I have written a lot in past years about the Park named after this son of Hull as I live in a house overlooking the 7 acres of landscaped public open space that continues to provide a valued amenity for the community.
The story of Zachariah Pearson is a true rags to riches and ruin tale, far too fantastic in many aspects to be believed and yet not far off from a story line that would make for a Hollywood Blockbuster.
Having taken to a life at sea at an early age as a Cabin Boy he worked his way through the ranks to become a Captain. The next progression was quite unusual in that Pearson had aspirations to be an actual Owner and it was this decision that brought him a great fortune and the respect that came from holding Public Office as Lord Mayor in his home city of Hull.
In 1858 his net worth was stated as £16000 which would have a present day equivalent of approaching £1.5 million. That point in time may have represented the peak of his fortune as within a couple of years, the catalyst being an acrimonious cessation of business with an astute co-owner, Pearson became rapidly insolvent.
Commissioner Goulburn in the Court of Bankruptcy in the 1864 proceedings was availed of the extent of the debt which amounted to £648000 or in present money, a whopping £57 million.
What could have helped out in the dire financial situation that Pearson found himself in was a lenient attitude of the United States President, Abraham Lincoln. The fiercest critics amongst the Creditors claimed that Pearson had acted with the utmost of adventurism in his attempts to break the Civil War Blockade with the Southern States by sending a fleet of freight-laden ships seeking to turn a quick and potentially lucrative profit.
The Creditors called these actions "smuggling" and to a regime that was perpetuated on the abominable use of slave labour.
Pearson, although a proven exponent of shipping had bought the fleet of ships not on an outright cash basis but through a series of Bills which could be renewed from time to time as the financial situation demanded. Some doubt was cast by those bringing the Bankruptcy Action on alledged grey and shady practice by Pearson using Intermediaries and payments to such a Party as a commission for securing ships which was an unprecedented practice.
One of Pearson's vessels, the Indian Ocean was burnt out and destroyed bringing about an Insurance Claim.
Other dealings included another and subsequently untraceable Company who accepted further Bills for Pearson.
The Commissioner came to the conclusion that Pearson had traded with fictitious capital in that he had incurred debts with little prospect of meeting his commitments but associated claims of an extravagant lifestyle were rejected.
Although Pearson's annual personal expenditure was around £4000 (£350000 in today's monies) this was not unheard of for someone who had to uphold the pomp and ceremony of Public Office- Pearson was twice Lord Mayor of Hull ,and had to maintain residences in and travel between his business commitments in Hull and the City of London.
Yes, the American Adventure was ill advised and rash but symptomatic of someone taking great risks to try to secure the level of profit that could possibly help to bale out a foundering business empire.
Pearson as a self made man will have made many enemies on the way up and who will have relished the prospect of putting the boot in on his quick fall from grace.
His examination by the Court of Bankruptcy had been over 18 months, clearly an indication of the complexity of the case and the vast monies it involved and Pearson will have suffered much disgrace and personal embarrassment by the attitude and accusations of the Creditors. They would eventually have to settle for a small return in the pound for their losses.
Pearson returned to Hull and lived a quiet life in a modest house in the Park named after him and which remains as a lasting legacy to his fantastic life.
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