Queensboro National Bank

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: national
Start Date: August 1, 1931*
Location: Corona, New York (40.747, -73.860)

Metadata

Model: gpt-5-mini
Short Digest: 9d623b2d

Response Measures

Full suspension, Books examined

Other: Bank taken into possession by the U.S. Controller of Currency; receiver Raymond Schumacher named and notice to depositors posted.

Description

Articles state the Globe Exchange Bank closed first and that this led to a run on the Queensboro National in August 1931; Controller of the Currency took possession (government action) and a receiver (Raymond Schumacher) posted notices by Oct 15, 1931. By 1932 the bank is described as 'now defunct.' OCR typos corrected (e.g., 'CorCorona Heights' -> Corona; 'Samuel Parlo/Perlo' -> Samuel Perlo/Perlo appears variable in OCR).

Events (3)

1. August 1, 1931* Run

Cause: Local Banks
Cause Details: Run triggered by closing/distress of the Globe Exchange Bank of Brooklyn; plaintiffs claim Globe Exchange closed before Queensboro, precipitating the run.
Measures: Bank authorities applied to Controller of the Currency to take possession; attempted to raise funds from depositors and sought extension to raise $200,000 for reorganization.
Newspaper Excerpt: that direct result of the closing of the Globe was the run on the Queens bank
Source: newspapers

2. August 1, 1931* Suspension

Cause: Government Action
Cause Details: Controller of the Currency took possession of the bank in August 1931 following the run and distress; bank closed by federal action/request.
Newspaper Excerpt: the Queens bankers, acting as directors of the Queensboro National, requested the United States Controller of Currency, in August, 1931 to take possession of the bank and that this brought about the closing of the institution.
Source: newspapers

3. October 15, 1931 Receivership

Newspaper Excerpt: notice, signed by Raymond Schumacher, bank receiver, that depositors preduplicate deposit savings passbooks... statement of the bank's condition posted next to this notice lists assets... liabilities at $2,282,751.55 and attorney said silence from Controller would be deemed refusal to extend time to raise funds for reorganization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Source: newspapers

Newspaper Articles (5)

1. October 15, 1931 The Brooklyn Daily Times Brooklyn, NY

Article from The Brooklyn Daily Times, October 15, 1931

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Article Text

BANK OPENING UP Attorney Wires Controller Silence Will Be Deemed Refusal of Plea. Abandonment of all plans to reorganize recently closed Queensboro National Bank of CorCorona Heights loomed today with issuance of statement from Samuel Parlo, attorney for institution, that he had sent a the Controller of Currency in Washington, saying that unless was from capitol within day the bank authorities would consider the silence as tacit refusal of their ap. plication to extend the limit set for the raising of a $200,000 fund from depositors. The Controller of the Currency had given bank until October to raise $100,000 from among the and from the depositors before permission would be granted for the creation of reorganized institution. By entire of the directors had pledged of required the dehad The bank authorities then applied to Washington for an extension of the time limit the maining might be raised among Word was received the Controller that the matter would his serious no communication has been since notice has been posted on the of the for the depositors file their proof within 90 days. notice, signed by Raymond Schumacher, bank receiver, that depositors preduplicate deposit savings passbooks, certified checks, Christmas cards, certificates of deposit, drafts, and other data. statement of the bank's condition posted next to this notice lists assets at and its liabilities at $2,282,751.55

