10342. Kansas City Safe Deposit and Trust Company (Kansas City, MO)

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: state
Start Date: July 1, 1893*
Location: Kansas City, Missouri (39.100, -94.579)

Metadata

Model: gpt-5-mini
Short Digest: b036b9b5

Response Measures

Partial suspension, Full suspension

Other: Assignees (receivers) named; clearing house provided aid to avert earlier runs.

Description

Multiple contemporary articles report two recent runs that were stopped by enforcing the 30-day withdrawal clause (later changed to 90 days), after which the bank failed to open on July 11, 1893 and posted a notice of assignment (assignees named). The assignment/closure appears permanent (assignees/receivers took possession and officers say the bank will go out of business after winding up). Cause: liquidity problems from rapidly maturing paper and consequent depositor runs (bank-specific adverse information/liquidity).

Events (3)

1. July 1, 1893* Run

Cause: Bank Specific Adverse Info
Cause Details: Two recent depositor runs due to liquidity strain; bank enforced 30-day withdrawal notice (later 90 days).
Measures: Enforced thirty-day notice for withdrawals; later demanded ninety days' notice before withdrawal.
Newspaper Excerpt: This is the bank of which two runs were started recently. They were stopped by enforcing the thirty-day clause.
Source: newspapers

2. July 11, 1893 Receivership

Newspaper Excerpt: The notice posted on the door stated that the bank had assigned last night to Walter J. Bates and W. D. McLeod, who had taken possession.
Source: newspapers

3. July 11, 1893 Suspension

Cause: Bank Specific Adverse Info
Cause Details: Assignment made owing to rapidly maturing paper and inability to meet obligations; assignees Walter J. Bates and W. D. McLeod appointed and took possession; officers say they will be able to pay obligations in thirty days but the bank will go out of business after winding up affairs.
Newspaper Excerpt: The Kansas City Safe Deposit and Trust Company... failed to open its doors this morning. A notice on the door said the bank had assigned last night and the assignee had taken possession.
Source: newspapers

Newspaper Articles (8)

1. July 11, 1893 San Antonio Daily Light San Antonio, TX

Article from San Antonio Daily Light, July 11, 1893

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Article Text

A Kansas City Bank Failed. KANSAS CITY, Mo., July 11.The Kansas City Safe Deposit and Trust company, capitalized at $300,000, and supposed to be one of the strongest institutions of its kind in the state, failed to open its doors this morning. The notice posted on the door stated that the bank had assigned last night to Walter J. Bath, W. D. McLeod and M. T. Lamer, who had taken possession. No statement is obtainable yet. No excitement was caused by the failure, and it is not thought it will extend to other banks.

2. July 12, 1893 The Morning Call San Francisco, CA

Article from The Morning Call, July 12, 1893

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BUSINESS CRASHES. The Stringency Causes the Failure of the Terre Haute Car Works. INDIANAPOLIS, Ind., July 11.-The Terre Haute Car Works, one of the largest of its class in the West and largest in Indiana, assigned to-night. It employed 900 men and did an annual business of $2,000,000. The stringency in the money market is the cause. The liabilities are $19,165 and the over contingent liabilities, $84,467. The assets are nearly $600,000. PHILADELPHIA, July 11.-Frederick J. Amweg of this city. contractor for the State Asylum for the Insane at Wernersville, failed to-day. His liabilities are $300,000. Amweg says that if given time to complete the asylum and his other contracts his assets will be $500,000. The cause of the failure was stringency in the money market. NEW YORK, July 11.-J. S. Conover & Co., manufacturers and dealers in open fireplaces, grates and fenders, wood mantels and tiles, to-day assigned to William H. Harris without preferences. The firm was one of the oldest and largest houses in the trade. The cause of the assignment was bad business. The liabilities are $400,000 and the assets $525,000. CHICAGO, July 11.--The heavy financial loss entailed by the cold-storage fire at the World's Fair yesterday caused the Hercules Iron Works, the owners of the plant, to make an assignment this morning. The company owns a plant at Aurora, Ill. The assets are $400,000; liabilities, $200,000. Yesterday's fire caused a loss of $200,000, which the company will have to stand, as the insurance company recently canceled all risks on the structure. The president of the Hercules Company says the plant is unincumbered and sufficient to meet all liabilities. The company will continue in business, but will not rebuild at the World's Fair. KANSAS CITY, July 11.-The Kansas City Safe Deposit and Trust Company, with a capital of $300,000. and supposed to be one of the strongest institutions of the kind in the State, failed to open its doors this morning. A notice on the door said the bank assigned last night and the assiguee had taken possession. No statement is yet obtainable. There is no excitement and it is not believed that the failure will affect other banks. Assets, $2,000,000; liabilities, $1,700,000. The officers say the company will be able to pay all obligations in full in thirty days. It will then go out of business. GALVESTON, Tex., July 11.-The North Galveston Land and Improvement Association is in the hands of a receiver. The liabilities are $500,000. The assets are in lands, town sites and improvements at North Galveston, which has a population of 300, and several small factories. The employes have received no wages for several months and are in absolute want.

