East New York Savings Bank

Bank Information

Episode Type: Run Only
Bank Type: savings bank
Start Date: January 7, 1932
Location: Brooklyn, New York (40.660, -73.951)

Metadata

Model: gpt-5-mini
Short Digest: bb2513b0

Response Measures

Accommodated withdrawals, Public signal of financial health

Description

Multiple articles (Jan 7–20, 1932) report a short-lived run at the East New York Savings Bank caused by unfounded rumors. The bank doubled teller staff, other Brooklyn savings banks publicly pledged support, ran newspaper ads, and paid depositors promptly. There is no mention of a suspension, receivership, or permanent closure — business was nearly normal by Jan 9. OCR errors in the articles were corrected (e.g., Eastern pkwy -> Eastern Parkway).

Events (1)

1. January 7, 1932 Run

Cause: Rumor Or Misinformation
Cause Details: Unfounded rumors circulated about the bank's safety, prompting depositors to withdraw funds from the Eastern Parkway branch.
Measures: Doubled teller staff at Eastern Parkway branch; other Brooklyn savings banks pledged financial support and ran newspaper advertisements; bank paid depositors promptly and assured funds were available.
Newspaper Excerpt: Rumors which caused the run on the bank; staff of tellers at the Eastern pkwy. branch had doubled today in order to accommodate many ...
Source: newspapers

Newspaper Articles (4)

1. January 7, 1932 The Brooklyn Daily Times Brooklyn, NY

Article from The Brooklyn Daily Times, January 7, 1932

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Article Text

BANK DEPOSITORS ASSURED OF FUNDS BY SAVINGS HEAD East New York Institution Seeks Persons Who Spread False Rumors. Brooklyn Savings banks today they could their savings they wished This statement followed number withdrawals from the Eastern pkwy branch the East New York Savings Bank Every savings bank in Brooklyn today pledged support to the East New York Bank and assured depositors they in no danger losing their deposits In display In Metropolitan newspapers Group Five of the New York State ings Bank Association which braces Brooklyn savings announced they ready throw weight their many millions dollars behind the East New York bank order to allay the fear Officers of Brooklyn savings banks today announced that savings bank accept for deposit money that had been withdrawn from the East New York Savings Bank the staff of tellers the Eastern pkwy branch had doubled today in order commodate many those outside the branch early o'clock this morning. Rumors Cause Run In pledging their support to the East New the united savings banks Brooklyn announced that determined effort being made find the person or persons responsible for founded rumors which caused the the Depositors of the bank sured today by Edward Richards, president, and former Municipal Court Justice that there danger single losing understand how this reassure our depositors have employed tellers, pay tast they take advantage the clause, will that have sufficient cash hand ready to do as fast possible. Deposits Increase "During the past year more than confidence in this bank increasdeposits. financial statement the bank shows surplus Immediate steps allay the fears depositors the bank tives night the Williamsburgh Bank Ray Shepherd, chairman Group Five and Navy Branch the Dime Savings Bank, presided. decided the East Bank the support of every bank Group Before the newspapers with appeared street, crowd in front of

2. January 7, 1932 The Brooklyn Daily Times Brooklyn, NY

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Article Text

WARNED BANK DEPOSITORS AGAINST CREDITS ASSURED OF FUNDS BY SAVINGS HEAD Commerce Department Expert Says Loans Were Floated Later by Wall Street. Latin America borrowed more money than its credit warranted when Wall Street loans nations floated Senate Committee loaninvestigation told today by James Corliss. He specialist finance for the Commerce Department. "During latter of the loaning period from to 1929 knew the countries overbuilt young "Our information was public property available to asked for In 1928, Corliss said, his depart issued that the Columbian financial situation very unsettled. pointed out the financial hazards involved loan, he added. This circular sent full departmental mailing list names, banks, firms and individuals. His designed show that Wall St. bankers disregarded Commerce Department admaking many of their South American loans, now in default. East New York Institution Seeks Persons Who Spread False Rumors. Brooklyn Savings banks today assured depositors could draw their savings they wished. This statement followed number withdrawals from the Eastern pkwy. branch the East York Savings bank in Brooklyn today pledged its support to the East New Bank and assured they were in no danger their& deposits. display advertisements in Metropolitan newspapers Group Five of the New York State Savings Bank Association, which braces Brooklyn savings banks announced they ready to throw the full weight of their many millions dollars behind tthe East New York bank In order allay the fear of depositors. Meanwhile the staff of tellers at the Eastern pkwy. branch had doubled today in order to accommodate many possible of those outside the branch as early as o'clock this morning. Rumors Cause Run pledging their support to the East New York bank, the savings banks of Brooklyn announced that effort being made to find the person or persons responsible for the unfounded rumors which caused the run on the bank. Depositors of the bank were astoday by Edward Richards, president, and former nicipal Court Justice that there absolutely danger one of depositors losing cent,' he said. to understand how this run began. reassure depositors we employed additional tellers. will money as fast they are physically able. "Under the law could take advantage the 60-day notice clause, will not that. our obligations and ready to do so as fast as possible. Deposits Increase "During the past year more than their by increasing Our increased The financial statement the 1932, shows surplus Immediate steps allay the fears the held night the Williamsburgh Savings Ray Shepherd, chairman Group Five and manager Navy Branch the Dime presided. the run East play advertisements pledging the support of every bank Group Before the with the street, crowd gathered in front of the branch of- (Continued Page)

3. January 9, 1932 Brooklyn Eagle Brooklyn, NY

Article from Brooklyn Eagle, January 9, 1932

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Article Text

Conditions Again Almost Normal at Fewer Seek to Withdraw Deposits, and All Are Paid Off Promptly After three days of heavy withdrawals by depositors, business was almost back to normal today at the main office and the two branches of the East New York Savings Bank. In marked contrast to conditions of theh last three days, only about 100 persons were waiting outside the main office at Atlantic and Pennsylvania Aves. for the doors to open this morning At the Eastern Parkway and Utica Ave. branch, where crowds have been greatest, not more than 70 on hand. To the waiting depositors the doors were opened minutes ahead the regular time No lines were formed outside the banks and all who were waiting were admitted promptly At office Edward Richards, the president. addressed the early comers and assured them bank was but that any depositor who wanter his money could get

4. January 20, 1932 Humboldt Standard Merchandiser Eureka, CA

Article from Humboldt Standard Merchandiser, January 20, 1932

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Article Text

RUN ON BANK ENDED BY ADS When rumors caused crowd of depositors demand their money from branch of the East New York Savings Bank, Brooklyn, Jan. and newspaper advertising was one means used to impress them with the safety their bank. Copy in Brooklyn newspapers Jan. signed 21 other savings banks Brooklyn, said: General Public and the Depositors East New York Savings Bank: The undersigned are members of Group of the Savings Bank Association State New York The East New York Savings Bank one of its members. We, having full knowledge the excellent financial the competency and integrity of its pledge full support to the East New Savings Bank. pledge efforts in assisting the officials of that institution in the individual responsible for circulating rumors that adand that the continue to keep their on deposit with the East savings Savings Officials the bank said they would continue to pay every claim presented.