15333. Bank United States (New York, NY)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
December 1, 1930*
Location
New York, New York (40.714, -74.006)

Metadata

Model
gpt-5-mini
Short Digest
3d54fe08

Response Measures

Accommodated withdrawals, Borrowed from banks or large institutions, Full suspension, Books examined

Other: Large legal/ criminal investigations, indictments, and prolonged liquidation proceedings followed the suspension.

Description

The Bank United States in New York experienced heavy withdrawals in late 1930 tied to revelations of mismanagement and suspected fraud, was suspended/closed in December 1930 and placed in receivership/liquidation thereafter. Sources describe sizeable withdrawals (20% between Sept. 24 and Dec.), depositors lining up at branches, the superintendent taking the bank, receivership petitions and later liquidation/legal proceedings. Cause is bank-specific adverse information rather than a random rumor.

Events (3)

1. December 1, 1930* Run
Cause
Bank Specific Adverse Info
Cause Details
Progressive withdrawals/large outflows tied to revelations of gross mismanagement, alleged missing assets and scandal around the bank and its affiliates.
Measures
Depositors were permitted to apply to Clearing House banks for loans secured by certificates; protective committees and legal groups organized for depositors.
Newspaper Excerpt
the 77 days between Sept. 24 ... and Dec. ... deposits the bank shrank 20 per cent in the 77 days ... withdrawals by informed timid depositors
Source
newspapers
2. December 1, 1930* Suspension
Cause
Bank Specific Adverse Info
Cause Details
State superintendent of banks intervened after discovery of asset shrinkage and alleged mismanagement; bank suspended payments and branches were closed to the public and depositors gathered at branches afterward.
Newspaper Excerpt
the day that the bank suspended payments ... conferences continued up to their unsuccessful termination early in the morning of the day that the bank suspended payments
Source
newspapers
3. December 16, 1930 Receivership
Newspaper Excerpt
petition for receivership filed against the Bankus Corporation ... Details of the plan for lending depositors explained by the Bank ... the closed bank ... applications for loans were made by depositors ... petition filed yesterday (Dec. 16). (article reporting receivership/receivership filings and liquidation actions).
Source
newspapers

Newspaper Articles (15)

Article from The Orlando Sentinel, December 16, 1930

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FORBES The banking situation in York been greatly improved the closing grossly managed United States. known bad condition this bank unsettled feeling York financial circles. Now that been cut out, York bankers entirely confident. other institution the shape was the Bank United States. political scandal the first magnitude predicted street the inside story of the bank's extraordinary activities brought to light. Here questions the stock. holders' protective committee into and want answered: How that such title, Bank United States, grantthe state banks the protest of the Albany the most fluential bankers New York, pointed that such mislead the ignorant into believing that the institution the United States government? How came that that same banks the charter director the bank when failed? Who was responsible for the prepared, covering the state investithe bank last By unique were the figured penny, tion's surplus? Had the losses given one dollar the law would that the stock the assessed. who for the New posits only before judgment left that bank when banks the the Trust, the Trust and the Bank each had more than Chase bank, checking account, different category.) What underlay ganizing no than sidiary by the Bank United States when they began names varieties, got hold Paris directory used the names of Paris streets. ble for lending these them, $20,000,000 of the for lending nearly depositors' money real estate Were any the connected way with those identified the bank What the financial dealings between the Bank United States and the Bankers' Corporation, its adjunct, which, Bank, in carry including borrowing and lending and Just when did the state superbanks first receive report the Bank United States from his own did he do about such first And take him for opening branch and taking money deposthree weeks the suspension? New York bankers have long that the Bank UnitStates above all others powers that These bankers befriended this "outlaw" bank, they called this institution itself outside the York and thus removed itself from strict discipline imposed upon Responsible bankers wonder whether was not political favor Bank which ultimately proved earned and retained too high to the bank's depositors. Happily, no other New York bank similarly New York banking the strongest has banking history. Bank United States menace removed, the sky cleared and bankers predict distinctly brighter (Copyright, 1930, by Forbes) here from Ashburn, Ga. sons, and the play, Millions.' given school night. Miss Martha Frazier urday night Soda Little James Barnhart this celebrated his Tuesday his Aunt's Main street. Eight gathered with him celebrate. peanut and Wheeler first second James many useful presents. Mrs. Ett, and left Tuesday for their home Cloud. Rev. Fraiser visiting Lakeland week attending ference. Miss Myrtle Sykes of this leading votes the contest being held the Dixie Pharmacy. She leading by 1320 Denham home Frifrom his farm Mt. Pleasant, and James Fillden left Tuesday for time the Industrial Supply States Smith Tuesday where the term of the Seminole County Circuit Court. Earl been Pharmacy Saturday for Daytona Beach, where accepted the management Dawson and this moved Hazelhurst, where they make home. Robert left Wednesday home New York City. William went hunting Tuesday the terrinorth which their


