Durant manipulated market prices on his stocks by spreading rumors about which railroads he had an interest in were being considered for connection with the Union Pacific. First he touted rumors that his fledgling M&M Railroad had a deal in the works, while secretly buying stock in the depressed Cedar Rapids and Missouri Railroad. Then he circulated rumors that the CR&M had plans to connect to the Union Pacific, at which point he began buying back the M&M stock at depressed prices. It is estimated his scams produced over $5 million in profits for him and his cohorts.
Durant manipulated market prices on his stocks by spreading rumors about which railroads he had an interest :in were being considered for connection with the Union Pacific. First he touted rumors that his fledgling M&M Railroad had a deal in the works, while secretly buying stock in the depressed Cedar Rapids and Missouri Railroad. Then he circulated rumors that the CR&M had plans to connect to the Union Pacific, at which point he began buying .back the M&M stock at depressed prices. It is estimated his scams produced over $5 million in profits for him and his cohorts.