My Adventures with Your Money

nd Fall of

. My cash capital, tightly placed in my pocket, was $7.30, and I

ent was the great Galveston cyclonic hurricane in which 15,000 lives were lost and $100,000,000 in property was destroyed. I covered that catastrophe for the New York Herald a

acetrack friend, Dave Campbell. His face wore a hardy, healthful

a drink,

nd I must have a cigar," I answere

" he said, "and you can

were forthcoming. We sat down. It was a café with

t on the horses?

bet down in more than

from Frank Mead at New Orleans, and it

work recently. I think he's fit and ready and that within the next few days they will pla

New York Morning Telegraph from the table. Turning the pages, I noticed a number of tipsters

F AN IDEA T

e make money?"

ecause the ads have been running

ds accomplish, and particularly from an information bureau which might give real

e entries," s

ated, "By Jiminy! Here's Silve

idence st

advertisement," I said. "

upplied.

r Last

VER

-d

ew O

Win At

I must have a name for

age containing the entries for that day at the New

od name. I'll use it. Now for

bell. "How's tha

ted the trade-ma

information were $5 per day and $25 per week, and that the day after next M

some rooms to let. I engaged one of these for $15 a month-no pay for a week. Two tin signs were ordered painted, bearing the inscript

adieu, Campbell ex

eme. How can you make any money giving

nd see!"

egraph office, then on Fo

$7 worth of space," I said,

ppointing. The space occupied was only fifty-six agate lines, or four

Maxim & Gay. Luckily, a former tenant had left a desk and a chair

t. Answer my question, and no matter what way you ans

up in a

big money. If your dope is on the level, I'll bet a 'gob.' If it ain't, y

the letter fr

for me," he said,

won easily

he New York City pool-rooms at that time controlled by "Jimmy" Mahoney were literally "burned up" with winning wagers. Pool-room habitués argued it thus: "If the tip is not 'a good thing,' what object in the w

THEMATICS OF

e horse, the most that Maxim & Gay could win would be $70. I was taking the same losing risk as the bettor, with a greater chance for gain. By investi

vincing on the point that there was no money in the tipster branch of the horse-racing game. I argued that if the racing public would not believe that an Information Bureau was what it cracked itself up to be, in the face of a positive demonstr

that he had received another "good thing" by telegraph from Mead and tha

ly get a few customers to-day and

e get ten subscribers to-day to start wi

in which the Maxim & Gay Company had its modest little office, our attention turn

sale of seats to-d

now," I

uilding. As we ambled up the rickety stairs, we passed the crowd in line, one by o

lked in, locked the d

ed, "In heaven's name, what h

e Lauretta," c

nie don't win,"

ll. "Are you going to turn

hat telegram

t over and

on to warrant advising people to put a wager on ano

ss the way, was sent for and asked to strike off the name "Annie Lauretta" 500 or 1,000 times on slips of paper.

k, and when that became choked, I stuffed it in the left-hand drawer. Finally, the money came so thick and fast that I picked up the waste-paper basket from

irst race at New Orleans, the crowd thronged in and out of our office. When the l

sked Campbell. "What's my

do you wan

ars a day

e $10 and he admitted it was more

e do next?"

e office until after the fourth race,

news ticker to see what would happen to Annie. It wa

k-tick-tick," it

lost!"

ALPENA

as grim

k-ti

is!" yelle

1, first, 20 to 1, second, and 10 to 1, third, and that those who had p

re dealer to furnish it sumptuously. At night I walked over to the Morning Telegraph office, laid $250 on the counter, ordered inserted a flaring full-page ad

could be obtained from handicappers, clockers, trainers and every other source he could reach. Mead continued to wire daily the name of one

when the business netted over $20,000 profits. At the height of its career, in the summer of 1902, at the Saratoga race meeting, wh

, in addition, we had a large clientele in distant cities to whom we sent the information by telegraph. The wire business, in fact, increased to such an ex

