14566. John S. Cook bank (Goldfield, NV)

Bank Information

Episode Type
Run → Suspension → Reopening
Bank Type
state
Start Date
October 15, 1907
Location
Goldfield, Nevada (37.709, -117.236)

Metadata

Model
gpt-5-mini
Short Digest
79b39c55

Response Measures

Accommodated withdrawals, Public signal of financial health, Partial suspension

Other: State-declared bank holiday caused temporary closure of Goldfield banks; later banks shifted to paying in paper/cashier's checks rather than specie.

Description

A run on the John S. Cook bank occurred Oct 15–16, 1907, apparently started by a woman whose returned $12 check led to rumors. The bank paid depositors in full and brought large specie reserves; later the statewide bank holiday (Governor Sparks) on Oct 24 caused temporary suspension. Banks planned to reopen after the legal holiday and the Cook bank continued operations (later adopted a paper/cashier's-check basis but remained open).

Events (3)
1. October 15, 1907 Run
Cause
Rumor Or Misinformation
Cause Details
Rumors started after a woman's check for $12 was returned marked 'no funds'; she told friends the bank was shaky, triggering withdrawals.
Random Run
Yes
Random Run Snippet
Woman's returned $12 check; she told friends bank was shaky, starting rumors
Measures
Paid depositors in full during the run; refused outside assistance; later shipped $500,000 in gold to bolster reserves and limited cash payouts by issuing cashier's checks.
Newspaper Excerpt
RIDICULOUS RUN ON COOK BANK ... A run ... was made on the John S. Cook bank today.
Source
newspapers
2. October 24, 1907 Suspension
Cause
Government Action
Cause Details
Statewide bank holiday declared by Governor Sparks; banks in Goldfield remained closed for five days.
Newspaper Excerpt
Governor Sparks had declared a bank holiday for a period of five days. In consequence the banks remained closed.
Source
newspapers
3. October 29, 1907 Reopening
Newspaper Excerpt
the banks, barring unforeseen complications, will resume business ... the bank will reopen at the expiration of the legal holiday and will have ample funds to meet all demands.
Source
newspapers

Newspaper Articles (9)
1. October 16, 1907 Tonopah Daily Bonanza Tonopah, NV
Article from Tonopah Daily Bonanza, October 16, 1907

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RIDICULOUS RUN ON COOK BANK GOLDFIELD SMALL FRY PULL OUT FUNDS AND THEN TRY TO RE-DEPOSIT. GOLDFIELD, Oct. 15.-A run, which in many ways was remarkable, was made on the John S. Cook bank today. There was, to begin with, absolutely no reason for the run, and the sums which were drawn out were, for the most part, ridiculously small. This leads to the belief that it was started by parties here, who have never been satisfied when they have not been stirring up trouble. When the bank opened this morning, there was a crowd of several hundred in front of the bank, and they began forcing their way in. A crowd gathered on the outskirts of the depositors and made the scene e more picturesque. A run on any n bank is apt to catch the bank off its guard, and without the necessary funds, but this was not the case with the Cook institution. The amounts g S which were called for by the deposiS. tors were balances ranging from a few dollars to a few hundreds, and S George Wingfield stood in the bank S, for a part of the time, with a smile e on his lips, and half a million dole lars in cash behind him. 0 Some of the depositors, in the af7. ternoon, repented their hasty action e and tried to get back into the bank e to return their money, but this would e not be permitted. A number of houses.in the city offered their financial assistance, but it was courteously refused, as it was not needed. It is not believed that the run will continue tomorrow, but if it does, the bank will be prepared to meet it, and there will be additional money coming in from that time on. One of the incidents of the run was the insistence on several occaNsions of the tellers in hurrying the depositors to the rails, so as to facilitate the paying out of money more quickly. The news spread rapidly of that the depositors were not only be as ing paid in full, but that the paya ments were being rushed upon them ne When this news was received many all of the depositors left the line and on went their way. A great number o kthose who had drawn out their money proceeded to get drunk. d,

2. October 16, 1907 The Seattle Star Seattle, WA
Article from The Seattle Star, October 16, 1907

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Article Text

WOMAN STARTS RUN ON BANK (By United Press.) GOLDFIELD, Nev., Oct. 16.-As a result of rumors, believed to have been started by a woman whose check for $12 was returned to her marked "no funds," a run was started on the John 8. Cook bank on Monday. An excited crowd of small depositors formed a line and all were paid in full.