3. July 12, 1893 The Indianapolis Journal Indianapolis, IN

Article from The Indianapolis Journal, July 12, 1893

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MISSOURI'S LARGEST SAVINGS BANK. The Kanons City Safe Deposit and Trust Company Closes Its Doors. KANSAS CITY, July 11.-The Kansas City Safe Deposit and Trust Company. the largest savings bank in Missouri, and considered to be one of the strongest institutions in the State, failed to open its doors this morning. A notice posted on the door stated that the bank had assigned, last night, to Walter J. Bates and W. D. McLeod, and that the latter had taken possession. The assets of the concern are given as $2,000,000, and the liabilities $1,700,000. The bank was capitalized for $300,000. Its president is J.C. Darragh. W. P. Moores is vice president, and E. C. Sattley cashier. It 18 asserted by the officers that they will be able within thirty days to pay all obligations in full. Bnt little excitement was caused by the failure, and it is not anticipated that it will affect other Kansas City institutions. The bank will go out of business after winding up its affairs. The assignees claim to know nothing of the present condition of the bank, and say that a correct statement will not be forthooming for three or four days. Embarrassed by the World's Fair Fire. CHICAGO, July 11.-The heavy financial loss entailed by the cold storage pavilion fire caused the Heroules iron worke, owner of the plant, to make an assignment in the Circuit Court this morning. The Chicago Title and Trust Company 18 made assignee. The Hercules Company was incorporated in 1885. with a capital stock of $400,000. It owns a plant at Aurora, III., covering seven acres. Its assets are estimated at $400,000. against $200,000. President Skinner said: "Our property in Aurora, which is unincumbered, is of sufficient value to meet all our liabilities. notwithstanding the $200.000 loss of yesterday. We will continue in business, but will not rebuild at the world's fair." The Davis Banking House Fails. Special to the Indianapolis Journal AUBURN, Ind., July 12.-The old banking houses and hardware stores of John L. Davis, established at Auburn in 1865 and in Garrett in 1875, have failed. An assignment was made to F. E. Davenport to-day. The amount of liabilities and assets are not yet known. AUBURN, N. Y., July 11.-The private bank of John T. Davis did not open for business this morning. C. A. Davenport has been appointed assignee. There was no run on the bank and the assets and liabilities cannot, as yet, be learned. Mr. Davis also operates a private bank at Garrett, Ind.

4. July 12, 1893 The Salt Lake Herald Salt Lake City, UT

Article from The Salt Lake Herald, July 12, 1893

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FAILURE AT KANSAS CITY. A Safe Deposit and Trust Company Have Assigned. KANSAS City, Mo., July 11.-The Kansas City Safe Deposit and Trust company, capital $300,000, supposed to be one of the strongest institutions of its kind in the state, failed to open its doors this morning. The notice on the door said the bank had assigned last night and the assignee had taken possession, There is no excitement and it is not believed the failure will affect other banks. The assets are $2,000,000, liabilities $1,700,000. Officers say they will be able to pay all obligations in full in thirty days, then it will go out of business.

5. July 12, 1893 New-York Tribune New York, NY

Article from New-York Tribune, July 12, 1893

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TWELVE PAGES. THE NEWS THIS MORNING. Foreign.-There was an exciting scene in the House of Commons during the debate on an amendment to clause 9 of the Home Rule bill reducing the Irish representation in the Imperial Parliament to forty-eight: the amendment was rejected by a vote of 251 to 219. M. Lepine was appointed to succeed M. Loze as Prefect of Police in Paris. : A report that captains of British warships were to be court-martialled for disobeying Admiral Tryon's signals which led to the sinking of the Victoria was denied. Trouble over the French shore question is feared in Newfoundland. The situation in Rio Grande do Sul is said to be critical. Domestic.-Eleven firemen were killed in the fire on the World's Fair grounds; the bodies of several other men have been found; the inquest was begun: Director of Works Burnham may be removed by the Council of AdministraThe suit of Wanamaker and Brown to tion. secure the closing ot the World's Fair on Sundays was thrown out of court. = The twentyseventh festival of the North American Saengerbund began in Cleveland, Ohio, with a concert. === The Kansas City Safe Deposit and Trust Company assigned : many smaller failuros were reported. The funeral of Associate Justice R. Blatchford, of the United States Supreme Court. took place at Newport, R.I.= Highly successful tests of nickel-steel arinor plates were made at the Indian Head proving The tennis tournaments at Saratoga grounds. and Seabright were begun. City and suburban.-The Presbyterian Church of the Covenant has been sold and the congregation merged into that of the Brick Church. Secretary Carlisle has deducted from the vacations of veterans in the Custom House the time they spent attending the Gettysburg ceremonies. = Many eyes were turned heavenward to view the newly discovered comet. - Winners at Monmouth Park: Tormentor, Roland Reed, Sir Walter, Jack of Spades, Restraint and LyThe trunk lines decided to run exceum. cursion trains to Chicago, and to charge one fare for the round trip. === Stocks active in comparison with recent transactions, but they declined almost from the opening, and last prices showed heavy losses. The closing was feverishly weak at about the lowest points. Money on call ruled at 8, but in the last hour loans were made at 12a15 per cent. The Weather-Forecast for No-day : Fair, warmer. Temperature yesterday: Highest, 82; lowest, 63: average, 72.

