Alaska Payment Conspiracy facts for kids

The Alaska Payment Conspiracy, also called the Orkney Conspiracy, is a popular story that isn't true. It claims that Russia never got paid when it sold Alaska to the United States. The story says that the ship carrying the payment, which was supposed to be in gold, was blown up. This was supposedly done by a trickster named Alexander 'Sandy' Keith to get insurance money. However, many facts show that this conspiracy theory is false.

The Orkney Conspiracy Story

The conspiracy theory suggests that a ship named the Orkney was carrying the payment for Alaska. This payment was supposedly in gold. The story claims the ship sank in the Baltic Sea while traveling from London to Saint Petersburg, which was then the capital of the Russian Empire.

Who was Alexander Keith?

The conspiracy theory points to Alexander Keith as the person behind the sinking. Keith was known for using different names. He was an expert with explosives and was suspected of blowing up ships before to get insurance money. One famous case linked to him was the sinking of the Mosel later on.

Political Claims

Some politicians have brought up this conspiracy theory. For example, Vladimir Zhirinovsky, a Russian politician, has mentioned these claims. He also suggested that there might have been bribery involved in the Alaska deal.

Debunking the Conspiracy

There are many reasons why the Alaska Payment Conspiracy is not true. Facts and official records show that the story doesn't add up.

How Russia Used the Money

First, the money from the Alaska sale was not sent as gold on a ship. Instead, it was used right away to buy important equipment. This equipment was for building new railroad lines in Russia. These lines included the Kursk-Kiev, Ryazan-Kozlov, and Moscow-Ryazan railways. This means the money was spent on purchases, not shipped as physical gold.

For the Russian possessions in North America ceded to the North American States, 11,362,481 rubles 94 kopecks were received from the aforementioned deal. 10,972,238 rubles 4 kopecks of them were redirected and spent abroad for the purchase of accessories and equipment for the construction of the following railroads: Kursk-Kiev, Ryazan-Kozlov, Moscow-Ryazan, etc. The remaining 390,243 rubles and 90 kopecks have been received in cash in the Imperial Treasury.

This official document from the Russian government clearly states how the money was used. It shows that most of the money went directly to buying railroad supplies from other countries. A smaller part of the money was received as cash in the Russian treasury.

Problems with the Ship Story

Second, the timeline of the Orkney ship sinking doesn't match the payment date. The conspiracy claims the ship sank in mid-July 1868. However, the payment for Alaska was not even due until August 1, 1868.

Also, there are no official records of a ship named Orkney going missing around that time. There was a ship called Orkney Lass, but records show it was still working and was supposedly traveling to South America that year, not to St. Petersburg. No gold from the Alaska sale has ever been found in the Baltic Sea.

Alexander Keith's Role

Finally, connecting Alexander Keith to this specific event is difficult. Making bombs was very complicated back then. Stories about how Keith supposedly got involved are different and don't agree. One story says he was asked to do it while living in Germany. Another says he thought of the plan while working in England. There is not enough proof to link Keith to the Orkney sinking, only to the Mosel bombing which happened much later.

In Fiction

The Alaska Payment Conspiracy has appeared in books, inspiring fictional stories.

• Forty-Ninth: This is a historical novel written by Boris Pronsky and Craig Britton. It tells a fictional story about the events leading up to, during, and after the conspiracy.
• The Dynamite Fiend: This book by Ann Larabee looks at the life of Alexander Keith and his criminal activities. It includes the bombings he was involved in, like the Mosel and the Orkney.