During America’s expansion era of industrial and territorial advancement, Pinkerton’s National Detective Agency became synonymous with security — especially in the expanding railroad sector. At a time when law and order were scarce across the vast, uncharted territories, several major Midwest railroad companies united to tackle the problem — turning to Allan Pinkerton to establish a bureau to keep the railroads safe, guaranteeing him a large fee to cover the time and expenses. This contract was not just a turning point for the Agency but also a pivotal moment in the nation's growth.

The earliest recorded contract is dated February 1, 1855, between Pinkerton and five major railroad lines. Under the terms of the agreement, the Agency would receive an annual fee of $10,000, payable in advance every quarter, with the first payment due on February 15, 1855. At that time, the sum was extraordinarily substantial, equivalent to what might be considered a fortune in 1855—close to $400,000 today. The attorney responsible for drafting it was none other than Abraham Lincoln, six years before he was inaugurated as President of the United States. (We have a story to tell about that, too!) 

Throughout that year, two additional railroad lines joined the contract.

Following the completion of the first year of service, the contract was renewed on February 15, 1856. Despite being only five years into our 175-year history, securing such a significant agreement with seven railroad companies was indicative of an already well-established and formidable reputation — Allan Pinkerton had already survived at least two assassination attempts on his life from some unsavory folks who didn’t like how Pinkerton derailed their schemes. 

The contract is detailed and comprehensive, specifying numerous obligations. It required the Agency to maintain a headquarters in Chicago, although Pinkerton’s was permitted to operate in other states. Our responsibilities included maintaining constant communication with the railroads and prioritizing our work for the railroad companies on par with Pinkerton’s role as a Special Mail Agent for the United States Post Office, tracing mail robbers or parties who plundered the mail in his territory covering Wisconsin, Michigan, Illinois, Indiana, and Iowa. In those days, there were extensive mail robberies, which later became train or express car robberies as the criminals became more brazen and railroad companies expanded across the nation, carrying valuable assets and payrolls.

The contract also delineated hiring practices for additional agents and granted Pinkerton and his operatives seasonal passes on all the railroad lines. It addressed the handling of confidential information and even detailed the per diem allowances for each class of employees.

Pinkerton and his operatives were highly effective in breaking up the gangs of railroad depredators and train wreckers. Over the next several years, Pinkerton signed contracts with more railroad and express car companies, and he added more operatives to handle the demand. In fact, it was Pinkerton’s work with the railroads that uncovered the plot to assassinate President-elect Abraham Lincoln when he was scheduled to stop in Baltimore on his way to his inauguration in 1861. (We foiled that plot and escorted Lincoln safely to Washington, D.C.)

From the end of the Civil War until the turn of the century, there was hardly a criminal railroad case of any importance in the United States in which Pinkerton’s was not engaged. And it all started with this one remarkable document, illustrating the early foundations of our long-standing commitment to excellence and the pursuit of justice. We hope you find it as fascinating to read as we do.

Media widget
Pinkerton’s first contract was between five railroad companies that combined to have him establish a bureau in their service, guaranteeing him a large fee to cover the time and expenses: Michigan Central Railroad Company; Michigan Southern Railroad and Northern Indiana Railroad Companies; Illinois Central Railroad Company; Chicago and Galena Union Railroad Company; and The Chicago Burlington and Quincy Railroad Company. One of the railroads paying for his service was the Illinois Central, which wasn’t even completed when they signed the contract. When complete ran the distance between the state’s east and west borders. Eventually the railroad company expanded beyond Illinois, joining with other railroads running north and south, east and west.
Published January 14, 2025