Multiple articles (early January 1911) report short-lived runs/large withdrawals at the Twelfth Ward Bank triggered by the collapse of the Carnegie Trust Company and affiliation concerns. J. P. Morgan & Co. and other financiers provided cash/backing, depositors were paid and many redeposited funds; the bank remained open and was not placed in receivership.
Events (1)
1.January 9, 1911Run
Cause
Local Banks
Cause Details
Runs were triggered by the failure/closing of the Carnegie Trust Company and the Twelfth Ward Bank's affiliation/connection with that collapsed institution.
Measures
J. P. Morgan & Co. and allied financiers provided large amounts of cash/gold to the bank; Equitable Trust purchased Madison Trust; securities were replaced with cash and notices of backing were posted to reassure depositors.
Newspaper Excerpt
Runs were started on three banks today ... Madison Trust company, Twelfth Ward bank and Nineteenth Ward bank.
MORGAN HELPS SAVE THE BANK Financiers Take Over Three Institutions. New York, Jan. 9.-After forty-eight hours of conference between representatives of all the big banking houses and the clearing house It was announced that J. P. Morgan & Co. have guaranteed the solvency of the Twelfth Ward bank and the Nineteenth Ward bank, that the Equitable Trust company has bought the Madison Trust company and that these three institutions have been shorn of their Carnegie Trust company connections. The announcement was made by formal statements. They make it clear that whatever danger had been cast on the three banks by the failure of the Carnegie Trust company had been removed. Work For Grand Jury, Perhaps. The Carnegie Trust company, which was closed Saturday by the state banking department, is now beyond hope of salvation. With respectable securities to offer it could have had on the very night before the superintendent of banking descended upon it at least $1,000,000, but these securities were not forthcoming. The deposits in the company had shrunk from $18,500,000 at the time of the company's greatest prosperity in 1909 to hardly more than $1,500,000 in individual deposits subject to check at the time of the failure. To meet this steady drain the company was forced to sacrifice what reliable securities it possessed. The banking department has called in District Attorney Whitman to look into the history of the concern and determine whether or not there was any criminal liability in its management. The district attorney is silent as to what steps he is taking in the matter. It is known, however, that he worked overnight on the trust company matter late into the morning and that he held many consultations about it at his home at the Hotel Iroquois. The outcome of this labor may very well be a matter for the consideration of the grand jury. Nearly Falled In 1907. It has developed that the company nearly went under in the panic days of 1907. The general impression that the influence of Andrew Carnegie was behind the company and the fact that the name of Leslie Shaw, who 80 recently had been secretary of the treasury, was with the concern were two things that saved the trust company at that time. Of course the big steel man asíde from his friendship for Charles M Schwab had no interest In the company. More than that, he was extremely adverse to the use of his name.
2.January 9, 1911The Richmond Palladium and Sun-TelegramRichmond, IN
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By Prompt Action of the Napoleon of American Finance, Three N. Y. Institutions Were Saved. CRAZED DEPOSITORS PACIFIED BY SIGHT Within Hour After the Gold Had Arrived at Threatened Banks, Deposits Were Being Returned. (American News Service) New York, Jan. 9.-Runs were started on three banks today as aresult of the excitement caused by the revelation of the skyrocket financiering and the subsequent closing of the banking institutions with which Joseph G. Robin was connected. Today's runs were on the Madison Trust company, Twelfth Ward bank and Nineteenth Ward bank. A serious panic was averted by the tremendous financial support of J. P. Morgan and associates, who held an all night meeting and devised ways and means of preventing further bank failures in New York City. Fifty millions in cash had been provided for this purpose and truck loads of gold and currency were drawn up before thebanks affected today and within an hour's time the depositors who withdrew their money were putting it back in again. Cause of the Panic The operations of oJseph G. Robin fell across the Madison Trust company, the Twelfth Ward bank and the Nineteenth Ward bank because they were affiliated with the defunct Carnegie Trust company, of which Robin was one of the founders and a former director. This is the third time in four years that the tremendous resources of Morgan