10595. St. Louis trust companies (Saint Louis, MO)

Bank Information

Episode Type
Run Only
Bank Type
state
Start Date
October 28, 1903
Location
Saint Louis, Missouri (38.627, -90.198)

Metadata

Model
gpt-5-mini
Short Digest
04055db7

Response Measures

Accommodated withdrawals, Public signal of financial health, Capital injected, Partial suspension, Books examined

Other: Group event affecting multiple trust companies in St. Louis; New York and Washington shipments of specie/coin helped restore confidence.

Description

Multiple contemporary articles (Oct 27-29, 1903) report runs on St. Louis trust companies triggered by malicious/false rumors from the Chicago stock market. The trust companies met all demands, waived/enforced withdrawal-notice rules temporarily, received transfers from New York, and restored confidence. There is no mention of any suspension, receivership, or permanent closure of these institutions in the articles.

Events (1)
1. October 28, 1903 Run
Cause
Rumor Or Misinformation
Cause Details
Malicious/false rumors originating in the Chicago stock market alleged weakness of St. Louis trust companies to trigger withdrawals; intended to affect the stock market.
Measures
Trust companies met all demands, temporarily waived/enforced 30/60-day withdrawal rules for savings, leading financiers and stockholders personally assured depositors; New York transferred $2,025,000 to St. Louis to bolster liquidity.
Newspaper Excerpt
All this trouble was caused by a rumor sent out from the Chicago stock market... The rumor sent out from Chicago was absolutely without foundation and was malicious in the extreme.
Source
newspapers

Newspaper Articles (10)
1. October 28, 1903 The St. Louis Republic Saint Louis, MO
Article from The St. Louis Republic, October 28, 1903

Click image to open full size in new tab

Article Text

MALICIOUS CHICAGO RUMORS CAUSED WITHDRAWALS. Continued From Page One. started as the preliminary to a bear raid on the stock market. Mr. Buder said: "For ten days we have been receiving queries from Chicago asking the general financial con Ition of the St. Louis trust companies. None of these queries were from banks or trust companies. "It is significant that all the queries, both of phone and wire, were entirely from brokers, while our correspondents among the banks have not troubled us for information. "There is little doubt that the rumors are maliclously intended to create a feeling of distrust, and that they are designed to further the plans of stock dealers who have sold the market short. "This stock market is on the rise, and the 'shorts' have started this rumor to enable themselves to cover their shortages. "There is not a word of truth in the rumors, and I am cofident that there will be no repetition of the scenes of this afternoon, to-morrow, as the folly of their action in withdrawing their funds and losing the interest will be soon seen by those who withdrew to-day." KOEHLER MAKES STATEMENT. Henry Koehler, Jr., president of the Germania Trust Company, made the following statement to The Republic of his understanding of the start of the run on St. Louis trust companies: "All this trouble was caused by a rumor sent out from the Chicago stock market. There are many who have sold the market short in Chicago, and as stocks have reached their absolutely lowest legitimate level for some time. a way to break the rising market and enable the "shorts" to cover was sought. "The flurry cannot last over to-morrow, as there never was a time when our banks and trust companies were in better condition than to-day. The mere fact that they were able to supply the money for moving the cotton crop should allay all fears as to the stability of the institutions. "We have had no run here: in fact. our deposits of savings have been greater today than they have been for some time. "The rumor sent out from Chicago was absolutely without foundation and was malicious in the extreme. It did not. I understand. specify any particular institution. but spoke of the largest. This absence of definiteness is proof of the falsity of the rumor." NO LARGE WITHDRAWALS. At the Commonwealth Trust Company officials stated that, while their business for the day had been larger than usual, no large depositors had presented their pass books to the savings department with a check to close account. All of the withdrawals were of small accounts. A crowd gathered in front of the Missouri Trust Company for a short time late in the afternoon, and some depositors withdrew small accounts. Officials of the company made the statement that the company was absolutely solvent and would pay depositors accounts as fast as they could be verified and the money counted out. At a meeting of the officers of all the trust companies last night, it was agreed that in the withdrawal of savings accounts, hereafter, thirty days' notice would be required from depositors of less than $100 and sixty days' notice from those who wished to withdraw more than that amount. This action covers not only the present, but will be invariably required from all depositors In the savings department. This is in accordance with the rules of the institutions. although It has not been recently enforced. Demand certificates will be paid as they matgre, while current accounts will be subject to check as usual.

2. October 28, 1903 The Birmingham Age-Herald Birmingham, AL
Article from The Birmingham Age-Herald, October 28, 1903

Click image to open full size in new tab

Article Text

In Excellent Condition. Jefferson City, Mo., October 27.-Secretary of State Cook when asked tonight regarding the condition of the St. Louis trust companies, replied: "The department recently made an examination of all trust companies in St. Louis. They are in excellent condition and abundantly able to meet every demand upon them. These precipitate runs may cause temporary annoyance, but they cannot in the least affect the standing of these companies."

