Gloucester National Bank (Gloucester, MA)

View Charter #1162 on SPMC View balance sheet

Episode Information

Episode UID
116201584
Episode Type
Run → Suspension → Reopening
Bank Type
national
Bank ID
11620 national
Charter Number
1162
Start Date
December 15, 1931
Location
Gloucester, Massachusetts (42.616, -70.662)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
7c3e3aba3aacf64b

Response Measures

Accommodated withdrawals, Public signal of financial health, Full suspension, Books examined

Clearinghouse involved: Yes (loan, examination, or other measures)

Description

Bank closed Dec. 15, 1931 along with eight affiliated institutions after runs on the Federal National Bank; reopened within weeks.

Events (5)
1. May 18, 1865 Chartered
Source
historical_nic
2. December 15, 1931 Run
Cause
Local Banks
Cause Details
Runs developed on the Federal National Bank of Boston and its branches, which were affiliated with Gloucester National, precipitating runs/closures among affiliated banks.
Measures
Directors of Federal National asked the Comptroller of the Currency to take charge; Gloucester directors announced voluntary action to protect depositors.
Newspaper Excerpt
The Federal National Bank ... directors asked the comptroller of currency to take charge after runs at the bank and its branches yesterday.
Source
newspapers
3. December 15, 1931 Suspension
Cause
Government Action
Cause Details
Comptroller/Bank Commissioner took charge of affiliated institutions and closed them pending examination and reorganization.
Newspaper Excerpt
Nine Massachusetts banking institutions ... were closed today ... The Gloucester National Bank ... was closed.
Source
newspapers
4. December 17, 1931 Reopening
Newspaper Excerpt
PREDICTS EARLY REOPENING OF BANK - Head of Gloucester National So Informs Directors ... 'the reopening of the bank ... only matter the time required for the bank examiner to complete his work.'
Source
newspapers
5. May 17, 1932 Voluntary Liquidation
Source
historical_nic

Newspaper Articles (13)
1. December 15, 1931 Salt Lake Telegram Salt Lake City, UT
Article from Salt Lake Telegram, December 15, 1931

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Article Text

Nine Massachusetts CAPPER ASKS PROBE Banks Are Closed BOSTON, Dec. 15 Massachuseits banking Institutions, with OF SHORT SELLING aggregate deposits, according to the latest $58,700,000, were closed today. The list included four national banks and five state banks. The central figure in the closings was the Federal National Bank of Boswhich has five city with which all the other institutions affiliated. The Federal National bank, whose directors voted to the take after at the bank and its branches yeshad deposits, on September of The other banks and their latest statements deposit were: The Middlesex National Lowcll, $4,000,000; the State National bank, Lynn, 013 the Gloucester National bank, the Bancroft Trust company, Worcester, the Lawrence Trust company, Lawrence, $9,555,926; the Inman Trust company, Cambridge, $3,808,412: the Brockton Trust company, Brockton, $1,508,753; the Salem Trust company, Salem, $2,115,530. Governor Joseph B. Ely said that with proper plan for the speedy reopening of the institutions could be accomplished and further said he had Bank Commissioner Arthur Guy to proceed with end in President Daniel C. Mulloney of the Federal National bank the opinion that with careful handling of resources, depositors in his bank would receive 100 cents on the dollar.

2. December 15, 1931 The Daily Sentinel Grand Junction, CO
Article from The Daily Sentinel, December 15, 1931

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NINE BANKS MASSACHUSETTS CLOSED TODAY Total Deposits Exceeded 58 Million; Speedy Reopening of Institutions Expected Massaaggregate according to the latest statements of 000 closed today The list included four national banks and five state The central in the closings the Federal bank of which has five city branches and with which all the other institutions The Federal National whose directors voted to ask the comptroller of currency to take charge after runs at the bank and its yesterday. had deon September of The banks and their latest statements of deposit were: The Middlesex National State the Gloucester National the Trust the Trust the Inman Trust Brockton Trust the Salem Governor Joseph B. in statement from his home WestTurn to Page 10. Col.

