15133. Twelfth Ward Bank (Harlem, NY)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
October 24, 1907
Location
Harlem, New York (40.808, -73.945)

Metadata

Model
gpt-5-mini
Short Digest
31fdd5ec

Response Measures

None

Description

Multiple syndicated articles (Oct 24–25, 1907) report 'trouble' and that three minor state banks in Harlem (including the Twelfth Ward Bank) 'suspended payment' due to lack of ready cash amid the national money stringency. State Bank Examiner Judson is quoted saying the banks are solvent and depositors will lose nothing. The articles do not describe a depositor run on this specific bank or a later reopening; therefore classified as suspension with closure (no reopening reported).

Events (1)
1. October 24, 1907 Suspension
Cause
Macro News
Cause Details
Suspended because of inability to secure ready cash during the nationwide 1907 money-market/stringency and financial crisis (liquidity drain).
Newspaper Excerpt
trouble in three minor state banks in Harlem-the Hamilton bank, the Twelfth Ward bank and the Empire City Savings bank. These banks transacted only a neighborhood business and their suspension of payment was absolutely without significance.
Source
newspapers

Newspaper Articles (9)
1. October 25, 1907 The Montgomery Advertiser Montgomery, AL
Article from The Montgomery Advertiser, October 25, 1907

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Conservatism Saves The Country From A Financial Catastrophe Great Money Kings Push PITTSBURG Back Clouds. SITUATION OVER HUNDRED MILLIONS LOANED TO THE BANKS Bankers Say Troubles Are Disappearing. Ruthless Selling Out of Stocks Prevented by Morgan. Pittsburg, Pa Oct. 24-Late today, Walter D. Updegraf, secretary to George Westinghouse, was appointed Millions of Money Were Emptied on receiver for the Nernet Lamp Company, the fourth Westinghouse concern emthe Stock Exchange to be barrassed by the severe money market stringency. His bond was placed at Lonned at a Small Rate $50,000. The petition was filed by the Cooper of Interest-Trouble Youatt Electric Company, of New York, and states that the Nernst Lamp ComOver. pany owes them $2,000 for material. The funded debt of the company is placed at $1,400,000 covered by bonds that are due in 1922. The petition states that all the stock of the Nernet Lamp CORTELYOU AND Company is owned by the WestingWILLIAMS SATISFIED. house Machine Company. The position 1 New York, Oct. 25.-At was taken that the appointment of reo'clock this morning Clark Wilceivers for the four Westinghouse comliams, the newly-appointed State panies placed all of them on R better Superintendent of Banks, made footing: the failure of the Iron City public the following statement: Trust Company had no bad effects and "So far as I have been able to the millions of dollars deposited by the learn during the short time in government caused a feeling of confiwhich I have had to examine into dence. the situation, I find all the banks The Pittsburg stock exchange reunder my supervision in this city mained closed all day, and will probto be solvent: and it will be only ably not resume transactions until next because of rash and unreasonable Monday. demands upon the part of deA meeting of the Pittsburg Clearing positors that will further endanHouse Association was held and anger the situation." nouncement was made following the At midnight, Secretary Corteladjournment that two banks had reyou said: quested aid. Prominent bankers stated "The situation has improved so tonight that the situation here is well much that I shall make no state in hand and that the trouble was rapment idly disappearing. ST. PETERSBURG SURPRISED AT WESTINGHOUSE TROUBLE. New York, Oct., 24.