Yet Vanderbilt believed that by adding the Erie to his network of other railroads, which included the New York Central, he could control much of the nation’s railroad network.
Did Vanderbilt buy Erie Railroad?
Vanderbilt lost more than $7 million in his attempt to gain control over Erie Railway Company, although Gould later returned most of the money under threat of litigation. As a result, Vanderbilt conceded control of the railroad to the trio.
How did Vanderbilt attempt to control the Erie rail line?
In 1868 Vanderbilt tried to gain control of the line by cornering its stock. Drew, in an alliance with Gould and Fisk, manufactured 50,000 shares of Erie stock and dumped them on the market. When a court ordered their arrest, they fled to a hotel in Jersey City.
Who sold watered down to Cornelius Vanderbilt?
In 1866–1868, during the so-called Erie War, Cornelius Vanderbilt was defrauded by James Fisk, Daniel Drew and Jay Gould, who sold $7,000,000 worth of watered stock to him in his attempt to acquire the Erie Railroad.
Who scammed Cornelius Vanderbilt?
At the root of the scandal were two well-known scoundrels, Jay Gould and Jim Fisk. The two financiers had worked together in 1868, when they used stock fraud and bribery to keep Cornelius Vanderbilt from taking control of the Erie Railroad, which they owned.
How did Vanderbilt respond to the Gould and Fisk Erie wars?
Vanderbilt and Drew worked out a deal and Drew convinced Gould and Fisk to go along. In a twist, the younger men pushed Drew aside and took over control of the railroad. But Vanderbilt exacted some revenge by having the Erie Railroad buy back the watered stock he had purchased.
How did Vanderbilt treat his workers?
*He gave jobs to many workers. *The employees were always very tired because of working long hours. *He had more than 200 employees.
How many dollars worth of stock did Vanderbilt purchase from the Erie line?
Erie Line’s board of directors could issue new shares of stock unbeknownst to the public, legally diluting the value of every existing share. Vanderbilt purchased $7 million in watered-down stock from Gould and Fisk before becoming aware of his folly.
Who owns the Erie Railroad?
Central New York Railway
In 1848, the railroad built the Starrucca Viaduct, a stone railroad bridge over Starrucca Creek in Lanesboro, Pennsylvania, which has survived and is still in use today. In fact, current owner Central New York Railway spent $3.2 million in 2021 centering its single remaining track, re-ballasting and repairing masonry.
Who won the Erie Railroad war?
This fight over control of the railroad was messy (it was sometimes called the Erie War) but eventually Vanderbilt ceded control of the railroad to the three men and the “war” was over.
Who did Vanderbilt reach out to to supply his oil trade?
Rockefeller. Rockefeller, at 27/28 years of age, was just starting out in the oil business. Vanderbilt understood that if he controls oil transport, he will come back on top. He invited Rockefeller to a meeting and this was going to become a pivotal moment for both men.
Who was the main Vanderbilt?
Cornelius Vanderbilt
Cornelius Vanderbilt, byname Commodore Vanderbilt, (born May 27, 1794, Port Richmond, Staten Island, New York, U.S.—died January 4, 1877, New York, New York), American shipping and railroad magnate who acquired a personal fortune of more than $100 million.
What does Vanderbilt own that the railroad companies need access to?
Why was the fact that Vanderbilt owned the Albany Bridge significant? Because it meant that he could cut off his competitors’ railroad access to America’s busiest port.
Why was Cornelius Vanderbilt important?
Contents. Shipping and railroad tycoon Cornelius Vanderbilt (1794-1877) was a self-made multi-millionaire who became one of the wealthiest Americans of the 19th century. As a boy, he worked with his father, who operated a boat that ferried cargo between Staten Island, New York, where they lived, and Manhattan.
How did Gould and Fisk prevent Vanderbilts takeover?
How did Gould and Fisk prevent Vanderbilt’s takeover of the New York Central Railroad? they printed excessive shares of stock; therefore, making the decreasing the value of stock owned by Vanderbilt.
What good things did Vanderbilt do?
Vanderbilt invested his profits in steamboats, he lent his money to other businessmen, he bought real estate, and he purchased stock in private corporations. He personally invested millions in building Grand Central Station, one of the largest train depots in the world.
How did Vanderbilt treat his workers and competition?
Cornelius Vanderbilt apparently treated his employees badly, offering them very low wages and poor working conditions. Vanderbilt was perceived by his contemporaries as a ruthless character who spent too little time worrying about people’s perception about him.
Did Cornelius Vanderbilt pay his workers well?
The reports on Cornelius Vanderbilt suggest he did not treat his employees very well. The employees were hired to work long hours and often did not receive a high amount of compensation for the work. He did give many people jobs who were previously unemployed.
Where is the Erie Canal today?
The Erie Canal is a 363-mile waterway that connects the Great Lakes with the Atlantic Ocean via the Hudson River in upstate New York. The channel, which traverses New York state from Albany to Buffalo on Lake Erie, was considered an engineering marvel when it first opened in 1825.
Does the Erie Lackawanna Railroad still exist?
Remaining service today
The Erie portion of the original Mainline between Port Jervis, NY and Binghamton, NY is operated by the CNYK. The Lackawanna Railroad mainline west of Portland, PA is operated by the Delaware-Lackawanna Railroad to Scranton; then by Norfolk Southern north to Binghamton.
Who built Grand Central Station?
Grand Central Station, formally Grand Central Terminal, railroad terminal in New York City. It was designed and built (1903–13) by Reed & Stem in collaboration with the firm of Warren & Wetmore; the latter firm is credited with the aesthetics of the huge structure.
