Leland Stanford: The Robber Baron's Troubling History
A corrupt businessman and politician for the ages
The Robber Baron, Leland Stanford, stands as a perfect example of the absurd excesses and moral deficiencies of the Gilded Age, which is not so unlike the world we see today. Born into the upper middle class in New York in 1824, Stanford's life was characterized by cut-throat ambition, unbridled greed, and the merciless pursuit of happiness—his own—forever at the expense of others.
Stanford's ascent to power was girded by co-founding the Southern Pacific Railroad, a venture that epitomized the evils of unchecked corporate power. He and his associates, known as the "Big Four," engaged in wonton corruption, amassing staggering wealth. Their tactics included overpaying subcontractors they owned, dubious-at-best land acquisitions, and the strategic purchase of political influence, which allowed them to operate without constraint or consequence.
Their tactics included overpaying subcontractors they owned, dubious-at-best land acquisitions, and the strategic purchase of political influence, which allowed them to operate without constraint or consequence.
One outrageous example of Stanford's corruption was his involvement in California politics. After buying the governorship of California and, later, a Senate seat, he conveniently pushed through government subsidies and favorable policies that fortified his railroad empire. Such actions demonstrated an absolute disregard for the public's interest and a willingness to use political power solely for personal gain.
Leland Stanford's ascent to the pinnacle of wealth and fame was reached at the expense of thousands toiling to build his railways, often in hazardous conditions, and the general public who endured the dark consequences of monopolistic practices. While the railroad network expanded, its tremendous hoarding of wealth soared, contributing to the gross economic disparity of the era.
Tragedy struck the Stanford family with the untimely death of their only child, Leland Jr., who fell victim to typhus at age 15. Rather than using their fortune to alleviate suffering or rectify the injustices of their unscrupulous business practices, Leland and Jane Stanford sought to establish a legacy that would not only feed their bloated egos but also distract from their problematic past.
The university's establishment in 1891 was mired in controversy. While the Stanfords endowed it with substantial resources, these funds resulted from piggish profiteering, unethical business practices, and blatant exploitation of impoverished labor. As hard as they tried to white-wash their public image and fabricate their own epitaphs, the public at the time hated and despised them with a passion.
Leland’s sudden demise, considered to be the result of untreated syphilis, left his widow, Jane, to fight a legal battle against the U.S. Treasury over the repayment of tens of millions of dollars in government bonds, a battle she ultimately won. This victory saved the university. However, it did not save her. It is widely believed that the then-president of Stanford University, David Starr Jordan, conspired to have her murdered to take control of the school and its hefty purse.
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