, was in not risking the same amount on every selection. Had I done this, I would not have suffered serious losses. The trouble was that every time a hor

ed to upwards of $1,000 a week, and it was not only our boast, but a

ble information was honest, and what young man of my age and of my experiences, having indulged

urf, leading bookmakers and many leaders of both sexes in the smart set. Maxim & Gay made it a rule to

E BEST BET"

splay advertisements a nomenclature of the turf that had never before been heard except in the vicinity of the stables, and we coined words and phrases to suit almost every occasion. The word "cl

ulgar, the theory being that, if we could convince professional horsemen that we

an went Maxim & Gay "one better" in the use of race-track terminology. He evidently employed a number of negro clockers, for the horse lingo which he used in his advertisem

e sheet that he sent out to his customers, he would name for every race at least five horses as having a chance to win. He advised his clients, in varying terms, to bet on every one of them, and if an

lloquialisms and exaggerated claims, and thus nauseate the betting public and "put the kibosh" on Dan. We created a fictitious advertiser whom we named "

O

nfo. M

Daily; $

, as a sample of his line of "dope," four or five horses to win each race, each one in more grandiloquent terms than

taken off my feet the next day when she informed me that the receipts, as a result of the first advertisement, were

he "outsiders" which "Two Spot" named derisiv

the "Two Spot" venture would net $1,000 a week if continued. "Two Spot" then went af

d to have selected a winner when it had not, while "Two Spot" enjoying the same source of information as Maxim & Gay, worded his daily advices to clien

ut short within a month by a realization on our part that we could not afford to be identified with such an enterprise, was divided among the employees of th

advertising put out by "Two Spot," and for which the publi

y winks in the barn of Commando, I heard him whinny to Butterfly and tell her to keep out of his way to-day because he was going to "tin-can" it

DE TURF I

t to the post a mare named Smoke. Our information was that the mare would win, and our selections for the day named her to win-and she did. Two days later, she was again entered, against an inferior cla

will be favorite, but she will n

placed large wagers on the horse with the bookmakers. The bulk of the public's money, however,

led into the stretch, when up

e were so positive that Smoke would lose. Mr. Whitney, I was informed, was actually suspicious that

d too fast, and that her first race, instead of putting her on edge, had caused a setback. Her first race, in fact, had "soured" her. Being a veteran horseman, he was positiv

ASKS TO B

the truth, and we didn't point it out in our advertisements, because our policy

Wimmer, trainer for Captain S. S. Brown of Pittsburg, and John Rogers, trainer for William C. Whitney, were at this early period at various times the rumored sponsors for Maxim & Gay. The bookmakers and "talent" generally conceived the idea that nobody but a very competent trainer in the confidence of horse owners could possibly b

ff considerably. "Bismarck" Korn, the well-known German book

asses, sported a cane, und vore tailor-made cloding. You lo

ng money under false bredenses. I gafe your gompany dwendy-fife dollars a

ime you can put one over on the Weisenheimers that have been making

ttering. But it was poor business, because most of these professional race

r met him at the train, and, although it didn't rain and the sun didn't shine, an umbrella was raised to cover John L. while walking from the train to a waiting landau. No sooner did Sullivan enter the vehicle than the blinds were drawn. When the carria

c gaze. His face was not seen by a single citizen o

ield Sullivan from the popular view prior to his app

, they wouldn't go to see him. The public demand that they be mystified, and to have shown people off the sta

sing as to who was directing its destinies, the organization was a howling success. Its good periods were mixed with bad periods after the m

be run on the following Saturday had revealed to him a "soft spot for a sure winner," as he expressed himself, a

r the "good thing" on Saturday. Our advertisement o

illing of

Off at She

day, at

o Have a

ph Us $

orm

s among the first to whom we telegraphed the information

lle customer, reading as follows: "The hog-killing came

habitué reached us, reading: "Goo

sions when our selections failed to win and our customers lost th

r a big betting coup by Dave Gideon, one of the cleverest horsemen in the country. Following our customary method

