Greek shipping ty* (1900–1975)

Aristotle Socrates On*is (/oʊˈnæsɪs/, US also /-ˈnɑː-/; Greek: Αριστοτέλης Ωνάσης, romanized::Aristotélis Onásis, pronounced:; 20 January 1906 – 15 March 1975), was a Greek shipping magnate who am*ed the world's largest privately-owned shipping fleet and was one of the world's richest and most famous men. He was married to Athina Mary Livanos (daughter of shipping ty* Stavros G. Livanos), had a long-standing affair with opera singer Maria Callas and was married to Jacqueline Kennedy, the widow of US President John F. Kennedy.

On*is was born in Smyrna (modern-day İzmir in Turkey) and fled the city with his family to Greece in 1922 in the wake of the catastrophe of Smyrna. He moved to Argentina in 1923 and established himself as a tobacco trader and later a shipping owner during the Second World War. Moving to Monaco, On*is fought Prince Rainier III for economic control of the country through his ownership of SBM and its Monte Carlo Casino. In the mid-1950s, he sought to secure an oil shipping arrangement with Saudi Arabia and engaged in whaling expeditions. In the 1960s, On*is attempted to establish a large investment contract—Project Omega—with the Greek military junta, and he sold Olympic Airways, which he had founded in 1957. On*is was greatly affected by the death of his 24-year-old son, Alexander, in a plane crash in 1973, and he died two years later.

Contents

• 1 Early life
  • 1.1 Anatolia
  • 1.2 Argentina
• 2 Business
  • 2.1 Shipping
  • 2.2 Monaco
  • 2.3 Saudi Arabia
  • 2.4 Whaling
  • 2.5 Olympic Airways
  • 2.6 Investments
  • 2.7 Project Omega
• 3 Relationships and family
  • 3.1 Athina Livanos
  • 3.2 Maria Callas
  • 3.3 Jacqueline Bouvier On*is
• 4 Death and legacy
• 5 See also
• 6 Notes
• 7 References
• 8 Further reading
• 9 External links

Early life

Anatolia

Aristotle Socrates On*is was born in 1906 in Karataş, a suburb of the port city of Smyrna (now İzmir, Turkey) in Anatolia to Socrates On*is and Penelope Dologou. Aristotle had one sister, Artemis, and two half-sisters, Kalliroi and Merope, by his father's second marriage following Penelope's death (1912). Socrates On*is became a successful shipping entrepreneur and sent his children to prestigious schools. When Aristotle graduated from the local Evangelical Greek School at the age of 16, he spoke four languages: Greek (his native language), Turkish, Spanish, and English.

On*is, 1932

Smyrna was briefly administered by Greece (1919–1922) in the aftermath of the Allied victory in World War I, but then Smyrna was re-taken by Turkey during the Greco-Turkish War (1919–22). The On*is family's substantial property holdings were lost, causing them to become refugees fleeing to Greece after the Great fire of Smyrna in 1922. During this period, On*is lost three uncles, an aunt, and her husband Chrysostomos Konialidis and their daughter, who were burned to death in a church in Thyatira where 500 Christians were seeking shelter from the Great Fire of Smyrna.

Argentina

In 1923, On*is arrived in Buenos Aires, Argentina, by Nansen p*port, and got his first job as a telephone operator with the British United River Plate Telephone Company, while following studies in commerce and port-duty administration at Aduanas Argentinas. He later became an entrepreneur, creating an Argentine import-export company, going into business for himself and making a fortune importing English-Turkish tobacco to Argentina. He obtained Argentine citizenship in 1929. Eventually he established his first shipping trading company in Buenos Aires, Astilleros On*is. After gaining his first fortune in Argentina, he expanded his shipping business worldwide and relocated to New York City, United States, where he built up his shipping businesses empire while keeping offices in Buenos Aires and Athens. His legacy in Buenos Aires was the creation of a shipping empire and a Hellenic Culture Fund providing youth scholarships and an academic international exchange program between Argentina, Greece, Monaco and the United States; the programs are funded and administered by the On*is Foundation and were eventually under the managing direction of his daughter Christina On*is.

Business

Shipping

On*is built up a fleet of freighters and tankers that eventually exceeded seventy vessels. Most of the fleet operated under flags of convenience where laws and regulations are more lax than those of the owners’ country. More austere regulations in countries such as the United States, which afforded higher wages and safety standards, allowed access to domestic routes with higher freight rates but at far greater running expense. As was then common practice in international shipping, On*is's fleet had mostly Panamanian and Liberian flags and sailed tax-free while operating at low cost. This and his astute business sense helped On*is earn handsome profits in the highly compe*ive shipping market. On*is made large profits when the Big Oil companies like Mobil, Socony, and Texaco signed long-term contracts known as time charters at fixed prices before the spot market fell.

