14029. City Bank (Jersey City, NJ)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
January 10, 1883
Location
Jersey City, New Jersey (40.728, -74.078)

Metadata

Model
gpt-5-mini
Short Digest
5676db0d

Response Measures

Full suspension

Other: Multiple arrests, appointment of receiver, and criminal prosecutions followed the suspension; evidence of large embezzlement discovered.

Description

Depositors rushed the bank (excited throng of depositors gathered) on Jan 10, 1883; the bank suspended payment and was soon found to be 'totally wrecked' due to large embezzlements by president, cashier and bookkeeper. A receiver (Washington Williams) was appointed and the institution remained closed; multiple articles describe arrests, indictments and receivership. Bank type not specified in articles.

Events (3)

1. January 10, 1883 Run
Cause
Bank Specific Adverse Info
Cause Details
Withdrawals and agitation driven by discovered mismanagement and large embezzlements by President G. S. (Garrett) Boice, cashier Shaw, and book-keeper Beach.
Measures
Bank closed its doors; no specific liquidity measures described beyond suspension.
Newspaper Excerpt
An excited throng of depositors gathered at the bank building, but they were unable to obtain any satisfaction.
Source
newspapers
2. January 10, 1883 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Suspension followed discovery (or reports) of mismanagement and large embezzlements by bank officers, leaving the bank 'totally wrecked.'
Newspaper Excerpt
Great excitement was caused here to-day by the announcement that the City Bank had suspended payment and closed its doors.
Source
newspapers
3. January 11, 1883 Receivership
Newspaper Excerpt
Washington Williams has been appointed receiver by Chanceller Runion. He is also receiver of the Union Merchants and Laborers' banks, and the Homestead Bank for Savings.
Source
newspapers

Newspaper Articles (17)

Article from The Portland Daily Press, January 11, 1883

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BANK FAILURES. Another President Who Went Wrong. JERSEY CITY, Jan. 10.-Great excitement was caused here to-day by the announcement that the City Bank had suspended payment and closed its doors. No cause for the suspension is ascertained, although it is reported to be due to mismanagement on the part of President G. S. Boyce, who is also Secretary of the Fifth Ward Savings Bank. Mr. Boyce is seriously ill at his residence. An excited throng of depositors gathered at the bank building, but they were unable to obtain any satisfaction. The deficit will not be very large. The bank was a comparatively small concern, the capital stock being $100,000. The Fifth Ward Savings Bank has closed its doors, in consequence of the suspension of the City Bank. President Traphagen is almost certain that the City Bank is completely wrecked, and fears his own may be involved. President Boyce of the City Bank controlled the finances of both banks. The doors of both are besieged by anxious depositors. [LATER.] JERSEY CITY, Jan. 10.-The City Bank is totally wrecked, and it is doubtful whether anything is left for depositors. It has been ascertained beyond a question that Boyce, the president, Shaw, his son-in-law, and John N. Beach, book-keeper, conspired to rob the bank, and that they stole from the bank securities and cash amounting to at least $49,500. Beach is a young man of fast habits residing at Orange, N. J.


Article from Daily Globe, January 11, 1883

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The Jersey City Fifth Ward Savings bank closed its doors in consequence of the suspension of the City bank. Considerable excitement.


Article from The Salt Lake Herald, January 11, 1883

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7010 Suspersion. Jersey City, 10.--The Fifth Ward Savings Bank has suspended on account of the failure of the City Bank. Considerable excitement prevails. Mr. Boyce. president of the City Bank, Shaw, cashier, and Beach, bookkeeper, confessed to some stockholders yesterday that they had overdrawn their accounts to the extent of $49,000, SO there is but $1,000 of the capital stock left.


