14648. Tonopah Banking Corporation (Tonopah, NV)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
state
Start Date
October 25, 1907
Location
Tonopah, Nevada (38.067, -117.230)

Metadata

Model
gpt-5-mini
Short Digest
c4936e23

Response Measures

None

Description

During the 1907 panic Governor Sparks declared legal holidays and banks in Nevada were closed by proclamation. The Tonopah Banking Corporation observed the legal holiday/brief suspension (closed three days 'out of courtesy') but reopened on Oct 28 and resumed business. The bank also faced heavy withdrawals during the panic but met checks in gold and silver; these withdrawals were driven by the 1907 nationwide panic (macro news), not by a discrete misinformation event. Therefore classed as a suspension (government action) with successful reopening.

Events (3)
1. October 25, 1907 Run
Cause
Macro News
Cause Details
Heavy withdrawals driven by the nationwide panic of 1907 and loss of confidence following failures elsewhere; depositors were 'frenzied' but the bank met demands in gold and silver.
Measures
Met checks in gold and silver; refused clearing-house certificates; maintained payments to depositors.
Newspaper Excerpt
This bank... met every check with payments in gold and silver and refused the chance to issue clearing house certificates... One day this bank paid out $150,000 and never quailed before the demand from frenzied depositors
Source
newspapers
2. October 25, 1907 Suspension
Cause
Government Action
Cause Details
Governor Sparks proclaimed legal holidays for Nevada banks (closure to allow institutions to fortify reserves); Tonopah Banking Corporation closed for three days 'out of courtesy'.
Newspaper Excerpt
Every bank in Nevada is closed by proclamation of the governor.
Source
newspapers
3. October 28, 1907 Reopening
Newspaper Excerpt
The Tonopah Banking Corporation and the Nevada First National Bank opened their doors yesterday morning... (Oct. 29 article describing opening Oct. 28).
Source
newspapers

Newspaper Articles (6)
1. October 25, 1907 The Paducah Evening Sun Paducah, KY
Article from The Paducah Evening Sun, October 25, 1907

Click image to open full size in new tab

Article Text

'FRISCO KEEPS OPEN. Wants to Show East That Western Stocks Are Sound. San Francisco, Cal., Oct. 25. "A. B. Ruggles, President of the San Francisco Stock and Exchange Board: "Every bank in Nevada is closed by proclamation of the governor. We urgently trust that you will close your exchange and stop the merciless slaughter. "TONOPAH STOCK AND EXCHANGE BOARD. "TONOPAH BANKING CORPORATION. "STATE BANK AND TRUST CO. "NYE & ORMSBY BANK." "To Tonopah Stock and Exchange Board and Others, Tonopah: "The market is improving and no panicky feeling prevails. By keeping this board open no stronger argument should be given the east of the stability of the Nevada stocks, Our banks are solid and confident, "SAN FRANCISCO STOCK AND EXCHANGE BOARD, "A. B. RUGGLES, V.-P." These were the telegrams which passed between the Nevada stock ex changes and the exchange in this city as a result of the action of Gov. Sparks, of Nevada, this morning in declaring legal holiday until Monday in order to give the crippled financial and fiduciary institutions a chance to get on their feet and resume payments.

