CRAGGS, JAMES

(baptized June 10, 1657, Wolsingham, Durham, Eng.d. March 16, 1721), English politician implicated in the South Sea Bubble (1720), a widespread speculation in shares of the South Sea Company, which had taken over most of the British national debt. The company persuaded investors to exchange their state annuities for the greatly overvalued stock, which rose as high as 1,000 during the summer of 1720 and fell to 124 in December. After the collapse of the bubble, it was learned that Craggs and other government officials had accepted large bribes from the company's directors. Following service as steward to the 7th Duke of Norfolk, Craggs entered the household of the 1st Duke of Marlborough, whose wife arranged for his election to the House of Commons in 1702. After holding several other offices, he became postmaster general (jointly with the 4th Baron Cornwallis) in 1715. The South Sea Company directors gave him at least 30,000 worth of company stock; when the speculation had run its course, he tried to negotiate a settlement with the British government and the Bank of England. He broke down under examination by a parliamentary committee, and his mysterious death on the eve of his trial was generally believed to be a confession of guilt by suicide. His son James Craggs, the Younger, secretary of state, died of smallpox before the parliamentary committee could examine him.