TIC HOG

de Informati

hould Win T

Put Half of

f Bus

o Have a

ne. Te

r information came from a secret source, and, further, that we had spent legitimately a snug sum of money to secure the information. We also pointed

run. The horse did not

eavily advertised "good things" lost. One of the most unique of these epistles

was tempted by your advertising bait and fell-and fell heavily with my entire bank roll. My bucolic tra

ave no fear of you as a competitor in the pork-sticking line, for far from mak

s tr

-

STORED BY A

" and the patronage of the Bureau fell away to almost nothing. At this period I was seriously ill and confined to my ho

ry day and receive a bundle of envelopes containing the tips on the races, and then immediate

paper instead of the mimeographed list of tips. When a handful of town customers reached the office,

ack messengers that apparently a mistake had been made, as their envelopes con

We will send a messenger

r never reac

re no ti

y J. won at od

g that Maxim & Gay had tipped May J. at 200 to 1 as the day's "One Best Bet."

RACE PLAY

ng credit for May J. at 200 to 1, the office was thronged with new customers who enrolled for weekly subscriptions at a rate that pu

laying $5 down on the desk, said, "Give me your good things. I

ou buy your

he entrance to the

time?" he

to two,"

rning who said they were not sure we gave out that selection at all.

n and the caller swore that he had bought the Maxim & Gay tips at the

information as to how he came to secure such an affidavit, he gave absolute assurance that he did not offer the customer the smalles

t had been done as a result of misplaced energy, and th

ES HER MOOD A

e selection of winners at big odds, and, within a month our net earnings again reached $20,000 per week. Horse ow

hink of putting down a bet without first consulting Maxim & Gay's selections. On a notable occasion, this lady arrived at the gate of the Morris Park race-track with her husba

not reminding her to buy the selections. They had a short but earnest interview, which was suddenly terminated by the young man doing a sprint of a

se selected by Maxim & Gay for the first race, the race having been run and the Maxim & Gay selection having won. The gentleman thereupon got a curtain lecture from his better half that astonished and amused the society patrons on the club-house balcon

and owner of a big breeding farm and a stable of runners. He was an ardent lover of horses, and maintained that his native Kentucky knowledge of thoroughbreds af

Y COLONEL F

epishly stated that one of his "fool friends" had asked him to step in and get our "fool selections" for him. We explained that it was against our rule to give out our choices before 12:30

y of our selections winning from day to day, and Colonel Pepper had cause for exultation. On one of these days we divulged, on our racing sheet, the name of a "sleeper" that we were confid

e could just fall down, get up again and then "roll home alone." The horse did not fall down; but he won; he "rolled home alone" by about ten lengths. He belonged to Colonel Pepper. It wa

ng his cane down on the big mahogany table, he demanded in stentorian tones: "What in the -- does this -- business mean? Here I come and subscribe my good

ate Colonel, who had no compunctions in winning a big bet on Mr. Ma

ed the betting odds for him and that but for the vigilance of our clockers his winnings would have been twice as large. This was t

matics of the game. In order to show them that they didn't know all about it, the Ma

PAY

EFUN

Horse W

NE BE

s Not Win,

d Our $5 F

the Informat

lient an E

of Fo

o-day for O

the Horse

ay You $6

& GA

horse did not win. We refunded $6,000 next day, and

ay, the bookmakers laid only one dollar against every six bet by the public. The other horse rul

0 on the contending horse at odds of 5 to 1, drawing down $4,000 in winnings. From this money it paid its clients

refund any money and would have been ahead $4,000 on the operation, the $1,000 wagered and in that event lost in the betting ring on the other horse being

makers could not at first figure it out. Nearly all of them subscribed for

BLIC'S MONEY A

practice of selling tips only, and to bet the money of the American public on the horses at the race-track in whatever sums they wished to send. The company employe

y career, I recall that the whole enterprise appeared to me in the light of an experiment-just trying out an idea, and having a lot of fun doing it. Because of its dazzling success I became so confi

