Article Text
britBank Directors Liable. Directors of the Saybrook Bank, of Essex, Conn., which loaned $48,000 to a man whose estate was only worth $9000, had to guarantee depositors I to stop a run on the institution.
1565. Saybrook Bank (Essex, CT)
Bank Information
- Episode Type
- Run Only
- Bank Type
- state
- Start Date
- December 25, 1906
- Location
- Essex, Connecticut (41.353, -72.391)
Metadata
- Model
- gpt-5-mini
- Short Digest
ba8428de
Response Measures
Accommodated withdrawals, Capital injected
Description
Newspaper reports (Dec 1906/Jan 1907) state directors had to guarantee depositors to stop a run caused by a very large improper loan ($48,000 loan on estate worth $9,000). No suspension or permanent closure is mentioned; directors' guarantee quelled the run.
Events (1)
1.
December 25, 1906
Run
- Cause
- Bank Specific Adverse Info
- Cause Details
- Bank made a $48,000 loan to a man whose estate was worth only $9,000; this adverse lending discovery triggered withdrawals.
- Measures
- Directors guaranteed depositors (personal guarantee) to stop the run.
- Newspaper Excerpt
- Directors of the Saybrook Bank, of Essex, Conn., which loaned $48,000 to a man whose estate was only worth $9000, had to guarantee depositors to stop a run on the institution.
- Source
- newspapers
Newspaper Articles (2)
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Article Text
# Bank Directors Liable. Directors of the Saybrook Bank, of Essex, Conn., which loaned $48,000 to a man whose estate was only worth $9000, had to guarantee depositors to stop a run on the institution.