12368. Penacook Savings Bank (Penacook, NH)

Bank Information

Episode Type
Suspension โ†’ Closure
Bank Type
savings bank
Start Date
December 3, 1878
Location
Penacook, New Hampshire (43.280, -71.600)

Metadata

Model
gpt-5-mini
Short Digest
8034d3c75a3ff57c

Response Measures

None

Description

Multiple December 1878 newspaper reports state the Penacook Savings Bank at Fisherville (Penacook), NH, 'has failed' and 'its doors were closed by the bank commissioners.' The closure appears to be by official action (bank commissioners/judge) after losses and the suspension of a related private house; there is no mention of a depositor run or later reopening.

Events (1)

1. December 3, 1878 Suspension
Cause
Government Action
Cause Details
Closed by the bank commissioners after failures/suspension of Henry F. Brown & D. Arthur Brown and losses; alleged use of savings funds by a connected private banking house.
Newspaper Excerpt
The Penacook Savings Bank, at Fisherville, N. H., has failed, and its doors were closed yesterday by the bank commissioners.
Source
newspapers

Newspaper Articles (4)

Article from Evening Star, December 3, 1878

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Article Text

Another Suspended Savings Bank. CONCORD. Dec. 3.-The Penacook Savings Bank, at Fisherville, N. H., has falled, and its doors were closed yesterday by the bank commissioners. The failure was caused by the recent suspension of Henry F. Brown & D. Arthur Brown. at Fisherville, and by losses in other directions. The liabilities of the bank are as follows:-Due to depositors, $284,718; surplus, $1,047; guarantee, $3,500; premium account, $21053. While the face of the assets is $297,319. nearly one-half of the resources of the institution are invested in personal and collateral seAurity. There is connected with the bank a private banking house operated by Samuel F. Brown, treasurer of the institution, and John D. Brown. wealthy cotton manufacturers. This private firm has, it is alleged, used the funds of the savings bank in operations, but the bank commissioners say all their investigations have proved honorable and honest conduct on the part of Samuel F. and John S. Brown.


Article from The Sun, December 4, 1878

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Article Text

ANOTHER INSECURE SAVINGS BANK. Ruin Wrought by the Use of its Securities by as Private Firm. CONCORD N. H., Dec. 3.-The Penacook Savings Bank at Fisherville, N. H., has failed, and its doors were closed yesterday by the Bank Commissioners The failure was caused by the recent suspension of Henry F. Brown and D. Arthur Brown at Fisherville, and by losses in other directions The liabilities of the bank are as follows: Due to depositors, $284,718; surplus, $7,047; guarantee $3,500; premium account. $2,058; while the act of the assets is, $297,319. Almost one-half of the resources of the institution are invested in personal and collateral security There is connected with the bank a private banking house. operated by Samuel F. Brown, Treasurer of the institution, and John S. Brown. wealthy cotton manufacturers. This private firm has, it is alleged, used the funds of the savings bank in operations which the law does not allow savings institutions to pursue. The Bank Commissioners are decidedly opposed to the connection of private banking houses with savings institutions: but they say in this case all their investiga. tions have proved honorable and honest conduct on the part of Samuel F. and John S Brown. In an official visit to the institution yesterday. the Bank Commissioners ascertain that the assets were insufficient to pay the depositors in full. and they accord. ingly called upon Judge Foster of the Supremie Court, who visited the bank to-day with the Commissioners, and, after ascertaining the amount of the deposits and estimating as nearly as possible the amount of the assets, they cut the deposits down thirty per cent This cut down. Judge Foster states. gives a very broad margin, intended to cover all possible contingencies.


Article from New-York Tribune, December 4, 1878

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Article Text

ANOTHER BROKEN SAVINGS BANK. CONCORD, N. H., Dec. 3.-The Penacook Savings Bank at Fisherville, N. H., has falled, and its doors were closed yesterday by the Bank Commissioners. The failure was caused by the recent suspension of Henry F. Brown and D. Arthur Brown at Fisherville, and by losses in other directions. There is due to depositors the sum of $284,718, while the face of the assets is $297,319. There is connected with the bank a private banking-house operated by Samuel F. Brown, treasurer of tue institution, and John S. Brown, a wealthy coston manufacturer. The Commissioners are deadly opposed to the connection of private banking houses with savings institutions, but they say in this case all their investigations have proved honorable and honest conduct on tue part of Samuel F. and John 8. Brown.


Article from Burlington Weekly Free Press, December 6, 1878

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Article Text

General Summary. Dean Stanley has consented to the erection of a memorial window to Dr. Livingstone, the African explorer, in Westminster Abbey. Two men, while smearing a large iron tank at Belcher's sugar refinery at St. Louis with coal tar Tuesday, were burned to death by the tar taking fire. Notice of an objection to the grant of a patent to Edison for his electric light was filed at London, Tuesday, in behalf of J. H. Russell. The case will be heard in about a fortnight. A Constantinople dispatch says that the term of imprisonment to which Suleiman Pasha has been sentenced for misconduct during the late war is fifteen years. He has taken an appeal. Mayor-elect Cooper of New York, took the oath of office Tuesday, it being, under the charter, the last day for swearing in new officials. He does not assume the office until January 1, however. Vreeland, one of the parties arrested on suspicion of implication in the desecration of of Stewart's tomb, was discharged from custody Tuesday. Burke, arrested at the same time, is indicted for forgery. M. Tkindt, manager, and M. Fortamps, president of the Banque de Belgique, Brussells, who defrauded the bank of 20,000,000 francs, have been convicted and sentenced, the former to 15 years' solitary confinement, and the latter to one year's imprisonment, with $1,200 fine. A Fort Smith (Ark.) special says that a few days ago in Little River country a tramp named Hilliard, shot a traveller from Illinois named Farris, for his money. Farris, after being shot, rode to the nearest farmhouse, gave a description of the assassin and died. The citizens caught and hung Hilliard. The Penacook Savings Bank, at Fisherville, N. H., has failed, and its doors have been closed by the bank commissioners. The failure was cause by the recent suspension of Henry F. Brown and D. Arthar Brown, at Fisherville, and by losses in other directions. The liabilities are as follows: Due depositors, $284,718; surplus, $7,047 guaranty, $3,500; premium account, $2,053. While the face of the assets is $297,319, nearly half of the resources of the institution are invested in personal and collateral security. There is connected with the bank 11 private banking house, operated by Samuel F. Brown, the treasurer of the institution, and John S. Brown, a wealthy cotton manufacturer. This private firm has, it is alleged, used the funds of the savings bank in operations which the law does not allow savings institutions to pursue. The deposits have been scaled down 30 per cent,