14832. Brooklyn Savings Bank (Brooklyn, NY)

Bank Information

Episode Type
Run Only
Bank Type
savings bank
Start Date
May 16, 1884
Location
Brooklyn, New York (40.660, -73.951)

Metadata

Model
gpt-5-mini
Short Digest
d96c7765

Response Measures

Accommodated withdrawals

Description

Multiple contemporaneous newspaper accounts (mid-May 1884) report depositors withdrawing large sums (roughly $125,000–$150,000) from the Brooklyn Savings Bank during the panic triggered by failures/suspensions in New York (Fisk & Hatch, Grant & Ward, etc.). The run was met by the bank and soon ended; there is no report that the Brooklyn Savings Bank suspended or closed. Cause attributed to the broader financial panic (panic/news of suspensions) rather than a discrete misinformation event about this bank.

Events (1)
1. May 16, 1884 Run
Cause
Macro News
Cause Details
Run occurred during the May 1884 financial panic after suspensions/failures (Fisk & Hatch, Grant & Ward, Metropolitan movements); depositors withdrew funds amid general weakening of confidence.
Measures
Bank met withdrawal demands in cash; officers paid out deposits and publicly reassured depositors. Later reporting notes conveyance of Seney property to Metropolitan Bank (supporting liquidity/confidence).
Newspaper Excerpt
At the Brooklyn Savings Bank from $125,000 to $150,000 was drawn out... The run on the Brooklyn savings bank has ended.
Source
newspapers

Newspaper Articles (11)
1. May 16, 1884 The Portland Daily Press Portland, ME
Article from The Portland Daily Press, May 16, 1884

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would be all right, and they would lose nothing. He promised to have a statement for publication ready this afternoon. The panic seems to have extended to the depositors of the other banks in Brooklyn as well, and large quantities of money were drawn from the savings banks. They were prepared for a run, however, and many of them were by no means disturbed by the withdrawal of some of the surplus deposits. They save thousands of dollars in interest which would be due to depositors on June 1st. Among the other banks the Brooklyn Savings Bank, Dime Savings Bank and South Brooklyn Saving Institution paid out large amounts of money to depositors. There was a run this morning on the Irish Emigrant Savings Bank in Chambers street, and about 200 of the depositors withdrew their account. Most of the depositors belong to the laboring classes. President Hagarth said the bank would gain about $10,000 by the withdrawals. At 2 o'clock this afternoon Wm. H. Sweeney, banker of 104 Nassau street, made an assignment without preferences, The amount involved is probably not large. THE LATEST. Late this evening Messrs. Fisk & Hatch handed the following notice to the Associated Press reprecontative: To our depositors and other creditors: It is with great sorrow that we are obliged to announce to you our suspension which has been brought about by a combination of circumstances. The long continued decline in the market prices of securities, even the very best, accompanied by a general weakening of confidence in financial matters, together with heavy drainage of deposits, are the principal causes of our unfortunate position. We can only request those having claims against us to extend to us such consideration and indulgence as we may need [and it may be in their power to grant. Very truly, FISK & HATCH. The statement that the Bank of Commerce was in debt to the Clearing House to the amount of $1,500,000 is an error as the bank was a creditor to the Clearing House of over $2,800,000, all of which was paid in cash with the exception of $100,000 in new loan certificates. At the office of Fisk & Hatch to-night as late as 11 o'clock great activity prevailed and appearances indicated that none in the office would leave to-night. It was said by their representative that nothing satisfactory could be added to their published circular until to-morrow. A Questionable Opinion. A prominent broker said tonight in regard to Fisk & Hatch that the position of the firm is very peculiar owing to the fact that they have only government bonds and cannot borrow money upon them except at most exorbitant rates of interest. For some time past they have been trying to bull governments but failed. Wednesday they borrowed $500,000 on governments and paid 2 per cent. interest a day. This loan even was only allowed to stand one day, and today when other loans were being called in they saw it was useless to continue the struggle and suspended. They will have plenty of company soon; in fact we may have another "black Friday." The Grant & Ward Failure. NEW YORK, May 15.-The Supreme Court to-day granted an order giving the Chicago & Atlantic Railroad Co. leave to prosecute an action against Receiver Julian T. Davies jointly with other parties for the purpose of obtaining relief to which it is entitled relating to notes or other securities heretofore belonging to the Railroad Company, and held, negotiated or otherwise disposed of by the firm of Grant & Ward. The complaint make Grant & Ward, E. St. John Hay & Co., J. W. Seligman & Co., Drexel, Morgan & Co., P. W. Gollaudet & Co., Reid & Smith, the Equitable Life Assurance Society of the United States, the Oriental Bank, Columbia Bank, the New York, Lake Erie & Western Railroad Company. and other corporations and banks defendants. The company alleges that they deposited with Grant & Ward several million dollars' worth of mortgage bonds as collateral for loans to them by Grant & Ward, aggregating $1,500,000. Grant & Ward, they allege, have mixed up these bonds, and putting them in parcels have disposed of them for their own account. The company seeks to recover these bonds and to prevent Grant & Ward's receiver from disposing of such of the bonds as remain unsold for the benefit of the assets of Grant & Ward.

