Hamilton National Bank (Washington, DC)

View Charter #12194 on SPMC View balance sheet

Episode Information

Episode UID
1219401599
Episode Type
Suspension → Reopening
Bank Type
national
Bank ID
121940 national
Charter Number
12194
Start Date
March 6, 1933
Location
Washington, District of Columbia (38.895, -77.036)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
bc46ec8c607825f6

Response Measures

None

Events (3)
1. May 5, 1922 Chartered
Source
historical_nic
2. March 6, 1933 Suspension
Cause
Government Action
Cause Details
Closed by presidential proclamation during the March 1933 federal banking holiday.
Newspaper Excerpt
the money has been tied up since March 6, when all banks were ordered closed by presidential proclamation.
Source
newspapers
3. September 25, 1933 Reopening
Newspaper Excerpt
the earliest date that could be selected is Monday, September 25. On the day selected, depositors in the seven banks going into the merger will be able to obtain one-half of the amounts to their credit in the closed banks by application to the Hamilton Bank.
Source
newspapers

Newspaper Articles (6)
1. June 10, 1933 Evening Star Washington, DC
Article from Evening Star, June 10, 1933

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Article Text

GROUP REAFFIRMS MERGER SUPPORT Central Business Men Again Ask U. S. Savings to Join New Bank. Merger of the United States Savings Bank with the Hamilton National Bank, which is being stoutly opposed by Wade H. Cooper, president of the United States Savings, was unanimously indorsed yesterday by the Central Business Men's Association at a luncheon meeting at the Ann Clarendon Club, Seventeenth strec and Rhode Island avenue. This was the second action which the association has taken in the matter, a previous resolution of a less decisive character having been adopted at a meeting of the association last week. Clarendon Smith, of Arthur today president there the association, explained was no question about the action yesterday. although there had been some members at the meeting a week ago, who had been uncertain about their position. The vote yesterday was unanimous, Mr. Smith said. Explained by Conservator. "As a merchant who has talked with many people about this matter in the past week, and as president of the Cen- will tral Business Men's Association I give my unqualified support to this merger movement." he added. The proposal to merge the United States Savings Bank with the Hamilton was explained to the meeting by Wilbur H. Zepp, vice president and conservator of the bank. It was discussed freely by several members of the association, and was reclared by speakers to be the best pian for the depositors. the D1 of Cooper attempt tr. bank alone, of the - known to Mr. Smith association, to While reopen merger explained, members the to outside meeting, of there the was no discussion of it at and no one spoke in favor of it. Cooper still is understood to be makefforts to get the bank reopened the ing outside of the merger, but none of plans which Cooper proposes has bee approved by the Treasury Department Approved by Treasury. The plan to merge the United States NaBank with the Hamilton is known to have Savings tional, the and approval will the Treasury Department, out, no doubt, in efforts, which of be succeeds carried unless he take says Cooper the he has under consideration, to matter to court. He has been in conference with his attorney in the matter, but said' this morning final decision what has not yet been reached as to course he will pursue. Meantime the campaign to sell stock the Hamilton National continued a in today with the figures running over million dollars, and working toward the of $1,250,000, which is to be set new up as goal the capital structure of the seven bank merger. The only member of the merger is over the which a controversy has arisen others United States Savings Bank, the from all going forward with support the old officers and directors. Should the stock be sold and a Edwin charis obtained, it is the hope of bank, ter Graham. president of the new probC. the bank early in July, definite to open Wednesday, July 5. No howably for opening can be made, arplans until many other preliminary including ever. are completed, stock, rangements sale of the necessary capital selection the setting up of personnel, sethe branches, adoption of by-laws, of of a charter and court approval of curing contracts between conservators of the the the member banks and officials new Hamilton.

