Monday, November 22, 2010

Credit Mobilier

Credit Mobilier scandal of 1872 tarred Grant's reputation. Union Pacific Railroad insiders formed Credit Mobilier construction company and then hired themselves at inflated prices to build the railroad line. earning dividends as high as 348 percent. Distributed stock to congressmen, as a form of "protection".  Once scandal was exposed, Even the Vice Pres. of U.S. was involved as well as Grant's private secretary.

Although Grant didnt do anything wrong, this still tainted his reputation because the people that were involved were respected members of the political society Grant was in charge of.

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