14879. Hamilton Bank (Brooklyn, NY)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
state
Start Date
October 23, 1907
Location
Brooklyn, New York (40.660, -73.951)

Metadata

Model
gpt-5-mini
Short Digest
5bbb9900

Response Measures

None

Description

Hamilton Bank (Brooklyn) temporarily suspended during the October 1907 banking disturbances (part of the Panic of 1907). Receivers were appointed and bonds required, but courts later decided the receivership should not be made permanent and depositors celebrated — consistent with a suspension followed by successful reopening. No clear isolated run (misinformation-triggered withdrawals) is described for this specific bank in the supplied articles; the cause of suspension appears tied to the broader 1907 financial panic.

Events (6)
1. October 23, 1907 Suspension
Cause
Macro News
Cause Details
Suspension occurred during the widespread financial stringency/panic of October 1907; banks closed and there were extraordinary demands for cash across the city.
Newspaper Excerpt
The Hamilton bank suspended on October 23 last.
Source
newspapers
2. October 25, 1907 Other
Newspaper Excerpt
The three banks which suspended yesterday remained closed today. They are the Hamilton, the Twelfth Ward, and the Empire Savings. All are declared to be perfectly solvent, and there is no probability of ultimate loss on depositors.
Source
newspapers
3. November 19, 1907 Other
Newspaper Excerpt
Frank White, temporary receiver for the Hamilton Bank, said usurious loans had been made by that institution.
Source
newspapers
4. November 29, 1907 Receivership
Newspaper Excerpt
El de Hamilton Bank $200.000; ... han sido entregados a depositarios judiciales algunos de los bancos que cerraron sus puertas el 25 de Octubre último. ... Los receivers nombrados han tenido que dar las siguients fianzas: ... el de Hamilton Bank $200.000.
Source
newspapers
5. January 15, 1908 Other
Newspaper Excerpt
Recently the courts decided that the receivership should not be made permanent. The decision was made the occasion of a joyful demonstration on the part of the depositors who headed by a band of music marched to the home of the president, and cheered him until he responded with a speech...
Source
newspapers
6. * Other
Newspaper Excerpt
Double indictment found against president of Hamilton Bank of Brooklyn; charges involve overdrafts and over-certification (indicating subsequent legal action and investigations).
Source
newspapers

Newspaper Articles (4)
1. October 25, 1907 The Washington Times Washington, DC
Article from The Washington Times, October 25, 1907

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Article Text

strongest hands in the financial world. Interests that have stood aside for many months watching the decline are now busy buying bargains. They do net hesitate to say that these stocks will be for sale should the market advance, because the purchasers are taking aboard an abnormal volume ot securities. But the fact that they are willing to take up this load even temporarily is reassuring. The banks of importance are finding themselves supplied with an abundance of cash. It will be no calamity in the Wall Street view if a few hundred small banks disappear from the horizon permanently, and the big people are shaning things so that depositors even in these smáll banks will get all of their money back. Standard Advanced. No particular stock distinguished itself today, but the standard issues were used to influence sentiment and they advanced from 1 to 3 points. Wheat was also advanced about 3 cents a bushel, and cotton was permitted to sink lower. Money was furnished freely and the responsible bankers said they looked for no further panic just now on that account. The United States Exchange Bank, Nos. 23 and 25 West 125th street, posted a notice before banking hours began, announcing its temporary suspension, A large crowd gathered in front of the bank, and the officers telephoned to police headquarters for protection, fearing a hostile demonstration. The Borough Bank, of Brooklyn, also printed a notice of suspension. The notice posted at the United States Exchange Bank was as follows: "NOTICE. "In consequence of the closing of other banks and the unusual demand for cash, we have decided to remain closed to-day. The bank is perfectly solvent, but these are extraordinary times, and we have to resort to extraordinary measures to protect ourselves and our depositors. "JAMES J. O'SHAUGHNESSEY, "Cashier." Nearly $1,000,000 Deposits. The United States Exchange Bank is capitalized at $100,000 and has a surplus and profits of $37,170. Individual deposits amount to $880,970. The Mercantile National Bank and the Bowling Green Trust Company, in this city, and the New York State National Bank of Albany are its principal correspondents. The president of the bank is John J. Gibbons. At the regular hour for opening this notice was pasted on one of the windows of the bank: "Pursuant to the authority conferred on me by section 619 of the laws of 1892, I have taken charge of the United States Exchange Bank. "CLARK WILLIAMSON, "State Bank Examiner. "A. P. Campbell, examiner in charge." Borough Bank Closes. The last report of the Borough Bank of Brooklyn, which also posted a notice of temporary suspension, gave It a capital of $200,000, with a surplus of $60,000. The loans were given at $2,650,000, with deposits of $3,250,000. The undivided profits were $85,000. Another Brooklyn Bank Closed. The third was the Brooklyn Bank, with a branch at 601 Fulton street, Brooklyn. Both Brooklyn banks are controlled by the International Trust Company of New York, which also holds the majority of stock of several other Brooklyn institutions. No statement has yet been given out in regard to the Brooklyn Bank, but an official of the Borough Bank announced that the public would be informed as to the details. The three banks which suspended yesterday remained closed today. They are the Hamilton, the Twelfth Ward, and the Empire Savings. All are declared to be perfectly solvent, and there is no probability of ultimate loss on depositors.

