Oftentimes these corporations even interfere with the government. In 1862, Thomas Clark Durant tricked Congress into passing the Pacific Railway Act, which gave the Union Pacific Railroad company 10 square miles of land for every mile of track it laid (Credit Mobilier Scandal). Two years later, Durant and his associates formed Credit Mobilier of America which carried out the Union Pacific’s track construction. Credit Mobilier charged the Union Pacific twice as much that the later estimated for Congress. The Union Pacific was driven into debt, and the government sustained financial losses from its investments, the owners of Credit Mobilier from the Union Pacific pocketed millions (Credit Mobilier Scandal). Durant proceeded to bribe Congressmen to prevent any investigations, and the scandal remained in the shadows until 1872. Despite this, Durant went
Oftentimes these corporations even interfere with the government. In 1862, Thomas Clark Durant tricked Congress into passing the Pacific Railway Act, which gave the Union Pacific Railroad company 10 square miles of land for every mile of track it laid (Credit Mobilier Scandal). Two years later, Durant and his associates formed Credit Mobilier of America which carried out the Union Pacific’s track construction. Credit Mobilier charged the Union Pacific twice as much that the later estimated for Congress. The Union Pacific was driven into debt, and the government sustained financial losses from its investments, the owners of Credit Mobilier from the Union Pacific pocketed millions (Credit Mobilier Scandal). Durant proceeded to bribe Congressmen to prevent any investigations, and the scandal remained in the shadows until 1872. Despite this, Durant went