Article from The Herald Statesman, December 16, 1930

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Closed Bank Get Depositors First Opportunity On Loans (Continued From Page Department. granting in puts the where its affairs junction the affairs of the Bank United States. Details Explained Details of the plan for lending depositors explained by the Bank charge auditing, who has special Mr. BrodFarrell formerly examiner. Depositors, wishing take advanthe banks New York Clearing House sociation, may to the branch the closed bank which they did there and present the the Banking charge, request will attached data reladeposit set forth. The depositor will be his and will then certificate deposit. identify lending bank, upon which affix ture, and make out an account be pledged collateral the loan. Both the assignment and the application must attested by notary. Notaries will stationed in each branch without When claims have been will be made for the clearing banks the States and these get distribute the loans, will notified which bank they borrow from. Those having claims against the bank which they into three classes, holdand holders checks and drafts against the bank in the special Interest for depositrequired their last and holders cashier's checks must produce those to get certificate enapply for Persons drawn the Bank United States by vidual the bank have claim against bank, from the deposichecks. Silent Receivership Mr. Broderick had no comment make an equity for the Bankus poration. Superintendent Banks had previously said inquired affairs that organization, but the nature courtesy extended since does not his The Banks, had under the offices all day Sunday, his mother Mrs. Susan the Broderick, died Mr. Broderick mother's bedside at the time her According the petition for ceivership filed against the Bankus Corporation the company assets valued including ties with book value of the major Bank United units. Most the corporation's assets, consists stock and filiated Liabilities about including notes payable. Made Big Loans The Bank United States has 000,000 Corporation. Francis Kohlman the firm Kohlman Austrian, Mr. Broderick In the petitioning forth that assets poration to be the present time would be like their presbook value. Bankus Corporation was formed authorized capital 720,000 shares par value. Its present capital amounts to shares to the petition filed yesterday. the corporaand the Bank of the United States was in consisting the that the Bankus had largely estate building that the Bank United States had Irving Joseph. the Municipal last night most of the assets the HOT DOG VENDORS DO FLOURISHING BUSINESS New York. Dec. 16 did beside of men depositors in the Bank United stood the cold waiting to apply will enable the borrow from Clearing House banks up half their deposits in the closed Bankus Corporation and the City nancial Corporation are in real mortgages application for the appointment simply protect equally and case equable the he He pointed the receiverships apply concerns specificially not their subsidiaries. Expects Re-opening The Bankus Corporation and the Financial Corporation are both housed 475 Fifth Avenue Authorthe Financial includes shares Class no par stock. of which 424.outstanding and 300 shares Class no stock. Assets are $6,326. and consist notes receivable. Liabilities total Harry Reichenbach of 565 Fifth Avenue, was relations Corthat Bank United reopen weeks He that has family average account of $200 Among the several protective yesterday positors the of United States organized the Bronx, scene of the original which sulted in the closing the bank. headed some the larger positors Freeman Street branch. Mitchell Luftman of 302 Broadway offered his services as compensation. the auspices the Broadway cludes wholesalers 4,000 dealers instalment which has headquarters that 239 Broadway, represents members and tied in closed bank. Joseph adviser the East Side Merchants' Association, Steuer Accepts Max D. Attorney of Broadway, accepted yesterday pointment general counsel organization the Bank United States Depositors Protective which County chairman was that this tee was prepared the bank City will night announced City Bucksaid the city had funds deposit either Bankus poration the Financial poration. The Counsel's office claim for the which had deposit closed Bank United which the Bankus and City corporations affiliated Deposit Protected was the deposiBank United having the bank when closed. by bond against loss and creditorship under the


