15786. Empire City Savings bank (New York, NY)

Bank Information

Episode Type: Suspension → Reopening
Bank Type: state
Start Date: October 24, 1907
Location: New York, New York (40.714, -74.006)

Metadata

Model: gpt-5-mini
Short Digest: 3ec0dea9

Response Measures

None

Description

Empire City Savings Bank posted a notice suspending payments for the statutory notice period (30/60 days reported in different articles) on Oct 24, 1907. Articles state the bank was solvent and invoked the notice clause to avoid a run after nearby Harlem banks (Hamilton and Twelfth Ward) suspended. No article reports a permanent closure or receiver; context implies a temporary suspension and expectation of resumption.

Events (1)

1. October 24, 1907 Suspension

Cause: Local Banks
Cause Details: Bank availed itself of the statutory 30/60-day notice to suspend because neighboring Harlem banks (Hamilton and Twelfth Ward) had suspended and there was fear of a run; officials declared the institution solvent and sought to prevent withdrawals by invoking the notice period.
Newspaper Excerpt: The Empire City Savings bank posted a notice of suspension for three days, but the officials declare it is financially solid.
Source: newspapers

Newspaper Articles (12)

1. October 24, 1907 The Lake County Times Hammond, IN

Article from The Lake County Times, October 24, 1907

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END OF FINANCIAL TROUBLES SIGHTED Three More Small Banks in New York Close Their Doors. PANICKY FEELING SUBSIDES Clearing House to Give All Needed Assistance-Expected Knickerbocker Trust Will Resume. (Special to Lake County Times.) New York, Oct. 24.-The end of the depression in the values of stock which has been the cause of financial difficulties in New York, seems to be in sight at the present time. The big men of the financial world have come to the front, and such names at Morgan, Stillman and Rockefeller with illusions to their handling of the situatio in the future, had a quieting effect. Secretary Cortelyou will make deposits of $25,000,000. The following reports were received today: The Hamilton bank, a small bank at One Hundred and Twenty-fifth street, has suspended. Empire City Savings bank in West One Hundred and Twenty-fifth street, has closed, its doors. The Twelfth Ward bank has suspended and state examiner has been placed in charge. Comptroller Ridgely says National banks all over the country are in a healthy condition. The Trust company committee, under lead of Morgan, formed to take care of Trust companies. Bankers' clearing house will give all necessary assistance to Trust Company of America. Expected Knickerbocker Trust will be able to resume. Secretary Cortelyou says he will deposit up to $25,000,000 with banks in New work. Texas banks refuse to make further advances on warehouse holdings of cotton.. The Trust Company of America is continuing to pay off depositors who desire to withdraw their funds as rapidly as possible. It is understood one large insurance company has made a considerable deposit.

2. October 24, 1907 Lewiston Evening Teller Lewiston, ID

Article from Lewiston Evening Teller, October 24, 1907

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THREE BANKS SUSPEND TODAY NOTICES OF SUSPENSION SAY INSTITUTIONS ARE SOLVENT, BUT WILL AWAIT RESTORATION OF CONFIDENCE. NEW YORK, Oct. 24.-At 9 o'clock this morning it was announced that the Hamilton bank had decided to suspend payment pending a complete restoration of public confidence. The notice declared the bank was solvent. E. R. Thomas who is associated with Heinze and Morse in several banks and financial ventures, was president of the Hamilton bank, but resigned after the break in United States Copper stock. Orlando F. Thomas, brother of E. R. Thomas, recently resigned as director. William R. Montgomery was elected president. The Twelfth Ward bank also suspended payment today. It is a state institution, and the state bank examiner is to be placed in charge. According to a recent statement it owed its depositors $8,000,000. The Empire City Savings bank posted a notice of suspension for three days, but the officials declare it is financially solld. All three banks are in the same neighborhood and are not large institutions. The Empire City Savings bank, by a recent statement, owed its depositors $3,300,000.