The high profitability of the On*is fleet has been attributed in large part to his disregard for standards that normally govern international shipping. For example, after his Liberian-registered tanker SS:Arrow ran aground and spilled oil into Chedabucto Bay, Nova Scotia in 1970, still the most significant oil spill off Canada’s East Coast (about 25% of the amount spilled by the Exxon Valdez in Alaska in 1989), there was a Commission of Inquiry. Led by Dr Patrick McTaggart-Cowan, executive director of the Science Council of Canada, the Commission found that the Arrow had been operating with almost none of its navigation equipment serviceable: "radar had ceased to function an hour before the ship struck; the echo sounder had not been in working condition for two months; and the gyrocomp*... had a permanent error of three degrees west. The officer on watch at the time of the accident, the ship's third officer, "had no license" and none of the crew had any navigational skill except the master, "and there are even doubts about his ability."

Monaco

On*is arrived in the Mediterranean principality of Monaco in 1953 and began to purchase the shares of Monaco's Société des bains de mer de Monaco (SBM) via the use of front companies in the tax haven of Panama, and took control of the organisation in the summer of that year. On*is moved his headquarters into the Old Sporting Club on Monaco's Avenue d'Ostende shortly after taking control of the SBM. The SBM was a significant owner of property in Monaco, its *ets included the Monte Carlo Casino, the Monaco Yacht Club, the Hôtel de Paris and a third of the country's acreage. On*is's takeover of the SBM was initially welcomed by Monaco's ruler, Prince Rainier III as the country required investment, but On*is and Rainier's relationship had deteriorated by 1962 in the wake of the boycott of Monaco by the French President, Charles de Gaulle.

On*is and Rainier had differing visions for Monaco. On*is wished the country to remain a resort for an exclusive clientele, but Rainier wished to build hotels and attract a greater number of tourists. Monaco had become less attractive as a tax haven in the wake of France's actions, and Rainier urged On*is to invest in the construction of hotels. On*is was reluctant to invest in hotels without a guarantee from Rainier that no other competing hotel development would be permitted, but promised to build two hotels and an apartment block. Unwilling to give On*is his guarantee, Rainier used his veto to cancel the entire hotel project, and publicly attacked SBM for their 'bad faith' on television, implicitly criticising On*is. Rainier and On*is remained at odds over the direction of the company for several years and in June 1966 Rainier approved a plan to create 600,000 new shares in SBM to be permanently held by the state, which reduced On*is's stake from 52% to under a third. In the Supreme Court of Monaco the share creation was challenged by On*is who claimed that it was uncons*utional, but the court found against him in March 1967. Following the ruling On*is sold his holdings in SBM to the state of Monaco and left the country. According to Frank Brady in On*is: An Extravagant Life, On*is's words about the issue were: "We were gypped."

Saudi Arabia

During the oil boom of the 1950s On*is was in final discussions with the King of Saudi Arabia for securing a tanker transport deal. Since the Arabian-American Oil Co. (currently, Saudi Arabian Oil Company, but still known as Aramco) had a monopoly on Saudi oil by a concession agreement, the US government was alarmed by the tanker deal. By 1954, a specific U.S. policy for Saudi Arabia, in addition to strengthening the US "special position," was to take "all appropriate measures to bring about the cancellation" of an agreement between the Saudi government and On*is to transport Saudi oil on his tankers and "in any case, to make the agreement ineffective". The arrangement would have ended monopoly control of Saudi Arabia's oil by American oil companies, but was forestalled by the US government.

For this reason he became a target of the US government and in 1954, the FBI investigated On*is for fraud against the U.S. government. He was charged with violating the citizenship provision of the shipping laws which require that all ships displaying the U.S. flag be owned by U.S. citizens. On*is entered a guilty plea and paid $7 million.

Whaling

Between 1950 and 1956, On*is had success whaling off the west coast of South America. His first expedition made a net profit of US$4.5 million. International agreements limited the number, size and dates between which whales could be taken. The On*is factory ship and its attendant catcher ships paid little attention to these restrictions. The Norwegian Whaling Gazette made accusations based on sailors' testimonials, such as one given by Bruno Schalaghecke who worked on the factory ship Olympic Challenger: "Pieces of fresh meat from the 124 whales we killed yesterday still remains on the deck. Among them all, just one could be considered adult. All animals that p* within the range of the harpoon are killed in cold blood."