2. July 6, 1933 Evening Star Washington, DC
Article from Evening Star, July 6, 1933

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Article Text

BANK DEPOSITORS WILLI BE TOLD HOW TO COLLECT MONEY 75,000 to Get Merger Letters With Opening Likely on August 1. FORM GIVES DETAILS FOR PRESENTING CLAIMS Conservators of Eight Member Banks Busy Getting Statements of Accounts Ready. Letters were being prepared today to inform the 75,000 depositors in the new Hamilton National Bank merger as to the method they must use to get their money when the bank opens, probably August The form for these letters will be the same for each of the eight member banks of the merger and was understood to be in the final stages of preparation today Legal experts of the Treasury Department were completing the form of this letter and as soon as it is approved, it will be forwarded direct to the eight conservators in charge of the member banks of the merger The conservators then will send them out to all their depositors Details of the letter and the instruc tions which it will contain were not available today but it was understood that with the letter there will be sent to each depositor a form for proving the depositor's claim This form will contain complete instructions as to what the depositor must do to get his money It is believed the plan will be for the depositor to file this form, duly certified, at his old bank When he does this, it will open the way for him to get 50 cents on the dollar of his deposits in the new Hamilton Bank. Five Sites to be Abandoned. In view of the fact that five of the banking houses are to be abandoned the depositors will be informed how they can arrange to get their money from a new Hamilton branch The old banking houses to be abandoned will not pay out any money These places will be used only for proving claims of depositors and include the District National Bank headquarters and its two branches, located at Connecticut avenue and K street and Ninth street and New York avenue the branch of the Federal American National Bank & Trust Co., at Fifteenth and H streets, and the Washington Savings Bank The nine places where money will be available are the Federal American headquarters and its three branches, in Brookland, at Dupont Circle and at Pennsy Ivania avenue and Twentieth street; the Potomac Sav ings Bank, the Northeast Savings Bank the Wcodridge-Langdon Savings and Commercial Bank, the Seventh Street Savings Bank and the United States Savings Bank Conservators of the eight member banks today were busily directing the clerical work preliminary to getting the statements ready for depositors Exactly how the depositors will be informed of the amount available was not disclosed prior to the final approval of the official letter and the official form but it was believed that this letter which each depositor soon will receive direct from his conservator. will contain the figures showing his account Where depositors have more than one account, arrangen nents are being made to consolidate the report so the depositor will be informed officially as to what he has in his checking account his savings account. his Christmas savings account or on certificate of deposit The task of getting out these leters of course. will be tremendous. even after the conservators receive the necessary form. It was expected this form would likely reach the conservators tomorrow. Loans Reorganized. Meantime, the member banks of the merger are reorganizing their loans with the Reconstruction Finance Corporation so as to provide for their quick assets being turned over to the Hamilton National Bank to provide for payment of the 50 cents on the dollar Progress also was reported today in the plan of the Franklin National Bank to reopen alone outside the merger although the final preparation of its plan to reopen has been admittedly slow This bank has had in hand for some time the necessary amount of depositors agreements from depositors representing more than three-fourths of the deposits in the bank But many other details of the reorganization of this bank have been slowing up the procedure of reopening, so that it was impossible today to predict just when this bank would reopen The Treasury Department has promised it will reopen alone as soon as it can be properly prepared Among the difficult questions facing this bank are understood to be those concerning personnel. At the Park Savings Bank four different committees are studying the problem presented by the tangled affairs where Robert S Stunz, the vice president, committed suicide leaving a shortage of about $1,700,000 An important statement is expected with the next 24 hours from the so-called Depositors' Committee. headed by J. W Thompson. This committee has been working on a plan, the details of which are not disclosed as yet, but which they hope to put into operation to gain a much larger percentage for the deposia tors than would be possible through receivership. There is a sharp difference of opinion between this committee and the three other committees at the Park Bank over the question of Treasury Department receivership, the Thompson Committee being stoutly opposed to the Government appointing a receiver under the direction of the controller of the currency.