-As a result of St. Petersburg, Oct. -The anthe day's developments in the finannouncement of the appointing of reclal world, there is every indication ceivers in Pittsburg for two of the that the crisis in the banking and trust Westinghouse Companies, came as a company situation, has been safely surprise here, where the Westingpassed. The Trust Company of Amerhouse people have extensive interests, ica, all through the day's banking especialy to Walter Cary, Director and hours, paid out money to depositors as General Manager of the Westinghouse rapidly as possible and closed today Lamp Company, who arrived here towith all the demands having been day fro mthe United States to investimade. A very favorable feature of the gate the affairs of the Russian branch, situation respecting this company was which, although having an independent that it was able to make its payments corporate existence, is largely capitalwith very little assistance, and another ized from America. was that the company received over The company, the first business of its counters in the morning hours in which here was making airbrake equipordinary deposits more than $1,000,000. ment for the Russian railroads, later The crowd assembled at the combranched out and secured a largo conpany's banking office throughout the tract for the electrification of the street day was smaller than It was yesterday railroad system of St. Petersburg and and the sums withdrawn were not so recently purchased a big factory at large as those taken out on WednesMoscow for the construction of elecday. At the close of the day's busitrical equipments. Rumors have for ness, Mr. Oakleigh Thorne, president some time been current that the comof the company, said that there was pany would lose money on Its St. Petabundant cash in the vaults to meet ersburg Street Railroad contract, a.g. the situation and that he had no apgregating $5,000,000, particularly on acprehensions whatever regarding the count of penalties, said to amount to Institution for the future. amount to $500,000, imposed for conIt was the general impression in struction delays, but the officials of the financial circles that this company havcompany today denied this and said the Ing withstood a two days run with so fines would aggregate less than five little trouble, was undoubtedly in good per cent of the total amount of the condition to continue its business and contract and that they anticipated that that the company and its affairs were most of them would be remitted on the not considered as a factor any longer final settlement. In the general situation. As the Trust The company has received from fifty Company of America had been the cenand sixty per cent of the contract price ter of interest in the financial storm, and the balance is payable on compleIt was accepted that the ability it had tion of the contract, which is claimed thus shown to weather the storm was that it has enough cash in sight to clear indication that the financial sky finish the work. had cleared and that a period of fair weather was now well in sight. A dispatch received here today from General Manager Smith stated that the Three Episodes. home company was entirely solvent The day was marked by three noteworthy episodes, first, and earliest in and that the receiverships were due the day, came the announcement of to the Inability to extend loans during trouble in three minor State banks in the stringency of the money market. Harlem-the Hamilton Bank, the Prices on theBourse today were slightTwelfth Ward Bank and the Empire ly affected by the American financial City Savings Bank. Those banks troubles, but their connection with transacted only a neighborhood busifinancial houses here is too remote to ness and their suspension of payment cause great apprehension. was absoltuely without significance as bearing on the general situation. The A Change of Plans. Empire Savings was controlled by a Paris. officials of the

