15632. City Bank (New York, NY)

Bank Information

Episode Type
Run Only
Bank Type
state
Start Date
September 20, 1873
Location
New York, New York (40.714, -74.006)

Metadata

Model
gpt-5-mini
Short Digest
c8ca05f5

Response Measures

None

Description

Multiple articles (Sept 1872–Oct 1873) describe heavy withdrawals and runs on New York City Bank during the money panics (notably the Panic of 1873 / Jay Cooke collapse). The bank's officers repeatedly asserted they could meet demands and there is no evidence in the provided articles that City Bank suspended payments or entered receivership — thus classified as run_only. I corrected OCR garble in the Donaldsonville piece to read that 'the run during entire continued' referring to City Bank on about Sept 20, 1873.

Events (1)
1. September 20, 1873 Run
Cause
Macro News
Cause Details
Run driven by the wider financial panic following the failure of Jay Cooke and collapse of confidence in September 1873 (general money excitement/panic).
Measures
Officers declared the institutions able to meet demands and continued to pay; bank advocated resumption of legal-tender payments and maintained specie/currency dispositions.
Newspaper Excerpt
the run the during entire continued, holding of both declare officers institutions to meet ability demands be and made them
Source
newspapers

Newspaper Articles (5)
1. September 20, 1872 New-York Tribune New York, NY
Article from New-York Tribune, September 20, 1872

Click image to open full size in new tab

Article Text

WALL-ST. MORE QUIET. SEVERAL HEAVY FAILURES REPORTED-CHANGES IN ERIE. Comparative quietness followed, yesterday, the wilder feeling of the previous days in Wall-st. The effect of the heavy speculation and unsettled prices of the past few days has been to increase the list of failures on the Stock Exchange by the addition of two unimportant brokerage houses known as G. D. Munro & Co. and Samuel Lapsley. Considerable discussion was excited in financial circles by the failure of John Fox & Co., merchants, of Mincing-lane, London, with liabilities amounting to £500,000, or $2,500,000. They have connections with several American houses, and their suspension was caused by the recent failures in Baltimore. Another failure in the grocery trade was announced-that of Messrs. Phillip Dater & Co. of No. 112 Wall-st., for many years engaged in that business. It is believed that they had accumulated large stocks of tea, coffee, and sugar at high prices, and that the repeal of the duties on those articles, with the depreciation in price, was the immediate cause. Still another house was reported to have suspended, but the name was not obtained. Money was comparatively easy yesterday afternoon at from 5 to 6 per cent, although earlier in the day it had been lending at from 7 per cent currency to 1 per cent commission. Much feeling was created by the operations of Henry N. Smith, formerly of the firm of Smith Gould, Manton & Co., who is said to have combined with others for the purpose of locking up money. Mr. Smith, accompanied by a porter with several sacks and a carriage, proceeded to many of the banks in Wall-st. and its vicinity upon which he had certified checks, presented them to the respective paying tellers, and demanded legal tenders. His demands were refused at the City Bank in Wall-st. and at the Bank of Commerce in Nassau-st., Mr. Vail, the cashier of the latter institution, declaring that he would not pay the checks in that manner, as by doing so it would be a practical connivance at locking up money. Mr. Smith insisted upon having legal tenders, but was informed that his checks must take the usual course and be redeemed through the Clearinghouse. At the Fourth National Bank payment was refused at first, but finally granted. About a month ago it was resolved to place the maintenance and operation of the Erie Railway under the control of Vice-President Diven, and to divide the organization of the road into three departments, those of transportation, road, and rolling stock. Yesterday President Watson made public an order carrying this change into effect. An order from the Vice-President appoints Robert M. Brown Superintendent of Road, with full charge of the track, bridges. building, docks, and wharfs, and with headquarters at New-York. It also appoints Harnden D. V. Pratt of Elmira, formerly Division Superintendent, as Superintendent of Transportation, with charge of the movement of cars, loconotives, passengers, and freights, and with the responsibility of safe and expeditious transit. Myron E. Brown of Buffalo is appointed Superintendent of Rolling Stock, having full charge of locomotives and cars and the Company's repair shops.

