J.P. Morgan (1837-1913) – a famous name in "free
enterprise" – started out in business by swindling
the US government. The 23 yr-old Morgan bankrolled a scam to buy
5,000 rifles declared dangerous by the US army (they blew up in
soldiers' hands) for $3.50 each. These were then resold as "new"
(but actually unmodified and still dangerous) to another branch
of the army, for $22 each.
After 2,500 guns were shipped, the scam exploded. But Morgan
didn't back down in shame, caught defrauding his country. Instead
he sued for full payment, and eventually won. The Court of Claims
ruled a contract was a contract. (Source: An Underground Education,