2. October 25, 1907 Hattiesburg Daily News Hattiesburg, MS
Article from Hattiesburg Daily News, October 25, 1907

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Associated Press. New York, October 24.-AS the result of today's developments in the nancial world there is every indication that the crisis has been fully passed. The Trust Company of America withstood a continual run all day, paying all checks as fast as they were presented. The company was able to make its payments with very little assistance, as it received in ordinary deposits more than a million dollars. At the close of the day the officers announced that there was abundant cash on hand to cope with the situation. Three noteworthy episodes marked the day. The first was the announcement of trouble with three minor state banks in Harlem-the Hamilton Bank, the Twelfth Ward Bank and the Empire City Savings Bank. These banks transacted only a local business and their suspension was absolutely without significance. The Empire Bank is controlled by Tammany Hall politicians. The state banking department announces that all three of these banks are solvent and that depositors will lose nothing. 0 The second episode was a run on the Lincoln Trust Company, which lasted all day. This is an up-town in stitution largely patronized by wo men and is of small importance. At the close of the day the company's officers announced that they needed

3. October 25, 1907 The Marion Daily Mirror Marion, OH
Article from The Marion Daily Mirror, October 25, 1907

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J.P. MORGAN'S POOL AVERTS A PANIC COMES TO RESCUE OF STOCK EX. CHANGE MEMBERS. LENDS MILLIONS OF MONEY. Crisis in the New, York Financial Situ. ation Is Believed to be Passed, in Spite of the Failure of Three Small Banks. New York, Oct. 25.-As a result of Thursday's developments in the financial world there is every indication that the crisis in the banking and trust company situation has been safely passed. The Trust Company of America all through the day paid out money to depositors and closed the day with all demands having been met. The day was marked by noteworthy episodes. First came the announcement of trouble in three minor state banks in Harlem-the Hamilton bank, the Twelfth Ward bank and the Empire City Savings bank. These banks transacted only a neighborhood business and their suspension of payment was absolutely without significance as bearing on the general situation. The Empire City Savings bank was controlled by a Tammany Hall politician and its business operations were confined to a small area. Although these banks were obliged to close because of lack of ready cash, State Bank Examiner Judson declared that all three are solvent and that their depositors will lose nothing. By far the most notable episode of the day was the emptying of millions of money into the stock exchange through a pool headed by J. P. Morgan and other financiers, in order to avert a ruthless selling out of stocks held by brokers which was threatened because of their inability to obtain renewals of loans on which these stocks had been carried. A remarkable condition brought about this extreme stringency in money. which had gradually forced the interest rate up to an almost unprecedented figure. Certain large interests with great financial resources had been charging usurious rates of interest on call loans. One institution that had been engaged in this practice was a member of the clearing house and was severely criticized by other bankers for its action. As a result of the criticism this institution withdrew its support and declined to offer money on call on the

4. October 25, 1907 The Daily Banner Cambridge, MD
Article from The Daily Banner, October 25, 1907

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OUTLOOK IS BETTER New York Bankers Think Crisis Has Been Passed. TRUST CO. STANDS DRAIN Morgan Pool Loaned $25,000,000 on Stock Exchange to Avert Panic. Over $100,000,000 Was Needed to Weather Storm. New York. Oct. 25.-As a result of developments in the financial world, there is every indication that the crisis in the banking and trust company situation has been safely passed. The Trust Company of America paid out money to depositors as rapidly as possible and met all demands. A very favorable feature of the situation respecting this company was that it was able to make its payments with very little assistance, and another was that the company received over its counters in ordinary deposits more than $1,000,000. It was the general impression in financial circles that this company, having withstood a two days' run with SO little trouble, was undoubtedly in good condition to continue its business. and, in fact, that company and its affairs were not considered as a factor any longer in the general situation. As the Trust Company of America had been the centre of the recent financial storm it was accepted that the ability it had thus shown to weather the storm was a clear indication that the financial sky had cleared and that a period of fair weather was now well in sight. There was trouble in three minor banks in Harlem-the Hamilton bank, the Twelfth Ward bank and the Empire City Savings bank. State Bank Examiner Judson declared that all three were solvent, and that their depositors would lose nothing. By far the most notable, even dramatic, episode of the day was the emptying of millions of money into the Stock Exchange through a pool headed by J. P. Morgan and other financiers in order to avert a ruthless selling out of stocks held by brokers which was threatened because of their inability to obtain renewals of loans on which these stocks had been carried. At the time the excitement was at its height the announcement was made that a pool had been formed, with J. P. Morgan at its head. to come to the rescue of the brokers for whom it was necessary to provide funds at once in order that they might carry the stocks they were holding for their customers. The Morgan pool brought a sum of money amounting to about $25,000,000 into the loan corner of the exchange. where it was quickly distributed in such lots as would be most effective in rendering support. The aggregate amount of money which had been contributed in order to weather the storm and restore confidence assumes truly colossal proportions. Roughly estimated, it includes $25,000,000 which Secretary Cortelyou, deposited in the New York banks, $25,000,000 which the Morgan pool brought to the floor, $10,000,000 which John D. Rockefeller deposited with the Union Trust company as a means of stemming the tide at the Trust Company of America. and finally another $50,000,000 which it is understood Mr. Rockefeller stood ready to advance to meet any further stress of conditions -in all considerably in excess of $100,000,000,