6. July 12, 1893 New-York Tribune New York, NY

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FAILURE IN KANSAS CITY. THE LARGEST SAVINGS INSTITUTION IN MISSOURI SUSPENDS. ASSIGNEES NAMED FOR THE KANEAS CITY SAFE DEPOSIT AND TRUST COMPANY - TWO RUNS SUCCESSFULLY WITHSTOOD Kansas City, July 11.-The Kansas City Safe Deposit and Trust Company, the largest savings bank in Missouri, and considered to be one of the strongest institutions in the State, failed to open its doors this morning. A posted notice stated that the bank had assigned last night to Walter J. Bates and W. D. McLeod. and that the latter had taken possession. The assets of the concern are given as $2,000,000 and the liabilities $1,700,000. The bank was capitalized for $300,000. Its president is J. C. Darragh. W. P. Moore is vise-president, and E. C. Battley cashier. It is asserted by the officers that they will be able within thirty days to pay all obligations in full. Little excitement was caused by the failure, and it is not thought that It will affect other Kansas City institutions. The bank will go out of business after winding up Its affairs. The assignees say they know nothing of the present condition of the bank. and that a correct statement will not be forthcoming for three or four days. The failu will cause much trouble among depositors, though it is probable they will be paid in full. This is the bank or which two runs were started recently. They were stopped by enforcing the thirty-day clause. Later, when matters had apparently quieted down. the bank demanded ninety days' notice bfeore the withdrawal of deposits. This was the first sign of weakness, The assignment was made owing to rapidly maturing paper. which the directors knew they could not meet. Since the recent run the bank has been crowded daily. The bank had over 10,000 depositors. and less than two months ago had over $2,000,000 in deposits. Its paid up capital with $300,000. The failure was a great surprise. Every effort was made to avert the assignment, and the clearing house was generous In its aid.

7. July 15, 1893 Albuquerque Weekly Citizen Albuquerque, NM

Article from Albuquerque Weekly Citizen, July 15, 1893

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Big Bank Failure. Kansas City, Mo., July 14.-The Kan. eas City Sale Deposit and Trust Com. pany, the largest savings bank in Mis. Bour and considered to be one of the strongest savings institutions has closed its doors. A notice posted on the door stated that the bank had assigned to Walter J. Balee and W. D. McLeod. and that the latter had taken pos. sension. The assets of the tirm are

8. July 21, 1893 Idaho County Free Press Grangeville, ID

Article from Idaho County Free Press, July 21, 1893

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HEAVY FAILURES. The Chicago Fire Adds to the Number of Assignments-A Kansas City Failure. Chicago, July 13.-The heavy financial loss entailed by the cold storage company at the world's fair yesterday has caused the Hercules Iron Works, owner of the plant, to make an assignment this morning. The company owns a plant at Aurora, Ills. The assets are $400,000 and the liabilities $200,000. Yesterday's fire caused a loss of $200,000, which the company must stand, as the insurance company recently cancelled all risks on the structure. A Failure at Kansas City. KANSAS CITY, July 13.-The Kansas City Safe Deposit and Trust Company, capital $300,009, and supposed to be one of the strongest institutions of the kind in the state, failed to open its doors this morning. A notice posted on the door said that the bank assigned last night. The assets are two millions and the liabilities a million and seven hundred thousand. Officers say they will be able to pay all obligations in full in thirty days, then it will go out of business. A Private Bank. AUBURN, Ind., July 13.-The private bank of John L. Davis has failed. No statement of the liabilities has been given. Davis also operated the bank at Gowett, Ind. In the Hands of a Receiver. GALVESTON, Tex., July 13.-The North Galveston Land & Improvement Association is in the hands of a receiver. The liabilities are $500,000. No Statement of Liabilities. OMAHA, July 11.-A Bee's O'Neil, Neb., special says that the Holt County bank has failed. No statement of assets or liabilities is given.