Article from St. Louis Post-Dispatch, December 18, 1930

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VANISHED FROM Max Steuer Declares Such Sum Could Not Honestly Disappear From Depository Now Closed. By Leased Wire From the New York Bureau of the NEW Dec. Steuer told 1200 stockholders of the Bank United States last night that in the 77 days between Sept. 24, when the bank made its report the State Banking Department, and Dec. when closed. disappeared. be true that in days could not have disappeared honSteuer said that until the last penny is paid to depositors he will on the job until everyone done anything wrong brought the bar of justice and made pay the penalty for what he has The meeting the first be held in every borough. Other during day by Suof Banks Broderick that deposits the bank shrank 20 cent in the 77 days tioned by and that plications for loans were made depositors. The 20 per cent shrinkage brought deposits from reported on Sept. 24 to 000 on Dec. showing that the the bank had been withdrawn by informed timid depositors. City Court Justice Louis Goldfirst speaker, told the audience that the failure largest and worst in the history of the he "can fail its and dillby its officers." Steuer's charge, Broderick today declared all assets called for by the books had been for. formal statement, said: Banking Department has been closely constantly the fairs this institution for months. assets as called for by the books have been accounted for since the department has taken shrinkage, however. has been found by the Banking Department between the book and sales value of the securities held by the bank Broderick did not say what the shrinkage The dates mentioned by Steuer those the bank made its last formal report and when the stitution was taken by the Banking Department.


Article from The Brooklyn Daily Times, January 5, 1931

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BENNETT TO NAME EPSTEIN ASSISTANT Decision Reported Reached in Week-end Conferences With Demoratic Chiefs. By GEORGE CASSIDY Henry East York, today appeared to tremely likely to named Assistant Attorney General tween Attorney General John Bennett, and Democratic This the post. paying for which Mr. first considered. was learned good authority and was only shortly before the first of that proposed head of the Frauds Bureau. Opposition Arose Opposition developed to Ing the place because tionship Max Steuer, who been active in behalf of group depositors the closed Bank United States Mr. Epstein of Mr. Steuer. pointed first assistant, Mr. Epstein would have nothing to do case, and would be stationed Albany. Friends of Mr. believed he would preferred assigned nearer his Brooklyn Final decision as to the appoint. ment of assistant in charge the Fraud Buerau today remained uncertain. Second Assistant Attor: ney General William J. Mahon, the First D., is temporarily charge. not only the office, of the Labor Bureau and the New York City Bureau. He was to begin dependent probe of the Bank United States affairs this afternoon, after having reviewed the reports already compiled by Watson Washs burn, the retiring Republican head of the Frauds There was reported to sibility that Mr. Mahon eventually would be placed in charge of the Frauds Bureau permanently. The place pays $10,000 year salary. This would mean increase of year for Mr. Mahon. Beer May Get Post Should this shift be made, believed Mr. Mahon's present might filled by another one the Brooklyn Democratic under Ward Beer. Brooklyn School Mason, of the Second Thomas President the Emerald Society, a resident the In any event, Brooklyn obtain several more under Bennett, himself lynite and member Kings County Leader John H. McCooey's Mr. Epstein. who was graduated from Harvard School with honors, at Jerome He the backing an in the General's office not only McCooey but Leader John Curry. Mr. himself. known regard for Epstein's legal ability and other The fact that Curry has pushed Mr. Epstein lieved open for the still lynite the Attorney office creating There are tant places that naturally filled by Manhattan These include head New York and Labor Each salary of there the bureau, paying from nually, number of which become vacant place or Manhat Democrat that investigator. $7,500 year.