3. September 1, 1933 Evening star Washington, DC
Article from Evening star, September 1, 1933

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Article Text

ACTION OF COURT IN HAMILTON BANK CONTRACTS DELAYED (Continued From First Page.) conservator: Tobriner, Graham, Brez & United Savings Bank. which hub the part the the Hamilton not open Cooper bank the that not have and was able debts. Details Pushed. Meantime few movements under which be pushed forward for the merger instance. articles association the Hamilton drawn an that the going and are required before the charter to Treasury approval. details the sale assets from the eight member banks issuance books depositors the proceedings Justice Adkins chambers about today, the anticipated approval by the court postponed Cooper's jection. to have been somewhat dramatic. Issue Expected. Both sides to controversy for some the Hamilton came Decision had been reached late night present the question the this morning Although and the Hamilton National officials claimed proceeding. they notified about The Hamilton notification extended Cooper courtesy. formed from time general they Cooper claimed chambers should notified advance and move this sudden attempt claimed had formulated should prepare papers. Adkins was presented with contracts attorneys senting the the Hamilton Cooper who had rushing bill the about the middle to the his was against the the United States Savings against When attorney Thomas claimed Col. Cooper the the Savings Bank therefore. was enthe Roger the Hamilton counsel for the Treasury his own for George general counsel the division insolvent of the office assistant counsel, the Justices Protested. Justice Adkins. volunstockholder the Federal- American which owned the American National Trust Co., members Thomas objected Justice hearing He jected Justice F. Dickenson Letts Whether of jurisdiction hearing be Tuesday morning Government and the Hamilton officials claimed should hearing. sisted hearing and that he has right Col. Cooper's legal staff. headed by Thomas. Staggers and Louis Whitestone

4. September 16, 1933 Evening Star Washington, DC
Article from Evening Star, September 16, 1933

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Article Text

CONSIDER OPENING DATE OF HAMILTON Bank Directors Meeting Today in Effort to Reach Final Decision. BULLETIN. The last legal step in the local courts looking toward the opening of the Hamilton National Bank was taken in District Supreme Court t day when Justice Jennings Bailey approved leases of seven bank properties to the new institution at a total annual basic rental of $45.500. The leases were executed by conservators of five of seven banks involved. three of the properties belonging to the old Federal-American National Bank & Trust Co. The Board of Directors of the new Hamilton National Bank was meeting today to make a final decision on the date on which the bank is to open for business. Immediately after the decision is made, conservators of the seven banks which will sell assets to the new institution, will begin the task of calculating the value of the assets to be turned over. with adjustments for interest due, on the opening date. This task, which involves a separate calculation for each note. bond. mortgage or other assets to be turned over, will occupy not less than a week. so that the earliest date that could be selected is Monday, September 25. On the day selected. depositors in the seven banks going into the merger will be able to obtain one-half of the amounts to their credit in the closed banks by application to the Hamilton Bank. The money has been tied up since March 6, when all banks were ordered closed by presidential proclamation. Since that time none of the banks placed under consrevators here has opened except the Chevy Chase Bank, which was bought by the Riggs National Bank. The seven banks going into the merger are the District and FederalAmerican National Banks and the Woodridge-Langdon, Northeast, Potomac, Seventh Street and Washington Savings Banks. There are nine other closed banks here. Of these, the Commercial National, Park Savings, North Capitol, International Exchange, Departmental Banks and the Bank of Brightwood are in the hands of receivers and will not reopen. The Franklin National, United are in States ings Savings the and hands Mount of conservators, Vernon Savwho are negotiating for the opening of their respective banks.

