Business; Capitalists and financiers -- United States; Speculation; Wall Street (New York, N.Y.)
He then commenced to buy up Harlem Railroad stock, so as to obtain
control of that road, and in the operation got up the celebrated Harlem
“corner.” Application had been made to the Legislature for some
advantages in connection with the road, which were refused for reasons
best known to leading members of that body. In the meantime Harlem stock
had been knocked down to a very low figure. The Commodore remained in
ambush, and was secretly purchasing it. He then went to the Legislature
to get his bill passed. Most of the members of the Legislature thought
they had got the “deadwood” on the Commodore, and enlisted a large
number of their friends in the enterprise. They attempted “to work the
Commodore for all he was worth,” and for a time appeared anxious to pass
the measure required. On the strength of this anticipated action on the
part of the Legislature the stock advanced, when the members sold
“short” and failed to legislate. The stock naturally went down, and
Vanderbilt bought it up. The collapse anticipated by the Legislature did
not take place, and, instead of that, the Commodore got a “corner” in
the stock, and the members of the Legislature were the parties mulcted.
They had, therefore, all to go to the Commodore’s office, and settle up
with him on his own terms, and he made arrangements to get his measure
in favor of the road through the Legislature as part of the bargain.
This transaction is more fully described in another chapter.
His next great enterprise was in connection with the New York Central.
Having successfully euchred the legislators in the matter of Harlem, he
was encouraged to play a still higher game. As soon as he obtained
control of this property, it seemed as if it had been touched by a magic
wand, or that famous stone of Midas, contact with which turned
everything into gold. Prior to this event the road had been dragged
along under the management of Dean Richmond, Samuel Sloan and Henry
Keep, without any signs of prosperity; but when Vanderbilt took hold of
it there was a sudden change to visible progress and prosperity. It
never looked behind afterwards, and both enterprises have enjoyed signal
and increasing success ever since, thus illustrating the marvellous
capacity of the Commodore for the organization and management of large
enterprises. The hydraulic operations of the Commodore with the stock of
this property would alone furnish material for a very interesting
chapter. Sending it up on one occasion at a bound, between Saturday and
Monday, 20 per cent., was a new move in manipulation which caused some
of the boldest operators on the Stock Exchange to stand aghast. He kept
working the stock up and down, in some such way as Mr. S. V. White now
keeps toying with Lackawanna, until he “milked” the street sometimes
very dry. He kept the tempting prize of a coming dividend glittering
before the eyes of the dazzled imaginations of his friends who were
Public-domain text, read in full here on John Shaqi.
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