5. October 26, 1907 The Free Lance Fredericksburg, VA
Article from The Free Lance, October 26, 1907

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DUTLOOK IS BETTER New York Bankers Think Crisis Has Been Passed. TRUST CO. STANDS DRAIN Morgan Pool Loaned $25,000,000 on Stock Exchange to Avert Panic. Over $100,000,000 Was Needed to Weather Storm. New York, Oct. 25.-As a result of developments in the financial world, there is every indication that the crisis in the banking and trust company situation has been safely passed. The Trust Company of America paid out money to depositors as rapidly as possible and met all demands. A very favorable feature of the situation respecting this company was that it was able to make its payments with very little assistance, and another was that the company received over its counters in ordinary deposits more than $1,000,000. It was the general impression in financial circles that this company, having withstood a two days' run with SO little trouble, was undoubt. edly in good condition to continue its business, and, in fact, that company and its affairs were not considered as a factor any longer in the general situation. As the Trust Company of America had been the centre of the recent financial storm it was accepted that the ability it had thus shown to weather the storm was a clear indieation that the financial sky had cleared and that a period of fair weather was now well in sight. There was trouble in three minor banks in Harlem-the Hamilton bank, the Twelfth Ward bank and the Empire City Savings bank. State Bank Examiner Judson declared that all three were solvent, and that their depositors would lose nothing. By far the most notable, even dramatic, episode of the day was the emptying of millions of money into the Stock Exchange through a pool headed by J. P. Morgan and other financiers in order to avert a ruthless selling out of stocks held by brokers which was threatened because of their inability to obtain renewals of loans on which these stocks had been carried. At the time the excitement was at its height the announcement was made that a pool had been formed. with J. P. Morgan at its head, to come to the rescue of the brokers for whom It was necessary to provide funds at once in order that they might carry the stocks they were holding for their customers. The Morgan pool brought a sum of money amounting to about $25,000,000 into the loan corner of the exchange, where it was quickly distributed in such lots as would be most effective in rendering support. The aggregate amount of money which had been contributed in order to weather the storm and restore confidence assumes truly colossal proportions. Roughly estimated, It includes $25,000,000 which Secretary Cortelyou deposited in the New York banks, $25,000,000 which the Morgan pool brought to the floor, $10,000,000 which John D. Rockefeller deposited with the Union Trust company as a means of stemming the tide at the Trust Company of America, and finally another $50,000,000 which it is understood Mr. Rockefeller stood ready to advance to meet any further stress of conditions -in all considerably in excess of $100,000,000.

6. October 29, 1907 The Herald and News Newberry, SC
Article from The Herald and News, October 29, 1907

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WALL STREET SAFELY TIDES MONEY i ANIC THREE MINOR BANKS CLOSE IN HARLEM. J. Pierpont Morgan and Other Financiers Give Aid-John D. Lends Money at Normal Rate. New York, Oct. 24.-As a result of to-lay's developments in the financial wer .1 U.ere is every indication that the crisis in the banking and trust company situation has been safely passed. The Trust Company of America all through the day's banking hours paid out money to depositors as rapidly as possible, and closed the day with all demands having been met. A very favorable feature of the situation respecting this company was that it was able to make its payments with very little assistance and another was that the company received over its counter in the morning hours in ordinary deposits more than $1,000.00. It was the general impression in financial circies that this company having withstood a two days' run with little trouble was undoubtedly in good condition 1.. continue its business and in fact that company and its affairs were not considered as a factor any longer in the general situation. As the Trust Company of America had been the center of the recent financial storm it was accepted that the ability it had thus shown to weather the storm was a clear indication that the financial sky had cleared and that a period of fair weather was now well in sight. Three Noteworthy Episodes. The day was marked by three noteworthy episodes. First and earliest in the day came the announcement of troub'e in three minor state banks in Harlom, the Hamilton bank, the Twelfth Ward bank and the Empire City Savings bank. These banks transacted only a neighborhood business and their suspension of payment was absolutely without significance bearing on the general situation. State Bank Examiner Judson, however, declared this afternoon that all three were solvent and that their depositors would lose nothing. The second episode was a run inaugurated against the Lincoln Trust company. The run against this company was steady throughout the day, but the sums withdrawn were not large. At the close of the day the company's officials announced that they were fully able to meet all obligations. Millions Emptied in Market. By far the most notable, even dramatic, episode of the day was the emptying of millions of money into the stock exchange through a pool headed by J. P. Morgan and other financiers in order to avert a ruthless selling out of stocks held by brokers which was threatened because of their inability to obtain renewals of loans on which these stocks had been carried. A remarkable condition brought about this extreme stringeney in money which had gradually forced the rate up to an almost unprecedented figure. Certain large interest that great financial resources had been charging recently

