What does J.P. Morgan, the American financier, and the passenger ships, RMS Titanic and SS United States have in common?
Everyone knows that White Star Line, the owner of the RMS Titanic, was a British Company. Fewer are aware that White Star was owned by an American. It was a wholly owned subsidiary of the International Mercantile Marine Company (IMM), an American holding company owned by J.P. Morgan. J. Bruce Ismay, chairman of the White Star Line, sold the company to J.P. Morgan in 1902. The RMS Titanic, like all the other ships of the White Star fleet, was a British ship, and technically, as an American, J.P. Morgan could not own British ships. Nevertheless, Morgan took advantage of the loophole that his holding company, IMM, could own the company that owned the ships. For all intents and purposes, J.P. Morgan owned the Titanic. It was not one of his better investments, for reasons having nothing to do with icebergs.
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