'Rogers, Lawson, and William Rockefeller acquired Anaconda – the company worth millions – without the expenditure of a single dollar of their own.
This is how they did it:
Rogers and William Rockefeller took title to the mine properties, giving to Marcus Daly a check on the National City Bank of New York for $39 million, with the understanding that the check was to be deposited in the bank and remain there for a definite time (National City Bank was closely associated with Rockefeller’s business dealings).
Rogers and Rockefeller then set up a paper organization known as the Amalgamated Copper Company, with their own clerks as dummy directors, and transferred all the mines to Amalgamated for $75,000,000 in Amalgamated capital stock.
From the National City Bank, Rogers and Rockefeller borrowed $39 million to cover the cheque they had given to Marcus Daly, using the $75 million in Amalgamated stock as collateral for the loan.
They sold one-third of Amalgamated stock on the market for twice the amount they had paid Daly.
With the proceeds, they retired the $39 million loan from the National City Bank, and pocketed nearly $40 million as their own profit on the deal.'
en.wikipedia.org
'... William Rockefeller, together with his son, Percy turned for help to a shrewd, intelligent businessman, John D. Ryan...' - wonder if he has any descendants named John P Ryan
Any chance you can spot me forty million for a hamburger i shall gladly repay tuesday? |