2. September 20, 1872 The New York Herald New York, NY
Article from The New York Herald, September 20, 1872

Click image to open full size in new tab

Article Text

Bank of Commerce, Mr. Henry F. Vall, refused also to pay legal tender 8 for checks for $131,000, and, persisting in the refusal, was waited upon by a notary, who PROTESTED THE CHECKS in the us nal formal manner. Subsequently he was served with a summons and complaint by Mr. David Dudley Field, on behalf of Mesars. Smith & Gould, who have commenced a civil suit for the "money. To the notary's demand he returned the following answer on behalf of the bank:As we are aware that these checks are presented for the purpose of withdrawing from use legal tender notes, we decline paying them over our counter or otherwise than through the regular exchanges from the Clearing House, as customary. In this answer Mr. Vail raises a novel and tugenious defence. As for the Implied bankruptcy in the refusal to pay legal tenders, the ten millions capital of the bank is an efficient offset to any discredit of the institution in the public mind. The conduct of the two banks, while certainly against THE SPIRIT AND LETTER of the law as to banking operations, will doubtless be warmly applauded by business men. The only penalty will be the costs of judgment, which result can be staved off for twenty, forty or perhaps sixty days, and meantime the clique has been utterly vanquished. This last feature of the Wall street excitement is one of the most remarkable developments of the occasion. It is said that the action of the two banks was wholly devoid of collusion and was A SPONTANEOUS IDEA with each. If ratified by the Clearing House Association, as It doubtless will be, for that body must be consistent with the rule expelling banks having anything to do with "locking-up" operations, and if the law courts do not declare the banks bankrupt, as they can hardly do without stultification, the extraordinary course of the City Bank and the Bank of Commerce this afternoon opens up a way of checking and repressing clique operations in the money market for the future. As for the moral and legal points involved they will be a curious study for everybody. The public will discuss the former and the lawyers the latter. The views of the most interested parties, the clique leaders themselves, are given below as they were communicated to one of our reporters this afternoon, and they enter very naturally into the history of this most curious combination of Wall street EVENTS AND INCIDENTS. When the defeat of the clique, temporary or otherwise as it may prove, became known, the money market relaxed instantly and the rate on call fell to 5 per cent before the close of banking hours, the final quotation being 4 a 5 per cent, figures strongly suggestive of the quiet and calm of last week, before the clique began their "sad, eventful history." In the stock market the chief fluctuation was in Erie, which sold at 55 cash against 54 regular, the rate for cash stock ranging up to 1 1/4 per cent and down to 1/4 per cent. The general market closed quiet and about at the opening figures, C. O. and I. C. being exceptionally lower. Panama declined to 125. The suspensions referred to in the preceding column are George D. Muaroe & Co., stock brokers, and Philip Slater & Co., wholesale grocers. GOVERNMENTS HIGHER AND STRONG. The government list was strong throughout the day and closed at a further advance of 3/1 a 1/4 per cent for the gold bearing issues-a direct consequence of the relaxation in money and the advance in gold. The currency sixes were exceptionally heavy and lower. The following were the closing quotations:-United States currency sixes, 111% a 1121; do. do., 1881, registered, 1131/2 a 113%; do. do. do., coupon, 11516 a 1153/; do. five-twenties, registered, May and November, 114% a 114%; do. do., 1862, coupon, do., 114 1/6 a 114% do. do., 1864, do. do., 114% a 114% ; do. do., 1865, do. do., 114 1/2 a 114%; do. do., 1867, registered. January and July, 1131/6 a 11314; do. do., 1865, coupon, do., 1131/6 a 1131/4; do. do., 1867, do. do., 113 1/2 a 113%; do. do., 1868, do. do., 113 1/2 113% do. ten-forties, registered, 107% a 1081/1; do. do., coupon, 08 a 108 1/2 do. fives of 1881, registered, 110% a 1111; do. do. do., coupon, 1103 a 1111. SOUTHERN SECURITIES FIRMER. There was a better inquiry for the Southern State bonds and a general recovery in prices, actual as well as nominal. The Tennessees sold at 721/2, but were afterward offered at 72. The following were the closing quotations:-Tenness ex coupon, 71 a 72; do., new, 71 a 72; Virginia, ex coupon, 44 a 47; do. registered stock, old, 37 a 39; do. sixes, consolidated bonds, 50 a 51; do. sixes, deferred scrip, 15 a 17; Georgia sixes, 70 a 78; do. sevens, 86 a 88; North Carolina, ex coupon, 32 a 34; do. to North Carolina Railroad, 45 a 47; do., funding, 1866, 23 a 25; do. do., 1868, 21 a 23; do., new, 20 1/2 a 22; do., special tax, 12 a 14; Missouri sixes, 91% a 92; do., Hannibal and St. Joseph, 85 a 88; Louisiana sixes, 53 a 57; do., new, 50 a 55; do., levee sixes, 50 a 60; do. do. eights, 70 a 75; do. do. eights, 1875, 70 a 80; Alabama fives, 57 62; do. eights, 83 a 86; South Carolina sixes, 45 a 55; do., new, January and July, 23 a :do. do., April and October, 23 1/2 a 25; Arkansas sixes, funded, 47 a 55. THE FLUCTUATIONS IN GOLD. The chief fluctuations of the day in the gold market are shown in the following table:113% P. 10 A.M. 114%