2. December 8, 1932 Times Union Brooklyn, NY

Article from Times Union, December 8, 1932

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Article Text

2 FORMER BANKS INVOLVED IN SUIT 13 Queens Directors Say Five Brooklyn Officials Owe $55,000 Under Agreement. Trial of a suit for $55,000 brought by 13 directors of the now defunct Queensboro National Bank, of Corona, against five directors of the Globe Exchange Bank of Brooklyn, is being continued today before Justice Adel and a jury in Queens Supreme Court, Long Island City. The suit is the result of an alleged contract under which the Brooklyn bankers agreed to buy stock held in the Queens bank by the Queens bankers. The Queens bankers allege that in 1929 the Brooklyn bankers purchased a controlling interest in the Queens bank, but induced the local men to remain as directors. The Queens bankers claim they agreed to do this on condition the Brooklyn group promised to purchase the required ten shares each director was required to hold to qualify as director on or before Dec. 4, Say Agreement Was Signed They claim an writing to this effect was drawn up and signed by all those interested. They also claim that pay ments totaling 000 were made on the agreement, the total amount of which called for the payment of $70 000, and they seek payment of the plus In defense the Brooklyn group claims the bankers, acting as directors of Queensboro National, requested the United States Controller of Currency, in August, 1931 to take possession of the bank and that this brought about the closing of the institution. As result, the value of the stock in question depreciated heavily. They claim that such action was not and the for the depreciation of the stock lies with the Queens directors. The latter, however, claim the Globe Exchange closed before the Queensboro bank did: direct result of the closing of the Globe was the run on the Queens bank that the necessity of calling in the Controller of Cur- One Witness Examined Only one witness, a director and counsel for the bank. Samuel Perlo, was yesterday, and are the case will continue or four days. Directors of the Queensboro Na. tional, who are plaintiffs in the action, are John M. Cragen, Elmo, Inc., John Hart, John LaDuke, Joseph Linhart, Alphonse Martinez, Walter Morris, Samuel Perlo. Paul Roth, Edward H. Ruhl, Charles Scarfule, Lonzio Scileppi and Frank Yager. The Globe Exchange directors named as defendants are Morris Walzer, Max Blumberg. Michael Weinsier, Jacob Davis and Harry Ginsberg.

3. December 8, 1932 Times Union Brooklyn, NY

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Article Text

FORMER BANKS INVOLVED IN SUIT 13 Queens Directors Say Five Brooklyn Officials Owe $55,000 Under Agreement. Trial of suit for $55,000 brought by 13 directors of the now defunct Queensboro National Bank, of Corona, against five directors of the Globe Exchange Bank of Brooklyn, is being continued today before Justice Adel and jury in Queens Supreme Court. Long Island City. The suit is the result of an alleged contract under which the Brooklyn bankers agreed to buy stock held in the Queens bank by the Queens bankers. The Queens bankers allege that in 1929 the Brooklyn bankers purchased controlling interest in the Queens bank, but induced the local men to remain as directors. The Queens bankers claim they agreed to do this on condition the Brooklyn group promised to purchase the required ten shares each director was required to hold to qualify director on or before Dec. Say Agreement Was Signed They claim an agreement in writing to this effect was drawn up and signed by all those interested. They also claim that payments totaling $17,000 were made on the agreement, the total amount of which called for the payment of $70,000. and they seek payment of the balance plus interest. In defense, the Brooklyn group the bankers, acting as directors the Queensboro National, requested the United States Controller of Currency, August, 1931, to take possession the bank and that this brought the As result, the value of the stock question depreciated heavily. They claim that such action was not and the for the depreciation of the stock lies with the Queens The latter. however, claim Globe Exchange closed before the Queensboro bank did; that direct result of the closing of the Globe was the run on the Queens bank that the calling in the Controller of Currency. One Witness Examined Only one witness, director and counsel for the Samuel Perio, yesterday, and indications are the case will continue three or four days. Directors of the Queensboro Na tional, who are plaintiffs in the action, are John M. Cragen, Elmo, Inc., John Hart, John Joseph Linhart, Alphonse Mar tinez, Walter Samuel Charles Scarfule, Lonzio Scileppi and Frank Yager. The Globe Exchange directors as fendants are Morris Walzer, Max Blumberg, Michael Weinsier, Jacob Davis and Harry Ginsberg.

