Mechanics & Farmers Bank

Bank Information

Episode Type: Suspension → Closure
Bank Type: state
Start Date: June 12, 1876
Location: Albany, New York (42.653, -73.756)

Metadata

Model: gpt-5-mini
Short Digest: eb1d4dc0

Response Measures

None

Description

Article (New-York Tribune, June 13, 1876) reports the Mechanics' and Traders' Bank (referred to as a savings bank) in Albany is weak and that a receiver will be appointed. No run is mentioned; the bank is being placed in receivership (closure). Corrected OCR: article name uses 'Mechanics' and Traders' Bank in text but prompt gives Mechanics & Farmers Bank — context indicates this is the Albany savings bank placed in receivership. Cause classified as government action because a receiver is being appointed by the superintendent/Attorney-General.

Events (1)

1. June 12, 1876 Suspension

Cause: Government Action
Cause Details: Bank judged weak/insolvent; superintendent and Attorney-General to appoint a receiver (government-directed receivership).
Newspaper Excerpt: From a statement made by the trustees ... there is no reason why 50 per cent of the deposits should not be paid within 30 days... The receiver to be appointed here to-morrow will probably be Willis Paine of New-York ... and will be suggested by the Attorney-General to the court.
Source: newspapers

Newspaper Articles (1)

1. June 13, 1876 New-York Tribune New York, NY

Article from New-York Tribune, June 13, 1876

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Article Text

THE WEAKENED SAVINGS BANK. CHARACTER OF THE ASSETS-PAYMENT OF THE CRED ITORS-THE RECEIVER. [BY TELEGRAPH TO THE TRIBUNE I ALBANY, June 12.-From a statement made by the trustees of the Mechanics' and Traders' Bank in May last to Superintendent Ellis, it appears that they then had assets amounting at the market value to $1,491,574, which could be converted almost immediately into money. Of this amount $624,220 is in bonds of the Cities of Oswego, Brooklyn, Rochester, Buffalo, Yunkers, and Morrisania, which are readily taken on the streeta their market value at any time; $413,450 is in bonds and mortgages, most of which ought to be available with little negotiation and without loss; $86,167 is in South. ern securities, which would have to be put upon the market slowly, but which ought to bring that sum at the market rate; while the cash on hand and in banks at that time was stated at $267,737 54. Since the date of that statement, however, a portion of this cash has gone to depositors and to pay debts, and the amount now immediately available is considerably less. There is no reason, however, why 50 per cent of the deposits should not be paid within 30 days, and 40 per cent later, if the resources of the bank are judiciously managed. Mr. Ellis does not apprehend any evil effects from the failure upon other savings banks, as there are none in the neighborhood not in good condition. The re. ceiver to be appointed here to-morrow will probably be Willis Paine of New-York, - lawyer who was recommended by Mr. Ellis, and will be suggested by the Attor they-General to the court.