have been poured fourth to polster up weak financial institutions or prevent a great panic. In 1907 this Napcleonic financier lent his financial assistance to avert a crisis and draw America from the clutches of panic. When E. H. Harriman, the railroad wizard, died, he again came to the rescue and pledged his millions to avert a vast slump in railroad securi-ties. As a result of Mr. Morgan's latest action. which was taken shortly after midnight today, following a conference of many hours, his grasp upon the banks of New York City, America's financial stronghold, has been made all-powerful. The Equitable company and the Madison Trust company are two of the leading financial institutions of the city. The Equitable Trust company is a $35,000,000 concern backed by the e Equitable Life Assurance society ) which is owned by Mr. Morgan. The Madison Trust company, which t was formerly the Vanderbilt Trust 1 company, was the central institution in a train of banks across the city that figured in a proposed merger some time ago. I
3.January 9, 1911The Barre Daily TimesBarre, VT
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BIG FINANCIERS COME TO ASSISTANCE Of New York Banks Which Were Wobbly As Result of Closing of the Carnegie Trust company Saturday. New York, Jan. 9. A meeting of rep. resentatives of several large financial interests, bankers and others, was held last night at the home of Paul D. Gravath, a lawyer, and steps were taken to the of the company prevent (formerly closing the Madison Van Ward Norden Trust bank Trust company), the Twelfth and the Nineteenth Ward bank. which, together with their branches, make nine banks throughout the city. Ample capital was provided to meet all emergencies to which these banks might be subjected. These three institutions had former close with closed as an affiliations Saturday the Carnegie indirect Trust result G. the fallen now Robin, company, of the operations banker, of Joseph in prison. Among the interests represented at the conference were J. Pierpont Morgan & Co., New York Clearing House association and the Equitable Life. Assurance society. C. H. Cheney, state superof was as was Lawrence intendent Phipps, banks, jr., said present. to represent the Standard Oil company. It was announced that a radical change will be made in the Madison Trust company, that institution being taken over by the Equitable Trust company and certain changes in the directorate made. Statement by Cheney. Late last night the following statement out was given at Mr. Cravath's house, authorized by Superintendent Cheney: "I have been in close touch with the situation in the Madison Trust company, Ninteenth Ward bank and Twelfth Ward bank. I have objected to certain of the assets and some of the loans. In my opinion it became necessary to consult prominent bankers so that steps have been taken to allay public apprehension which might arise after the closing of the Carnegie Trust company. As a result of conference with bankers and am announce that in others interested my a judgment I arrangements able to have now been completed that are such as to effect that result. "The assets to which I have objected have been taken out of the two banks and substituted with cash. The Madison Trust company is to be acquired by with the Equitable trust and rearrangements Morgan merger & Co. have In been my made opinion with the J.P. sult of the foregoing arrangements is that these three institutions are in sound condition. "O. H. Cheney." Henry P. Davison, representing Morgan & Co., gave out a statement, in part as follows: 'At the time of the failure of the Carnegie Trust company certain members of the board of directors were also directors of the Madison Trust company, the Nineteenth Ward bank and the Twelfth Ward bank. Fearing that announcement of this fact might lead depositors to withdraw deposits, the superintendent of banks promptly took up the situation with prominent banking interests. After a conference held Saturday and Sunday, J. P. Morgan & Co. authorized the following statement: "Understanding that arrangements have been made for the absorption by merger of the Madison Trust company by the Equitable Trust company, J. P. Morgan & Co. have agreed to provide financial assistance to the Nineteenth Ward bank and the Twelfth Ward bank." "A Barton Hepburn gave out a state. ment similar in tone adding that "A very happy solution of possible complications has been arrived at for which the publie thanks are largely due to the very efficient services of the bank superintendent." Mr. Hepburn concluded with a statement that "after as complete an inE vestigation as We were able to make from the outside. I am of the opinion that the customers of the banks should continue their deposits and can continue their business with safety."