Article from The Wheeling Daily Intelligencer, January 12, 1883

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9 President Boice In the Prisoner's Dock. JERSEY CITY, January 11.-When Garrett S. Boice, President of the suspended City Bank, was placed in the dock this morning on a charge of embezzlement O the funds of that bank, his face wore an expression of despair and his bands nervously clutched at the iron railing. When asked to plead to the Court, the prisoner answered, "I desire to waive examination and give bail." Boice had no bail ready, and the Court said it was no ordinary case and declined to fix the amount of bail. Boice was remanded,


Article from The Daily Gazette, January 12, 1883

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REPRINTED FROM YESTERDAY LOCKED UP. A Bank President Arrested for Fraud and Embezzlement. JERSEY CITY, N. J., Jan. 11.-Garrett S. Boice, the President of the suspended City Bank and Treasurer of the Fifth Ward Savings Bank, which has also closed its doors, was taken before Police Justice Stilling at the Gregory Street Police Court this morning, on charges of fraud, larceny and embezzlement preferred by S. M. Trapberger and G. A. Wood. A warrant was issued. Boice was arrested at his residence, last evening, by Chief of Police Murphy, but on account of his III health and the lateness of the hour was permitted to remain at home in charge of police. When placed in the dock this morning his face wore an expression of despair and his hands nervously clutched at the iron railing. When asked to plead by court, the prisoner answered "I desire to waive examination and give bail." Boice had no bail ready and the court said it was not an ordinary case and declined to fix the amount of bail. Boice was remanded. When Boice left the court room E. S: Cowles, lawyer and superintendent of the Hudson county Sunday school, shook bim warmly by the hand. The charge against Boice is stealing $245,000 in bonds from the Savings Bank and transferring them to the City Bank. Edward -E. Shaw and John W. Beach, cashier and book-keeper of the City Bank, also said by Boice to be implicated in the theft of the deposits have not been arrested. Washington Williams has been appointed receiver by Chanceller Runion. He is also receiver of the Union Merchants and Laborers' banks, and the Homestead Bank for Savings. The defalcations are said to amount to over $1,000,000.


Article from Savannah Morning News, January 13, 1883

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JERSEY CITY'S BANK CRUSHED. Little Additional Learned as to the Wrecked Institution. JERSEY CITY, N.J., Jan. 12.-Edward E. Shaw, the cashier of the broken City Bank, to whese speculations and other drawing of his account the Jersey City Bank troubles are mainly attributable, was arrested at midnight last night at his home in Orange Valley and arraigned before Judge Hilsing this morning. He refused to make any statement, and was remanded to the city prison for trial Saturday morning. Garret S. Boice, the President of the broken City Bank, and Treasurer and Secretary of the Fifth Ward Savings Bank, who was arrested, charged with misappropriating bonds amounting to $2,450, was held in $10,000 bail to await the action of the grand jury. Nothing new has been elicited as to the condition of either of the suspended banks. The City Bank is without doubt a total wreck, and almost the entire loss will fall upon the depositors.


Article from Daily Kennebec Journal, January 13, 1883

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Bank Cashier Arrested. JERSEY, CITY, Jan 12. Edward S. Shaw. cashier of the City Bank, and son-in-law of President Boice, was arrested last night and held for trial this morning. President Boice was this morning held in $10,000 bonds to await the action of the grand jury on charges of embezzlement, etc. Nothing new was elicited as to the condition of either of the suspended banks. The City Bank is without doubt a total wreck, and almost the entire loss will fall upon depositors. Receiver Wilham is examining the books today.


Article from The Daily Dispatch, January 13, 1883

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The Jersey-City Bank Troubles. JERSEY CITY, N. J., January 12.-Edward E. Shaw, cashier of the broken City Bank, to whose peculations and overdrawing of his account the Jersey-City Bank troubles are mainly attributable, was arrested at midnight last night at his home, in Orange Valley, N. J. Shaw was arraigned before Judge Stilsing this morning. He refused to make any statement, and was remanded to the city prison till Saturday morning. Garrett S. Boice, president of the broken City Bank, and treasurer and secretary of the Fifth-Ward Savings Bank, who was arrested. charged with misappropriating bonds amounting to $24,500, is held in $10,000 bail to await the action of the grand jury. Nothing new has been elicited as to the condition of either of the suspended banks. The City Bank is without doubt a total wreck, and almost the entire loss will fall upon the depositors.


