THE GOLD PLOT

The “Black Friday” financial panic took place in New York City. The panic resulted from the efforts of two railroad entrepreneurs, Jay Gould and James Fisk, Jr., to corner the gold market. Gould and Fisk, along with President Grant's brother in-law, framed their argument by claiming that if the government stopped itself from selling gold, its value would increase and improve depressed farm prices. A suspicious Grant finally ordered a large sale of $4 million in gold, ruining many speculators. The gold plot was the first of several scandals to take place during the Grant years.

FEDERAL ELECTION LAW

February 28, 1871

The Federal Election Law was passed, calling for federal supervision of elections in cities with populations greater than 20,000. The act was designed to ensure fair treatment of black voters in the South and was the second of three enforcement acts.

CIVIL SERVICE COMMISSION

March 04, 1871

Grant establishes the first civil service commission. Without additional appropriations from Congress, however, the commission was rendered ineffective.

ENFORCEMENT ACTS, THE KU KLUX KLAN

April 20, 1871

The third of the Enforcement Acts, the Ku Klux Klan Act, was passed to enforce the Fourteenth Amendment in the South. It outlawed activities such as wearing disguises, forming conspiracies, and intimidating officials. Grant had worked extensively to secure such legislation to fight the Klan and used the provisions of the act to ensure fairness in the election of 1872.

CANAL COMMISSION

March 10, 1872

Grant appointed a special Interoceanic Canal Commission to determine the best of three proposed canal plans connecting the Atlantic with the Pacific. In February 1876, the commission reported in favor of a route through Nicaragua.