2. November 19, 1907 New-York Tribune New York, NY
Article from New-York Tribune, November 19, 1907

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Article Text

THE NEWS THIS MORNING. FOREIGN-A feeling of relief was shown in financial circles of London owing to the steps taken by the American government to relax the stringency; the Bank of England did not change its rate and the rise in stocks was repeated on Secretary Taft was European exchanges. the guest of General Pflug at Vladivost : the dispatch added that his trip had been curtailed to meet the urgent request of President Roosevelt. An attempt was made to destroy by fire the government headquarters at Santiago. Two anarchists making bombs in Lisbon were killed by an explosion of their material: Admiral Sir Francis another was arrested. Leopold McClintock, the well known Arctic exReacplorer, died in London on Sunday. tionist efforts to expel radical members of the Douma failed; Prince Vladimir Wolkonsky was elected first vice-president and Baron von Meyendorf, of the Baltic provinces, was chosen secThe German Emperor ond vice-president. and Empress left Windsor, the former going to Higheliffe Castle and the latter to Holland on a The Maurevisit to Queen Wilhelmina. tania was reported three hundred miles off Brow Head; she had made an average of 24 5 knots since leaving Queenstown. DOMESTIC.-President Roosevelt and Secretary Cortelyou received many congratulations on their plan for the relief of financial stringency; bankers in outside cities were unanimous The United States in approving the plan. Supreme Court decided that the consolidation of the cities of Pittsburg and Allegheny was not in violation of the federal Constitution. Governor Hughes issued a statement at Albany reiterating that he will take no part in any contests over the organization of either branch of Aurel Batonyi, refused the Legislature. permission at Newport to see his wife, announced he had entered suits against her relatives for a total of $1,500,000 for the alleged alienation of her affections. Assemblyman Jesse Phillips announced at Albany his candidacy for the Republican floor leadership in the A letter from Brigadier General Assembly. William Crozier, chief or ordnance, was interpreted in Springfield, Mass., as containing a veiled threat to remove the government armory from that city. At the request of shippers the Lackawanna road obtained an injunction from Judge Hazel, in the United States Circuit Court in Buffalo, enjoining the switchmen's union from ordering a strike in violation of an alleged agreement. CITY.-Stocks were strong. The grand jury in Kings began its investigation into the Frank suspended banks in Brooklyn. White, temporary receiver for the Hamilton Bank, said usurious loans had been made by that institution. The Untermyer committee of Knickerbocker depositors announced a proposed rellef plan. An involuntary petition in bankruptcy was filed against Jeremiah Evarts Tracy. A judgment for $264 was entered against Magistrate Wahle by default. The Public Service Commission will probably begin an inquiry of the lighting companies to-morrow. it was said. A large part of the time at the inquiry into the Ashokan Dam contract was taken up in trying to make J. Edward Simmons admit that he did little of the actual The work of the board of water supply. twenty-third annual exhibition of the National Horse Show of America began at Madison Square Garden The National Grange meeting at Hartford, Conn. declared in favor of federal control of corporations. THE WEATHER-Indications for to-day: Rain. The temperature yesterday: Highest, 46 degrees; lowest. 39.

