Boston Continental National Bank (Boston, MA)

View Charter #11903 on SPMC View balance sheet

Episode Information

Episode Type
Run → Suspension → Closure
Start Date
December 17, 1931
Location
Boston, Massachusetts (42.358, -71.060)
Bank Type
national
Charter Number
11903
Alt. names
Boston National Bank

Metadata

Episode ID
Bank ID
City ID
250617565
Model
gpt-5-mini
Short Digest

Response Measures

Full suspension, Books examined

Receivership Details

Depositor recovery rate
40.0%
Date receivership started
1931-12-22
Share of assets assessed as good
22.2%
Share of assets assessed as doubtful
58.6%
Share of assets assessed as worthless
19.1%

Events (5)
1. December 31, 1920 Chartered
Source
historical_nic
2. December 17, 1931 Run
Cause
Local Banks
Cause Details
Heavy withdrawals and public uneasiness tied to recent closings of other Boston national banks (contagion from local bank failures).
Measures
Directors asked the Comptroller of the Currency to take possession to conserve assets.
Newspaper Excerpt
Due to extraordinarily heavy withdrawals caused by general public uneasiness
Source
newspapers
3. December 17, 1931 Suspension
Cause
Local Banks
Cause Details
Bank closed/suspended operations because of unusually heavy withdrawals and public uneasiness following other bank closings.
Newspaper Excerpt
failed to open for business today ... directors ... have asked the controller of the currency to take possession of the institution.
Source
newspapers
4. December 22, 1931 Receivership
Newspaper Excerpt
appointment of John B. Cunningham as receiver for the closed Boston-Continental National Bank.
Source
newspapers
5. December 22, 1931 Receivership
Source
historical_nic

Newspaper Articles (16)
1. December 17, 1931 The Waterbury Democrat Waterbury, CT
Article from The Waterbury Democrat, December 17, 1931

Click image to open full size in new tab

Article Text

Boston, Dec 17.-(UP)-The Boston Continental National Bank, with deposits approximating $7.000,000, failed to open for business today. It was the second National bank to close in Boston this week. the much-larger Federal National Bank having closed Tuesday. According to President T. M. Ragan, the Continental National, with two in town and two suburban branches, was closed to protect the depositors in the face of unusually heavy withdrawals. A notice posted at the bank's entrance read: "Due to extraordinarily heavy withdrawals caused by general public uneasiness and in order to conserve the assets of the bank, which in the due course of an orderly liquidation should pay all depositors in full, directors of the Boston Continental National Bank have asked the controller of the currency to take possession of the institution." Boston, Dec 17.-(UP)-With deposits aggregating $61,701,238 tied up by the closing of 10 National banks and trust companies, efforts were made to-day to discourage runs on several savings banks. Reminded that never in history has a Massachusetts savings bank been obliged to close, depositors generally refused to become panicky over developments affecting the other types of banks. But in East Boston, South Boston and Lowell, runs had been reported on savings banks. "The banks in East Boston and South Boston, where the runs are being made, are two of the strongest banks in the state," said State Bank Commissioner Arthur Guy. "They are both in excellent shape and they can't possibly be tired out by a run." Deposits tied up bank closings surpassed the sixty million dollar mark yesterday afternoon when the Lowell Trust company of Lowell, with $3,961,000 on deposit, closed. This was the 10th Massachusetts bank to close within 48 hours, and the 15th New England bank to close since October 1. After the bank commissioner took charge of the Lowell Trust company at the behest of its officials, the seven savings banks in that important industrial center decided, as a precautionary measure, to invoke the 90-day privilege. Thus, during the next three months, depositors of these banks will be ableto withdraw not more than $100 each. Herbert Pearson, appointed by the controller of the currency as receiver for the Federal National Bank of Boston, to-day was directing the preliminaries to liquidation, with bank officers still asserting that depositors would be paid in full. All the closed banks except the Lowell Trust company were affiliates of the Federal National which, with its five Greater Boston branches, closed Tuesday. Hamden. Conn, Dec 17.-(UP)The Hamden Bank and Trust company was closed to-day on a restraining order issued by the state banking commissioner. The action was understood to have been taken to protect depositors. The bank's last statement listed general deposits of $570,000 and savings deposits of $688,000, capital of $200,000, surplus of $75,000 and undivided profits of $44,000. Examiner George Ogden of the state banking commission. who was examining the bank's books to-day, said the state intervened after continued withdrawals by letter had placed the institution in an unlilquid position. There was no "run" on the bank, he said. Heavy withdrawal of Christmas savings contributed to the bank's

