Gooderham and Worts

Early History

The business was founded by James Worts and his brother-in-law, William Gooderham. Worts had owned a mill in Diss, England, then moved to Toronto in 1831 and established himself in the same line of work. He built a prominent windmill on the Toronto waterfront, near the mouth of the Don River. The next year, Gooderham joined him in Toronto and in the business. The business prospered, processing grain from Ontario farmers and then shipping it out via the port of Toronto.

In 1834, Worts's wife, Elizabeth, died during childbirth. Two weeks later, Worts killed himself by throwing himself into the windmill's well and drowning. Gooderham continued the business himself. With a surplus of wheat, Gooderham expanded in 1837 into brewing and distilling, and soon this lucrative trade became the primary focus of the business. Gooderham served as the sole manager of the business until 1845, when he made Worts's eldest son, James Gooderham Worts, co-manager.

Expansion

In the second half of the 19th century, the firm rose to become one of Canada's most prominent industrial concerns. Under the control of William's son, George Gooderham (1830–1905), production increased to over two million gallons a year, half of the entire spirits production of Canada. The distillery itself expanded, becoming one of Toronto's largest employers.

As well as keeping interests in the milling and brewing trades, the company expanded into other ventures. It had a controlling interest in the Toronto and Nipissing Railway, one of the main lines that transported grain from the rural regions north of Toronto. In 1892, the company constructed the Gooderham Building, still a notable Toronto landmark, as its new headquarters.

Later History

In 1923, the company was sold to Harry C. Hatch for $1.5 million. The company gained a large share of the United States market during prohibition, legally manufacturing it in Canada and then selling it to resellers, who would smuggle it into the United States.

In 1926, Hatch purchased Canada's second-largest distiller, Hiram Walker & Sons Ltd., the makers of Canadian Club. The new company was named Hiram Walker-Gooderham & Worts Ltd. It continued manufacturing spirits at the Toronto distillery, but production gradually declined.

In 1927, at a hearing on tax evasion charges against Gooderham and Worts, notorious bootlegger Rocco Perri admitted buying whisky from the distiller from 1924 to 1927. Gooderham and Worts was convicted of tax evasion in 1928 and had to pay a fine of $439,744.