3. October 28, 1903 Evening Times-Republican Marshalltown, IA
Article from Evening Times-Republican, October 28, 1903

Click image to open full size in new tab

Article Text

Louis Bankers Say Run or Their Banks There Was Due to False Reports AR TRADERS RESPONSIBLE Affecting the Standing of Cer Concerns Were Sent Out to Affect the Market and Caused Almost Panic in the World's Fair CityWorst Over. Louis, Mo., Oct. 28.-Chicago is by St. Louis bankers for the on St. Louis trust companies yeswhich, for a time, threatened to a regular panic, and which was ecked only by the prompt and wise of leading financiers, business and citizens of St. Louis, who adissed the excited crowds, gave then assurrance, including written reements pledging their fortunes the city's financial institutions are safe and will be upheld under any all conditions and counseled them quietly home and do all in their to allay alarm, and avoid cirof injurious and unfounded rewhich would hurt the city and the fair soon to open. is believed the worst is over and ore the close of banking hours tothe runs will have ceased. The companies agreed last night to the legal sixty or ninety days on savings deposits and the house association in a statedeclaring the trust companies to all sound and solvent, approved-this as likely to check the runs and train the public from foolish action The feeling among the bankers and company officials is very bitter wever. They declare that there is earthly excuse for Tuesday's trouand that it never would have taken but for false and malicious rumsent out by Chicago stock manipdesirous of checking the rising dency of the market in which they heavily short, and who seized upthe fact that a high official of a cerMexican railway-whose stock depreciated woefully during the twelve months-is also a high ofof a certain St. Louis trust comwhich was reported to be a heavy of the bonds of this same railto attack the solidity of that trust

4. October 29, 1903 The Indianapolis Journal Indianapolis, IN
Article from The Indianapolis Journal, October 29, 1903

Click image to open full size in new tab

Article Text

Money in Demand. [A. W. Thomson, Indianapolis.] NEW YORK, Oct. 28.-The market is steadier and, on the whole, a little firmer. The run on the St. Louis trust companies seems likely to be unimportant. Bearish efforts were resumed on some of the industrials with some effect, but the tone of the rails is firm. Both call and time money are in better demand and rates are a little higher. The market is, on the whole, dull. Pressure from liquidation is, however, slight. The Gould stocks show especial strength. The Atchison statement was very favorable. In fact, railroad earnings in every quarter are highly satisfactory. Naturally it takes some time for confidence to restore itself after the events of the past few weeks. The underlying conditions are good and the undertone of the market is strong.

5. October 29, 1903 The Minneapolis Journal Minneapolis, MN
Article from The Minneapolis Journal, October 29, 1903

Click image to open full size in new tab

Article Text

The St. Louis trust companies met the run on them boldly and successfully. Notwithstanding the rumors of weakness they were able to accommodate their scared depositors without accepting the proffered help from other institutions. In the end the St. Louis excitement may have a good effect on the suspicious public everywhere. There is nothing that so quickly allays the apprehension of the average depositor as to find that he can get his money when he feared he couldn't. Stories are common of panicky depositors fighting for a place in the line at a run. and, after waiting hours, promptly redepositing their money when they got it.

6. November 3, 1903 Wausau Pilot Wausau, WI
Article from Wausau Pilot, November 3, 1903

Click image to open full size in new tab

Article Text

Run on Trust Companies. St. Louis trust companies experienced a run, but by meeting all demands restored confidence. The Chicago Stock Exchange rumors are blamed for the occurrence.

7. November 5, 1903 The Hocking Sentinel Logan, OH
Article from The Hocking Sentinel, November 5, 1903

Click image to open full size in new tab

Article Text

Run on Trust Companies. St. Louis trust companies experienced a run, but by meeting all demands restored confidence. The Chicago Stock Exchange rumors are blamed for the occurrence.

