FOOLS AND THEIR MONEY.

Taranaki Daily News, Volume L, Issue 60, 24 August 1907, Page 3

FOOLS AND THEIR MONEY.

The story cf the Madagascar syndicate exposed by the Daily .Express, of I which we had a very brief account by I cable, is truly, "a dazzling revelation of the depths of human credulity and the blind confidence shown in schemes of the wildest improbability." If such a Bchemo were described in an ovel it .would be criticised as too fantastic for | anything. The leading spirits are said to have been two elderly women and a negro. The two women confided to their friends that a. ''dear friend" had made thein a present of 32,000 square vnilee in Madagascar. This "dear friend's" name could not be divulged. His kindness ivas because "he thought we had been kind to him when passing through sadneas—a wonderful sense of gratitude for small friendliness." People were promised fabulous profits if they invested their savings, and shareholders were secured in the name of charity. Operations seem to have been conducted among the poorer middle class, and the promoter? expressly stated that they wanted only investors who were capable of utilising wisely the vast wealth that would come to them. The only documents to justify the appeal for funds soeui to have been a deed of gift stamped with a sixpenny stamp, the name oi the donor being covered over, and a map of Madagascar with the territory marked oil' on it. Incredible as it may eeem, hundreds 6/ people were induced to put their savings into the scheme. Two stipulations were liiade, that the investor should be "quite deserving of good fortune," and that he or she should swear not to divulge a word of "our great secret." To every investor a stamped document was given promising twenty times the amount of his contributions in £1 shares. Some were told that they would soon have £20,000 for each £IOO invested. This secret was actually kept for seven years. The company, of which the capital was to be £10,000,000, was always just about to be floated, but some difficulty cropped up. At length a solicitor came into the circle on behalf of some clients who had been fascinated by tho lady's combination of charity and financial allurement, and, not being satisfied with the look of the affair, wrote to the French Colonial Office. The reply stated that there was no sitch estate in Madagascar, so tho solicitor demanded his clients' money back, and got it He also warned the enterprising promoter, but the game seems to have gone on merrily till the Daily Express let out the secret.