SCANDALS Peggy Eaton Affair (1830’s) Arose following the refusal of Vice President John C. Calhoun and his wife to socialize with Peggy Easton, the wife of another cabinet member, because they alleged that their relationship stemmed from an extramarital affair. President Andrew Jackson, still sensitive about the treatment of his wife prior to her death, and Martin Van Buren were outraged with the Calhouns. This led to a falling out between Jackson and Calhoun, and the emergence of Martin Van Buren as Jackson’s closest advisor. Credit Mobilier (1872) A scandal that rocked the administration of President Ulysses S. Grant. Grant’s vice president was found, along with other congressmen, of accepting bribes from the Credit Mobilier railroad construction company to ignore how they had greatly inflated what they charged the federal government to build a railroad line. Whiskey Ring (1874-1875) Another Grant administration scandal in which his personal secretary was linked to falsifying records in order to rob the Treasury of millions of dollars in excise-tax revenues. Tweed Ring (1871) New York City machine boss William “Boss” Tweed used bribery, graft, and fraudulent elections to milk the city of as much as $200 million. In 1871, the New York Times published damning evidence and Tweed was subsequently prosecuted and jailed. Teapot Dome (1921) This scandal occurred during Harding’s administration and involved one a member of Harding’s administration accepting a $100,000 bribe in exchange for leasing naval oil reserves to two wealthy oilmen. Veterans’ Bureau (1923) Another Harding administration scandal in which a Harding appointment looted the government out of $200 million chiefly in connection with building veterans’ hospitals. Watergate (1974) Nixon became the only president to resign the office when his campaign was linked the burglary of the Democratic National Headquarters in D.C. and he was accused of ordering a cover-up. Iran-Contra (1980’s) During Reagan’s administration, arms had been secretly sold to Iran making Reagan’s words about never dealing with terrorists seem hollow. Upon investigation, the profits generated by the sales were being directed to the Contra rebels in Nicaragua after Congress had voted against any such aid.