Former Governor and U. S. Senator,
director of Diamond Co.
Among other things, an accomplice came forward by the name of Cooper, who admitted with noble candor that he was the author of the whole scheme, though unrighteously deprived by his welching partners of his just share of the spoils. Salting mines was the commonest thing in the past, and isn’t yet to be classed with the lost arts. Talking with Arnold and Clark, whom he knew personally, of how the “salting” of gold and silver mines had been overworked, he suggested the “salting” of a diamond field as a pleasing variation, and told how small diamonds, such as those used for drills, could be readily obtained. According to his story, Arnold and Slack bit greedily and a triumvirate was formed to carry on the fraud. This was nearly two years before the Janin examination. Cooper was undoubtedly a confederate, did a lot of advising and suggesting, but was kept in the dark concerning the most important details. Also, he was promised a liberal share in the booty and his confession was prompted chiefly by a desire for revenge. He gave Arnold and Slack the full credit for everything.
The statement of Cooper was made not only to the special investigating committee, but also to the grand jury of San Francisco. The latter body indicted no one.
On November 27 the trustees of the San Francisco and New York Mining and Commercial Company met for the last time. At this session it made a final report to the public, giving its brief history, the confidence placed in Tiffany appraisement and the report of Janin; the final statement that the properties it claimed to be diamondiferous were “salted” and that everyone had been cleverly duped. All its business was summarily suspended and its attorneys ordered to wind up its business at once.
Appended to the report were statements from Clarence King, describing his discoveries, from Henry Janin, confirming Clarence King, and admitting his former errors; also from Messrs. Colton, Fry and Bost, all denouncing the fraud.
If anything were lacking, news came from London that the diamonds we had sent there were coarse, almost valueless “niggerheads” from the South African fields, and had been purchased in bulk there from a dealer nearly a year before, who identified them perfectly.
The late diamond millionaires, who had been rather chesty, presented a sad spectacle on the street. They were pursued everywhere with jibes and jokes. Some of them went into retirement till the storm blew over. There never was a better illustration of the joy to be found in triumphing over the sorrow and discomfiture of others.