3. December 15, 1931 Fort Collins Coloradoan Fort Collins, CO
Article from Fort Collins Coloradoan, December 15, 1931

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Article Text

9 Banks Close Massachusetts Boston. (AP) Nine Massachusetts banking aggregate deposits, to the latest of closed today. The list included four national and five state banks. The central figure in the closings 12t-195G was the Federal bank Boston, which has five city es and with which all the other 3t-199G stitutions were affiliated. before The Federal National bank, whose directors voted to ask the comptroller of currency to take charge after runs at the bank and had posits, on 29, of 3t-199G The other banks and their available statements of deposit were: The Middlesex National bank. 3t-200G Lowell, $4,000,000; the State National bank, Lynn, $2,013,565; the GlouNational bank, $$1,600,000; See the Trust Worcester, $5,876,474 the Trust company, Lawrence, $9,555,926; the 5t-200G Cambridge, $3,808,412; the lyn Trust Brockton, $1,508,753; the Salem Trust company, Salem, $2,115,530.

4. December 15, 1931 The Lincoln Star Lincoln, NE
Article from The Lincoln Star, December 15, 1931

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9 BAY STATE BANKS CLOSE Institutions Had Total Deposits of 58 Million. BOSTON, Dec. 15- (AP) Massachusetts banking institutions, with aggregate deposist, according to the latest staemens, 000, were closed oday. The list included banks and five state banks. The central figure in closings was the Federal National bank of Boston, which has five city branches and with which all the other institutions were affiliated The Federal National bank, whose directors voted to ask the comptroller of to take charge its at the bank and after runs branches had deposits on September 29 of The other banks and their latest available statements of deposit were: The Middlesex National bank, Lowell, $4,000,000; State National bank, Lynn. $2,013,565; Gloucester National bank, $1,600,000 $5,876,474; Bancroft Trust Co., Trust Lawrence, Lawrence $9,555,926; Inman Trust Cambridge, Brockton Trust Trust Co., Salem, $2,115,530 Plan Speedy Reopening in stateJoseph ment Gov. from his home in Westfield. said that with proper measures, plan for the speedy reopening be accomcould plished the and said he had instructed thur Guy to proceed with that end in Three view savings banks in East BosSouth Boston were periencing and small runs today They were independent of the group fected in today's closings and ficers sought to reassure depositors that their funds were safe.

5. December 16, 1931 The Morning Union Springfield, MA
Article from The Morning Union, December 16, 1931

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Banks of State Called Sound as Nine Are Closed [Continued from First Page.] Judgment the banking situation sentially and In the judg. ment of the banking department. the same to be said the banks of the there should be undue apprehension on the part of depositors. Payment In Full Expected. Daniel the Federal the opinion that with proper handling of bank's assets. the depositors would be paid full. of the Federal National Bank was the of run that on the bank its five branches Boston yesterday after which the the Comptroller of Currency take charge of the affairs. With the of the Gloucester National Bank, all affiliated banking Institutions closed bank but, fac ing heavy closed. The directors annour that they believed the bank solvent. that had only $2100 on posit with the Federal that the bank could not safely honor the heavy demands ity liquidate and the National bank would sume as Gloucester bank founded 1706. is one of the country's oldest financial State Has Deposits. The of had $773,889 the Federal National Bank additional deposit in other the total the group to The city Boston has almost $900,000 deposited in Na tional, Edmund Mayor Curley said: "Mr. Mulloney the president Federal. garded as an exceptionally capable banking man and there is some couragement in that given the be able 10 100 cents the dollar pay from incident and curious spectators near the the banks the various but the groups those who composed them soon went their Three Boston savings banks two the East one South during day. Bank depositors that the banks were tirely the group closed and that their funds were safe Mayor Curley called the Goveroffice. but found that the Gov. was Clearing House and The said he Gov. Ely view their taking such action would closing any other banking institutions. said he instructed the Governor's seoretary to advise Ely that stood ready assist in any possible way and would be pleased bankers that the any Governor might call R. Plunkett of Adams, in discussing yesterday and Federal National Bank of Boston and eight affiliated Senator Plunkett, of the leading Sefiate bases his judgment of the Western situation on an Intimate knowledge of conditions there both that member the Legislative Committee on Banks The view expressed by the Senator from Adams was opinions given Bank Commissioner Arthur Guy and Gov. Joseph B. Ely Both have stated their firm there regard the Not only the banks in Western sound the opinion banking officals danger still fur any by sanity the residents that section with regard banks has the State House Western Massa. citizens prone hysteria have give way healthy confidence their banks.