,000 worth of display advertising to run in thirty leading newspapers in the United States four days a week

alled at the post-office, and asked if there was any mail for Maxim & Gay. The post-office clerk appeared to be startled. He gazed at me as if he were w

inute," h

d to me to be a United States deputy marshal ambled up to my

building, and a few minutes later a post-office official

e trouble?

and all about yourself before we will answer any of your questio

dvertising, the

he Postmaster, vouching for my identity. Thereupon I was informed that there were 1,650 pieces of registered mail, evidently containing currency, and, in addition, twelve sacks of first-class mail matter,

ned the letters and stayed with the job for two days, the task was not completed when the first

, and our total receipts for t

f money-making at New

further contracted to settle with customers only at the closing odds for bets placed, retaining for ourselves the diff

race, naming the horse their money was to be wagered on; and this was always done. An honest effort, too, was always made to pick a horse that was likely to win, for even a child can see that if we did not inten

he money of our clients

ays-exce

LOST AND W

orse was known to be partial to a dry track. The "dope" said he could not win in heavy going. It was a beautiful sunshiny morning wh

ing ha

horse to win under such conditions, appeared in the judges' stand and asked permission to scratch their entry. The judges refused. I asked Sol Lichtenstein, who had the wa

ins and you don't bet and we say we changed the selection on account

irst time, book against our own choice. It's fair, because we must pay if we

favorite at 4 to 5 or so. Slowly the odds lengthened to 10 to 1, which was the ruling price at the

sand on our se

ousand to $13,000," he ans

o lengths. At the half the gap of daylight was five lengths. At the turn into the stretch the horse was leading by nearly a sixteenth of

see the finish. The

d checks signed for the full amount of our obligation

the lobby of the St. Char

will hold us

"Nothing better ever ha

Lose $130,000 in a day and it w

newspapers, telling the public that we tipped this horse to-day at 10 to 1 and that we mailed checks to our custo

s. Some individual remittances were as high as $2,000. The money telegraphed us amounted to about $150,000, and within ten days eighty per cent. of our own dividend checks were returned t

OUS NEWSP

sunk about $75,000 in the enterprise. The Morning Telegraph was in the hands of a receiver. I calculated that, by transferring the Maxim & Gay advertisements from the Morning Telegraph to the Daily America, I could make the Daily Ame

d to the offices of Augus

advertisements from the Daily America and other newspapers

" ask

ttention to betting on

ow betting a

t is beginning to be aroused against be

that in all probability Mr. Whitney had sought the assistance of Mr. Belmont to put the Daily America out of business in this way. It was apparent that the Daily America w

ttention to Mr. Belmont's request, having become convinced t

he 'phone to Mr. Belmont's office. When I wa

ay Company in the Daily America, I will see

and the idea of doing anything that Mr.

the Maxim & Gay advertising is ille

. Jerome, and so went

he inspectors and underwent an examination. Our books were also submitted. This investigation, coming on the heels of Mr. Belmont's threat, convinced me that the influence of Mr. Belmont and Mr. Whitney reached all the way to Washington, and I concluded that if I did not dis

ad made in the Maxim & Gay enterprise had bee

mely $60,000, and promised to cable to Colonel Harvey, then, as now, the distinguished editor of the Harper publications, who was in Paris, asking his advice, saying that Colonel Harvey advised him in all newspaper matters.

out 10 cents on the dollar, and put it to sleep, leaving the field to the Morning Telegraph. From that moment the Morning Telegraph, which for

d that racehorse tipping is an offense against the old lottery law, a

me a race-track plunger, first on borrowed money and then on my winnings. By June I had accumulated $100,000. In July I was nearly broke again. In August I was flush once more, having

e overpowering. I bought a railroad ticket for California and, with $200 in my clothes, traveled to a ranch within fifty miles of San Francisco, where I hoed potatoes, and did other manual l

I di