Alaska payment conspiracy
Debunked theory that Alaska payment gold was sunk by a con artist.
Wikipedia / Wikimedia Commons
The Alaska payment conspiracy, also known as the Alaska gold conspiracy, is a debunked conspiracy theory claiming that the Russian Empire never received payment for the Alaska Purchase from the United States. According to the theory, the gold payment was carried on a ship called the Orkney, which was allegedly detonated for insurance money by con artist and explosives expert Alexander 'Sandy' Keith. The theory has been contradicted by multiple pieces of evidence.
- field
- Conspiracy theory
- known_for
- Claiming the Russian Empire never received payment for the Alaska Purchase
- nationality
- Russian
Lore & Background
The conspiracy theory posits that the ship Orkney sank in the North Sea or Atlantic en route from London to St. Petersburg, then the capital of the Russian Empire, carrying gold payment for the Alaska Purchase. Alexander Keith, known by aliases including William Thomson, was a con artist and explosives expert, but contrary to the theory, he did not sink the German ship Mosel for insurance money—that ship was destroyed in 1875 by a failed extortion plot involving a different individual. It has also been suggested that Keith may have been involved in the sinking of at least one other ship: the Marie Victoire. However, claims that he was involved in the sinking of the SS City of Boston are unsubstantiated and contradict established maritime history. In 2014, Russian politician Vladimir Zhirinovsky brought up these claims, as well as bribery related to the deal.
Reader's Guide
The Alaska payment conspiracy has been debunked by several pieces of evidence. First, the money from the Alaska Purchase was used to buy railroad equipment for lines including Kursk-Kiev, Ryazan, Kozlovsky, and Moscow-Ryazan, indicating the funds were spent immediately and not sent as gold. Specifically, 11,362,481 rubles 94 kopecks were received, with 10,972,238 rubles 4 kopecks redirected abroad for railroad equipment, and the remainder received in cash in the Imperial Treasury. Second, the Orkney supposedly exploded in mid-July 1868, before the payment was due on 1 August 1868, and no ship called Orkney is recorded as missing—only a similarly named Orkney Lass, which was still in operation and traveling to South America that year. No gold has been found in the Baltic Sea. Third, bombs were complicated to make at the time, and there are conflicting stories about how Keith became involved. There is a lack of evidence connecting Keith to the bombing, only that he was involved in the Mosel bombing a decade later.
Did You Know?
- The conspiracy theory is also known as the Alaska gold conspiracy.
- Alexander Keith was known by several aliases, including William Thomson.
- The money from the Alaska Purchase was indeed used for railroad construction, including the Kursk-Kiev and Moscow-Ryazan lines, as documented in Russian financial records.
- No ship called the Orkney is recorded as missing; a similarly named Orkney Lass was still in operation.
Frequently Asked Questions
What is the Alaska payment conspiracy?
It is a debunked theory, also called the Orkney conspiracy, asserting that the Russian Empire never actually received the gold payment for the 1867 Alaska Purchase. The claim rests on the idea that the shipment was deliberately scuttled at sea rather than delivered to its intended recipient.
Who is Alexander 'Sandy' Keith in the Orkney conspiracy?
He is a con artist and explosives expert whom the theory blames for blowing up the ship Orkney to skim the insurance payout. According to the story, he was hired to destroy the vessel while it was carrying the payment gold.
What role does the ship Orkney play in the conspiracy?
The Orkney is the vessel that, per the theory, was transporting the gold payment from the United States to Russia and was allegedly detonated mid-voyage. The conspiracy frames its sinking as a deliberate act of theft rather than an accident.
Has the Alaska payment conspiracy been disproven?
Yes—multiple pieces of documentary and historical evidence confirm that the Russian Empire did receive the full payment for Alaska. The narrative surrounding the Orkney's destruction has been thoroughly debunked by historians.
Why does the Alaska payment conspiracy matter to fans of Russian colonial history?
It touches on the financial closure of Russia's colonial era in the Americas, specifically the 1867 sale of Alaska. Though unfounded, the myth persists as a popular retelling that reframes the end of Russian territorial presence in North America as a deliberate betrayal.
More in Russian colonization of North America 1-24
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