3. September 27, 1873 The Donaldsonville Chief Donaldsonville, Gonzales, LA
Article from The Donaldsonville Chief, September 27, 1873

Click image to open full size in new tab

Article Text

OUR C., P: ASHINGTON September LETTER. 20, a to is very give impossible of the recent account intelligible here, The panic. money excitement not does compare intense, though in all day York New that raging yesterday. the when morning, of the suspensions of the NaFrst Jay Cooke was tional general to no what think and alarm no The say. definite the whole during form, however, no and one form any could day, the would blows where heaviest the Mr. Knox, Comptroller of the took Currency, possession Mr. Edand National The great Stanton receiver. the felt was regarding SavNational Savings Bank availed to est anxiety banks, and itself the of its char- nodays thirty right require Of its from course depositors. on run any checks effectually morning doors about Yesterday of the the and Bauk Savings Freedman's and City Bank, Savings Washington the run the during entire continwell. each The ued, holding of both declare officers institutions to meet ability demands be and made them, upon this that by evening will have Much, subsided. of the turn upon depends in New York. to are up coming Secretary Appeals for aid, from all Richardson and was given assurance be that taken would action afternoon to the but to-day relieve pressure, in this which manner assistance was not indicated. renderod is this morning supposed to of offer several millions purchase at be will New York, made bonds to that believed instructions the Sub-Treasnight. those sentto This till likely have banks having be then securities to the into convert cash. it is be done done anything of the afpresent human to-day, as, if till Monday, next being occur. there is fairs continuit what may can rotten in something will certhis panic That present financial apparent system to every surely one. to was evident now be was coming, observing to say, yet, ago, months strange of the its dared public nobody had Your correspondent upwards approach. in a letter published to speak of this of our acter occasion two months ago with the char- and at that time that stated matter in connection circulating medium, storm was This was brewing. certainly opinion the fact the that upon values founded were congreenbacks sepfarther stantly the When 110 the and of gold being and farther price and of gold fell movement many erated. weeks ago to-day ended to in inglorious the persons welcomed returning security. defeat event as a sign others, of however, a closer harbinger of us. near upon observers, There were evil, who as regarded a token it that as the evil may day was Secretary of the Treasury to the banks The temporary relief to my mind there be afford the country, but evident than that but must are taken measures nothing more temporary unless than more important of mere Until bonds. purchase to clear way specie payment run will riot and confispeculation be not The dence restored. trouble in is no this that decisive connection in be can this step taken direction of the without authority Congress, will not that and until body meet upof two What hence. in the occur months meantime no one know. received Information of the the safe of the at rival Navy Department 0 Polaris Dundee, a on board Scotch whaling has also been dispatch