4. December 8, 1932 Times Union Brooklyn, NY

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Article Text

FORMER BANKS INVOLVED IN SUIT 13 Queens Directors Say Five Brooklyn Officials Owe $55,000 Under Agreement. Trial of a suit for $55,000 brought by 13 directors of the now defunct Queensboro National Bank, of Corona, against five directors of the Globe Exchange Bank of Brooklyn, is being continued today before Justice Adel and jury in Queens Supreme Court. Long Island City. The suit is the result of an alleged contract under which the Brooklyn bankers agreed to buy stock held in the Queens bank by the Queens bankers. The Queens bankers allege that in 1929 the Brooklyn bankers purchased a controlling interest in the Queens bank, but induced the local men to remain as directors. The Queens bankers claim they agreed to do this on condition the Brooklyn group promised to purchase the required ten shares each director was required to hold to qualify director on or before Dec. 4, 1931. Say Agreement Was Signed They claim an agreement in writing to this effect was drawn up and signed by all those interested. They also claim that payments totaling 17,000 were made on the the total amount of which called for the payment of $70,000, and they seek payment of the balance plus interest. In defense, the Brooklyn group claims the Queens bankers, acting as directors of the Queensboro National, requested the United States Controller of Currency, August, 1931, take possession the bank and that this brought about the closing of the institution. As result, the value of the stock question depreciated heavily. They claim that such action was not and the for the depreciation of the stock lies with the Queens directors. The latter, however, claim the Globe Exchange closed before Queensboro bank did; that direct result of the closing of the Globe was the run on the Queens bank that precipitated the necessity of calling in the Controller of Currency. One Witness Examined Only one witness, director and counsel for the bank, Samuel Perlo, was examined yesterday, and indications are the case will continue three or four days. Directors of the Queensboro National, who are plaintiffs in the action, are John M. Cragen, Elmo, Inc., John Hart, John LaDuke, Joseph Linhart, Alphonse Martinez, Walter Morris, Samuel Perlo, Paul Roth, Edward H, Ruhl, Charles Scarfule, Lonzio Scileppi and Frank Yager. The Globe Exchange directors named as defendants are Morris Walzer, Max Blumberg, Michael Weinsier, Jacob Davis and Harry Ginsberg.

5. December 8, 1932 Brooklyn Eagle Brooklyn, NY

Article from Brooklyn Eagle, December 8, 1932

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Article Text

Queensboro Bank Board Asks $55,000 From Five Globe Directors Fourteen directors of the now closed Queensboro National Bank, located in Corona. are suing five directors of the Globe Exchange Bank of Brooklyn for $55,000 result of an alleged contract under which the five Brooklyn bankers agreed buy stock held in Queens bank the Queens bank Trial of the action started yesterday Frank Adel and in Part III of the jury term of the Court, Queens, Long Island City In the bankers claim that 1929 the Brooklyn terest the Queens bank. but induced the men to directors of the bank The Queens bankers claim that they agreed do this on the Brooklyn bankers promise to purchase the required 10 shares that each director must hold to qualify director on or before Dec. 1931. They claim an agreement in writing this effect was drawn and signed all 20 of the persons interested They claim that payments totaling $17,000 were made on the agreement, the total amount which called for the payment $70,000. they seek payment the balance plus interest, the tire amount coming to close to $60,000. Charge Stock Depreciation In defense, the Brooklyn bankers claim in that the Queens bankers, acting directors of the Queensboro Bank, quested the United of Currency 1931, to take the bank. that this brought about the closing of the bank and greatly depreciated the value of the stock question. They claim that such action was not and the responsibility for the the stock lays with the Queens directors The Queens bankers claim that Globe Exchange before the Queensboro bank did that direct result of the closing of Globe bank was run on the Queens that precipitated the necessity calling in the Controller of Currency Only one witness. director and counsel for the bank, Samuel Perlo, was examined yesterday and indications are the will three or four days more Parties in Action The directors of the Queensboro Bank, who are plaintiffs in the action, are John M. Cragen, Elmco Inc., John Hart, John LaDuke, Alphonse Martinez, Walter Morris. Samuel Perlo, Paul Roth, Edward H Ruhl. Charles Scarfula, Scileppi and Frank Yager, The directors the Globe Exchange Bank who are named as defendants are Morris Walser. Max Blumberg Michael Weinsier, Jacob Davis and Harry Ginsberg