2. May 16, 1884 Morning Journal and Courier New Haven, CT
Article from Morning Journal and Courier, May 16, 1884

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purpose of obtaining such relief as it is entitled to relating to notes and other securities belonging to the company held or disposed of by Grant & Ward. AN OFFICER OF THE METROPOLITAN BANK told a reporter this afternoon that $185,000 was paid out during the day. The deposits amounted to $664,000 and checks for $454,000 were certified. It is estimated that by settling his privileges on the basis of to-day's prices Russell Sage would lose from $800,000 to $1,000,000. FAILURE OF A SMALL BROKER W. H. Sweeney, a small banker at 104 Nassau street, assigned to-day to A. C. Aubrey. The failure is insignificant. A RUN ON THE BROOKLYN BANKS. There was a run on the South Brooklyn Savings bank to-day. The depositors are mostly poor and ignorant people who were misled, as the bank is on Atlantic avenue, into supposing it was the Atlantic bank which suspended yesterday. The demands were promptly met. Father Franceli, of St. Peter's Catholic church, to which most of the depositors belong, went to the bank and addressed the crowd, begging them to go home and not lose six months' interest by drawing out their money. He said he would personally vouch for the soundness of the bank. His remarks, however, were not heed~ ed by the excited crowd Up to the elosing of business $125,000 had been paid out. The cashier says there is a surplus of $700,000 and all applicants will be paid in full. The Brooklyn Savings bank was also run upon and paid out $150,000. The officers count their gain of $6,000 in interest. Nearly all the other savings banks in Brooklyn sustained slight runs. Another Bank Shuts Its Doors. St. LOUIS, May 15.-The Bank of Kansas City closed its doors this morning. It had a capital of $600,000 and was the last to close in the great panic of 1873. President Chick states that the suspension is due to the failure of Donnell, Lawson & Sintpson, their New York correspondents. The bank had a surplus of $106,688.After a meeting of the directors it was announced that the bank would pay twenty per cent. cash and the rest in certified checks. The amount of deposits is figured at $2,000,000. A Bank in Illinois Goes Down. QUINCY, Ill., May 15r-The Union bank of this city failed to open its doors this morning. When the Marine bank of New York failed the Union transferred its accounts to the Metropolitan, and the closing of that bank yesterday is given as the cause of the suspension Comments of the London Press. LONDON, May 15.-The Daily Telegraph this morning regards the financial situation in New York with cheerfulness and says everything will be straightened out in the course of a few weeks. It praises Secretary Folger's action. The Times and the News think it deubtful that the crisis is yet reached in the New York panic. They do not think, however, that the panic will be as disastrous as that of 1873. Ward Tells About His Business Methods. NEW YORK, May 15-The examination of Ferdinand L. Ward was continued before Referee Cole to-day. Mr. Ward admitted that he never had any government contracts, yet had given out that impression to the people he was dealing with. The examination also developed the fact that two ledgers were kept by the firm of Grant & Ward, the entries in the one being at considerable variance with those in the other. The testimony of the bookkeeper of Grant & Ward showed that two weeks before the failure Mr. Spicer deposited with the firm $26,000 in Colorado bonds and that on the day of the failure Mr. Ward declared that the bonds were only deposited for safe keeping and not as security for Spicer's account, and they were withdrawn from the assets of the firm. The examination will be resumed to morrow

3. May 16, 1884 New-York Tribune New York, NY
Article from New-York Tribune, May 16, 1884

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A LITTLE EXCITEMENT IN® BROOKLYN. Some excitement prevailed in the Brooklyn banks where timid depositors drew out their savings, losing interest for three or six months. There was no reason for fear, it was declared. in regard to any of the Brooklyn savings banks, but small crowds of depositors gathered at each. Probably the bank which suffered the most was the South Brooklyn Savings Institution, sometimes called the Atlantic Bank, at Clinton-st. and Atlantic -ave. The similarity of the name to that of the Atlantic State Bank led many persons to confound the two, and a large amount was withdrawn by the depositors. When the bank closed for the day many persons were unpaid. At the Brooklyn Savings Bank from $125,000 to $150,000 was drawn out, a sum largely in excess of what is usually drawn. There were also many deposits made. At the Dime Savings Bank, President Hunter said that about $80,000 was drawn out and $20,000 put in. The amount drawn out was about three times as much as usual. None of the large depositors in any of the dozen Brooklyn saving banks drew out their money. Mayor Low said that the city was never in better shape to meet an emergency. The situation was perfectly easy.