4.January 9, 1911The Detroit TimesDetroit, MI
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CARNEGIE TRUST FAILURE DOESN'T AFFECT OTHER BANKS J. P. Morgan and Other Financiers Stand Together To Meet Any Emergency. NEW YORK, Jan. 9.-That the allied banking institutions here are prepared to prevent any disturbance of present conditions was made plain today by the presence in the clearing house of a number of the leading captains of finance. "There is nothing the matter with the business world, and the public must be made to understand it at once," is the word that came from J. P. Morgan. By Morgan's order, the Madison Trust Co., formerly the Van Norden Trust Co., was taken over by the Equitable Trust Co. This $35,000,000 concern backed the Equitable Insurance Co., of which Morgan is now controlling owner. Morgan also personally assumed responsibility for all of the obligations of the Nineteenth Ward and the Twelfth Ward banks, and their branches, and it was by his direction that securities held by these two concerns which were not of a sort which could be sold readily in the open market, were replaced by actual cash. Morgan & Co., Kuhn, Loeb & Co., the Guggenheims, Standard Oil, Henry Phipps, Halgarten & Co., and every big bank allied with the New York clearing house stand together. The string of southern and western banks affected by the closing on Saturday of the Carnegie Trust Co., will be fully taken care of. Statements by Morgan & Co., President Krech, of the Equitable Trust Co.; A. Barton Hepburn, president of the Chase National bank, and the Clearing House association; Bradley Martin, Jr., and Supt. of Banks Cheney, all of a character intended to reassure the timid regarding the stability of all of the banks affected by the Carnegie Trust Co.'s failure, were given widespread publicity early today and had their effect as was planned. At 9:30 this morning a line of about 100 persons had formed outside of the Nineteenth Ward bank. Many of them were women and all were there to draw out the money they had on deposit. It was said that all checks presented would be promptly paid. There were 300 depositors in line at the Ninteenth Ward bank when the paying teller's window was thrown open. All were paid off as rapidly as possible. President Bradley Martin, Jr., said: "We will pay off all depositors who want their money. The run is of little consequence, inasmuch as those who are withdrawing cash, are people who had only small amounts on deposit.
5.January 9, 1911New-York TribuneNew York, NY
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street and the third at No. 242 East 86th street With the exception it the main office of the Madison Trust Company. which is the old Van Norden Trust Company, on all the banks and their branches are althe East Side and the officers had was ready had an intimation of withdraw- what to be expected by the heavy closing als on Saturday, as soon as the became of the Carnegie Trust Company the known through the section in which banks are situated. Run To-day Seemed Certain. It was seen that the institutions would this rave to be prepared to take care morning of a run calling for the greater only of the money on deposit. Not of part this the case. but the insistence was Mr. Cheney on cash being substituted loans for many of the securities held for were \made the directors see that they they faced by a situation with which could not cope without outside help. After being in session all Saturday that afternoon and until a late hour 1 night they came together again at then o'clock yesterday afternoon, and asked turned to Mr. Cravath and find some one to help at once began to him they Mr. Cravath to them send after- out. for bankers whose influence was to ward the exerted to bring Mr. Morgan the rescue. With the bankers there came also a stream of clerks and messengers bring- time ing books and securities. By the the Sunday afternoon session broke might up. 7 o'clock, that the conferrees seat a bite to eat. a large part of the had curities get of the three institutions brought down to Mr. Cravath's dinner house. been and while the bankers had R corps of clerks was busy tabulating and arranging them. With the advent of the bankers and the appearance of the securities Mr. Cravath had begun to become hopeful, a and late in the afternoon he made brief statement to the newspaper men. "This is the r. -t important conference to the financial world," said Mr. Cravath. "that has been held since the famous conference at Mr. Morgan's house the night before the 1907 panic." Says Carnegie Trust Has Gone. 'We are here trying to save nine banks from closing and the train of disaster that would follow in the wake of such a happening," Mr. Cravath continued. "But do not think that we represent the Carnegie Trust Company. We have nothing to do with that concern. It has gone. We are trying to prevent more failures from coming. We are here to save the Madison Trust Company, the Nineteenth Ward Bank and the Twelfth Ward Bank. If no cog slips we will have the cash in those companies' 'vaults to-morrow morning to pay every depositor and the loans and liabilities of each will be so safeguarded that there will be no possible fear of any further trouble coming out of the condition that has arisen through the Carnegle Company's failure." When Mr. Cravath referred to nine banks he included the branches of the three institutions concerned. He did not mean that six other concerns were affected But even the work that had already been done by Mr. Cravath and his assoiates was not enough to satisfy Mr. Morgan. and when the conference met again at 8 o'clock last night another stream of clerks began to come on foot and in automobiles with more packages of securities and books under their arms Mr. Morgan's representatives, Henry P. Davidson and William H. Porter. were then on the ground. and the argument was in progress for the rearrangement of the boards of directors for the three Institutions The securities had been proved satis. factory at last and the final arrangements made for the cash to protect the depositors and the merger of the MadlFor and Equitable trust companies, before the unwilling consent of the directors to sell out their holdings was wrung from them When this last step was taken and the price agreed upon, Mr. with his Cheney appeared welcome of all an. the nouncement that the doors would be open for business with no fear any institutions this morning, that depositor would fail to get his money.