3. October 19, 1907 The Eureka Sentinel Eureka, Tonopah, NV
Article from The Eureka Sentinel, October 19, 1907

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# Run On Goldfield Bank Just because the cashier of the John S. Cook bank at Goldfield told a woman with a bad check that the bank had no funds to cash it, a run was started on the bank Monday morning. The woman went on the street and told her friends that the bank was shaky and the run started, but only lasted a few hours. Friends of the bank came to its assistance and when the run was over the deposits were $34,000 more than the withdrawals.

4. October 25, 1907 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, October 25, 1907

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(Special to the Herald.) Goldfield, Nev., Oct. 24.-A message from the executive office at Carson City reached Goldfield shortly before the opening hour this morning announcing that Governor Sparks had declared a bank holiday for a period of five days. In consequence the banks remained closed. The announcement met with the approval of business and professional men here. The Palm cafe, the swagger restaurant of the town, was forced to close its doors, its money being tied up in the State bank, which suspended yesterday. The District court has been asked to appoint a receiver for the State bank, and Judge Langan will take the matter up at noon tomorrow. Expects to Pay Out. The State bank at Carson City has wired the Goldfield branch that the bank expects to be able to pay depositors in full. The John S. Cook bank announces that $500,000 in gold has been shipped to that institution from its reserve held in the Crocker-Woolworth bank, which should arrive tonight. George Wingfield, vice president of the bank, says he will place his private fortune at the disposal of the bank if necessary. W. T. Virgin, cashier of the Nye & Ormsby County bank, says the bank will reopen at the expiration of the legal holiday and will have ample funds to meet all demands. Temporary Suspension. The Western Ore Purchasing company and the Nevada-Goldfield Reduction company, who have purchased the bulk of the Goldfield ores, have suspended business temporarily because of the financial conditions. The Consolidated company has laid off all men working in ore at the Mohawk because of the long time demanded by the smelters to make returns. The shipping leases will continue and store their ore. Railroad Day Postponed. Railroad day, which was to have been celebrated next Monday on the advent of the Clark road. has been indefinitely postponed, and the committee in charge has wired President J. Ross Clark of the road, asking him to concur. The stock exchange last night decided to, hold no more sessions until Monday, and later. when the duration of the bank holiday became known, extended the time to Wednesday, when the banks, barring unforeseen complications, will resume business. At the offices of the Consolidated Mines company it was stated that the ten cent dividend. amounting to $360,000, will be paid tomorrow. About $250,000 of the amount will remain in Goldfield. The Mohawk-Jumbo Leasing company will also distribute dividend checks for $60,000 on the same day.