2. December 17, 1931 Globe-Gazette Mason City, IA

Article Text

Bank in Boston With Four Branches Closes Because of Heavy Run BOSTON, Dec. 17. (AP) The Boston-Continental National bank. with main ofices on Devonshire street. downtown Boston, and four branches remained closed at 9 m., today, the customary opening time. A notice was posted that the comptroller of currency had been asked to take it over to conserve assets, owing to heavy demands by depositors. At the time of the consolidation of the Boston National bank with the Continental National bank about a year ago the combined deposits of the merged institutions were given as approximately $9.500,000 and the combined resources were set at $11,000,000. The continental originally was the engineer's National bank. but its name was changed after the brotherhood of locomotive engineers relinquished control of its affairs. -Christmas Cheer Goal Is $2,000-

3. December 17, 1931 The Boston Daily Globe Boston, MA

Article Text

BOSTON-CONTINENTAL BANK CLOSED TODAY The National Bank, formerly tional, at 60 st, failed open its doors for business morning notice was win. dow that the the currency the of the tion. Only small groups gathered to discuss the ington st, 1132 HIL 345 Hill av, Roxbury All of these this forenoon. The main bank did not open as usual 8:45 morning. This fact gether with the the flag which flying in front the the ful of who were to enter it apprehensive. About 9:15 the notice drawals by public easiness assets the bank, which due orderly should pay full, the directors the have asked the controller the rency to take possession of the institution.' Officers and The directors of the Continental Terrell Ragan, Fred W. Strobel, BarClark, Greaney, Charles Jesse Morton, Thomas Brien Wiland David the of the dated Sept last, the were then as follows: Loans discounts owned and and fixtures than Federal Reserve Bank Treas Total resources the listed in the Sept 29 report as follows: Capital stock paid Reserves for taxes and

4. December 18, 1931 Santa Cruz Sentinel Santa Cruz, CA

Article Text

ANOTHER BOSTON BANK SUSPENDED BOSTON, Dec. 17 (U.P.)-The Boston Continental National bank with deposits of more than $7,000,000 failed to open today. It is the second national bank to close in Boston this week. The larger Federal National closed Tuesday. The Continental bank president, T. M. Ragan, said the closing was caused by the unusually heavy withdrawals. The bank has two down town and two suburban branches.

5. December 19, 1931 La Gaceta Tampa, Ybor City, FL
Article from La Gaceta, December 19, 1931

Click image to open full size in new tab

Article Text

(RC BANCOS CERRAGON SUSPUERTAS sto dic. 19.-Como resulBdo de las grandes vetiradas de dinero, cuatro bancos cerraron a sus puertas ayer, en New Inde gland. de Las instituciones bancarias que han suspendido sus operacio freció nes son el Boston Continental un National, de Boston; el Hamden Bank and Trust Company de Hamden, Conn.; el Arlington Trust Co., de Lawrence, y el Plymouth County Trust Co., de PERBrockton. El estado financiero de los bancos, según los últimos informes rendidos es como sigue: Boston resiContinental, depósitos de 6,281, esqui960 pesos, capital en existencia los de $1,000,000, sobrantes $150, 000; Hamden, valores de 2,097, diez 683 pesos; Arlington Trust, deen pósitos de $7,150,003.70; Plyla a mouth County, depósitos de co- $3,816,073.73.