2. October 27, 1907 Tonopah Daily Bonanza Tonopah, NV
Article from Tonopah Daily Bonanza, October 27, 1907

Click image to open full size in new tab

Article Text

BANKS TO OPEN MONDAY "Whereas, We believe the opening of this bank may tend to ameliothe contrary. and it is evident that the banks will resume tomorrow rate the condition of the community: therefore, be it morning. "Resolved, That the Nevada First National Bank of Tonopah, on Mon. R. C. Moore of the Tonopah Banking Corporation said last night Notwithstanding the Procladay morning, October 28th, 1907, at the hour of 9 o'clock, regularly rethat he was to confer with Mr. Cook today. and that he was of the opinsame and continue its general banking business as in the past." ion from the instructions received that there would be a general resumpmation of Gov. Sparks Detion of the houses controlled by Wingfield and Nixon. With regard to the State Bank and Trust Company. there has been no Cashier Raycraft last night received official notice of the continuance change in the situation locally; but they are pretty busy in Goldfield, and of the holidays. He received notice also that all the banks in Reno would the principal depositors are doing all in their power to prevent the ap. claring Legal Holidays Until resume on Monday. pointment of a receiver, which has been asked for by Attorney Nagle. Two "That will tend to relieve the situation," said he, "and the banks in hundred names, it is said, have been affixed to a petition to Judge LanNovember 4th, Financial Insouthern Nevada will open as fast as they can gather in their reserves gan, which reads as follows: and get into shape to do business. When the banks do open, they must be "To the Hon. F. P. Langan, Judge of the First Judicial District of in shape to continue. I think that the Governor has acted wisely in prostitutions WillResume Busthe State of Nevada, in and for Esmeralda county: longing the holidays." "We, the undersigned depositors and creditors of the Goldfield Mr. Moore of the Tonopah Banking Corporation said that he had not branch of the State Bank and Trust Company, residing in Goldfield, Neiness Tomorrow Morning. been officially informed of the holidays. He thought that the entire situvada, do hereby petition your honor that you refuse the application of ation was looking better than at any time since the trouble began. This the petitioners in the suit which is now before your honor asking that a rewas the case, not only in the East, but in Nevada as well. ceiver be appointed for the State Bank and Trust Company. The Wingfield and Nixon banks will open up for business tomorrow The directors of the Nevada First National Bank held a meeting last "We have full faith and confidence in the bank and its managemorning, notwithstanding that Governor Sparks has declared all next night and passed the following resolutions: ment, and believe that the best results can be obtained by leaving the week a legal holiday. This action was resolved upon at 5:30 o'clock last "Whereas, The Nevada First National Bank of Tonopah, on Thursbank in the same situation as at present and give the managers of the night, when George Wingfield made the announcement. Later in the day, the 24th day of October, 1907, at the hour of 11 o'clock A. M., closed bank the opportunity to regulate their affairs so that they can open the evening John S. Cook was called up by telephone and was asked if this its doors at the request of other banks in the community and out of rebank at the earliest possible moment. report was true. spect for the proclamation of the Governor of this State, proclaiming "We further believe that the appointment of a receiver would only "That is the intention at the present time," said Mr. Cook, "and I Thursday, Friday and Saturday legal holidays; and complicate matters and would be the cause of a large bill of expense cannot see any reason for changing the program." "Whereas, The Directors of this bank have a high regard and rewhich would eventually fall upon the creditors and depositors in the spect for the judgment and discretion of the Governor of Nevada, who Mr. Cook stated that he had, not received official information of the bank. has proclaimed a further six-day period of legal holidays; nevertheless, Governor's proclamation, and that he did not think it would interfere "Hoping that your honor will refuse the application for the appointwith the plan outlined for opening up the Wingfield and Nixon banks. If we believe that a proper consideration for our depositors and a just and ment of a receiver, we remain, proper treatment of them and our clients demands the opening of our there should be any change in the program, he promised to notify the "Respectfully," doors for regular banking business forthwith; and Bonanza. Up to the hour of going to press, nothing had been heard to

3. October 29, 1907 Tonopah Daily Bonanza Tonopah, NV
Article from Tonopah Daily Bonanza, October 29, 1907

Click image to open full size in new tab

Article Text

RECORDOF DEPOSITS AND WITHDRAWALS The Tonopah Banking Corporation and the Nevada First National Bank opened their doors yesterday morning, and, as was expected, there was no run on either institution. The receipts of the former were six times greater than the withdrawals of actual cash, and of the latter more than fifteen times greater. Following is the record of the deposits and the cash withdrawn: TONOPAH BANKING CORPORATION. $102,966.71 Deposits Withdrawals 17,728.49 NEVADA FIRST NATIONAL BANK. Deposits $49,985.64 Withdrawals 2,971.34

4. November 3, 1907 Tonopah Daily Bonanza Tonopah, NV
Article from Tonopah Daily Bonanza, November 3, 1907

Click image to open full size in new tab

Article Text

Tonopah's Business Outlook Is Very Good Tonopah is known by name and found fresh fruits and vegetables from the markets of California. reputation all over the world, wherTonopah has two banks at least, ever the English language is spoken. which do not have to take a back The name is synonymous with wealth seat from any of those in the State, and stability. It is the bulwark of or any other State, for the amount of business that is done. These are this great southern country, and from the Tonopah Banking Corporation the view point of construction and and the Nevada First National Bank. business worth, is most satisfying to The former is one of Wingfield and the visitor who comes here for the Nixon's banks, with the John S. Cook first time. This was the judgment bank in Goldfield as its corresponof the Los Angeles merchants, busident. During the holidays following ness men and bankers, who were thesuspension of the State Bank and here some months ago, after passing Trust Company, the Tonopah Bankthrough the southern camps, and ing Corporation closed for the first seeing, as they supposed, all that three days, out of courtesy to the there was to be seen. It is the judgGovernor, but there never was a ment of all observers who come to time, during banking hours, when this country. They are attracted by the doors were locked. The bank the big buildings, the solid strucwas doing business all the time for tures, the improvements, and the the accommodation of its clients. business that is being done, whether This bank, like the John S. Cook times are dull or not. of Goldfiéld, was opposed to closing Tonopah long since outgrew the at all, and there never was a time provincialism of the mining camp, when a run could have caught either and can boast of many of the imone of them. Each had enough to provements of the metropolitan cities. go on for two days, anyhow, and beIt is supplied with a sewer system, fore the end of the second day, there was half a million dollars sent in a gas plant for heating and lighthere and to Goldfield for the two ing, and an electric plant for the banks. On the day of the opening, same purposes; a water plant from the local bank took in over a hundred which water is piped through the thousand dollars, and the deposits of city, and most of the conveniences and comforts of the modern burg. the John S. Cook were $250,000. The Nevada First National Bank The support of the public utilities was not troubled by the local condishow better than anything else the tions, but for banking manners, closprogress and prosperity of a town. ed for the first three holidays, with The Nevada Light and Power Comone door opened. It did this on the pany has put in more lights through the residence and business sections advice of the Comptroller of the Currency, but of its own initiative reof the city during the past month than ever before. The current is fused to recognize the second batch of holidays, and opened on last Monused for all practical purposes, lightday, with the result that there were ing, heating, cooking and the like. received $50,000, and there were The Tonopah United Water Comwithdrawn less than $3000. pany has been branching out in all and has ita nines in all