Article from The Akron Beacon Journal, January 7, 1931

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Points Out New York Closing Could Have Been Avoided URGES MANY CHANGES By CHARLES F. SPEARE WALL STREET NEW YORK Jan. urging an the banking which would permit prompt of banking institutions emergencies, Joseph Broderick, New York superintendent banks, his annual report released for publication noon today, makes this striking statement: "Had the present law contained such provision, Bank United States would have been merged one of our strongest institutions its closing avoided. It generally known that there were the officers and directors the United States and other New York take over the former and that conferences continued up to their unsuccessful termination early in the morning of the day that the bank suspended payments. The last effort to this was said have been made in behalf of subsidiary of one of the large New York banks. Approval Involves Delay Broderick points out under the present law, mergers become effective must by involves deal of delay and aggravates situation has made the merger desirable. change the law now being considered will permit merger the approval the banks and the superintendent boards of any two or banking institutions and more makes ample provision for the protection the interests stockholders the merging institutions. Out the experiences studies the past year, the superintendent finds desirable that of banks numerous be to the banking law in New York He attaches his report recomfor of such mendations changes, which that relating to emergency most important and which probably the greatest degree attention the future. of known banking cirsuch mergers have been cles that different of the effected in country in the three months and that. through them, great deal of distress bank depositors in banks has been and stockholders Segregation Is Advocated made by Other Superintendent Broderick that will brought the undoubtedly form bills before the legislature at Albany have do with the segregation thrift accounts banking institutions in cities with popula75,000 and over and placing on the investment restrictions thrift also the requirethat banks and trust comment maintain reserves against time deposits: another permit superintendent banks appraisals real estate properties owned by or and institutions impartial appraisers of recognized standing bill has already been introthe legislature designed to protect thrift and savings in banks and trust This brings banking circles that up back when the superdates banks recomintendent mended that banks or trust companies, establishing or maintainspecial interest departments the benefit of the provident and frugal poor" should required to invest deposits in accordwith the law investfunds Makes Significant Statement The notes that between report Oct. and Sept. 30, 1930, deposits in general were on the decline, there an increase the deposits banks New under state makes this York significant statement: More the showed decided cently public for this class of institutions placing deposit them large sums of withdrawn from commercial instituis understood that one New York savings bank has $30,000,000 deposits since Dec.


Article from The Independent, January 10, 1931

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Broadway VAN RAALTS NEW YORK, Jan. time you someone "moanin" low" about the materialism of the present day recount the of the Old Fashioned Father who has Just brought suit against his tutor having imparted to Little the stunning that There Ain't No Santa Claus BANKING PROBLEMS When the Bank United States curled up the other depositwith balance $4000 borrowed half the amount per cent and carried the $2000 to the Chelsea which few days put up its shutters. remarked Depositor in the days of my youth had in the intricacies and peculiarities banking, placing contiguous to the tive of the plumbing business. KEEP SMILING All day long, round the various branches the suspended banks, groups of gloomy. vociferous, outraged and depositors gather, what comfort can from the propinquity and by re hearsing details of The Calamity They are all in the same boat-and all seasick -At intervals policemen saunter by, that the groups disperse and retire to their in peace. An elderly woman in one of the admonished to assail the bluecoat's with the futle query: "When do you think the bank will open The policeman didn't know any more about it than she why harry the poor woman further by display ignorance? "Don't lady, said the cop. got ten there, meself- ain't worryin'!' OPTIMIST AND PESSIMIST Tragedy descended Mazda Lane in earnest when the Cheslea suspended. isn't big But located in the heart the district was good enough as repository for nickels and dimes of folk of the electri-