7. October 31, 1907 The News-Herald Hillsboro, OH
Article from The News-Herald, October 31, 1907

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SIX MINOR BANKS IN NEW YORK CLOSE GENERAL FINANCIAL SITUATION QUITE ENCOURAGING NEVERTHELESS. All Probably Solvent-Savings Concerns Certainly Are Sound-Stock Exchange Provided with Ample Funds for the Present. New York, Oct. 26.-Friday was another nerve-racking day, but the financial institutions of New York showed extraordinary power of resistance to pressure put upon them. While it is true that several minor institutions have been, forced to close their doors, yet. two things should be said about them-first, that the amount involved was not so great as to exert any marked influence on the general situation, as these banks were located in residential quarters and did not come into touch with the larger financial institutions of the metropolis, and second, there is every reason to believe that these banks and trust companies are entirely solvent, and their difficulties will prove to be only temporary and due entirely to inability to secure ready cash on the gilt-edged securities in their vaults. Six More Concerns Close. The institutions which closed their doors Friday, with the sums due depositors, were: The United States Exchange bank, Harlem, $600,000; International Trust company, about $100,000; the Borough Bank of Brooklyn, $4,000,000; the Brooklyn bank, $2,300,000% Williamsburg Trust company, Brooklyn, $7,500,000, and the First Na. tion Bank of Brooklyn, $3,500,000. in the light of the general excitement the savings banks, thought it: we to puc into the rule requir.ng 30 to 60 days' notice for the withurawal of deposits. There was not the slightest hint. that any of the savings institutions was, in anything but the soundest condition, and it was pointed out that the savings banks of this state are so restricted by law in investing their money that there can be no question that all of the securities in their possession are of good value and readily salable in normal times. Stock Exchange Supplied with Funds. The most favorable incident of the day was that the stock exchange was provided with funds ample to meet its immediate necessities by the money pool headed by J. Pierpont Morgan, which sent about $15,000,000 to the exchange during the afternoon. The stock market had held relatively firm all day. but when the pool money was offered in the loan corner there was an immediate upturn of prices and the market closed strong at the best prices of the day. As all of the loans made Friday hold over until Monday the stock exchange situation will not be a factor in the problems that the bankers may be called upon to solve Saturday. Trust Company Meets Demands. New York, Oct. 25.-As a. result of Thursday's developments in the financial world there is every indication that the crisis in the banking and trust company situation has been safe: ly: passed. The Trust Company of America all through the day's banking hours paid out money to depositors as rapidly as possible and closed with all demands having been met. A very favorable feature of the sitwation respecting this company was that it was able to make its payments with very Httle assistance, and an other was that the company received over its counters in the morning hours in ordinary deposits, more than $1,000,000. Three Small Banks Suspend. The day was marked by three noteworthy episodes, First and earliest in the day came the announcement of trouble in three minor state banks in Harlem - the Hamilton bank, the Twelfth Ward bank and the Empire . City Savings bank. These banks transacted only a neighhorhood busi ness and their suspension of payment was absolutely without significance as bearing on the general situation. The second episode was a run in augurated against the Lincoln Trust company. At the close of the day the company's officials announced that they were fully able to meet all abli gations. Plenty of Money for Brokers. By far the most notable, even dra matic, episode of the day was the emptying of about $25,000,000 into the stock exchange through a pool head ed by J. P. Morgan and other finan ciers, in order to avert a ruthless sell ing out of stocks held by