6.January 10, 1911The SunNew York, NY
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INSIST ON Small Depositors Enjoy Themselves at Banks That Don't care a Bit. once bank officers had a chance to For thr psychology of a "run" without study of the shivery feelings that usually associate any themselves with that phenom- East Small depositors from the Side enon. who don't read the newspapers didn't that are printed in English and who were understand that J. P. Morgan & Co. the backing the Twelfth Ward Bank and the Nineteenth Ward Bank and that Equitable Trust Company has bought on Madison Trust Company were hand the early to draw out their savings deThere was plenty of cash to meet all mands and very naturally when the people found they could get their money many the want it. With one exception didn't lines of waiting depositors dwindled by lunch time and a considerable away number of persons who had withdrawn the in the morning came back allowed in afternoon money to see if they would be to deposit it again. The biggest run was on the interest Ward department of the Nineteenth and Bank's main office at Third avenue Fifty-seventh street. The bank opened of 8 o'clock. At that time the line the at waiting depositors reached along Most side street nearly to Second avenue. and those in line were of foreign birth Those of large percentage were women. who a wanted their/money got it as fast as the tellers could handle the books. Upstairs in the commercial part there of bank things were quiet and in the nearly as much business done A taking was in money as in paying it out. make number of people who wanted to deposits with the interest department telephoned that they had gone away was seeing that the bank's force busy. after but would be glad to make deposits if messengers were sent for the money. East The Nineteenth's branches at 152 Thirty-fourth street, 180 East Seventysecond street and 240 East Eighty-sixth main had less trouble than the Jr. street bank. President Bradley Martin. from figured that the day's withdrawals than bank and its branches were less the million and more than half a million. a were some large deposits. The There bank had $1,500,000 in currency on hand little when it opened for business and a after 10 o'clock a taxicab with $250,000 Fifth board came uptown from the on Avenue Bank This was largely a play reassure the foreign element among to depositors. who seemed to fool much iron the better when the contents of the big which had been carried into the bank box spread out on the counters. wanted Many of were the Russian women in the line their money in Frank gold. B. French of the President Ward Bank said late in the afternoon from half Twelfth that he had been kept busy the declining mer of his Twelfth Ward offers chants the of assistance acquaintance. Bank into was the The street never line at enough to extend out nothing after long it dwindled to almost Harlem and S. Nichols. president of the speech A. of Trade came 1.1 and made a Twelfth Board the uneasy depositors A1 the and to at Third avenue Ward's branch a large number of small Sixth street. were drawn out but abroad many were At deposits when the facts got were the put back East 116th street branch there few withdrawale. Madison Trust Company did usiness The in the usual way and the line
7.January 10, 1911The Ocala Evening StarOcala, FL
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PREVENTED FINANCIAL PANIC Runs on New York Banks Headed Off by Morgan and His Financial Associates New York. Jan. 10.-Runs were made on three banks in New York yesterday as an aftermath of the skyrocket financial methods of Joseph Robin but the prompt payment of depositors of the Twelfth Ward and Nineteenth Ward banks and the Madison Trust Company averted any sign of a panic. All of the banks were supported by J Pierpont Morgan and his financial associates. As soon as this became known the runs ended and nearly all redeposited their money.
8.January 10, 1911Pine Bluff Daily GraphicPine Bluff, AR
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BIG BANK RUNS ARE PREVENTED Morgan and Co., Kuhn-Loeb and Others Come to Aid of N. Y. Banks. MANY WITHDRAWALS Carnegie Trust Company's Failure Made People Uneasy and They For in Line. International News Special New York, Jan. 9.-Owing to the quick and strong support given by J. P. Morgan and Company, Kuhn, Loeb and Co., and other powerful banking interests to a situation that was for a short time delicate, the City of New York today was saved from bank runs that might have led to general excitement and temporary financial derangement. When it became known this morning that the interests named had organized themselves into a committee of defense against the probable bad effect of the failure on Saturday of the Carnegie Trust Company, the apprehended run on the Madison Trust Company and its subsidiaries, the Twelth Wiard Bank and the Nineteenth Ward Bank, with several branches scattered through the city and all affiliated with the unfortunate Carnegie Trust Company, were virtually averted. Although there were steady withdrawals from these banks and their several branches all day, at no time was there a panicky feeling among the scores of women and men who waited patiently in the lines all day in front of the institutions tio get their deposits out.