In 1954 the government of Peru claimed the On*is fleet were whaling within 200 miles of the coast of Peru without permission and sent naval vessels to intercept them. Peruvian air force planes were also sent and dropped bombs that exploded near the factory ship. Most vessels in the fleet were captured by the Peruvian vessels and taken to Payta where they were interned.

The venture came to an end after the business was sold to Kyokuyo Hogei Kaisha Whaling Company, one of the biggest *anese whaling companies, for $8.5 million. Norwegian authorities suspected the involvement of Hjalmar Schacht in On*is's whaling enterprises. Schacht had previously been connected with On*is's Saudi Arabian deals.

Olympic Airways

Olympic Airways Boeing 707, 1973

In 1956, Greek airlines in general faced economic difficulties, whereby companies like TAE were affected by strikes and cash shortage. The Greek government decided to give this and other companies to the private sector, and, on 30 July 1956, On*is signed a contract granting him the operational rights to the Greek air transport industry. When On*is heard during the negotiations that he would not be able to use the five Olympic rings in his logo due to copyright issues, he simply decided to add a sixth ring.

Operation effectively started in 1957, with one DC-4, two DC-6s and 13 DC-3s. The following year saw 244,000 p*engers transported. The agreement lasted until 10 December 1974, when a number of factors (namely, a series of strikes, shortage of p*engers, fuel price increase, and a law from the new Greek government forbidding Olympic Airways to fire employees) led On*is to terminate his contract.

Following this event, Paul Ioannidis, a high-ranking director from Olympic Airways, said the following of On*is: "Deep down, did not want to relinquish Olympic Airways. He found it flattering to own an airline. It was something in which he took deep pride. It was his accomplishment. He was married to the sea, but Olympic was his mistress. We used to say that he would spend all the money he made at sea with his mistress in the sky."

On*is's time at the head of Olympic Airways is known as a golden era, due to investments he made in training and the acquisition of cutting-edge technology. For example, in 1959, he signed a deal with De Havilland to buy four Comet 4B jets. On*is was also renowned for his attention to service quality, which led him to buy gold-plated utensils and candles for the dining service of the first-cl* section.

During 1974, the last year of On*is's involvement with the company, Olympic Airways transported 2.5 million p*engers and had a work force of 7,356 persons. At the time, his ownership of Olympic Airways distinguished On*is as one of only two men in the world to own a private airline, the other being Howard Hughes of TWA.

Investments

On*is financed the construction of the Olympic Tower in New York City.

On*is was involved in the privatization of the Greek national airline and founded the privatized Olympic Airways (today Olympic Air) in 1957.Stocks accounted for one-third of his capital, held in oil companies in the United States, the Middle East, and Venezuela. He also owned additional shares that secured his control of 95 multinational businesses in five continents. He owned gold-processing plants in Argentina and Uruguay and a large share in an airline in Latin America and $4 million worth of investments in Brazil. Also, he owned companies like Olympic Maritime and Olympic Tourist; a chemical company in Persia; apartments in Paris, London, Monte Carlo, Athens, and Acapulco; a castle in South France; the Olympic Tower (a 52-storey high-rise in Manhattan); another building in Sutton Place; Olympic Airways and Air Navigation; the island of Skorpios; the 325:ft (99.06:m) luxury yacht Christina O and, finally, deposit accounts and accounts in treasuries in 217 banks in the whole world.

Project Omega

In October 1968, amidst the Greek military junta and shortly after his marriage to Jacqueline Kennedy, On*is announced the launch of Project Omega, a $400 million investment program that aimed to build considerable industrial infrastructure in Greece including an oil refinery and aluminum smelter. On*is had cultivated Greek junta dictator Georgios Papadopoulos, for his *istance with the scheme, loaning Papadopoulos the use of his villa and buying dresses for his wife. The project was financially supported by the American bank First National City, and On*is's American financial supporters eventually tired of the unfavourable terms demanded by him. The project was heavily criticized by people such as Helen Vlachos, a journalist from Athens. Another Greek Colonel, Nikolaos Makarezos, preferred a deal offered by On*is's rival, Stavros Niarchos, and the project was eventually split between them. The failure was due partly to opposition from influential people within the military junta, such as Ioannis-Orlandos Rodinos, Deputy Minister of Economic Coordination, who opposed On*is's offers in preference to Niarchos.

