COOKE, JAY (1821-19o5), American financier, was born at Sandusky (O.), on Aug. Io, 1821. At the age of 18 he entered the Philadelphia house of E. W. Clark and Co., private bankers. Three years later he was admitted to membership in the firm. In 1858 he retired from the firm, and devoted himself to reorganiz ing some of the abandoned Pennsylvania railways and canals. On Jan. 1, 1861 he opened in Philadelphia the private banking house of Jay Cooke and Co., and floated at par a war loan of $3,000,000 for the State of Pennsylvania. In 1862 Salmon P. Chase, secre tary of the Treasury, engaged him as special agent for the sale of the $5oo,000,000 of so-called "five-twenty" bonds. Cooke secured the influence of the American press, appointed 2,5oo sub agents, and before the machinery he set in motion could be stopped he had sold $1 1,000,000 more of bonds than had been authorized, an excess which Congress immediately sanctioned. At the same time he used all his influence in favour of the estab lishment of national banks, and organized a national bank at Wash ington and another at Philadelphia almost as soon as such insti tutions were authorized by Congress. In the early months of 1865, when the needs of the government were pressing, and the sale of the new "seven-thirty" notes by the national banks had been very disappointing, Cooke's services were again secured. As a result, between Feb. and July 1865 he had disposed of three series of the notes, reaching a total of $83o,000,000.
After the Civil War Cooke became interested in the develop ment of the north-west, and in 187o his firm undertook to finance the construction of the Northern Pacific railway, but failed at the approach of the financial crisis of 1873. By 188o Cooke had discharged all his obligations, and had again become wealthy. He died at Ogontz (Pa.) on Feb. 18, 1905. Cooke was noted for his piety. His estate at Ogontz became a school for girls.
See E. P. Oberholtzerj Jay Cooke, Financier of the Civil War (Philadelphia, 1907).