6. December 28, 1931 The Boston Daily Globe Boston, MA

Article Text

COUNSEL TO BANK RECEIVER Henry Parkman Jr Named for Federal National By CHARLES S. GROVES WASHINGTON, Dec 28- Henry Parkman Jr has been appointed counsel to Receiver Herbert Pearson of the Federal National Bank of This uncement was made at the office of the Controller of the Currency this CUNNINGHAM RECEIVER FOR BOSTON-CONTINENTAL The Controller the Currency antoday the appointment of John B. Cunningham as receiver for the closed Boston. National Bank.

7. March 1, 1932 The Brattleboro Reformer Brattleboro, VT

Article Text

NO SUSPENSIONS IN VERMONT. Bulletin of Federal Reserve Shows 2,298 Bank Failures in Country. WASHINGTON, March 1.—Vermont was free from bank suspension during 1931, according to the February bulletin of the Federal Reserve system, just issued. In 1931 there were a total of 2,298 bank suspensions, of which 33 occurred in New England; none in Vermont; none in Rhode Island; and none in Delaware. In January, 1932, there were 334 bank suspensions, of which three only occurred in New England—in Connecticut. In the other New England states there were none. In the rest of the United States, the states of Wisconsin, Wyoming, Maryland, New Mexico and Arizona also were without bank suspensions in January. DANGEROUS BURGLAR CAUGHT. G. A. Pettit Taken After Hand-to-Hand Struggle With Boston Police. BOSTON, March 1 (AP).—George A. Pettit, 43, described by his captors as the most dangerous burglar in the East, was arrested after a hand-to-hand struggle with Boston and Williamsport, Penn., detectives outside the State street postoffice today. The police claim he stole more than $50,000 in a series of robberies in the Valmont section of Williamsport. BANK BEFORE GRAND JURY. Government Investigates Closed Boston Continental National Bank. BOSTON, March 1 (AP).—The federal grand jury today began an inquiry into the affairs of the closed Boston Continental National bank. Assistant U. S. Dist. Atty. John J. Walsh, jr., began presentation of the evidence to the jury. A large number of witnesses were on hand. PAY SOLDIER BONUS IN FULL. Senator Thomas Proposes Bond Issue to Furnish Cash. WASHINGTON, March 1 (AP).—Immediate full payment of World war veterans' adjusted service certificates was proposed to the senate today by Senator Thomas (D., Okla.), under a bond issue plan which he said would greatly increase the amount of money

8. March 1, 1932 Montpelier Evening Argus Montpelier, VT

Article Text

INVESTIGATION STARTED Relative to Affairs of Closed Bank in Boston Boston, March 1, federal grand jury today began an inquiry into the affairs of the closed Boston Continental National bank. Assistant U. S. District Attorney John J. Walsh, Jr., began presentation of the evidence to the jury. A large number of winesses were on hand.

9. May 3, 1932 Evening Express Portland, ME

Article Text

$100,000 Suit Tops May Term Docket Boston Bank Receiver Files Action On Old Orchard Beach Man's Promissory Notes; Trial List Short HARLES W. USEN of Old Orchard Beach was named defendant in a $100,000 action filed in Superior Court today as the May term began. The suit was by far the largest in a comparatively short list, only about 100 cases being returned altogether. Actions involving automobile accidents, in two of which there were fatalities, accounted for ad damnums totaling more than $150,000. Sued By Bank Receiver Mr. Usen was sued by John B. Cunningham, receiver of the Boston-Continental National Bank of Boston. It was alleged he gave his promissory note for $31,000, Oct. 26, 1931. and gave another note for $17,000, Nov. 6. 1931. William H. Arey of Portland sought a total of $25,000 from James A. Clarke of Portland as the result of the death of his wife. Elizabeth M. Arey, following an automobile mishap at North Kennebunk past Jan. 17. Mrs. Arey. according to the writ, was riding with the defendant when his car collided with that of Frank E. Caton, and she suffered injuries from which she died March 2. Arey filed two suits against Clarke, seeking $10,000 for his wife's death as administra(Continued on Page 2, 2nd Column)