6. December 16, 1931 Daily News New York, NY
Article from Daily News, December 16, 1931

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9 BAY STATE BANKS FAIL WITH $58,700,000 DEPOSITS Boston, Dec. 15 (A).-Nine Massachusetts banking Institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. Move for Reopenings. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Gov. Joseph B. Ely, in a statement from his home in Westfield, said that with proper measures a program for the speedy re-opening of the institutions could be worked out and that he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. Run on Savings Banks, Three savings banks in East Boston and South Boston were experiencing small runs today. President Daniel C. Mulloney of the Federal National Bank expressed the opinion that, with careful handling of resources, depositors in his bank would receive 100 cents on the dollar. The city of Boston had $900,000 on deposit in the Federal National Bank while the State had $773,889. besides $287,000 in other banks closed today. The bank commissioner's office estimated there were 75,000 depositors in the five State banks affected.

7. December 16, 1931 The Boston Daily Globe Boston, MA
Article from The Boston Daily Globe, December 16, 1931

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STATE'S FUNDS IN CLOSED BANKS TOTAL $1,060,889 The State of Massachusetts has slightly more than $1,000,000 tied up in six of the banks that closed their doors given out yesterday by State Treas Charles Hurley Treas Hurley said that the State had no funds in the Brockton Trust pany, the Lawrenche Trust Company the Trust closed banks, all affiliated with the Federal National Bank of Boston, in which the State has funds, and the amount in each follows: Bancroft Trust Company Worcester. $45,000 Inman Trust Company, $72,000; National Bank, Low $76,000 State National Bank, Lynn, Federal National Bank, $773,889 Gloucester National in the closed banks totaled $1,060,889.

8. December 16, 1931 The Boston Daily Globe Boston, MA
Article from The Boston Daily Globe, December 16, 1931

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Federal Bank and therefore sustain In fact, Gloucester National Bank has deposit with the Federal National Bank only $2100. On account of this rumor demands for by this the bank cannot safely honor for few at least, until has opportunity to liquidate its "The directors of this bank, therefore, voluntarily to the bank and the National bank make of this bank and make public statement of its conthis we plan to reopen the bank and do business usual There is an impression that the Gloucester subsidiary of the Federal Nothing the fact, the bank offisay Mr and States Attorney Fred H. Tarr that the Boston bank the local and that the only interest that the comes from of of in open The Gloucester, City Treas had 000 on deposit the bank Every financial in the city Mr Reed gave him assurances that be cashed on that the city would suffer In fact these institutions of the but Mr of the says there need it as the institution is bank capitalized for $100,000 and undivided profits and deposits of specialized in the Colonial foreign by which interests it in the fisheries as that has the Gloucester National as follows: president: John rence Trust caused much the minds of the depositors that the directors deemed it advisable the Banks to take charge of this bank in order to protect its depositors and conits assets. The recent statement, dated Oct showed the bank to have deposits totaling Last Tuesday Christmas members and said today that many of these checks had not Among the the City of which has there, according to City Treasurer William A. Kelleher Trust Company was established in Last May the stockholders with the Federal Bank of Boston. ing that an indictment him with the quashed The against Reed him with conspiracy to loan funds the bank on inadequate His motion to quash is based on two cause the not any specific offense contrary to the second, because the vague, indefinite, and does set ly, and formally, quired by When the indictments several defendants period in which file such pleas, and Judge blanket covering all defendants allowing of the period.

