The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1892-12-03

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correctness Of tho work attracted the
attention OF John DeLafeld, who APP
piled to the legislature to authorize a
map OF the state to be made, in which
Mr.. Gould would have Appointment part
OF the work. The work failed, owing to
the death OF the promoter, and Mr..
Gould having gained three or four
thousand dollars through his previous
maps and surveys, wrote History OF
Delaware County"
After IN unsuccessful attempt to push
the sale of patent mouse trap, which
he had invented, Mr.. Gould entered in
to partnership with Zadoo Pratt in the
tannery business in Pennsylvania, at
place known as Gouldsboro. In 1856
the patent was sold and Gould came to
New York with quite an addition to his
fortune. Ho entered into business with
Charles D. Leupps. leather merchant.
In the panic OF 1857 Leupps' capital was
wrecked, but Gould managed to come
through without severe loss. Gould's
iather-in-law, Mr.. Miller, initiated the
young financier into the railroad busi-
ness and sold him number Of shares in
the Rutland & Washington railroad at
ten cents on the dollar. Gould showed
so much interest in the road that he was
soon elected president and general man
ager and finally consolidated it with the
Renssaeler & Saratoga railroad. When
the stock went up Gould sold out at a
handsome profit.
ENTERS WALL STREET.
In 1850 Jay Gould entered Wall street
as broker. He established small
private office and made money fast.
The following year he entered the firm
OF Smith & Martin, and became expert
in handling railroad securities. Dur
ing the civil war Eric railway stock
went down to bed rock and Gould
bought it tor a song. He allied him
self with Daniel Drew and prevented
Commodore Vanderbilt from cornering
the Erie interest. Gould rapidly be-
came the leading spirit OF the Erie rail
road. In July, 1867, Gould was made
president Of the road. He also pur-
chased controlling interest in the
Tenth National Bank. Erie share
holders brought suit to restrain the
directors from issuing any more stock.
The Complainants asked for the appoint
mont OF receiver. This request was
granted by the appointment OF Jay
Gould himself. With the consent OF
Judge Barnard, Gould bought and can
celled 200 shares. A corner was engi-
neered in Erie stock about this time
and in one day its price rose from 40
to 60.
COULD NOT DE DowNED.
A panic was averted by the action OF
the secretary of the treasury, who re-
leased enough money for the sub-treas-
ury to relieve the strain. Eric imme-
diately fell from 90 to 42 and it was
thought Gould was ruined, but he was
able to weather the storm. Continued
efforts were made by Gould's oppo-
nents to oust him and his faction from
Erie control. and he was deposed from
the presidency and John A. Hix elected
in his stead. Gould still remained one
OF the directors. An attempt was made
by Gould in lS69to corner all the gold
in the country. Fifty millions OF dol
lars was the prize aimed at. The price
OF gold in March OF that year was 1901,
the lowest in three years. Gould bought
100000 worth at 1872 and put up the
price to 14O. A few days later gold rose
to IA. On September "a, the famous
"Black Friday" Gould unloaded his
holdings and sold q large part OF his
gold at 100. A little before noon an or
der came from Washington TO sell S4,-
100000 OF gold from the sub-treasury.
The corner collapsed and hundreds Of
business men and spectators wore
ruined.
AS A RAILROAD KING.
It would require volumes to go into
details OF Gould's subsequent transac-
tions by which he became great rail
road king. His mod,B operandi, says
Henry Clews, was to buy up two or
moro bad roads, put them together,
give tho united roads a new name, call
it good, prosperous line, with i'm
mense prospects in the near future, get
great number OF people to believe all
this, then make large issues of bonds
and sell them at good price, for the
purpose of further improving and en-
hancing the value OF the property.
After these preliminaries had been gone
through, if profitable purchasers came
along, they could have the road at
price that would amply compensate AIr.
Gould for all his labor and acute
management. Ii these purchasers
should be unable to run the road profit
ably, and were obliged to 90 into liqui-
dalton after year ar two, as frequently
happens, then Mr.. Gould or his agents
would very likely be found on hand at
the sale to take back the road at a
greatly reduced price. He would then
set about the work OF reorganization
again and go through the same role
substantially, with slight variations,
as before, realizing q handsome profit
on each successive reorganization.
WONDERFUL MAN.
One afteranother line OF railroads fell
under the control OF this man, whom
other financiers called the wizard" of
Wall street, until thousands upon thou
sands Of miles OF roads were to all in
tents and purposes his own. With a
single move in tho stock market ne
could affect financial matters not only
in every city in this country, but in
London, Paris and Vienna, as well.
He turned his attention to the tele-
graphic system OF the country, and did !
not rest until he had monopoly OF
that, and controlled the Atlantic cable |
as well. Was that enough? Not at all.