8. October 31, 1907 Cameron County Press Emporium, PA
Article from Cameron County Press, October 31, 1907

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MORGAN PREVENTS A PANIC FORMS A POOL AND LENDS MILLIONS IN WALL STREET. Worst of the Financial Crisis in New York City Is Believed to be Over -Three Small Banks Fail. New York City-As a result of Thursday's developments in the financial world there is every indication that the crisis in the banking and trust company situation has been safely passed. The Trust Company of America all through the day paid out money to depositors and closed the day with all demands having been met. The day was marked by noteworthy episodes. First came the announcement of trouble in three minor state banks in Harlem-the Hamilton bank, the Twelfth Ward bank and the Empire City Savings bank. These banks transacted only a neighborhood business and their suspension of payment was absolutely without significance as bearing on the general situation. By far the most notable episode of the day was the emptying of millions of money into the stock exchange through a pool headed by J. P. Morgan and other financiers, in order to avert a ruthless selling out of stocks held by brokers which was threatened because of their inability to obtain renewals of loans on which these stocks had been carried. A remarkable condition brought about this extreme stringency in money, which had gradually forced the interest rate up to an almost unprecedented figure. Certain large interests with great financial resources had been charging usurious rates of interest on call loans. One institution that had been engaged in this practice was a member of the clearing house and was severely criticized by other bankers for its action. As a result of the criticism this institution withdrew its support and declined to offer money on call on the stock exchange. The effect of this was to run the rate for money up to 100 per cent. and when that figure was quoted an extremely sharp decline resulted in the stock market, Union Pacific, a 10 per cent. stock, selling down to par. Notwithstanding the high rate for call money that might have been obtained, the National City bank, John D. Rockefeller and other prominent moneyed interests sent funds to the stock exchange to be lent at 6 per cent. These sums, however, were not sufficient to meet the demand. At the time that excitement was at its height announcement was made that a pool had been formed, with J. P. Morgan at its head, to come to the rescue of the brokers for whom it was necessary to provide funds at once, in order that they might carry the stocks they were holding for their customers. The Morgan pool brought $25,000,000 into the loan corner of the exchange, where it was quickly distributed. The effect of this relief measure was instantareous and the rate on call money dropped from 100 to 10 per cent. Stocks advanced more rapidly than they had declined.

9. November 1, 1907 The Chanute Times Chanute, KS
Article from The Chanute Times, November 1, 1907

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THE FLURRY OVER There Is Every Indication That Crisis in the Banking Situation Has Passed. MORGAN POOL SAVED THE DAY The United States Treasury, Rocke feller and Morgan Furnished $60,000,000 to Check the Downward Stock Market. New York, Oct. 25.-As a result of Thursday's developments in the financial world there is every indication that the crisis in the banking and trust company situation has been safely passed. The Trust Company of America all through the day's banking hours paid out money to depositors as rapidly as possible and closed Thursday with all demands having been met. A very favorable feature of the situation respecting this company was that it was able to make its payments with very little assistance and another was that the company received over its counters in the morning hours in ordinary deposits more than $1,000,000. The day was marked by these noteworthy episodes. First and earliest in the day came the announcement of trouble in three minor state banks in Harlem-the Hamilton bank. the Twelfth Ward bank and the Empire bank. These banks transacted only a neighborhood business and their suspension of payment was absolutely without significance as bearing on the general situation. State Bank Examiner Judson declared Thursday afternoon that all three were solvent and that their depositors would lose nothing. The second episode was a run inaugurated against the Lincoln Trust company. At the close of the day the comthey pany's officials announce that were fully able to meet al. obligations. By far the most notemble, even dramatic episode of the day was the emptying of money into the stock exby D.