, but failed to conclude a satisfactory contract with them. He had encountered the same questionable line of approach out there that caused me to turn down the Kansas City “Fiscal Agents.”
Might say that in the first place, on his recommendation, I had joined Frank Williams in the purchase of the initial lead-zinc-vanadium claim—only lead discovered then—on which our corporation was mainly based. Included in the corporation also were three (gold) claims in the Crescent district, owned by Frank and his brother Tommy Williams, A. M. Harter, and Jonah Jones. These Crescent claims were taken in on a basis of one-sixth of the combined value. Our lead claim had the further approval of that veteran millionaire miner, Green Campbell—indeed, had he not died suddenly of pneumonia, Green, instead of I, would have been Frank’s partner. Frank had been with Green Campbell, and his uncle Elwood Thomas—all three of the men former Wetmore citizens, in the Goodsprings district for twelve years, at that time.
Then, too, those Crescent gold claims held appeal. What think you that your heart would have done to you, had you been able to go out on your own holdings and scrape up dirt—disintegrated rock, assaying $544 gold to the ton—at a time when the fabulous production of the not too distant Comstock mines in Nevada, with less glowing beginning, was being proclaimed all over the land as having saved the credit of the Nation during Civil War days.
And, by the way, isn’t it about time for us to dig again?
Please—somebody, anybody, everybody—pray with me for a redeeming Comstock as of yore, only let it be such stepped up magnitude as to save, beyond the possibility of a slip, the credit of our Uncle Sam, even in his magnanimous undertaking to tide, piggyback, all those unstable old country states over the troubled waters of world unrest—in an effort to convince a certain belligerent-minded Old World character that war is, a la Sherman, indeed “hell.”
But remember, mines are made—not found.
Before incorporating, we (Frank and I), worked the lead claim for nearly two years—or rather, Frank did the work and I paid him one-half of the prevailing miner’s wage. We were trying our best to make a paying mine of it—and may I say that, encouraged by occasional shipments, there were times when we believed we were right at the door of accomplishment.
The point I’m trying to stress here is, that we did not acquire the mining claims for the purpose of launching a stock-selling enterprise, as was so of ter done about that time. But we learned that more often than not even promising mining prospects require the expenditure of more money than we, as individuals, could devote to it—hence the incorporation.
Thus it is that, in the fullness of Time, I have tried mining—to the tune of Six Thousand Dollars, plus; out of pocket—and I’ve tried oil, not once but three times; and I’ve even tried real estate speculation in the boom days of Port Arthur, Texas—all avenues leading up to the coveted get-rich-quick-field—and so help me, I have never taken down a dollar.
I promised my companion of the day that I wouldn’t tell about our “investments” in Port Arthur town lots. But that was a long time ago, between the time he was elected Governor of Kansas, from Nemaha County, and the time he served as Governor of the Federal Reserve Bank in Kansas City, Missouri. So I opine that it doesn’t matter now, since he is safely beyond the pale of political patronage. In the new boom town of Port Arthur that warm January day about the turn of the century, the “boomers” showed us the location, with rock foundation all ready in place, for a bank building, with brick enough piled on the site to build an edifice big enough to house all the money in the world. But the most revealing report I ever got from my friend, the Governor, on our investments, was that the restless bank foundation and its companion brick pile had gone on the prowl, virtually slipped from one end of the plotted business section to the other end, taking now and then a rest period.
The old regulars in our group of “investors” are about all dead now—or have dropped the Big Idea. Joe Searles, at present prescription clerk in a Sabetha drugstore, never in too deeply with the old group, is in line to get his now. He has taken on both leases and royalties in the Strahm field. The development so far has been done by the Carter Oil Company, holding most of the leases. But private interests are trafficking in royalties in a big way. Should Joe make good—that is, break into the big money where the Internal Revenue take would warrant him in throwing away a portion of his winnings in “wildcatting,” I suggest that he come home—and finish the Haigh-Lapham oil test. This—and other betterments for the old home town—is what I planned on doing, had I become burdened with mine-made money.
Also, let it be understood that I took no part in the organization of our group of “investors,” or the promotion of any of our oil speculations.
And now a last word.
Since it appeared that our Southern Kansas co-partners had risked their own money, or more likely their credit, in completing the drilling, incurring disappointment—and, crowded by an unseen hand, (which I believe I could have put my finger on), had taken the wrong way out of the dilemma, and if I were not mistaken they yet had a long, long way to go to get out of the woods; so then, let us be lenient. Why say an unkind word about your neighbor—when it gets you nothing? Don’t know if they ever sold any more of the newly voted stock, or if they did any more drilling. Never heard from them again.
In tolerance of human frailty, let me say that our old Bancroft farmer-friend, allied with keener personalities, had always been a reputable man—that the doctor-secretary, and the merchant-prince apparently stood high among their fellowmen—and then there was Ella J., holder of some mining stock. But, even so, had I not lost interest in the investigation, considered it hopeless, I believe I could have found “sticks” in more than one eye.