In the sleepy town of Union, South Carolina, a sinister force has been quietly manipulating the local economy. The year was 1915, and the mail order business was booming. These companies, shrewdly buying up salvage goods from manufacturers and grading seconds, had grown into massive operations with factories and distribution networks.
At first glance, it seemed like a legitimate business model, with companies like these sending out lavish catalogs to unsuspecting customers. But the truth was far more insidious. Behind the glossy pages and enticing prices, these mail order houses were peddling low-quality goods, often seconds and salvage, at inflated prices. And when customers tried to return or exchange these defective items, they were hit with exorbitant money order fees and postage costs.
Thousands of dollars, annually, were being drained from the pockets of Union’s residents, all under the guise of a legitimate business. The smaller cities, like Union, were particularly vulnerable to these mail order houses, which exploited their lack of resources and expertise.
The nation’s companies, which should have been regulating these businesses, were instead complicit in the scheme. They allowed these mail order houses to thrive, even as they undercut the prices of local dealers and drove them out of business.
It was a classic case of predatory business practices, with the mail order houses preying on the unsuspecting public. And it was all done with the tacit approval of the nation’s companies, who were more concerned with profits than with protecting their customers.
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Key Facts
- State: South Carolina
- Category: White Collar Crime
- Era: Historical
- Source: Library of Congress — Chronicling America ↗
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