4. May 17, 1884 New-York Tribune New York, NY
Article from New-York Tribune, May 17, 1884

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LITTLE EXCITEMENT IN BROOKLYN. The Atlantic State Bank, near Fulton Ferry, Brooklyn, opened its doors yesterday morning, but payments were not resumed. President Puffer said that the examiners, who had finished their work, had gone with Cashier Denton to New-York to arrange matters with the Metropolitan Bank. While a large sum of money was on hand, enough was needed to meet all possible demands that might be made upon the bank before reopening. It was not proposed to resume business and then, if a "run" set in, to close the doors again. The bank would not attempt to resume to-day, but would wait until Monday. Mr. Puffer added that he had entire confidence in the bank's resumption, and that none of the large depositors seemed to be at all worried about the matter. There was no excitement at any of the Brooklyn savings banks, and only a small amount of money, compared with what was drawn out on Thursday, was taken away by depositors, At the Brooklyn Savings Bank many of those who took their money were Italian laborers. The bank will save a large sum in interest on the deposits withdrawn.

5. May 18, 1884 Wheeling Sunday Register Wheeling, WV
Article from Wheeling Sunday Register, May 18, 1884

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BRIEF TELEGRAMS. Domestic. Frost in Lancaster county, Pa., has damaged the tobacco crop. The rush of foreigners to buy American securities still continues. Commissioner Fink says that freight rates will probably continue low. A railroad accident near Chittenango, N Y., caused the death of one man. J. Stillman, a New York merchant assigned yesterday. Preferences, $18,000. Benner & Pinkney, shipping merchants, New York, assigned. Preferences, $20,000. A run on the Howard Dime Savings bank was promptly met by the officers of the institution. Frank McGuiniss, weigh master of the Missouri Pacific at St Louis, under arrest for swindling his road. The liabilities of Donel, Lawson & Simpson are placed at $3,000,000 by the assignee. Assets, $1,000,000. M. E. Sprague, of Chicago, jumped from a moving train with his twelve year old girl in his arms The father was killed. The Methodist general conference has deeided that it is inexpedient to take action on the subject of licensing women to preach. The national.convention of the Ancient Order of Hibernians in session at Cleveland, has adjourned to meet in two years at St. Paul, Minn. Ex-President Senev. vesterday conveyed to the Metropolitan bank property worth $215,000. The run on the Brooklyn Saving's Bank has ceased. Foreign. The Paris police are raiding the gambling hells Special detectives are guarding the Prince of Wales The dvers at Bradford, near Manchester, are on a strike. Lord St. Leonard, the English rapist wants to be tried by his peers. Large war steamers will be allowed to enter the St, Petersburg military harbor a certain distance. The French Ministry wants 75,000,000 franes for the Tonquin and Madagascar indemnity fund. The application for a new trial in the cases of the Mayor conspirators has not been acted upon. The Malagassy Government offers France 000,000 indemnity if France will re 11 ove all claims to Madagascar

6. May 18, 1884 The Democratic Leader Cheyenne, WY
Article from The Democratic Leader, May 18, 1884

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The Run Over. NEW YORK, May 17.-The run on the Brooklyn Savings bank is at an end. Seney conveyed the Brooklyn mansion to the Metropolitan bank to-day for $175,000, and other property for $8,000.