5. October 26, 1907 Tonopah Daily Bonanza Tonopah, NV
Article from Tonopah Daily Bonanza, October 26, 1907

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SOON WILL OPEN BANKS Efforts Being Made jo Devise Which Some Method By Institutions Can Financial Resume Business. John W. Langley, who came in from Reno yesterday, stated that a capitalist of that city had told him t hat Mr. Rickey would lend his financial aid to the banks that were unde i his control. As the days go by, the feeling becomes stronger that the State Bank and Trust Company will resume in a few days, and pay its de positors dollar for dollar. An attempt was made yesterday in Goldfield to have a receiver appointed for the State Bank and Trust Company, but Judge Langan threw the motion out of court for the rea son that a proper showing had not been made. A telegram was also received by Judge Langan from Attorney General Stoddard asking him hen he could be at Carson to hear the application of the Bank Commis sioners in the matter of appointing a receiver for the State Bank. His honor also received a telegram from T. B. Rickey, asking him to defer ac tion in the matter, as he did not think that the appointment of a re ceiver would be necessary, the probability being that the bank would re sume. The law in the case of a receiver is that the State Bank Examiner shall examine the affairs of a bank and report to the Bank Commissioners, comprising the Governor, Secretary of State, and the State Treasurer, as to the solvency of the concern. If the bank is found to be insolvent, the Bank Commissioners make application to the courts for the appointment of a receiver. A number of the largest depositors of the State Bank and Trust Tonopah's New Fire Apparatus Arrives Company met yesterday for the purpose of extending all the aid posnew hose. and there are in all 3500 Tonopah's new fire wagon arrived the door of the Bonanza, and there sible to the bank. It was agreed that they would accept the bank's feet of hose in the town. here yesterday, and was out on dress was quite a crowd gathered to view paper for ninety days, and that they would put in more deposits. The parade in the afternoon, with Chief The city has now a fire department the apparatus. Then Chief Jack depositors then got out with a petition to this effect, and had secured McKenzie on the box. It is a very showed the crowd how the steeds and an apparatus of which it may last night a great many more names of depositors. fine ornament to the fire house as well be proud. There are six hose could go. He turned them into St. In this city there is not the htest doubt expressed as to the State well as being one of the most efleccarts, besides the wagons, strateticPatrick street and clanged the gong. Bank opening, and fulfilling all its obligations. There is not a depositor tive combination engines and hose ally placed about the town. and if a The grays were off like a shot. and who has evinced any feeling of unea siness. took the hill like an automobile wagons in existence. It is all steel, fire should ever get away from the There have been rumors to the effect that there would be a general fire laddies, it will not be the fault and is painted red. as all well regucharged with boom excitement. If re-opening on Monday, but the more conservative men are not so santhere had been a fire then there lated fire wagons should be. There of the chief and his gallant corps. guine as to that. Each bank here is one of a string of banks, and the Chief McKenzie drove his two chargwas in the body of the wagon, neatly wouldn't have been a thing done to gathering in of the reserves takes ore time than if there were but one it. coiled. one thousand feet of brand ers. with the wagon attached, up to bank to consider. The news from oldfield is to the effect that the John S. Cook bank will resume on Monday but for the matter of that the Wingfield and Nixon banks did not want to close in the first place. They ave in their Tonopah, Goldfield and Rhyolite houses more than enough n cash to pay all their depositors. The officers of the Nye and Ormsby County banks have not yet declared when they will be ready to re same. When they do resume, they SCHWAB, WHO'S WHO? (Continued on Page Four.) ELECTS DRISIDETTY PLAGUE

6. November 23, 1907 The Goldfield News Goldfield, NV
Article from The Goldfield News, November 23, 1907

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There is little or no change In the bank situation in Goldfield except that the John S. Cook bank, following the example of all outside banks, practically, has gone to a paper basis, and is giving out but little gold. The bank is well supplied with specie and currency but in view of the fact that all other banks are paying in certificates, and no actual money is being deposited. the supply would run short in time; so that this bank has adopted the same expedient as others. Some days ago the Cook bank notified the mine operators that it would not meet their pay rolls in cash, but would issue cashier's checks in denominations of $5, $10, and $20. This notice was given to the miners by the operators. The miners balked and the union took up the question. A committee of three was appointed to confer with the mine operators and bankers. This committee suggested to the operators that the miners would take the cashier's checks if they were endorsed by the mine owners, They also suggested that the shippers of ore demand payment from the smelters in the bullion extracted from the ore they shipped, this bullion to be sent to the mint and coin received therefor, the coin being paid to the miners for wages. The mine owners refused to consider this plan as impracticable and sent word to the miners that they would have to accept the proposition made by them. or quit work. The miners have evidently decided to accept the plan, as at the meetings held during the week, no adverse action was taken. The Nye and Ormsby County bank and the State Bank and Trust company are still at work upon depositors, urging them to sign the agreement. whereby they receive a certain per cent of their deposits at stated times covering a year. The banks are meeting with success but there are many depositors absent who will have to be signed up before the banks will open, as they intend to treat all depositors alike, The local banks have a great deal of money tied up in outside depositories which they cannot get hold of. The State Bank and Trust company says it has money in depositories at Los Angeles, San Francisco, Salt Lake City, Denver, Chicago and New York, which it cannot get, but with millions pouring into the New York banks and the banks of other financial centers, it hopes that these reserves will soon be released. President Rickey of the State Bank