9.January 10, 1911The Cairo BulletinCairo, IL
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SITUATION IS AGAIN NORMAL GOOD WORK ACCOMPLISHED IN BANKING SITUATION IN NEW YORK CITY. DEPOSITORS REASSURED Stock Market is Optimistic, and Joseph G. Robin, the Indicted Banker, Remains in the Tombs Prison. New York, Jan. 9.-Aside from progressive work of reorganization and reconstruction in affected institu tions, which will necessary extend over the first few weeks of the new year, the banking situation is normal tonight. Timid depositors are reassured, the stock market is optimistic and Joseph G. Robin, whose operations caused the flurry, remains in the Tombs. With powerful interests behind the Tweltf Ward Bank and the Nineteen th Ward Bank and with the absorp ilon of the Madison Trust Company by the Equity Trust Company, two institutions whose integrity had been questioned because of alleged affiliations with the Caruegle Trust Company, closed as the result of Robin's operations, weathered today, not only successfully, but with suggestiveness that there were no runs and almost normal deposits. Last night's consultation between financiers had laid a strong ground work which proved adequate to avert any serious complications. Another member of the Robin family entered the Tomos today. Dr. Louise Robinovitch, sister of Robin was indicted for perjury and remanded in default of $3,000 bail. She had sworn in an effort to have Robin conmitted to an asylum and his estate taken over by a committee, that she and her brother, Edward, known as Edward Robinson, were his only heirs at law. But Investigation dis closed an aged couple which the prosecution contends are the parents of Robin On this discovery the indictment is based. After Dr. Robinovitch has been indicted she was arraigned in the court of general sessions where she entered a plea of not guilty. Chas. Hyde, the city chamberlain, who was sought as a witness by the legislative graft committee and who is now sought by the city off!cials to look after the city's interests in view of funds deposited in some of the banks involved in the trouble, was still missing tonight. Controller Pendergast sent a spec ial message to the mayor today ask ing for a meeting of the banking commission to consider the matter. In the course of the day Andrew Carnegie issued a statement denying any connection with the Carnegie Trust Company, and reissuing a letter published in 1906 objecting to the use of his name.
10.January 10, 1911Evening JournalWilmington, DE
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been after it ever since it was reorganized from the old Van Norden Trust Company. How He Will Pay For Them. To pay for the three institutions it is expected Morgan will increase the stock of the Equitable Trust Company and exchange it for the outstanding shares of three companies, making the actual cost to Morgan personally only about what the engravers' bill will be who furnishes the new stock. The $20,000,000 of assets of the three concerns which were in danger will add materially to the attractiveness of the Equitable Trust Company's balance sheets hereafter, in the opinion of financial experts, who have watched the present situation. Normal conditions prevailed at all of the banks today, the slight run on the Nineteenth and Twelfth Ward Banks and the Madison Trust Company, which prevailed yesterday not being renewed. It was stated by State Superintendent of Banks Cheney today that the affairs of the Carnegie Trust Company will be liquidated at once and no attempt will be made to put the institution in shape to continue business.