Article from Memphis Daily Appeal, January 14, 1883

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Cbarged with Perjury. JERSEY CITY, January 13.-Shaw, cashier of the suspended City Bank, is held in $10,000 bail, charged with perjury, in swearing to false statements as to the bank's condition.


Article from Fort Worth Daily Gazette, January 14, 1883

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PERJURY. Jersey City, January 13:-Shaw, the cashier of the suspended City Bank, Was held in ten thousand dollars tail chuged with perjury in swearing to a false statement as to the bank's condition. Governor St. John of Kansas is to start out on an extended lecturing tour soon after his retirement from office.


Article from The Portland Daily Press, January 16, 1883

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The Defunct Jersey City Banks. JERSEY CITY, Jan. 15.-Edward E. Shaw, the cashier of the defunct City bank was today arraigned on the charge of embezzlement I and swearing to false statements, concerning the financial condition of the bank. He asked to have his bail reduced. Justice Stilsing replied that in view of the certain evidence now in the hands of the State bail instead of being reduced from $20,000 would probably be increased. The prisoner was jailed to await the action of the grand jury. It is intimated that several additional arrests will be made in the matter of parties whose names are not as yet mentioned in the case. Receiver Williams of the broken City bank, has discovered that the deposits instead of being $60,000 as sworn to in the last statement really aggregate $168,000. Assets available to pay depositors all told will be but $5500. It is expected however, about $25,000 can be realized by assessments upon the stockholders.


Article from Wheeling Register, January 16, 1883

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THE CITY BANK'S CASHIER Wants His Bail Reduced, but will Probably Have it Increased. JERSEY CITY, January 15.-Shaw, the cashier of the suspended City Bank, who was arraigaed to-day, said he was unable to furnish the $20,000 bail demanded and asked to have the amount reduced. The justice replied that in view of certain evidence now in the hands of the State, bail, instead of being reduced, would probably be increased. The prisoner was committed to jail. It is intimated that several additional arrests are about to be made in the matter on information implicating parties not heretofore mentioned in the case.


Article from Fort Worth Daily Gazette, January 16, 1883

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A CASHIER'S TROUBLES. Jersey City, January 15.-Shaw, the cashier of the suspended City Bank, was arraigned to-day. He said he was unable to furnish the $20,600 bail demanded and asked to have the amount reduced. The judge replied that in view of certain evidence now in the hands of the state the bail instead of being reduced would probably be increased. The prisoner was committed to jail. It is intimated that several additional arrests are about to made in the matter on information implicating parties not heretofore mentioned in the case.