5. September 20, 1933 Evening Star Washington, DC
Article from Evening Star, September 20, 1933

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RECOVERY SEEN BY NEW BANK HEAD Graham Tells Ad Club Capital Is Pulling Out of Its Slump. Predicting that Washington was recovering from several blows to its prosperity, such as Government economy, closed banks and depression psychology, President Graham of the new Hamilton National Bank forecast yesterday in an address to the Advertising Club at the Raleigh Hotel a turn for the better and better business 1 Fall. The Hamilton Bank will add to this upward swing. he pointed out. by releasing to depositors in seven member banks a total of about $8,000,000 when the new merger opens next Monday morning, to return full banking facilities to the public In outlining the many steps necessary to opening of the new merger. Mr Graham referred to the raising of capital stock and other details. and explained loans from the Recon: ruction Finance Corporation to member banks were reorganized and a new refunded loan of more than 000.000 was advanced to member banks by the R. F C "Let me emphasize here. he said. "that the new Hamilton Bank does not owe a nickel to the R. C. Those obligations rest between the R. F. c. and the member banks Program Is Broadcast. Mr Graham was followed by Roger J Whiteford, counsel for the Hamilton, who took up other phases of the new financial institution. explaining it as a 'community bank with wide appeal The speakers were introduced by W.D Barkdull, president of the Advertising Club. A half hour of the program. including the addresses, was broadcast by station WRC. Among the guests were W. Irving Shuman of the Treasury Department. who has been active in organization of the Hamilton Discussing the prospect for recovery here, Mr Graham summarized Recovery after all is proper psychology growing out of sound conditions. Conditions generally have improved here. Retail trade is substantially better It is useless to say building and real estate have been going forward. Real estate here was the last to feel the benefit of prosperity and is now among the last to be affected adversely by the depression It should and will improve in time. for Washington still is underbuilt Sees U S. Policy Changing. Government threats of reduced per sonnel and cut pay rolls are gradually fading into the reality of more personnel and bright promise of restored pay Frozen deposits in banks are about to flow again into the channels of trade Bank facilities are returning to the community long deprived of their bene. fits Washington the last to feel the weight of the depression, already is rapidly pulling back toward normal Prospects for Fall business have nothing but favorable elements The National Capital is on the verge of economic revival Let us all pull together to make that revival a golden reality Opening of the Hamilton bank next Monday morning Mr. Graham said, would release to depositors about $8. 000.000 which, supplemented by payments made out of insolvent banks in the form of dividends. would make available frozen funds to the total of about $12,000,000. The Hamilton Bank he said, would provide complete bank ing service and the use of 50 per cent of depositors funds tied up since the bank holiday. Predicts Money Movement. Release of, the money. he predicted, would have a beneficial effect both ac debts. tual and psychological Many no doubt. will be paid. he said, "many expenditures will be made and new obligations contracted This cannot but help Washington. It should prove a vital stimulus to business Referring to the other half of the depositors' funds left in the hands of conservator of member banks of the merger, Mr. Graham said: While the Hamilton is not direct responsible for release of this second 50 per cent of the depositors money, officers of this new bank will continue to keep in close touch with the Treasury Department, the conservators and others, hoping that the largest amount possible can be realized from this second 50 per cent The amount probably will vary with the banks different member Denying rumors that he had come into the new bank "only to get it organized. Mr. Graham said am in this movement to carry on so long as I am needed The depression, he pointed out. had hit Washington later and much less than other cities. The 15 per cent pay cut in the Government had reduced income here by $15,000,000. he estimated declaring further. however, that this amounted to cutting the income of Washington from $165,000,000 to $150. 000.000. But other cities with comparable incomes had suffered worse, he said. Recovery Program Felt. The recovery program was having effect here already he said Hotels were filled with delegations and committees, Government personnel had been increased and the President had held out promise of restoration of the 15 per cent which had been cut from salaries Mr Whiteford characterized the Hamilton as a *community' bank because about 4.500 depositors in closed banks had assigned part of their deposits to buy stock and. in addition more than 400 citizens, including some corporations here had subscribed to raise the $1,250,000 capital structure of the new institution. More than 50.000 depositors in all parts of the city, he said. also gave it a city-wide interest. Mr. Graham was praised by the speaker as a business man who had been trained in banking and thus knew the business needs for banking service as well as the sound principles of good banking Mr. Whiteford explained that the bank had depositors in many parts of the world, including South Africa. Egypt, Turkey, Italy, France Latvia, Greece, Chile, Argentina, Brazil and Japan. Forbids Dogs to Bark. CLEVELAND (AP).-If City Council