3. November 29, 1907 La Correspondencia De Puerto Rico San Juan, PR
Article from La Correspondencia De Puerto Rico, November 29, 1907

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Article Text

BANCOS ENTREGAdos á depositarios judiciales. Evidencias de que se han hecho préstamos ilegales. So afirma que prominentes politicos están envueltos AN el Borough Bank, A solicitud del Attorney General Jack son, han sido entregados a depositarios judiciales algunos de los bancos que cerra. ron sus puertes el 25 de Octubre último. Estos bancos son Brooklyn Bank, milton Bank, Borough Bank of Brooklyn, Williamsburg Trust Co., Jenkins, Trust Co., International Trust Co. Con referencia al Jenkins Trust Co.iy al Borough Bank of Brocklyn el Attorney General Jackson afirma que ha encontrado evidencialbien que se han hecho ilegales préstamos que enveelven responsabilidad civil y criminal de aquellos que resultan responsables de ellos. El examen de los negocios del Borough Bank revela Begún las afirmaciones del Attorney General que se han cometido actos oriminales incluyendo falsificación de documentos, giros por encima de los fon dos en posesión y varias transacciones delincuentes. El informe de el banco Jenkins Trust Co. prueba según afirma el Attorney General que se hicieron al Presi. dente John G. Jenkins Jr. préstamos por $557.000. El proposito era entregar el asunto a un gran jurado para que hiciers las acusacioque creyera procedentes. Sa afirms que prominentes políticos están envueltos en el Borough Bank, Los receivers nombrados han tenido que dar las siguients fisnzas: El de Williamsburg Trust Co., $300.000; l-de Hamilton Bank $200.000; el Borough Bank de Brooklyn $150.000; Jenking Trust Co., $200.000; Brockyn Bank, $100.000; International Trust Co., $100.000. Aunque nada definitivo se ha dicho acerca del Borough Bank la prensa de Nueva York no refiere al rumor de que las revelaciones que se hagan pú blicas relacionadas con dicho banco serán sensacionales. Los nombres de personas que han girado más alla de sus fondos, que han obtenido ilegales emprésti. tos y que han cometido actos de delincuen. cia, se dicen ser personas prominentes en la política en ambos partidos de Brocklyn. Uno de los fandamentos de eats acción, segúa lo afirma el Attorney General, es que la ley prohibe hacer préstamos & ningúa empleado 6 al director de un banco, que pasen del 10 por ciento del capital en depósito V quetambien prohibe que ningu. Did clase de préstamo sea hecho & ningún oficial ni al director de ningún banco como no sea con la aprobación de la mayoría de los consejeros del banco. Continuando las investigaciones, al fin faeron acusadas seis personas, entre ellas el presidents, el csjero y otros empleados, de un banco de Brooklyn. Fueron arres tados pidiéndoles $30.000 de fianza para quedar en libertad provisional. El director Gow y el cajero Campbell, prestaron la fianza, pero Mr. Maxwell fue a la cárcel por no haber podido pre-tar esa fianza. Este último era presidente del Borough Bank de Brooklyn. El gran jurado continus sus averigua ciones en los negocios de dicho banco, así como de otras instituciones financieras de Brocklyn.

4. January 16, 1908 The Morning Journal-Courier New Haven, CT
Article from The Morning Journal-Courier, January 16, 1908

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Article Text

DOUBLE INDICTMENT Found Against President of Hamilton Bank of Brooklyn. New York, Jan. 15.-The special grand jury which was sworn to investigate the conduct of certain banks in New York county, to-day returned two indictments against William R. Montgomery, president of the Hamilton bank. The charges, involving overdrafts and over-certification have to do. however, with acts alleged to have been committed by Montgomery while he was vice president of the institution. When E. R. and O. F. Thomas return. ed from their banking interests Montgomery succeeded the former in the presidency. The Hamilton bank suspended on October 23 last. Recently the courts decided that the receivership should not be made permanent. The decision was made the occasion of a joyful demonstration on the part of the depositors who headed by a band of music marched to the home of the president, and cheered him until he responded with a speech in which he declared that his personal vindication as an officer would follow the investigation of the bank's affairs. At the time Montgomery had been accused of lax management by Receiver White.