7. December 5, 1907 The Silver State News Winnemucca, NV
Article from The Silver State News, December 5, 1907

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elief that Goldfield will be an Open Camp William McClure Gotwaldt, associate of the Goldfield Review, is in for a few days visiting with his other and attending to business matsays the Reno Gazette. In speakof the conditions in the southern camps this morning, he said: There is but one logical solation to labor complications that exist in oldfield at the present time, and that the open camp. Ceaseless agitation the part of men who are not and were and never will be miners what has forced the breach between aployer and employe in the camp. The themselves are a sturdy, honand capable set of men. If left to own devices they would insure tranquility of the camp, but someNo. 220, W. F. M, got its head to the I. W. W. noose and has found impossible to extricate itself without assistance of the Mine Owners' as ciation. Will Employ Union Men. By open camp I do not mean that estern Federation men will not be aployed As a matter of fact, they will first choice when the mines reopen, ecause of their experience in mining. The mine operators, however, will the right to employ whomever they no matter whether the employe a card in the W. F. M. or not. thing is positively certain, and that that no work will be given to anyone has shown undue interest in the archistic movement which was diprimarily and absolutely withreason or excuse against the Conlidated Mines company and the John Cook bank. These two corporations are the ckbone of the greatest gold camp on rth. The former in its company workand leases has a larger payroll all the other properties in the combined, while the John S. Cook by its self-sacrifice, in paying premiums on gold, kept business oving in the camp when the other ancial institutions were forced to their doors. It was noticeable the run upon the Cook bank was wholly by members of the Instrial Workers of the World and friends. With a single exception, a business man in the camp withhis funds, and the mine operators ant of the comp for money rather

8. December 17, 1907 The Daily Sentinel Grand Junction, CO
Article from The Daily Sentinel, December 17, 1907

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8 and amended the changeroom plans so that the miners would return to work. In doing this they made it esaler for ore to be purloined. f Despite this concession, the miners endeavored by every means in their S power to wreck the institution through which they drew their pay, the John S. Cook bank. Their run was because the business men i the camp deposited so much gold nd more than the I. W. W drew from the vaults. The next move was to destroy the of the bank by refusing to accept for wages the cashiers' checks lessed by the bank, when the same Druar passed current everywhere in Goldfield. It does today in Reno, even, for I have cashed $1 checks at loast $40 since coming to this town, and nowhere was this money refused because the integrity of the John S. Cock bank has been proved beyond the peredventure of a doubt. Vonapah in its experience acted enpocisingly when the red flag evil tar interest that camp. It imported was from Southern Europe who send 80 per cent of their wages abroad. Despite the fact that $105,000 was paid out by the mining companies this month in their wageroll less than $20,000 has found its way into the channels of trade. That is why Tonopah, with some of the best mines in the world, is suffering from hard times. Goldfield, must solve the problem, but in another way. It must employ AMERICANS to develop its mines, not Americans in name only, but in deed. Whe camp must be manned by the sturdy product of the Green Mountains, the Middle Western plains and the Sierra Nevada. The payroll, mustago to wedded men with ciriuren looking to them for sustenance and a means to education. But this cannot be under the rule of anareny. Anarchy must be drowned, and by the might of the strong right are of Uncle Sam, because the local officials are powerless to quell Where can these breeders of trouble go? No one will receive them. Out its the ardity, the storms, the darkness, the obloquy of the desert is their habitation. Colorado and Idaho have been despoiled by them and have cast them out. Nevada, the state that saved the nation, will cast torra the trouble-makers where Liey gill forever cease from troubare not a member of the Goldfield Mine Operators association, nor am I in its pay. I am an American citizen. For many years I have lived in Nevada where I have slept in the snows of the mountain ranges and fought the Demon thirst on a sandy plain where I have built a

9. March 4, 1933 Montana Oil and Mining Journal Great Falls, Billings, MT
Article from Montana Oil and Mining Journal, March 4, 1933

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thing Billy handled was gold and silver. During the two years he presided over this unique bank, he handled an average of $11,000 a day. His customers included many successful high-graders as well a clerks and miners. When Charle Van Loan was gathering material for a story some years ago, he asked Murray how much money passed through his hands. Murray shook his head. "I have no idea," he said. "When a customer deposited a dollar or a hundred dollars, the system was the same-just an entry in a ragged, much-worn old book. The depositor got no receipt. Highley told me one time that he handled around $7,005,000 in two years." Paid In Gold There came a time when banks went broke all over Nevada—one in Tonopah, two in Goldfield and one in Manhattan. The Northern did not close. It was open day and night, and all demands were met with gold. It was in 1907 that a run was started on the John S. Cook bank of Goldfield. A string of customers withdrew their funds and brought them across. to the Northern. Billy took the money, passing it along to a messenger who scooted out the back way, down the alley and into the back door of the Cook bank, where it was redeposited to the credit of the Northern.