6. January 14, 1934 Evening Star Washington, DC
Article from Evening Star, January 14, 1934

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Second Bank Consolidation Virtually Assured by Action. WAIVER OF 35 PER CENT OF FUNDS TO BE ASKED Mt. Vernon Savings Disposes of All Quota of Stock Required for New Institution. Paving the way for release of 65 per cent of deposits from the Franklin National Bank, amounting to about $2.000.000, Controller of the Currency F. T. O'Connor late yesterday signed the official plan for reopening the Franklin Bank as a member of the Mechanics-Franklin Savings Bank merger This vital action virtually assures the formation of the second bank merger to result out of the 13 District of Columbia banks which were unlicensed at the close of the President's banking holiday in March. The first merger, formed from seven unlicensed banks built up the new Hamilton National Bank, which has been operating with it steadily increased success since opened in September and which now has deposits of more than $9,000 000 This second merger is built around the Washington Mechanics Bank, which never was closed except during the banking holiday along with every bank in the country. and which, has been operating always on a 100 per cent basis. The first unit to join the second merger was the Mount Vernon Savings Bank. which now has sold all of its quota of stock in the new merger and has also received from depositors the required 75 per cent of waivers necessary toward reopening Forms Nearly Complete. The Franklin National Bank. under terms of the plan formally approved now by the controller, will ask its depositors to waive 35 per cent of their deposits in order to restore the bank to solvency Acceptable assets of the Franklin Bank will be sold to the Mechanics, in order to make available 65 per cent of the depositors' money when the Franklin reopens as a part of the merger The necessary forms for this waiver were virtually completed last night by experts at the Treasury Department and it is expected that they will be turned over to the bank tomorrow or Tuesday to be printed. The bank will then rush these in the mails to depositors. It will be necessary to receive waivers from depositors holding 75 per cent of the total deposits of the Franklin Bank before the plan can become effective. Much of the success of the plan therefore will depend now upon the depositors themselves and the speed with which they return to the bank the necessary waivers The Franklin Bank also will launch a campaign to sell stock in the new merger to build up the capital structure by $100,000. It is believed that this stock will sell for the same price at which it was offered by the Mount Vernon, $20 a share, half of which goes to par value and half to surplus. Lee to Be Vice President. It is understood that John B. Cochran, president of the Franklin Bank, is to be chairman of the board of the merger, while Thomas P. Hickman, vice president of the Franklin, will be vice president of the merger and will be in charge of the branch at the old Franklin location, at Tenth street and Pennsylvania avenue The Mount Vernon Savings Bank brings to the merger Frank W. Lee president of the Mount Vernon, who is to be a vice president of the merger Depositors of the Mount Vernon have waived 60 per cent in order to receive 40 per cent when the bank opens. This is expected to release about $800, 000 in deposits. The two mergers thus provide for reopening 9 out of the 13 unlicensed banks. One of the others, the Chevy Chase Savings Bank, became a branch of Riggs National Bank. The Industrial Savings Bank colored institution, is now selling stock in a plan to reopen alone as the Industrial Bank The Park Savings Bank where there is an estimated shortage of about $2. 250,000 is still in litigation with a date set yesterday, for January 25 when the District Supreme Court will hear both the equity and law suits brought by the Depositors Committee in an effort to establish the liability of directors and to collect from them as much as possible of the loss. The equity and law suits in this bank had been filed separately but have now been set down for simultaneous hearing. Conservator Remains. The status of the United States Savings Bank is still very uncertain. Col. Wade H. Cooper, president, has appealed from an adverse decision of the District Supreme Court which had denied him a writ of mandamus to force the Treasury to reopen the bank on a Cooper plan. which had been rejected by the Treasury Department Cooper reopened negotiations to get the bank open by itself, outside of a merger, and offered to advance certain money to rebuild the surplus of the bank. But these negotiations have not vet reached a successful conclusion. The bank still is in the hands of its a conservator, Wilbur H. Zepp, who is Treasury representative. Meantime. Col. Cooper has been indicted by the Federal grand jury on charges of misapplying funds in the Commercial National Bank, of which he was president and which now is in the hands of a receiver. Cooper charges the indictment was a "frameup" on the part of Treasury officials. What will happen to the United States Savings Bank is a question of vital interest to more than 14,000 depositors, but the prospect of reopening this bank is still uncertain.