Article from Buffalo Courier Express, February 12, 1931

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Kresel, Scourge of Courts Corrupt, Himself Before Bar Small, quiet investigator very badly" at arraignment on bank charge New York, Feb. Kresel, scourge of corruption in New York courts, answered an indictment charging felony in general sessions court. The small, quiet man, who resigned night investigator the istrates' bench, from and, with seven other associates in Bank United States, guilty to charges resulting from suspension. unruffled, Kresel faced the with the same the vice squad men, stool pigeons, and Only when Judge Allen, shattering all precedents the court, reached shake his hand ask him felt, did Kresel betray very badly,' was his Kresel five his associates held for trial in $10,000 bail. the cases Bernard K. Marcus, president, and Saul Singer, dent, the bond was Through John Davis, Kresel issued ing for the of the public his the He declared his his belief he would directors Bankus affiliate bank, pay back losses of the 000,000" for filed Irving Trust The latter concern trustee in for the Bankus Corporation. Kresel, Marcus and Singer were among the directors named. Samuel Rosoff, millionaire subway contractor, submitted to Banking SuBroderick plan organizing closed this plan under name capital He declined to discuss its but declared "high class backers" and would yield depositors 100 cents on the dollar. The closed bank no connection with the government. High Court Gets Question Albany, court appeals today was asked decide whether an attorney general's subpoena testify in connection with the Bank United States tional of the citizens. decision expected by Friday Appearing before the court to pretheir respective the question were Max Steuer, heading the investigation the Charles the bank's Bernard Marcus Saul Singer, president and men, indicted yesterday in connection with the investigation, procured court their fight against tesThe effect the to cure for their time proappear before the court of appeals an attempt to order permitting the men ignore poenas issued Attorney General Bennett, The technical point which the argument hinged was the question whether person's rights were upon the mere of subpoena whethcould be sidered after the person had obeyed the appeals favor the first point, question, subject to court opinion, would be before the high court.


Article from The Times, February 13, 1931

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BoBroadway By JOSEPH RAALTE NEW YORK, 13.-Next time materialism of the presday the story the Old Father has just brought against his tutor having imparted Little Rollo the stunning information that There Ain't No Santa Claus. PROBLEMS When the Bank United States curled other day, depositor with balance $4,000 borhalf the five per cent the $2,000 which few days later put up its shutters. remarked The Depositor sadly, "that youth had specialized the intricacies and peculiarities banking, of placing contiguous to the of the plumbing business.' KEEP SMILING All day long, round the various branches the suspended banks, little groups gloomy, and philosophic depositors gather, extracting what comfort from the propinfellow and by rehearsing details The the same boat policemen saunter good suggesting groups and retire their respective domiciles An elderly woman in of the admonished, paused groups, assail the bluecoat's reiteration futile do you think the bank open policeman didn't about than did; but the woman further display the got grand there, PESSIMIST OPTIMIST Tragedy descended Mazda Lane


Article from The Gaffney Ledger, February 17, 1931

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Kresel. New York, Feb. 11. Isador J. Kresel. scourge of corruption in New York courts, answered an indietment charging felony in general court today. The small, quiet man, who resigned last night as investigator of the bench, arose from a sick bed and, with seven other in the Bank United States, pleaded not guilty to charges resulting from the bank's suspension.