9. December 16, 1931 St. Louis Globe-Democrat St. Louis, MO
Article from St. Louis Globe-Democrat, December 16, 1931

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STUDENT WHOSE AUTO FEDERAL NATIONAL KILLED MAN INDICTED OF BOSTON CLOSES The grand jury yesterday voted an indictment charging leaving the scene an injury to person against Robert C. Behn, 25-year-old the death of Wilfred Fone, 37. flower salesman, 1407A Ange street, who was injured fatally by an automobile driven by Behn at Lindell and Euclid avenue on November In confession to the police. Behn said he unavoidably struck Fone when the flower seller stepped out from behind traffic going the opposite direction, and that he drove on to Taylor avenue and stopped and walked back. There, his confession said. he heard woman say he had been careless and speeding and became frightened and drove home without Identifying himself as the driver. He told his mother what had OCcurred. and. on advice, surrendered to the police. Governor Expects Speedy Reopening of Bank and Eight Affiliates. By Associated Press MASS., December 15.Nine Massachusetts banking institutions, with aggregate deposits, according to the latest statements. of $58 were closed today. The list included four National Banks and five state banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. Gov Joseph B. Ely. in statement from his home in Westfield. said that with proper measures. plan for the speedy re-opening of the institutions could be accomplished and further said he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. The Federal National Bank, whose directors voted to ask the comptroller of currency to take charge after runs the bank and its branches yesterday. had deposits, on September 29, of $28,285,238. The other banks and their latest available statements of deposit were: The Middlesex National Bank, Lowell, $4,000,000: The State National Bank, Lynn, $2,013,565; The Gloucester National Bank, The Bancroft Trust Company. Worcester. $5,876,474 The Lawrence Trust Comman Trust Company. Cambridge. $3,808,412 The Brockton Trust ComTrust $2,-

10. December 16, 1931 The Miami Herald Miami, FL
Article from The Miami Herald, December 16, 1931

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IN MASSACHUSETTS Four National and Five State Institutions Fail To Open Doors [BY THE ASSOCIATED PRESS.] BOSTON, Dec. 15.-Nine Massachusetts banking institutions, with aggregate deposits, according to the latest statements, closed The list included four national banks and five state banks. The central figure the closings the Federal National Bank of Boston, which has five city branches with which the other institutions were affilThe Federal National Bank, whose rectors voted to the comptroller of currency take charge after runs at the bank and its branches had deposits. on September 29, of $28,The other banks and their latest available statements of deposit were: The Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565 Gloucester National Bank, Gloucester. $6,600,000; the Bancroft Trust Company, WorcesLawrence Trust Company, Lawrence, $9,555,926; the Inman Company, Cambridge, the Brockton Trust Company, Brockton, $1,508,753 the Salem Trust Company, Salem, 115,530 Three savings banks in East Boston and experiencing small independent of the affected in today's closings and sought to reassure depositors that their funds were PROJECT ASSURED WASHINGTON, Dec. (/P)-An allotment of $22,750 rivers and harbors surveys in vicinity Jacksonville, made today by the war