11.January 10, 1911The Birmingham Age-HeraldBirmingham, AL
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BANK SITUATION IN NEW YORK IS BETTER Financiers Come to Rescue of Carnegie Trust ROBIN IS NOW IN PRISON Another Dramatic Scene Is Enacted in Court When Members of Robin's Family Meet Face to Face New York, January 9.-Aside from progressive work of reorganization and reconstruction in affected institutions which will necessarily extend over the week, New York's banking situation is normal tonight; timid depositors are reassured, the stock market is optimistic and Joseph G. Robin, whose operations caused the flurry, is still in the Tombs. With powerful financial interests behind the Twelfth Ward bank and the Nineteenth Ward bank and with absorption of the Madison Trust company by the Equitable Trust company, these three institutions whose integrity had been questioned because of affiliations, direct or indirect with the Carnegie Trust company, which was closed as a result of Robin's operations, weathered the day not only successfully but with such aggressiveness that there were no runs and almost normal deposits. Some uneasy depositors were out early to get their money but last night's consultation between financiers had laid a strong groundwork which proved adequate to avert any serious complications. Another member of the Robin family entered the Tombs today. Dr. Louise Robinovitch, sister of Robin, was indicted for perjury and remanded in default of $3000 bail. She had sworn, in an effort to have Robin committed to an asylum and his estate taken over by a committee, that she and her brother Edward, known as Edward Robinson, were his only heirs at law. But investigation disclosed an aged couple which the prosecution contends are the parents. On this discovery the indictment is based. There was enacted, as the grand jury filed forthwith the indictment against Dr. Robinovitch, a scene similar in dramatic aspect to the recent repudiation of the old pair by Robin. Both old persons had been witnesses before the jury as had the alleged son, Edward Robinson. When they met face to face, in the court room, the elderly woman attempted to throw her arms around Robinson's neck, but he drew back and repulsed her. "Is that your father and mother?" Robinson was-asked. "I am not sure," replied Robinson. "I know these people and have known them for a number of years. We caine to this country with them, and as a youngster I always thought that they were my parents. But of late something has happened which leads my brother and myself to the belief that they are not our parents. We have the evidence which proves it." "Have you seen them lately?" was the next question put to Robinson. "Yes, I have seen them about once a month for many years. My brother and myself looked after their wants. That is all I can say.' After Dr. Robinovitch had been indicted she was arraigned and entered a plea of not guilty. Justice Page in the supreme court today appointed Maurice Deiches, a lawyer, receiver for the property of the Aetna Indemnity company in the state of New York with a bond of $50,000. The company collapsed after the Robin exposures and a court in Hartford appointed Theodore McDonald receiver for its property in Connecticut. The company is a Connecticut corporation with a capital stock of $350,000.
12.January 11, 1911The Forest RepublicanTionesta, PA
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RUN ON BANKS CEASE East Side Depositors Return Money After Withdrawing It. Twelfth Ward and Nineteenth Warc Banks Scenes of Great Activity Ir the Morning, but as the News of Morgan's Company Backing the Banks Spread the Line of Withdraw ing Depositors Diminished to Noth ing. New York, Jan. 10.-The trouble it banks of this city, which broke out or the failure of the Carnegie Trust com pany Saturday morning subsided yes terday as quickly as it started. The trouble was confined entirely to the Madison Trust company and the Twelfth and Nineteenth Ward banks. Runs on these banks continued in the morning, but gradually subsided as the day progressed. Every depositor who wanted bis money was paid promptly. Small depositors from the East Side who don't read the papers and who did not understand that J. P. Morgan & Co., was backing the Twelfth Ward bank and the Nineteenth Ward bank and that the Equitable Trust company has bought the Madison Trust compa ny were on hand early to draw oui their savings but there was plenty Oi cash to meet all demands and very naturally when the people found they could get their money. many did not want it and with one exception the line of waiting depositors dwindled away by lunch time and a considerable number of persons who withdrew money in the morning came back ir the afternoon to deposit the same sums again. Biggest Run on 1th Ward Bank. The biggest run on the interest de partment of the Nineteenth Ward Lank's main office at Third avenue and 57 street. When the bank opened the line of waiting depositors covered several blocks. Those who wanted their money got it as fast as the tellers could handle the books. Upstairs ir the commercial part of the bank things were quiet and there was nearly as much business done in taking in mon ey as in paying it out. The Nineteenth's branches at 152 Fif ty-fourth street, 180 East 72nd stree and 140 East 86th street had less trouble than the main bank. President Bradley Martin, Jr., figured