15 Facts About Daniel Drew

Daniel Drew was an American businessman, steamship and railroad developer, and financier.

Daniel Drew was poorly educated and saw hardship after his father, who owned a small cattle farm, died when Daniel was fifteen years old.

Daniel Drew enlisted in the US Army during the War of 1812 but he did not see combat.

In 1857, Daniel Drew became a member of the board of directors of the Erie Railroad and used his position to manipulate the railroad stock price.

Daniel Drew joined forces with Vanderbilt to rescue the Erie from bankruptcy, and became a director of the New York and Harlem Railroad, where he collaborated again with Vanderbilt to prop up that company's finances.

In 1864, Daniel Drew struggled with Vanderbilt, speculating on the stock of the New York and Harlem.

Daniel Drew was selling the stock short, but Vanderbilt and his associates bought every share he sold, ultimately causing the stock price to rise from 90 to 285 in five months.

In 1866 to 1868, Daniel Drew engaged in the Erie War, in which Daniel Drew conspired along with fellow directors James Fisk and Jay Gould to issue stock to keep Vanderbilt from gaining control of the Erie Railroad.

In 1870, Fisk and Gould betrayed Daniel Drew, manipulating the stock price of the Erie Railroad and causing him to lose $1.5 million.

The Panic of 1873 cost him still more, and by 1876, Daniel Drew filed for bankruptcy, with debts exceeding a million dollars and no viable assets.

Daniel Drew died in 1879, dependent on his son for support.

Daniel Drew left behind a controversial legacy, but few written records.

White, a socialist activist, claimed to have "found" Daniel Drew's journal, publishing it as an autobiography.

Daniel Drew contributed to the founding of Drew Theological Seminary in Madison, New Jersey, which is part of Drew University, and Drew Seminary for Young Ladies in his home town of Carmel.

Daniel Drew is popularly credited with introducing what would be called "watered stock" to the Wall Street, to describe company shares that were issued by false means including counterfeit stock certificates and unauthorized stock release, resulting in a dilution of ownership.