Article from New-York Tribune, January 18, 1883

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them fears were also entertained that they might have been beguiled into some den and robbed. Inspector Thorne sent out a general alarm to look out for them. AN UNSAFE FURNACE FLUE. An exantner of the Buildings Burean yesterday reported that the furnace flue at No. 35 West Fortyfifth-st. was so nnsafe that the building was danger of being set on fire by it. Inspector Esterbrook issued an order to have the flue reconstracted. GOSPEL WORK IN TWO PLACES. At the Bowery Branch of the Young Men's Christian Association, No. 243 Bowery, where there are reading-rooms for men and Gospel meetings every evening. young men are assisted in finding employment, and the New- York City Mission has a church at No. 174 Grand-st., presided over by the Rev. John Dooly. Formerly both societies conducted a joint work at No. 134 Bowery. THROWING SALT ON THE STREETS. In the Jefferson Market Police Court yesterday Officer Lopez of the Society for the Prevention of Cruelty to Animals charged Edward Murray of No. 791 Seventh-ave., John Cullen of Fifty-ninth-st. and Tenth-ave. and Joseph Keirn, of No. 149 West Fifty-first-st. with throwing salt on the roadbed of the Broadway Railroad Company. Justice Patterson held them each in $200 bail. NOT GUILTY OF MANSLAUGHTER. Samuel Josephs, the driver of a butcher cart,who ran over and killed ten-year-old boy named the Joseph O'Brien, who was playing in front of house at First-ave. and Seventh-st. on August 21 1882. was tried yesterday in the Court of General Sessions on the charge of manslaughter in the fourth degree. It was shown that he had been driving rapid rate. but be declared that his horses had been frightened by a passing train on the elevated road and that he was thus unable to control them. Josephs was acquitted by the jury. ACQUITTED THROUGH A POLICEMAN'S NEGLIGENCE. Ludwig Rasmussun, who was charged with saulting Joseph Sturmer, of No. 113 Forsyth-st., was arraigned for trial yesterday in the Court of General Sessions. The brass-knuckles with which was charged that the assault was committed were not produ ced through the neglectof the officer whomade the arrest, and the defendant was acquitted. The District-Astorney then wrote to Police Superintendent Walling reque-ting him to issue general order directing police officers to bring with them to court, when they are summoned as witnesses, the weapons employed, or articles stolen, to be used in evidence. BROOKLYN. The sidewalk in front of Grace Church was a mass of ice yesterday. The sleighs that are run by the Lafayette Avenue Stage Company this year, are well patronized by women and children. The policement were ordered yesterday to stop coasting in the street, one fatal accident having occurred. By the will of the late P. H. McCartan, bequeathing about $200,000, $40,000 is left to various Roman Catholic charities. The Mayor and Controller burned up paid and cancelled bonds amounting in figures to $5,845,000 the City Hall furnace yesterday. The rain vesterday caused the guardians of Prospect Park to drop the ball early in the afternoon. Ifit freezes now the ice will be in much better condition than before. The Brookl City Railroad Company paid to the City Works Department yesterday $20,000, its share of the cost of new pavements recentiv laid in Fulton and other streets, where its tracks are laid. The name of the East Brooklyn Baptist Church si uated in Bedford-ave.. near Myrtle-ave. has been changed to the Bedford Avenue Baptist Church. Henry G. Burnham, a former member of the Board of Education, died yesterday at No. 130 South Second-st. He was born in Connecticut in 1827. By trade he was printer He left four children. The funeral will take place to morrow. A suit to recover $5,000 from the city of Brooklvn for loss of life brought by Mrs. Catherine N. Vincent, mother of O. S. Vincent, clerk who was killed in a explosion of gas in a safe vault in the Municipal Department Building ou June 24, 1878, came to trial in the Circuit Court yesterday. William O'Brien died yesterday at No. 519 Hicksat., at the age of ninety-seven years. By trade he was carpeuter. Michael Trappal, who had reached the age of ninety-t died at No 95 Cambridge-place. He owned a tannery in Furman-st and was largel ly engaged in importing hides. The snit of Mrs. Pauline Wills against her fatherin-law John Wills, to recover $20,000 as damages for the alienation of her husband's affections, was dismissed yesterday as there was no evidence to show that the defendant enticed his son from his wife. Alexander Jefferson, the negro who recent ly committed double murder and tried to kill himself before he was arrested, is nearly ready to leave the hospi al. His defence will be Insanity, based upon an injury to misskull when five years old, and sunstroke " hen he was twenty Congressman Smith, of the IIId District, conferred with Mayor Low lay in regard to the proposed Brooklyn Federal building. The Mayor thought that he first thing to do as to ha the three commissioners appointed to select site. Shortly after the bill for the appropria ion was passed, Secretary Folger appointed one of the commissioners. but the appointee has since died. Nearly six months have elapsed without the appointment O the other two. JERSEY CITY. There were no new developments yesterday in the bank cases Washington B. Williams, the receiver of City Bank, has requested the depositors the institution to present their 88-books as soon 28 possible, so that they may be compared with the bank-books Boice, and Shaw. his son-in-law are mtillingail. and will all probabili remain there until the date of their trial, as all their friendaseen to have deserted them. LONG ISLAND JAMAICA Mr. and Mrs Isaac Bennett celebrated their golden wedding on Tuesday evening. They were the recipients from their children of many valuable gold presents. LONG ISLAND CITY. The Board of Aldermen are taking preca preserve the books of record of ex Mayor DeBevoise's administration They requested the Police Como sioners to detail two police officer to guard the books for fear of a fire breaking out at the City Hall. WESTCHESTER COUNTY. MT. KISCO. A house carpenter named Moore, of Mt Kisco, while at work with a circular buzz accidentally eut off several fingers of his right hand William Wright a resident Whipporwill-st. on retur ing home, a few evenings ago, suddenly taken ill and fell lifeless on the floor soon after entering his house, PELHAMVILLE At public meeting of the residenta of Pethamville, to take into consideration measures to have the low lands in that locality properly drained, committee consisting of William H. Sparks, John Case and William H. Penfield was appointed to present the matter to the town Board of Health BCAWANA The name of Cortlandt station on the Hudson River Railroad, below Crugers,has been changed to Oscawana, its original name. The change 18 const tered objectionable,org account of its liability to be confused with Lake Oscawana, in Putnain County PEEKSKILL -Colonel M. E. Deegan, who prepared the State camp ground near Peekskill last summer, visited the camp grounds a few days ago and made preliminary arrangements for the resumpt work there. It is said that the National Guard authorities intend that the rifle practice of the New York and Brooklyn regiments shall be held on the State camp grounds near Peckskill, instead of at Creedmoor. STATEN ISLAND. NEW BRIGHTON. seals appeared on the ice yesterday in th Kills. Captain Mark Stephens, double-barrelled