that the day's withdrawals from the bank and 02 branches were less than a million and more than half the amount deposited. He said that there had been some large deposits. The bank had $1,500, 000 in currency on hand when 11 1 opened for business and a little after 10 o'clock a taxi cab with $250,000 or board came up from the Fifth Avenue bank. President Frank B. French of the 1 Twelfth Ward bank was on hand ear to ly at the bank's main office at 147 East 125th street. The line at the Twelfth Ward bank was never long 01 enough to extend out into the street and it dwindled almost to nothing af ter A. S. Nichols, president of the Harlem Board of Trade, came in and made a speech to the uneasy deposit ors reminding them of the powerful interests that had come to the aid of the bank and advising them not to draw out money unless they needed it # At the Twelfth Ward's branch at Third avenue and Sixth street a large num ber of small deposits were drawn out Trust Company Did Normal Business. The Madison Trust company at its main office, Fifth avenue and 60th 1 street, did business in the usual way and the line of depositors was always E longer than that made up of those who wished to draw out their money. T1 was said that less than $100,000 was withdrawn. 1 The Madison Bowery branch paid out money to a considerable number 01 small depositors, but there was none in line after 12 o'clock. In all of the banks and their branch es notices of the backing promised to the banks by J. P. Morgan & Co. were posted. It was apparent at most of the branches that the day had seen the
13.January 12, 1911The Dillon HeraldDillon, SC
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MORGAN A BUCCANEER. Hailed 24 Hours Ago As Saviour of Three Banks-Now Charged That He Wrecked Them Deliberately. New York, Jan. 10.-While J. P. Morgan was hailed 24 hours ago as the saviour of three New York banks, sober reflection on the part of various financial leaders not in the Morgan camp to-day led them to renew his appellation of "financial buccaneer." Following revelations that if the Carnegie Trust Company had been given 24 hours longer it would have been able to continue its financial operations, Wall street dealers declare that Morgan had manipulated cleverly to force a merger of the $20,000,000 Madison Trust Company with his $35,000,000 Equitable Trust Company. According to a report current in the financial district Mr. Morgan had forced the hands of his opponcuts and practically bagged three new banks in so doing; the three being the Madison Trust, the Twelfth and Nineteenth ward banks. The Madison Trust Company is now Morgan's but how far his ascendency goes over the other two institutions has not been made public. It is understood, however, that he torced an agreement to the effect that the Carnegie Trust Company shall not be re-organized. The assertion is made that the house of Morgan did not expend a cent but merely lent its name to avert financial crashes that might have had a national bad effect. The money sent by J. P. Morgan & Co. to the banks in question was not needed and was returned. Much of it war not opened. The Madison Trust Company and the Twelfth ward and Nineteenth ward banks opened their doors at the usual hour to-day. There was a slight run on the savings department of the Nineteenth ward institution. About 50 persons, most of them women, were waiting to make withdrawals when the savings department was opened. They were paid promptly. I In the check department of the Nineteenth ward bank there were more persons waiting to make deposits than withdrawals. , Superintendent of Banks Cheney said to-day that the financial situ: ation had cleared up entirely and added: "I give you my word that not another bank or trust company under the jurisdiction of our department is under the least suspicion." Just before 11 o'clock to-day $1,000.000 in bills, packed in three suit cases, arrived at the Nineteenth ward bank, from the offices of J. P. Morgan & Co. The money was taken there by three men, who rode in a taxicab. President Bradley Martain, Jr., of the bank, said the money really was not needed by the institution, but had been there as a precautionary measure. There was no run on the check department of the bank during the morning. AAA
14.January 12, 1911The Guthrie Daily LeaderGuthrie, OK
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GOTHAM BANKS SAVED Powerful Financial Interests Come to Aid of Affected Institutions (By Leased Wire) New York, Jan. 11.-Aside from progressive work of reorganization and reconstruction in affected institutions which will necessarily extend over the week, New York's banking situation is normal tonight, timid depositors are reassured. the stock market is optimistic and Joseph G. Robir. whose operations caused the flurry. remains in the Tombs. With powerful financial interests behind the Twelfth Ward Bank and the Ninteenth Ward bank and with the absorption of the Madison Trust company by the Equitable Trust comjary. these institutions whose integrity had been questioned because of alleged affiliations with the Carnegie Trust company, closed as a result of Robin's operations, weathered the day not only successfully, but with such aggressiveness that there were no runs and almost normal deposits. Last uight's consultation between financiers had laid a strong groundwork, not proved adoguate to avert any serious complications.
