Nothing New Is Happening Here
The example on page 1 of Lafcadio Hearn collecting classic Japanese ghost stories (public domain) in a book (copyright) is exactly the same thing being claimed to be Copyfraud.
I have book in my possession with expired copyright so that it is now PD. I don't have to share it with you. If I scan it into a shareable format then that is my work and my right (copyright) to control its distribution to my profit. It doesn't change the copyright status of the original work, only of my scan.
The misguided claims of copyfraud are ignoring the history of converting PD work into something of value. The originals are not being removed from PD, but new copyrighted works are being created which will eventually be PD.