12596. Mount Holly National Bank (Mount Holly, NJ)

View Charter #1356 on SPMC

Bank Information

Episode Type
Run Only
Bank Type
national
Bank ID
1356
Charter Number
1356
Start Date
June 15, 1910
Location
Mount Holly, New Jersey (39.993, -74.788)

Metadata

Model
gpt-5-mini
Short Digest
19db27b0bdcdc7be

Response Measures

Capital injected

Other: Management action: cashier Frederick H. Lee resigned; bank pursued legal action/threatened suits against defamers. Earlier (1910) stockholders made up stolen funds ($3,000) to cover embezzlement, which helped avert a run.

Receivership Details

Depositor recovery rate
52.5%
Date receivership started
1933-08-04
Date receivership terminated
1939-11-30
Share of assets assessed as good
45.0%
Share of assets assessed as doubtful
40.8%
Share of assets assessed as worthless
14.1%

Description

Articles describe an actual depositor run in March 1911 caused by circulated reports/defamatory exposure leading the cashier to resign; the run ended and confidence was restored. A 1910 article reports an embezzlement but explicitly states there was no run. No suspension or receivership is mentioned.

Events (4)
1. June 28, 1865 Chartered
Source
historical_nic
2. June 15, 1910 Other
Newspaper Excerpt
It was announced today that the financial standing of the Mount Holly National Bank was in no wise impaired by the embezblement of $20,000 by S. C. Heller the absconding assistant cashier. The theft has not evene ex cited small depositors and there will be no run on the bank. All the stolen money save $3,0000 was covered by Heller's bond and this sum has already been made up by the stockholders.
Source
newspapers
3. March 16, 1911 Run
Cause
Rumor Or Misinformation
Cause Details
Circulation of reports/exposure (alleged conspiracy/defamatory charges) that undermined confidence and prompted withdrawals; cashier subsequently resigned.
Measures
Cashier (Frederick H. Lee) resigned; board actions and stockholders/support restored funds; deposits later replaced withdrawals.
Newspaper Excerpt
Run on Bank Ends. Mount Holly, N. J., March 16.-The run on the Mount Holly National bank of the last few days has come to an end. This was caused by the circulation of erports which resulted in Frederick H. Lee, cashier, resigning his position at a meeting of the board of directors. The confidence in the institution has been restored.
Source
newspapers
4. August 4, 1933 Receivership
Source
historical_nic

Newspaper Articles (3)
1. June 15, 1910 Evening Journal Wilmington, DE
Article from Evening Journal, June 15, 1910

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Article Text

No Run on Mount Holly Bank. By United Press Leased Special Wire. MOUNT HOLLY, N. J., June 15.It was announced today that the financial standing of the Mount Holly National Bank was in no wise impaired by the embezblement of $20,000 by S. C. Heller the absconding assistant cashier. The theft has not evene ex cited small depositors and there will be no run on the bank. All the stolen money save $3,0000 was covered by Heller's bond and this sum has already been made up by the stockholders.

2. March 15, 1911 Newark Evening Star and Newark Advertiser Newark, NJ
Article from Newark Evening Star and Newark Advertiser, March 15, 1911

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Article Text

THREATEN CONSPIRACY CHARGES AT MT. HOLLY. Bank and Ex-Cashier Likely to Act. [Special to the Newark Star.) MT. HOLLY. March 15.-As the result of an alleged conspiracy, which has resulted in great injury to the Mt. Holly National Bank, those responsible for the wilful exposure of a private business transaction, in which, it is said, there was nothing dishonest, may face legal proceedings, not only by the bank against its defamers, but on the part of Frederick H. Lee, cashier, who tendered his resignation yesterday at a meeting of the board of directors. Cognizant of the fact that malice was held against him, Mr. Lee feels grieved that in order to get at him no consideration was taken. for the welfare of the bank. When Mr. Lee succeeded his deceased father ten years ago, there was a contest on his election for cashier, but he won out by one vote. He admitted today that this exposure would hurt the bank, and it would require some time for recovery. The run on the bank has practically been stopped and deposits are taking the place of withdrawals. Confidence has been restored among citizens of the town, who are acquainted with the that needlessly stirred finan. cial circles.

3. March 18, 1911 The Free Lance Fredericksburg, VA
Article from The Free Lance, March 18, 1911

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Article Text

Run on Bank Ends. Mount Holly, N. J., March 16.-The run on the Mount Holly National bank of the last few days has come to an end. This was caused by the circulation of erports which resulted in Frederick H. Lee, cashier, resigning his position at a meeting of the board of directors. The confidence in the institution has been restored.