5. November 9, 1907 Tonopah Bonanza Tonopah, Butler, NV
Article from Tonopah Bonanza, November 9, 1907

Click image to open full size in new tab

Article Text

Tonopah's Business Outlook Is Very Good Tonopah is known by name and found fresh fruits and vegetables from the markets of California. reputation all over the world, wherTonopah has two banks at least, ever the English language is spoken. which do not have to take a back The name is synonymous with wealth seat from any of those in the State, and stability. It is the bulwark of or any other State, for the amount of business that is done. These are this great southern country, and from the Tonopah Banking Corporation the view point of construction and and the Nevada First National Bank. business worth, is most satisfying to The former is one of Wingfield and Nixon's banks, with the John S. Cook the visitor who comes here for the bank in Goldfield as its corresponfirst time. This was the judgment dent. During the holidays following of the Los Angeles merchants, busithesuspension of the State Bank and ness men and bankers, who were Trust Company, the Tonopah Bankhere some months ago, after passing ing Corporation closed for the first through the southern camps, and three days, out of courtesy to the seeing, as they supposed, all that Governor, but there never was a there was to be seen. It is the judgtime, during banking hours, when ment of all observers who come to the doors were locked. The bank this country. They are attracted by was doing business all the time for the big buildings, the solid structhe accommodation of its clients. tures, the improvements, and the This bank, like the John S. Cook business that is being done, whether of Goldfield, was opposed to closing times are dull or not. at all, and there never was a time Tonopah long since outgrew the when a run could have caught either provincialism of the mining camp, one of them. Each had enough to and can boast of many of the imgo on for two days, anyhow, and beprovements of the metropolitan cities. fore the end of the second day, there It is supplied with a sewer system, was half a million dollars sent in a gas plant for heating and lighthere and to Goldfield for the two ng, and an electric plant for the banks. On the day of the opening, ame purposes; a water plant from the local bank took in over a hundred which water is piped through the thousand dollars, and the deposits of ity, and most of the conveniences the John S. Cook were $250,000. and comforts of the modern burg. The Nevada First National Bank The support of the public utilities was not troubled by the local condishow better than anything else the tions, but for banking manners, closprogress and prosperity of a town. ed for the first three holidays, with The Nevada Light and Power Comone door opened. It did this on the pany has put in more lights through advice of the Comptroller of the Curhe residence and business sections rency, but of its own initiative reof the city during the past month fused to recognize the second batch han ever before. The current is of holidays, and opened on last Monised for all practical purposes, lightday, with the result that there were ng, heating, cooking and the like. received $50,000, and there were The Tonopah United Water Comwithdrawn less than $3000. any has been branching out in all

6. December 20, 1913 Tonopah Daily Bonanza Tonopah, NV
Article from Tonopah Daily Bonanza, December 20, 1913

Click image to open full size in new tab

Article Text

BANK HAD GOLD WHEN OTHERS OFFERED PAPER The Tonopah Banking Corporation was founded by Senator George S. Nixon, who retained control until the time of his death, when the control, or 61 per cent, was bought by H. C. Brougher of Oakland, who retained the oroginal staff which helped gain the confidence of the people and to place the bank on a dividend paying basis. Eugene Howell, state bank examiner, is manager and cashier, and under his conservative direction the bank never failed to meet an obligation. During the panie of 1907 this bank refused to accept the benefit of the governor's proclamation ordaining holidays for the purpose of giving every bank in the state an opportunity to fortify its reserves. The Tonopah Banking Corporation met every check with payments in gold and silver and refused the chance to issue clearing house certificates, as was done by every other bank in the state. One day this bank paid out $150,000 and never quailed before the demand from frenzied depositors who thought no money was safe in a bank. After this test had lasted several days the money began returning, and since that time the Banking Corporation has more than convinced the public that it is founded on solid principles and that it is capable of withstanding any demands at any time and under all circumstances. This year the bank distributed three dividends of 6 per cent each, and increased the reserve, which now amounts to 35 per cent of the capital. The bank is officered by the leading capitalists of Nevada and, if the regular policy is pursued, another dividend, with possibly an extra, will be forthcoming in January.