ery gravelly indeed, and it was determined that we should
buy a small battery and begin to crush the quartz from which the gold
was supposed to flow in a Pactolian stream. We negotiated for that
battery through a Cape Town firm of engineers--but why follow the
melancholy business in all its details? The shares began to decrease in
value. They shrank to their original price of L1, then to 15s., then
to 10s. Jacob, he was managing director, explained to me that it
was necessary to "support the market," as he was already doing to an
enormous extent, and that I as chairman ought to take a "lead in this
good work" in order to show my faith in the concern.

I took a lead to the extent of another L500, which was all that I could
afford. I admit that it was a shock to such trust in human nature as
remained to me when I discovered subsequently that the 1,000 shares
which I bought for my L500 had really been the property of Jacob,
although they appeared to be sold to me in various other names.

The crisis came at last, for before that battery was delivered our
available funds were exhausted, and no one would subscribe another
halfpenny. Debentures, it is true, had been issued and taken up to the
extent of about L1,000 out of the L5,000 offered, though who bought them
remained at the time a mystery to me. Ultimately a meeting was called to
consider the question of liquidating the company, and at this meeting,
after three sleepless nights, I occupied the chair.

When I entered the room, to my amazement I found that of the five
directors only one was present besides myself, an honest old retired
sea captain who had bought and paid for 300 shares. Jacob and the two
friends who represented his interests had, it appeared, taken ship that
morning for Cape Town, whither they were summoned to attend various
relatives who had been seized with illness.

It was a stormy meeting at first. I explained the position to the best
of my ability, and when I had finished was assailed with a number of
questions which I could not answer to the satisfaction of myself or
of anybody else. Then a gentleman, the owner of ten shares, who had
evidently been drinking, suggested in plain language that I had cheated
the shareholders by issuing false reports.

I jumped up in a fury and, although he was twice my size, asked him to
come and argue the question outside, whereon he promptly went away. This
incident excited a laugh, and then the whole truth came ou