10. September 14, 1932 Smyrna Times Smyrna, DE
Article from Smyrna Times, September 14, 1932

Click image to open full size in new tab

Article Text

Fur Neckpieces Sold as Closed Bank Asset Boston. - Thirty-five expensive fur neckpieces were sold at retail in the main banking room of the Boston-Continental National bank recently as a novel means of turning collateral into cash. John B. Cunningham, a federal government representative assigned to liquidate the closed bank's assets, first sought to sell the 35 furs, on which the bank had lent money, in one batch, but when he was offered only $200 he decided on disposing of them at retail. In so doing he obtained more than four times as much money as the amount offered for the lot.

11. November 4, 1932 The Boston Daily Globe Boston, MA

Article Text

The taking of evidence in the case of Joseph Stone of Brockton, vice president of the closed Boston Continental National Bank, ended just before 3 o'clock yesterday afternoon in the United States District Court, where he has been on trial for nearly two weeks, charged with abstracting funds, moneys and credits of the bank. Arguments will begin at 10 o'clock this morning and the case is expected to go to the jury this afternoon. Stone completed his testimony yesterday morning, denying he had ever intended to injure or defraud the bank. He was followed on the stand by six character witnesses, business and professional men from Brockton and Taunton, all of whom testified that Stone's "reputation for truth and veracity" was excellent.

12. November 4, 1932 The Boston Daily Globe Boston, MA

Article Text

CLOSED CONTINENTAL BANK BEGINS DIVIDEND PAYMENT Payment of a first dividend of 20 percent began yesterday at the closed Boston Continental National Bank. Receiver John B. Cunningham sent notices to the first 1000 depositors who had filed their proofs of claims and the majority of them called at the bank to receive their money. About 1000 will be taken care of each day until all have received the dividend, estimated to reach about $1,000,000. "BOSTON JOHNNY" TO GO BACK TO PRISON PORTLAND, Nov 3 (A. P.)—"Boston Johnny" Bauer, alias Robert A. Martin, alleged fugitive from the Newcastle County Workhouse at Wilmington, Del, and accused leader of a gang of local safecrackers, will be returned

13. March 16, 1933 The Waterbury Democrat Waterbury, CT
Article from The Waterbury Democrat, March 16, 1933

Click image to open full size in new tab

Article Text

CUNNINGHAM NAMED Boston. March 16-(UP) - Appointment of John B. Cunningham, receiver for the Boston-Continental National bank, as conservator for the National City bank of Chelsea, was announced today. This is believed to be the first such appointment in this federal reserve district.

14. September 14, 1933 Fitchburg Sentinel Fitchburg, MA

Article Text

Closed Bank Receiver Sends in Resignation BOSTON, Sept 14 (P)-John B. Cunningham, since Dec. 22, 1931, receiver for the closed Boston Continental National bank, has announced he has forwarded his res. ignation to the comptroller of the currency. At the same time he resigned as receiver for the State National bank of Lynn, a position he took over several months ago.

15. September 16, 1933 The Morning Union Springfield, MA

Article Text

Named Bank Receiver. James H. Brennan today was named receiver for the Boston Continental National Bank and the State National Bank of Lynn. Mass, succeeding John B. Cunningham, resigned. California has more airports and landing fields than any other state, 214. The home of Schuyler Colfax. ones vice of the United States has been razed at South Bend. Ind

16. October 11, 1933 The Boston Daily Globe Boston, MA

Article Text

BANK RECEIVER WINS SUITS $27,182.33 ON NOTES Judgment for John B. Cunningham, receiver for the closed Boston Continental National Bank, suits Company, Balter, Gertrude Ballou and Castle, of Boston, was by Judge Elisha Brewster in Federal Court based on four promissory notes,