7. May 18, 1884 Daily Los Angeles Herald Los Angeles, CA
Article from Daily Los Angeles Herald, May 18, 1884

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EASTERN. Run Ended Transferred His Property NEW YORK, May 17.-The run on the Brooklyn Savings Bank is ended. Seney conveyed his Brooklyn mansion to the Metropolitan Bank to-day for $175,000, and other property for $80,000. McCulloch, Beecher & Co. Naspend NEW YORK, May 17.-McCulloeb, Beecher & Co. made an assignment to day. They are shipping merchants. Beecher is a nephew of Henry Ward Beecher. The firm was at one time agent for United States and Brazil Mail Steamship line. Assets $300,000, and liabilities between $250,000 and $300,000. The suspension was caused by the curreney of Brazil having been heavily depreciated and the decline in coffee for the last three months. Assets Exceed Liabilities. NEW YORK, May 17. -Assignee Weems states that the liabilities of Donnell, Lawson & Simpson, $3,000,000. The assets exceed the liabilities 81, 000,000. Legal Tenders Sent to New York. WASHINGTON, May .-The Treasury of the United States forwarded eight millions in legal tenders to the Assistant Treasurer of New York to-day for use in case of necessity. Market Strong-Meney Advanced. NEW YORM, May 18.-The general market is strong. Money, which opened at six per annum, is now ten per cent. per annum. Authorized to Nettle Certain Claims. NEW YORK, May 17.-On petition of Julian T. Davies, receiver for Grant & Ward, the Supreine Court to-day granted an order authorizing the receiver to compromise certain claims of the firm of L. Von Hoffman & Co. and Grown Brothers, each for the sum of £12,596. The receiver believes other loaus of similar character have been ob. tained by the firm of Grant & Ward, and therefore he asks permission to compromise all such claims by the surrender of bonds at their par value. The court granted authority to compromise such claims. The Newark Savings Institu. tion. NEWARK, N. J., May 17.-The Receiver of the Newark Savings Institution has submitted a statement to the Chancellor, showing the amount due depositors to be $6,156,564. The total assets, according to the Receiver's estimate (exclusive of $845,000 due from Fisk & Hatch) are $4,995,336; deficiency $1,151,197. The bank has securities and cash on hand to warrant the payment of 30 per cent to depositors immediately. In the case of Fisk & Hatch, if they are able to resume, the bank would lose nothing and the Receiver says he will make the most liberal arrangements possible to enable the firm to continue business. Killed While Plowinz. BARDSTOWN, N. J., May 17.-Her bert Armstrong and David Brown were found dead to-day in a field they had been plowing, one shot through the heart and the other through the head. The killing was done with a Spencer rifle. The supposition is that the murderer concealed himself in the bnshes and coolly shot the mendown. Circumstantial evidence is strong against Wm. Freze, who had business trouble with the murdered men. The three were all well-to-do farmers. Excitement is high and it is feared Freze will be mobbed. A Fatal Quarrel. GLEN MARY, Tenn., May 17.-Two men, Trendall and Kirby, quarrelled over a trivial matter night and Trendall cut Kirby's throat. Kirby then shot Trendall. Both died in half an hour. Repeal of Taxes on Tobacco. HARTFORD, Conn., May 17.-The movement to secure the repeal of all internal revenue taxes on tobacco, started by the officers of the New England Tobacco Growers Association, took definite shape to-day, and an appeal to the to bacco industry of the whole country was adopted.

8. May 18, 1884 Fort Worth Daily Gazette Fort Worth, TX
Article from Fort Worth Daily Gazette, May 18, 1884

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BROOKLYN. A RUN ON THE SAVINGS BANK. NEW YORK, May 17.-The run on the Brooklyn savings bank continues.

9. May 18, 1884 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, May 18, 1884

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NEW YORK FINANCES. All Quiet at Headquarters. London, 17.-There is a rush to buy American stocks. Bankers are cabling to New York, offering to ship gold on security of governments. The News says the American treasury, which is the ultimate upholder of the Ameriean reserve, is well supplied with cash. This ought to check the panic. All accounts show that millions of English money are being thrown into American stocks. During three days inconceivably large purchases were made through brokers. Capitalists bought great blocks of Ame. rican stocks, and ionumerable small investors made limited purchases. Other securities are somewhat der pressed, because SO many people are anxious to realize in order to exchange for American stocks. New York, 17-The morning passed quietly. Confidence seems to be restored; there is no trace of excitement. Affairs are progressing in & fair way towards speedy recov ery of values in stocks. The advance of the morning was well maintained, the movement being merely checked at intervals by the usual sales of small holders to secure a profit. The bank sta'ement makes a favorable showing, the excess above the legal requirements being over $3,000,000. The opinion of leading financiers is that a gradual improvement is certain; there is no danger of another backward step. The run on Howard Savings bank and the Dime Savings backs here continued. The managers are ready to pay dollar for dollar. The run on the Brooklyn savings bank has ended. Seney conveyed his Brooklyn mansion to the Metropolitan Bank tonday for $175,000, and other property for $8,000. J. Steelman, merchant. has assigned, preferences $18,000. Benner & Pinckney, hip m+rchan's, have assigned; pre'erences $20.000. Assignee Weems states that the liabilities of Donnell, Lawson & Simpson are $3,000,000. The assets exceed the liabilities $1,000,000. Philadelphia, 17.-Hotchkiss & Burnham say they have liquidated over $1,000,000 indebtadness. The firm resume soon. Other firms will make statements as soon as ready. Washington, 17.-The treasurylof the United States has forwarded $8,000,000 legal tenders to theassistant treasurer, New York, for use in case of necessity. Secretary Folger this afternoon received a telegram from the assistant treasurer at New York, saying called bonds had been redeemed today to the amount of $323,600.