Article from Hartford Courant, July 29, 1931

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U. S. Steel Dividend Is Disappointing Wall Street Anticipated $1.25 Rate Instead of $1 Declared by Corporation BY DR MAX WINKLER (Copyright, 1931, by NANA. Inc.) reduction in the quarterly dividend rate of United States Steel which July been maintained since rate has slightly Street anticipated the declaration The board also suggests the neces of an officers and other While nothing was said in regard the to which would be bearing mind that worth to 15 per reduction in wages cent would. from the standpoint compare dividends of reduction in the cent. The reduction dividend per drastic than anticipated render easier whatever wage adjustments be effected. adhere to the high who wage Those theory maintain that reductions defeat one tend to would jective in which President and critics are agreed severest restoration prosperity namely Steel that United They add in this duty afford forwhich cannot crisis the huge in view especially places the corporation that surplus from smaller different cerns. class must choose shutting reoperating costs or duction of down. overlook. howthese people What the sharp debusiness poor increase in and the earnings the dollar purchasing reasonable wage of which apparent than more Merger Appears Favorable. of the merger tween Consummation Standard Oil New York and Vacuum expected to exert favoronly on the able effect not but on the industry general Charles president the combination the oil should already has the factor that stabilizing good competitors Mr nott adds that must and of joint advantages Middle West Banking Same the Middle banking West does not seem the first six months 684 closed with aggregate deposits with 477 compared with same deposits totaling month Suspensions for the since of of banks deposits amounting $218,013,000 were the largest total for one month for failure of the year when the Bank United States accounted for record total of deposits to be fected by bank suspensions Dollar at Discount. How many that four important financial centers the United States dollar quoted discount? Tuesday the dollar was worth Paris per the was in cent Zurich, the discount WRS largest per the dollar being at only Nations May Come Back Many country whose bonds selling years bankruptcy high hence come credit risks recalled that many years ago. France Scandthe United States paid whatever the ranged home latest market example of Bonds and are being about and Water France expected take France and Hungary has Boston Labor


Article from Press of Atlantic City, August 5, 1931

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Takes Priority Claims Of Bank To Court State Banking Official Seeks by tlement 'Serious Problem' 5944 NEW YORK, Aug. manager the State 32, 6346 Deputy Alvin Banks Fred today asked an Supreme make when the men store order settling the "serious problem' One which claims Kashmere bill. priority handed against Bank United States turned the cash mere paid. change then Under common he told him pointed the state New York had deposit Boy, Fails to Save the bank, have priority, while Sister, From state banking statute also Helen Sykes, savings Wissahickon grants priority drowned credit foot Monastery avenue, the which have closed despite efforts deposits today, bank brother, Arthur, the case the state of New after dived entire deposit child with her The guaranteed Arthur and Richard, surety companies. Three friend Bertha, panies have already their 26th The Fay, share. state assigned its claim going fishing and the girls against the bank these along. the amount which they paid Helen slipped fell into when the bank was closed. Arthur plunged deep. Sues On Berry Loss pulled down until was Anna Pullia, Hammonexhausted and ton, has barely able his own pleas court against her Woman, Accidentally Shot Mrs Pullia the owner of street, Companion property Accidentally shot the back the Friday while her suitcase in the dump. her motor trip Pullia alleges that the Florence Boyd, 1235 negligence the city allowing died afternoon in and other to her Boyd shot by raspberries, she Mrs. crop wither and hands Austin, result fruit. cording police. Austin street The damages asked are $1,000.


Article from The Buffalo News, September 1, 1931

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OBJECT TO PROPOSAL Bank of U. S. Group Against Broder30 Per Cent. Dividend. NEW YORK Sept. Bank United States and Stockholders' Protective association has filed in the Supreme the recent of Joseph A. Broderick state of banks. for 30 per cent. dividend in liquidation of the bank. The association through legal counsel. that at least 45 per cent dividend be paid. Legal and service fees for the six ths ending July 31 called "grossly excessive in the brief. said It was opposed to any dividend payment before Oct. in order that plans may be completed to reorganize the In objecting to the payment of $100 00 to C. Austrian and $50 to W. Fielding for legal services the banking and 30 in salaries to bank the tion said approv by the court of "high expenses the liquidation of the bank would prove dangerous precedent in any future bank failure.