Article from The Indiana State Sentinel, January 24, 1883

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The Broken Bank. JERSEY City, Jan. 18.-Receiver Williams, of the City Bank, has commenced suits against Garrett S. Boyle, Edward E. Shaw and John N. Beach for trespass. dam ges in each instance being fixed at $50,000. District Attorney McGill has decided to call the Grand Jury Thursday next to consider the cases of accused officers of the two suspended banks.


Article from Morris Tribune, January 27, 1883

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The City bank at Jersey City has suspend- ed. 'Rough on Rats."


Article from Omaha Daily Bee, February 27, 1883

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Jersey Justice. New York Tribune The general sessions court room in Jersey City was crowded to its utmost capacity yesterday morning at the trial of Garrett S. Boice, president, Edward E. Shaw, cashier, and John L. Bech, book-keeper, of the wrecked City Bank. The defendants were brought into court and District Attorney McGill addressing Boice, said, "You desire to retract your former plea and plead guilty to the indictments found against you?" Boice nodded affirmatively, and then the same question was put to each of the other defendants and the same affirma. tive nod given in answer. Judge Garretson directed the prisoners to stand up for sentence, and addressing Boice, said: "No sadder duty than this has ever been impound on this court since I have been connected with it. You are well known to the court, in fact, you posessed the confidence of every man in the community. You have betray. ed your trusts; you have ruined two banks and ruined the individuals who had confidence in you and in the banks. There is nothing the court can say that will add to or take from the tenor of the sentences about to be pronounced. The judge then sentenced Boice on each of the twelve indictments against him, giving him ten years for forgery, two years for making a false statement, five years OL each of five indictments for embezzlement, and five years on each of five indictments for overdrawing his account, making sixty.two years in all. As the other sentences are to run concurrently with the ten years for forgery, the term is ten years in all at hard labor. Shaw was then sentenced to six years in the state prison and Beach to four years, also at hard labor. The defendants received the sentences calmly and seemed unconcerned. They were remanded to the county jail to await re. moval to Trenton. There is no sim. ilar case on record in the state--that is, where the punishment so quickly followed the crtme. The bank closed its doors on January 10th, and three days later, when the receiver was appointed and made a partial investigation, it was discovered that Boice, Shaw and Beach had appropriated not only all the deposits, but the assets, and the paid up capital of $50,000. As none of the directors or stock. holders of the bank made any motion, the defendants were arrested on a complain: made by a police official on information and belief, at the direction of Chief Murphy.