10. May 19, 1884 The Daily Enterprise Livingston, MT
Article from The Daily Enterprise, May 19, 1884

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THE LATEST NEWS. At Water Valley, Miss.,a Mormon elder was washed down with a bucket of tar. Henry Mays & Co.. of Boston, dealers in canned fish, have failed; liabilities $115,000; available assets $55,000. The treasurer of the United States forwarded $8,000,000 legal tenders to the assistant treasurer at New York for use in case of necessity. A movement to secure the repeal of all internal revenue tax on tobacco has been started by the officers of the New England Tobacco Growers' association. The investigation into the cause of the collision near Duluth between the steamer May Martin and a sail boat in which several lives were lost, charges the blame on Capt. Bisloff of the steamer. The general conference of the Methodist Episcopal church is in session in Philadelphia. The committee on missions reported recommending that Dakota and Montana missions be made into an annual conference. All privates ol the Second Cavalry, now in Montana but soon to be sent to the Pacific, whose terms of enlistment expires before September next and who wish to remain in this department will be permited to do so, being exchanged into the First Cavalry. J. Steelman, merchant, and Benner & Pinckney and McCullough, Beecher & Co., shipping merchants. assigned in New York on Saturday. The Howard Savings bank and the Dime Savings bank in New York, and the Brooklyn Savings bank were experiencing heavy runs. The Northern Pacific has for some time past been engaged in furnishing their freight cars and freight locomotives with air brakes. There are now on hand about 1,000 cars provided with these brakes, a feature that cannot fail to prove valuable to the company and patrons. The St. Paul and Duluth ticket office at Duluth was burglarized Saturday night. The safe was blown open and between $500 and $600 taken and also some papers. It is not thought that any tickets were taken, but that can't be known until the auditor of the road makes an investigation. No clue to the burglars.

11. May 21, 1884 Morris Tribune Morris, MN
Article from Morris Tribune, May 21, 1884

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frequently heard of as a lecturer on religious subjects at the Macaulay Cremorne mission. Fisk has just returned from a tour in Europe. The immediate result of the failure on the stock exchange was a decline of 1 to 5 points. The weakness of the government bond market was explained the a reago an porter by suspension who called of there this two firm, hours although for explanation of the decline was informed there was no rational eause for it. The suspension was not announced untll a few minutes before 3 o'clock, the closing hour of the exchange, but the effect was instantaneous and depressing. On the announcement of the failure a rush of operators was made for the office of the collapsed firm, and anxious inquiries were made by brokers as to how the firm stood. Fisk was seen by a reporter, but refused to say anything. The doors were closed, and the crowd outside increased. The suspension was SO unexpected that the street is again excited. Brokers are rushing around wildly, d the situation again assumes a troubled aspect. The stocks were firm from the afternoon until just before the close of business, when the suspension of Fisk & Hatch was announced. Prices broke ftom 1 to 5, and the market closed weak and panicky, although some shares showed evidences of strong support. The situation is looked upon as extremely critical, and many prophecies are made that to-morrow may see a repetition of the scenes of yesterday. There was a run on the South Brooklyn Savings bank. The depositors are mostly poor and ignorant people, who were misled -as the bank is on Atlantic avenue-into supposing that it was the Atlantic bank which suspended Wednesday. The demands were promptly met. Father Francioti, of St. Peter,s Catholic church, to which most of the depositors belong, went to the bank and addressed the crowd, begging them to go home and not lose six months' interest by drawing out their money. He said he would personally vouch for the soundness of the bank. His remarks, however, were not heeded by the excited crowd. Up to the closing of business $125,000 had been paid out. The cashier says there is a surplus of $700,000, and all appli cants will be paid in full. The Brooklyn Savings bank was also run upon, and paid out about $150,000. The officers count this a gain of $6,000 in interest. Nearly all the other savings banks in Brooklyn sustained slight runs. An officer of the Metropolitan bank told a reporter that $185,000 was paid out during the day. The deposits amounted to $664,000 and checks for $454,000 were certified.