11. December 16, 1931 The Cincinnati Enquirer Cincinnati, OH
Article from The Cincinnati Enquirer, December 16, 1931

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NINE BANKS CLOSED. Institutions Affected By Heavy Run At Boston. Boston. December 15 group of nine Massachusetts banks, having aggregate deposits of approximately $58,700,000. and of which the Federal National Bank of Boston was the central figure, was closed The Federal National Bank, with which the other eight ated. had deposits of $28,235,238. ac: cording to its most recent statement Three other national banks were in the that closed today. They include the Middlesex National Bank of with deposits of approxis mately $4,000,000; the State National Bank of Lynn, with about $2,013,565 in deposits and the Gloucester Name tional Bank, Gloucester, which has deposits of approximately $1,600,000 Five state banks, trust companies had their affairs taken over by the Bank Commissioner, who announced their deposits to be approximately as follows: the Bancroft Trust Come pany, Worcester. $6,000,000; the Laws rence Trust Company, Lawrence $8,860,000; the Brockton Trust Come pany, Brockton, $1,500,000; the Inman Trust Cambridge, $3,500,000, and the Salem Trust pany, Salem, $2,200,000. The Bank estimated that 75,009 depositors were affected by the closing of the state banks. Governor Joseph B. Ely of Massa chusetts, expressed the belief that prompt action were taken by the Federal authorities. making use the National Credit Corporation, with the aid of the state authorities, a speedy plan reorganization cculd be for the reopening of all the institutions. said he knew of no reason why any other banks in the state should be affected. Bank Commissioner Arthur Guy, pointing out that the trust companies were "affiliated with and controlled by the Federal National Bank, no other course remained but to take possession of the trust companies conserve the assets and for the protection of The closing of the Federal National Bank was the run that developed on the bank and its five branches in Boston yesterday, after which the Directors voted to have the Comptroller Currency take charge of the bank's affairs.

12. December 17, 1931 The Boston Daily Globe Boston, MA
Article from The Boston Daily Globe, December 17, 1931

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PREDICTS EARLY REOPENING OF BANK Head of Gloucester National So Informs Directors Special Dispatch to the Globe GLOUCESTER, Dec 6-Following a meeting of the board of directors this evening, Pres Thomas J. Carroll of the Gloucester National Bank expressed confidence that the bank will reopen within few Mr Carroll said that National Bank Examiner W. P. McCall had explained to the meeting that, because of the demand for examiners, he would have to conduct the examination of the Gloucester bank's affairs without assistance. Mr McCall said that probably 10 days required for him complete the His then go the Comptroller of the Currency at The reopening of the bank, Pres Carroll said is, in his opinion only matter the time that will be required for the bank examiner to complete his work. In addition to the fact that the city of Gloucester amounting about $46,000 will be honored by all checking institutions in this city came the news shortly before noon that the Cape Ann National and the Gloucester Safe Deposit Companies will henor all Christmas checks of the Gloucester National, amounting to $100,000. These had been mailed few days ago. The of two Gloucester banks to cash the checks extends only to the city's account and Christmas checks and to no other accounts. This, of course, is big help to depositors and local retail dealers. The yesterday that the city of Gloucester checks would be honored is due to the prompt action an Associate Justice the District Court, Lincoln who also chairman the Board Aldermen and one of the trustees the Cape Ann Savings Bank, solidly entrenched He immediately came into the and made arrangements the other commercial banks that all checks of the city should be paid on presentation. CLOSED BANK'S DEPOSITORS WARNED OF LOAN "SHARKS" warning to the of the Highland Trust Company and the members of the Christmas Savings Club of the Somerville Institution for Savings to beware of getting into the hands of small-loan 'sharks' was issued by Mayor John J. Murphy of Mayor Murphy said there is determined effort being made by money lenders to acquire hold on the money of depositors by offering small loans to them and requiring them to pledge their equity in the as security. Mayor Murphy said that plans are being considered for the benefit of depositors and urges them to retain their

13. March 14, 1932 The Berkshire Eagle Pittsfield, MA
Article from The Berkshire Eagle, March 14, 1932

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FORMER LOCAL MAN DIRECTOR OF REOPENED BANK O'Connell, the late John O'Connell Elizabeth Street, this city has been named director the Gloucester National Bank business on Dec. 15, 1931, and has been ganized for opening probably this week Mr. manager of the LobBay The bank the oldest the country been established Gloucester.