4. October 21, 1873 New-York Tribune New York, NY
Article from New-York Tribune, October 21, 1873

Click image to open full size in new tab

Article Text

duced below. POLICY OF THE BANKS. THE STRONGER INSTITUTIONS UNWILLING TO SHARE THEIR LEGAL TENDER RESERVES WITH THE WEAKER ONES MUCH LONGER-VIEW OF PROMINENT BANKERS-RESUMPTION OF CURRENCY PAYMENTS FAVORED. A TRIBUNE reporter, in search of information relative to the prospects of an early resumption of legal tender payments on the part of the banks, called, yesterday, upon the officials of the largest banks and bankinghouses, and received their views. Moses Taylor, President of the City Bank, No. 52 Wall-st., thought the payment of legal tenders by all the banks should be resumed at once, but be could not say that it would be, because a committee of bank officers had the entire disposition of the subject, and they had not yet held a meeting in relation to it. He believed an immediate resumption would restore confidence 80 far that money would flow in from the country in ample voime to relieve any temporary pressure on account of anxious depositors, though be felt sure that most of the banks had enough currency in band even now to meet any demands made upon them. In fact, so far as the accommodation of merchants and depositors is concerned, the large banks have never ceased to afford all aid demanded and had felt DO great strain upon their resources. They were to-day accommodating the mercantile community as freely as they had done two months before the panic, and be saw no reason why they should not continue to do 60. The resumption of legal tender payment was, in fact, a condition arrived at, 80 far as the large banks are concerned, but he thought its formal resumption the Bank Officers' Committee an important by matter. It would tend to equalize values and prices, relieve the minds of Western and Southern merchants, and unlock the hoarded greenbacks. Smaller and weak. er banks might feel a strain upon their resources somewhat at first, and some of them might experience great distress in consequence, but they could draw in their supplies and prepare for it at a moment's notice, and 80 be able to tide over it. He was very much in hope the formal resumption would be ordered at an early meetIng of the bank officers, and thought the proposition would be carried if the small banks did not oppose it. A HOLLOW ALLIANCE. The officers of the First National Bank said they were paying currency, and had been doing 80 all the time. Probably a dozen banks in this city are and have been doing just the same all through the erisis. Their busiDEAR is mainly with the country, and they had steadily shipped currency to the country banks as it was required. The result is that at present they are getting currency in return faster than they are called upon to pay it out. Indeed, very few of the best banks in the city suspended currency payments at all. The weaker banks felta severe pressure, and rather than increase their embarrassments the leading banks kept quiet as to their own ability to pay; but in fact, 110 depositor at these banks was denied a cent due him. The "pooling" process, the system by which the Associated Banks have united in an apparent suspension of currency payments for what was supposed to we mutual protection. will

5. February 13, 1874 The Fremont Weekly Journal Fremont, OH
Article from The Fremont Weekly Journal, February 13, 1874

Click image to open full size in new tab

Article Text

the Philharmonic Society, Green Bay, Nov, 1873, BY JOHN D. WILLIAMS. # AIR “Kitty and Ben.” -WEBSTER. I. Off you lisden avile, I vill dell you de news All aboud dem banics, vod give beebles de plues, De banks vas all pusted, de beebles dey shoud "Mine Got! I dond vas got mine money oud." Und vat vas der drouble? Vot pusted der pubble? Vy dem deafs in Nye Yark, dey got into a mnddle, Und chead all der beebles, mit pulls, and mit pears, Off dey go to der tyfel, vell nopody cares. II. I go to der National, von day off last veek, I sliteb to der tesk, und I see Mr. Peak; Und he say all der panks vas in a pad fix, Und dey all vas feel shaky, mit der awful banics. "Mine monish!" said I (He vinked mit von eye,) "I dond got a cent, if I vas to die;" I got mad like a pull dog, und give him a look, Und he say all der drouble, vas come of Jay Cooke. I. Den I run me so quick, mit mine emdy burse To see Mr. Lawton, off de bank of Commerce; Mr. Lawton looked scared, und he obened his mond Und I say, "Mr. Lawton, dot hanics blayed oud," "Mr. Snyder," say he, Und he looked rigit off me, "I don't got nuff money, to go on a sphree. Off you vait dill do-morrow, yost call round vonce more Und I dold you ogsactly, vot I dold you before." VI. I got me egcited, and I go to der City, I see Mr. Freeman, und I say dot's a pity, "Can you give me my money?" Mr. Freeman say "mix," I felt satisfied den, dot dere vas a banics. "Vot's der reason," I say, "No money to pay?" "Mr. Snyder, you vill blease come some odder day." Now I dond got no lager, I dond get no kroud, Because I dond got me my money all oud. V. Now all of you beebles, dot's droubled like me; Dot's bedder you alvays, feel sometime merry, Dond bodder your head aboud all dis banics. Come, feel happy mit der Philharmonics. Ven greenbacks feel petter, I'll wrote you a ledder; Und I vill dold you, all aboud banies matter. Yust now I vill pid you all a cood-night, But, mine coodness cracious! dot money vas tight.