Relationships and family

On*is at age 69 in 1970

Athina Livanos

On*is married Athina Mary "Tina" Livanos, daughter of shipping magnate Stavros G. Livanos and Arietta Zafrikakis, on 28 December 1946. Livanos was 17 at the time of their marriage; On*is was 40. On*is and Livanos had two children, both born in New York City: a son, Alexander (1948–1973), and a daughter Christina (1950–1988). On*is named his legendary super-yacht after his daughter. To On*is his marriage to Athina was more than the fulfillment of his ambitions. He also felt that the marriage dealt a blow to his father-in-law and the old-money Greek traditionalists who held On*is in very low esteem. The couple had become largely separated by the mid-1950s, with the end of the marriage coming after Livanos found On*is in bed with a friend of hers at their home in Cap d'Antibes, the Château de la Croë. The house was then acquired by On*is's brother-in-law and business rival Stavros Niarchos, who bought it for his wife, Eugenia Livanos, Athina's sister. On*is and Livanos divorced in June 1960 during On*is's well publicised affair with Maria Callas.

Maria Callas

On*is and legendary opera soprano Maria Callas carried on an affair despite the fact that they were both married. They met in 1957 during a party in Venice promoted by Elsa Maxwell. After this first encounter, On*is commented to Spyros Skouras: "There just a natural curiosity; after all, we were the most famous Greeks alive in the world." Callas and On*is both divorced their spouses but did not marry each other, although their relationship continued for many years.

Jacqueline Bouvier On*is

On*is was a friend of Jacqueline Kennedy, widow of U.S. President John F. Kennedy. They married on 20 October 1968 on On*is's private Greek island, Skorpios.

On*is offered Mrs. Kennedy US$3 million to replace her Kennedy trust fund, which she would lose because she was remarrying. After On*is's death, she would receive US$150,000 each year for the rest of her life. The whole marital contract was discussed with Ted Kennedy. On*is's daughter Christina made it clear that she disliked Jacqueline On*is, and after Alexander's death, she convinced her father that Jacqueline had some kind of curse due to the **inations of John and Robert F. Kennedy. After On*is's death, Christina settled with Jackie On*is for $25 million in exchange for Jackie not contesting On*is's will.

During their marriage, the couple inhabited six residences: her 15-room apartment at 1040 Fifth Avenue in New York City, her horse farm in New Jersey, his Ave. Foch apartment in Paris (88 Avenue Foch), his house in Athens, his house on Skorpios (his private island in Greece), and his yacht Christina O.

Death and legacy

On*is died at age 69 on 15 March 1975 at the American Hospital of Paris in Neuilly-sur-Seine, France, of respiratory failure, a complication of the myasthenia gravis from which he had suffered the last years of his life. On*is was buried on his island of Skorpios in Greece, alongside his son, Alexander. On*is's 'Will' established a charitable foundation in memory of his son, the Alexander S. On*is Public Benefit Foundation, which received 45% of On*is's estate. The remainder of his estate was left to his daughter, Christina.

Jacqueline On*is also received her share of the estate, settling for a reported $10 million ($26 million according to other sources), which was negotiated by her brother-in-law Ted Kennedy. This amount would reportedly grow to several hundred million under the financial stewardship of her companion Maurice Tempelsman. Christina's share has since p*ed to her only child Athina, at the time making Athina one of the wealthiest women in the world.

See also

• Greece portal
• Biography portal

• Greek shipping
• Skorpios
• Christina O
• Stavros Niarchos

Notes

References

• Evans, Peter (1987). Ari: The Life, Times and Women of Aristotle On*is. London: Penguin. ISBN:978-0-14-009961-4.
• Gage, Nicholas (2000). Greek Fire, The Story of Maria Callas and Aristotle On*is. New York: Alfred A. Knopf. ISBN:978-0375402449.

Further reading

• Harlaftis, Gelina (2019). Creating Global Shipping: Aristotle On*is, the Vagliano Brothers and the Business of Shipping, c.1820-1970 (Hardback). Cambridge: Cambridge University Press. ISBN:9781108475396.
• Harlaftis, Gelina (2014). "The On*is Global Shipping Business: 1920s–1950s". Business History Review. Cambridge, England: Cambridge University Press. 88 (2): 241–271. doi:10.1017/S0007680514000026.
• Theotokas, Ioannis; Harlaftis, Gelina (2009). Leadership in World Shipping: Greek Family Firms in International Business. Houndmills Basingstoke, England: Palgrave Macmillan. ISBN:978-0-230-57642-1.

External links

• Alexander S. On*is Foundation official site
• Aristotle On*is: The Golden Greek (do*entary on the life of On*is, in English with Greek sub*les)
• FBI file on On*is