15.January 13, 1911Watertown LeaderWatertown, WI
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SUPPORT HALTS BANK TROUBLES Quick Action by Big Interests Prevents Possible Runs. New York.-Owing to the quick and strong support given by J. P. Morgan & Co., Kuhn, Loeb & Co. and other powerful banking interests to a situation that for a short time was delicate, the city of New York was saved from bank runs that might have led to general excitement and temporary financial derangement. When it became known that the interests named had organized themselves into a committee of defense against the probable bad effects of the failure of the Carnegie Trust Co., the apprehended runs on the Madison Trust Co. and its subsidiaries, the Twelfth Ward bank and the Nineteenth Ward bank, with several branches scattered through the city and all affiliated with the unfortunate Carnegie Trust Co. were virtually averted. Although there were steady withdrawals from these banks and their several branches all day, at no time was there a panicky feeling.
16.January 18, 1911Vernon County CensorViroqua, WI
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SUPPORT HALTS BANK TROUBLES Quick Action by Big Interests Prevents Possible Runs. New York.-Owing to the quick and strong support given by J. P. Morgan & Co., Kuhn, Loeb & Co. and other powerful banking interests to a situation that for a short time was delicate, the city of New York was saved from bank runs that might have led to general excitement and temporary financial derangement. When it became known that the interests named had organized themselves into a committee of defense against the probable bad effects of the failure of the Carnegie Trust Co., the apprehended runs on the Madison Trust Co. and its subsidiaries, the Twelfth Ward bank and the Nineteenth Ward bank, with several branches scattered through the city and all affiliated with the unfortunate Carnegie Trust Co. were virtually averted. Although there were steady withdrawals from these banks and their several branches all day, at no time was there a panicky feeling.
17.December 9, 1911New-York TribuneNew York, NY
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Here are some of the services which Mulligan says he and his wife rendered, and for which he asks $20,000: October 25--Promised $20,000 for services of Mr. Mulligan and Mrs. Mulligan in assisting in reopening the bank William R. Montgomery. president of the bank, so agreed in writing. October 31-Conferred with W. R. Montgomery respecting adverse meeting to be held at Amsterdam avenue and 145th street. Visited hall to get size thereof. Conferred with depositors and W. R. Montgomery to formulate plans to stampede the meeting and prevent resolutions for the appointment of a receiver. Time-Day and into the night. November 1-Arranged to have friendly depositors attend the meeting and arranged for speakers. Mrs. Mulligan instructed an interpreter foreman (Italian) that he might drill seventy-five men under him to shout and hurrah for Montgomery for the purpose of attending to stampeding the meeting. which meeting had been called by adverse interests to appoint a receiver. November 2-Arranged for speakers and employed seventy-five persons to attend and stampede the meeting. Rehearsed and drilled gang of men and provided seventyfive men with refreshments and elgars and also paid each man for his services. Paid American foreman and Italian foreman. Conferred with representatives of the press as to news articles. Attended meeting and made speech. Hall was crowded with multitude John P. Leo and Charles H. Tuttle were apparently in charge of the meeting Multitude almost riotous and threatened to mob Mr. and Mrs. Mulligan because of the disturbance in their efforts to prevent the resolution going through and because of the loud cries of their followers, the seventy-five men hired by them. Mrs. Mulligan Turned Tide. Quiet was obtained actually until Mrs. Mulligan's speech was made. wherein she stated that she had never made a public speech before, but that she felt the occa. sion required and permitted her to leave a nursing baby at home to face the awful rainstorm that prevailed that night Mrs. Mulligan stated that she represented as executrix orphan children who had moneys in the Hamilton Bank, and that Mr. Mulligan had money in the Twelfth Ward Bank, which was then closed: how could shoes be bought, how could fires be kept and how could orphans be fed for the winter that was then before us if the Hamilton Bank was permitted to go into the hands of a receiver? Mrs. Mulligan's speech turned the tide and won the day. The motion for a permanent receiver was lost. November 8-Mr. Mulligan talked to depositors and Mrs. Mulligan talked to depositors. One of the group she was addressing attempted to discourage the other agreeand depositors ment) the officers from used of the signing abusive bank (a compelling language proposed about Mrs. Mulligan to forcibly eject such intruder and compel him to flee down the street. December 26-Telegram from James A. Betts to Mrs. Mulligan reading: "Injunetion vacated. Temporary receiver discharged. Bank permitted to reopen.' Upon receipt of this telegram hung original, framed in laurel, in the Tremont branch of the Hamilton Bank Hung a copy. with laurel wreath, in main office room in each of the branches.
