Crédit Mobilier scandal
(1872–73) Illegal manipulation of construction contracts for the Union Pacific Railroad that became a symbol of corruption after the American Civil War.The railroad's major stockholders created Crédit Mobilier of America to divert its construction profits and gave or sold stock to influential politicians in return for favours. A newspaper exposed the scheme in 1872, and after a Congressional investigation two members of the House of Representatives were censured.
* * *▪ United States historyin U.S. history, illegal manipulation of contracts by a construction and finance company associated with the building of the Union Pacific Railroad (Union Pacific Railroad Company) (1865–69); the incident established Crédit Mobilier of America as a symbol of post-Civil War corruption. Although its operations were more or less typical of 19th-century railroad building in a wide-open period of U.S. history often referred to as the “Great Barbecue,” sensational newspaper exposures and congressional investigations focussed attention on the Crédit Mobilier. Experience had already taught veteran railroad organizers that more money could be made from construction contracts than from operating the completed road. This promised to be doubly true in the case of the Union Pacific, which was supported by federal loans and land grants but would be spanning the vast unpopulated region between Omaha, on the Missouri River, and Great Salt Lake—a territory unlikely to produce much immediate revenue.Crédit Mobilier was part of a complex arrangement whereby a few men contracted with themselves or assignees for the construction of the railroad. Along with certain trustees, the manipulators reaped enormous profits but impoverished the railroad in the process. When it was revealed that Oakes Ames, a congressman from Massachusetts, was involved, the House of Representatives investigated the scandal and censured him and a colleague; several others, including Vice Pres. Schuyler Colfax, were absolved.
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Crédit Mobilier of America scandal — The Crédit Mobilier scandal of 1872 involved the Union Pacific Railroad and the Crédit Mobilier of America construction company in the building of the First Transcontinental Railroad. The distribution of Crédit Mobilier shares of stock by… … Wikipedia
Crédit Mobilier — was a French banking company, and one of the most important financial institutions of the world during the 19th century. It had a major role in the financing of numerous railroads and other infrastructure projects in Europe, North Africa and the… … Wikipedia
Credit Mobilier — may refer to: Crédit Mobilier, a large French bank Crédit Mobilier of America, an American railroad construction company setup by the Union Pacific Railroad to build the First Transcontinental Railroad in the 1860s (there was no connection of… … Wikipedia
Crédit Mobilier — /kred it moh beel yeuhr, moh beel yay /; Fr. /krdday dee maw bee lyay /, U.S. Hist. a joint stock company organized in 1863 and reorganized in 1867 to build the Union Pacific Railroad. It was involved in a scandal in 1872 in which high government … Universalium
Crédit Mobilier — /kred it moh beel yeuhr, moh beel yay /; Fr. /krdday dee maw bee lyay /, U.S. Hist. a joint stock company organized in 1863 and reorganized in 1867 to build the Union Pacific Railroad. It was involved in a scandal in 1872 in which high government … Useful english dictionary
scandal — /skan dl/, n., v., scandaled, scandaling or (esp. Brit.) scandalled, scandalling. n. 1. a disgraceful or discreditable action, circumstance, etc. 2. an offense caused by a fault or misdeed. 3. damage to reputation; public disgrace. 4. defamatory… … Universalium
Grant, Ulysses S. — orig. Hiram Ulysses Grant born April 27, 1822, Point Pleasant, Ohio, U.S. died July 23, 1885, Mount McGregor, N.Y. U.S. general and 18th president of the U.S. (1869–77). He served in the Mexican War (1846–48) under Zachary Taylor. After two years … Universalium
Oakes Ames — For his grandson, an orchid specialist, see Oakes Ames (botanist). Oakes Ames Member of the U.S. House of Representatives from Massachusetts s 2nd district … Wikipedia
Thomas C. Durant — Dr. Thomas Clark Durant, 1820 ndash;1885, was an American financier and railroad promoter. He was vice president of the Union Pacific in 1869 when it met the Central Pacific railroad at Promontory Summit in Utah Territory. He was also a chief… … Wikipedia
Ames, Oakes — ▪ American businessman and politician born Jan. 10, 1804, Easton, Mass., U.S. died May 8, 1873, Easton leading figure in the Crédit Mobilier scandal following the U.S. Civil War. Ames left school at age 16 to enter his father s shovel… … Universalium