Titanic disaster affect on JP Morgan Essay Example | Topics and Well Written Essays - 2500 words

Titanic disaster affect on JP Morgan - Essay Example After participating in this major merger, he thereafter created the federal steel company by merging several steel corporations together in the year 1901. He further undertook some consolidations consolidating steel and wire companies to form the United States Steel Corporation. At the height of Morgan’s career, he and his partners had vast investments in both the financial and the corporate fields and were accused of their critics of controlling the nation’s high finance a criticism that he dispelled through a banking coalition in 1907. Despite such dispelled rumors, facts have it that Morgan was the lead financier of the Progressive era and his dedication and efficiency contributed in injecting transformations in the American businesses "J.P. Morgan, FDIC tangle over who will pay off WaMu liabilities."(2010). This is the man behind the Construction of the American owned vessel, the Titanic through financing the International Mercantile Marine Company (IMMC) and as the owner of the company. This company controlled trust and retaining ownership of the White Star Line, Red Star Line, Dominion Line, American Transport Line, and the Leyland Line. During the construction of the Titanic, the vessel was American owned as mentioned but Morgan kept the ships of his trust under the British registry with the British crew. He did this to escape accuses of violating the American Sherman Anti-Trust Act of 1890 most so after the act had taken down J.D. Rockefeller's Standard Oil Company. It is worth noting that Most of the vessels flew both American and British flags with the White Star Line burgee (Levinson 1912 pg 36-9). In addition to this massive investment, Morgan also owned US Steel, General Electric and numerous banks and other financial institutions. JP Morgan and company continue to thrive today as JP Morgan Chase. Did the sinking of titanic affect the JP Morgan Corporation According to Merchants and masterpieces (1995), if JP Morgan’s company I MM was not actually down then we can say that it was seriously wounded after the Titanic fiasco. The war at the time caused a lot of havoc to the company and the company crumbled during the war years. Most of the businesspersons in America at that time expressed interest of discounting all the dreams of Morgan without expressing any signs that they might one day try and pick up the pieces to recapture the visions that Morgan had in the near future. JP Morgan and his partners like Harriman, Hill and Hanna collective dream of the transportation industry failed but the legacy they left behind still lives with us up to date. The name Morgan is still around with us today most so his great contribution in the banking industry though JP Morgan & Chase "J.P. Morgan, FDIC tangle over who will pay off WaMu liabilities."(2010) Their legacy in the transportation industry though a company like Citibank lives with us to date though the pieces of the transportation network they constructed fell aw ay gradually. The white star line continued to date although it is quite hard for it to recover completely from the destructions caused by the Titanic and the same destruction took place with the IMM (Morris 2005 pg 126). The IMM and the white star line suffered another major loss most so after the loss caused by the Titanic and the onset of the war. This loss had an impact on the massive commercial travels across the Atlantic routes in the year 1916. During this time, the Britannica had served as the hospital ship from the time it was launched in 1914, within the same period specifically in November 21st the ship got a hard hit on a mine and sank off the island