Article from The Jersey Journal, October 8, 1931

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FINDS BANKS EDISON PASSES (Continued) RESTLESS NIGHT average bank depositor determine just how liquid his bank been for the last report that of June the intervening three months had occurred securities up-to-date figures are described by Presiin his which been wholly unjustifiable currency from the banks" had led hoarding estimated high Another phase this flected in the taking money the banks depositing the system the deposits this system nearly per had added during that During 1930 there in the United 1,326 banks about deposits reopened. In the eight months Aug. 31 this year there 932 deposits Of the had less 195 also that the was steady this the alarm the that had about the mation the Liquidation One the results of the indefinite tying the funds the deposiThis works great hardship on Receivers banks been tremely liquidating their returning to deposportion the proceeds marketable due This delay carried an aggravating degree Bank United States that may cannot pay its its pension, at least third of their claims. This has been recognized by the Comptroller the plan under which the creditors of insolbanks obtain portion deposits few days the profor the "revolving out liquidation There where and state are resented the deposits closed The inavailability these has immediately all public the neighborhood added to the number unemployed. No Weaker, ThoughAmazing," Doctor Says. WEST ORANGE Edison spent night but did appear Dr. Hubert announced in his morning bulletin Edison passed very restfair breakfast and does weaker last night. appear His vitality is amazing.


Article from Times Union, May 18, 1932

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TESTIFY LEHMAN, FOR BRODERICK Alfred E. Smith, Charles S. Whitman Called by Defense as Character Witnesses. Two Governors and Herbert Lehman, present acting Governor, were witnesses today at the trial of Joseph Broderick, State Superintendent of Banks, who is on trial for neglect of duty for his delay in closing the Bank United States. Alfred E. Smith and Charles Whitman were the former Chief Executives of the State who testified character witnesses in Broderick behalf. Mr. Smith was the first of the called. general laugh, which he ticipated, resulted when Judge nellan, an appointee of the former Governor, pointed out that he testifying without having given his name. Lacks Banking Knowledge It was echoed moment later when Mr. Smith, who still receiving messages for recent radio address in which outlined program economic United States, he did not understand banking. Mr. Smith said he had heard Broderick's reputation for honesty, integrity and probity referred best" and that he "belleved be you familiar with his reputation banker," Concounsel to Broderick, asked. have personal knowledge don't understand banking,' Mr. Smith said. "But have heard spoken of in the highest He was George McLaughlin, president the Brooklyn Trust Company former State Superintendent Banks, followed Mr. Smtih on the stand character witness. Both Praise Defendant Both gave accused official high praise his honesty, integrity and reputation in the banking community. Mr. Lehman testified both as character After testifying that he had known the defendant for 25 years, Mr. Lehman told of participating the effort to merge the bank with another institution during November December, 1930. Regarding the 11th hour effort Dec. day the bank was closed by Broderick, Mr. Lehman that talked to Governor George Harrison, the Federal Reserve Bank of New York, on three separate occasions. also had the group bankers trying the bank. about o'clock that night, hours before the bank was taken over Broderick, Governor Harrison that was When he questioned regardreputation, Mr. said was devoted, tious and public serWhen the objections of Max D. Steuer, special prosecutor, tained General Sessions Judge Donnellan, Broderick was "very highly regarded." Lehman On by Mr. Steuer, Lehman was asked garding the which had the reorganizathe City Trust Company. the subscribed the bankers on that occasion con-


Article from Birmingham Post-Herald, February 1, 1934

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The Spotlight WICKES WAMBOLDT Precautionary Measures HORTLY before Bank the deposithat rumors called identified with bank, "Say, Max, deposit Bank United States. Should draw Max hemmed hawed and talked all around and blurted Thus tipped off, depositor out $55,000 days before Bank United States cracked Later, meeting friend Max for what had done "What did inquired Max. my the United "Did queried don't remember about "Oh, did." asserted the he tail the Max looked doubtful. next the received Max for $5,000 for Meeting on the street subsequent former greeted him fine day, Max, isn't Then lifted warning hand to head and Max, I'm telling not asking Rules Order After board had stewed their own juice for number and the public had thing then the der: the following rules of No member this board shall than hours permission board Members this board anecdotes. cussion question to tell irrelevant expressions "liar," "thief," fool applied even another, objectionable appearing before this board intention of shooting manager, must board squirting rotten through his teeth the siding officer shall be out of member of this board who fails ancestry order. shall the duty of the presiding officer to enforce these shotgun, which fund to budget. time the officer presiding wishes make surrender the gavel leave walk around the salute flag three times exclaim gustibus understood and agreed cept where conflict the foregoing the this be governed by Marquis of rules.