8. November 7, 1903 The Grenada Sentinel Grenada, MS
Article from The Grenada Sentinel, November 7, 1903

Click image to open full size in new tab

Article Text

Mrs. L. Q.C. Lamar, wife of the noted Mississippi statesman, dead. The yellow fever situation in Texas is improving with the advent of cold weather. Two Chicago aldermen have been indicted for conspiring to procure illegal voting in a municipal election. Labor riots are of daily occurrence in both France and Spain, where thousands of workingmen are on strike. The union express drivers employed by all the express companies in St. Louis are out on strike out of sympathy for the Pacific strikers. Santos Domingo is in the throes of another revolution, said to be the result of custom house frauds and corruption of the minister of finance. It is generally understood that Senator Hanna will retire as chairman of, the republican national committee at the expiration of his present term. A white man of the name of McAlpin was lynched by a mob in Smith county, Mississippi, after a difficulty in which he fatally wounded a neighbor. Louise Mechael, the aged French radical, is spending her last years in seclusion in Paris. Whenever she appears in public she is scoffed at and insulted by the populace. An order has been issued by the Pullman Palace Car Company, the Nashville, Chattanooga and St. Louis railway and the Louisville and Nashville railway, prohibiting negroes from riding in the same sleeper and from using the same dining cars with white people in Tennessee. Following the run of depositors on St. Louis trust companies was the shipment from Washington to the above city the largest sum of money that ever left the treasury department at Washington in one day for one city at any one time. It is estimated over $5,000,000 were received in St. Louis in one day. A company with $150,000 capital has been organized at St. Louis to operate a goat dairy. Leading physicians are at the head of the enterprise, and their object ist to supply pure goat milk for infants by renting the goats to families. It is well known that goat's milk is the best upon which to raise children. Millard Lee, white, was hanged at Atlanta, Ga., for the murder of Lillie May Suttles. The tragedy occurred in a church at a country village near Atlanta, May 20, 1902. Lee was desperately in love with the girl, who was only 17 years of age, and just as the congregation was being dismissed, shot her three times, after being refused the privilege of escorting her home. The Interstate Mississippi River Improvement and Levee Association concluded its session at New Orleans October 29 after adopting a series of resolutions in favor of governmet jurisdiction of levees and for appropriations for their is control if government control not proper, and endorsig the waterway from the gulf to the great lakes and the Chicago sanitary canal as a part of that project. By a decision of the New York court of appeals, Albert T. Patrick, murder of Millionaire Rice, loses his alleged interest in the Rice estate, which he claimed by a will supposed to be a forgery. Thomas Bechtel, confined in jail at Allentown, Pa., on the charge of murdering his 18-year-old sister while under the influence of whisa ky, mutilating her head with hatchet, suicided by cutting his

9. November 9, 1903 Vilas County News Eagle River, WI
Article from Vilas County News, November 9, 1903

Click image to open full size in new tab

Article Text

DOMESTIC. Rear Admiral Schley is writing his memoirs. The run on St. Louis trust companies ended. An American Gentleman company IS stranded at Kansas City, Mo. At Uniontown, Pa., William Hayes, colored, was hanged for the murder of Edward Perkins. The public debt on Oct. 31, totaled $920,402,501. an increase for the month of $2,649,956. Dr. W. Todd Helmuth, Jr., cut away half the stomach of a woman in a New Jersey hospital. R. E. Glass, formerly of Macomb, III., has disappeared in the Black hills. Foul play is feared. Near Crawfordsville, Ind., a wila boy, who has been living with cattle in the open, has been captured. Twenty-five Italians perished in a fire that burned out a tenement at No. 426 Eleventh avenue, New York. A hypnotist named Brown was mobbed at Lamont (S. D.) after failing to revive Ole Rasmussen, his sub-| ject. A Stevens Point (Wis.) court was stampeded during the Harroun murder trial by an exhibit of canned sheep pelts. Blanche Ring sailed for Europe with her manager, Frederick E. McKay, whom it was reported she had married. Barnard (N. Y.) college girls were given a new code of rules which forbids visits to drug stores after s without chaperone. Seven blocks were burned at Coney Island. N. Y., and two men arrested charged with setting the fire. Several persons were hurt. Forty persons were killed by railways in Chicago during October. The steam roads killed 26, electric cars 10, cable lines 4. Nine Crow Indians were killed ana ten captured in a second battle with a Wyoming posse, which was pursuing them for killing game. The waterworks tunnel at Cleveland. that has cost fifty lives and millions of money, has been opened after years of work. Thirty persons were injured in a wreck of the Santa Fe railroad's Chicago-Colorado "flyer" by bridge collapse near Pueblo. Floyd Swarty shot and killed Albert Newheart at Arkansaw, Wis.. and then shot himself. The killing is the result of a slight quarrel. Mrs Featherstone of Florence, Mich.. and her daughter were shot to death by Charles Lamb, the latter's husband. who escaped. Mrs. Emma Booth-Tucker, Consul of the Salvation Army in America, and Col. Thomas Holland were killed in a train wreck in Missouri. Minister to Columbia Beaupre was practically withdrawn by President Roosevelt to show his disapproval of the Panama treaty rejection. The Christian Brothers' college, costing $100,000, was burned by New York City watershed commissioners after condemnation proceedings. Harry R. Parker of Lowell. Mass., has turned tramp for an education walking from school to school seeking a chance to work for his tuition. The explosion of a car of dynamite on a sidetrack at Crestline, O., it is estimated. will result in a financial loss of from $400.000 to $500.000. President Bacon and Cashier Butler of the defunct bank at Lockport III., were arrested on the charge of embezzlement preferred by depositors.

10. November 13, 1903 The Professional World Columbia, Jefferson City, MO
Article from The Professional World, November 13, 1903

Click image to open full size in new tab

Article Text

COMMERCIAL New York Aids St. Louis. An unwarranted rumor, supposed to emanate from Chicago and reflecting on the stability of St. Louis trust companies, caused a run on those instituttions early in the week, which for a time threatened to assume panic proportions. The trust companies met the demands of the depositors, waiving the sixty-day withdrawal requirements and managed to restore confidence, but not until President Francis and other stockholders had personally assured the depositors that the institutions were solvent. New York came to the relief by transferring $2,025,000 to St. Louis, which proved ample.