3. October 24, 1907 The Evening Statesman Walla Walla, WA

Article from The Evening Statesman, October 24, 1907

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BANKS CLOSE IN NEW YORK Two More Big Institutions said to Have Failed NEW YORK. Oct. 24.-Two more banks failed today; the Twelfth Ward and Hamilton banks, both smaller institutions than those hitherto involved. The state banking department is in charge. The Hamilton bank had six branches in Harlem and one in Wiliiams burgh; the Mercantile National formerly cleared for the Hamilton. The Hamilton had deposits amounting to $7,000,000. The Twelft Ward had deposits amounting to $3,000,000. Bankers state that the Twelfth Ward bank is solvent but that it closed its doors to safeguardo all its depositors. The Hamilton bank has a notice on its door which states, 'This bank is absolutely solvent. In justice to all depositors it suspended payments until public confidence is restored." Harlem and Bronx are in an uproar. Depositors are flocking to the various banks to draw funds and a run on the American Trust company continues. Morgan said this morning: "The first two hours will tell the tale; We have done all we can. I hope for the best. It is time for action, not talk." The Empire City Savings bank is the first institution to take advantage of the new state law which compels depositors to give sixty days' notice of the intention to withdraw the deposits. Its deposits"amount to $3.500,000. Morgan to the Rescue. In the loaning section of the exchange today there were scenes of excitement when heavy loans at high rates were called for. The National Copper bank loaned $500,000 at 50 percent; the First National bank $2,000.000 at 50 per cent and a syndicate of banks loaned $3,000,000. Drawn out from his retirement, J. P. Morgan has won the greates: financial triumph of his career. Commanding the market at a psychological moment and bringing with him the mighty power of Rockefeller and Cortelyou, he has averted a great disaster and panic which might have retarded the growth of the country for a decade. It is estimated that $200,000,000 has been withdrawn from the banks the last two weeks. Rockefeller continues to loan today at six per cent. Normal conditions are looked for before the close of the week.

4. October 24, 1907 The Paducah Evening Sun Paducah, KY

Article from The Paducah Evening Sun, October 24, 1907

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MILLIONS AVAIL TO PREVENT PANIC ON MONEY MARKET New York, Oct. 24.-Cortelyou released twenty-five million dollars from the sub-treasury, and John D. Rockefeller announced his intention to use his resources toward restoring confidence. J. P. Morgan said: "The first two hours will tell the tale. We've done all we can. I hope for the best. The state is now in charge of two banks. Bankers say the Twelfth Ward bank is solvent. The Empire City Savings bank took advantage of the 60 days' notice from depositors. The Hamilton bank announces it is solvent, but will remain closed until confidence is restored. The run on the Trust Company of America continues. At Pittsburg. Pittsburg, Oct. 24.-The Stock exchange didn't open for business today. Rockefeller Confident. New York, Oct. 24.-John D. Rockefeller has taken an active interest in the present financial situation, and he has arranged to loan very large sums to a number of New York financial institutions. "I think," said Mr. Rockefeller, "that the existing alarm among investors is not warranted, and I hope the good common sense of American people will control the situation. "Personally, I have absolute faith in the future of the values of our securities and the soundness of underlying conditions. "Instead of withdrawing any of my moneys from the banks, I am cooperating with others in helping to meet that which I firmly believe to be only a temporary crisis. Everyone having the good of his country at heart should by word and deed lend a hand now to re-establish confidence, and I propose to do my part to the full extent of my resources." Money Shipped to Pittsburg. Washington, D. C., Oct. 24.-Several millions of dollars were shipped last night from the United States treasury to Pittsburg banks for the purpose of relieving conditions there, which threaten to develop in a, panic of devastating proportions. The money was shipped upon the urgent representations of Senator Philander C. Knox, who came here yesterday for the purpose of taking some steps looking to the relief of Pittsburg financial institutions.

5. October 24, 1907 The Topeka State Journal Topeka, KS

Article from The Topeka State Journal, October 24, 1907

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Mr. Morgan's pronounced part in staying the panic, and the calming statements by John D. Rockefeller, President Stillman of the National City bank and Vice President Frank A. Vanderlip of the same institution—these things, it is considered, can not fail to help what is in some respects the most acute money crisis New York city has seen since the Grant-Ward failure in 1884. Governor Hughes' prompt appointment of a new superintendent of banks in the person of Clark Williams, a prominent banker here, to fill an office suddenly vacated this week, and the steps taken to have the Knickerbocker Trust company resume business are other satisfactory signs. As is always the case in time of financial excitement, New York bankers and brokers were at their desks early this morning awaiting the London quotations on American stocks. Three Banks Close. The Hamilton bank in West One Hundred and Twenty-fifth street, suspended payment to depositors today. A notice was posted on the doors of the bank this morning, announcing that the bank was solvent, but in justice to depositors payment had been suspended until public confidence in banking institutions was restored. The Twelfth Ward bank suspended payment to depositors. A state bank examiner will be placed in charge. The Hamilton bank is not one of the large institutions in the city. Its location in Harlem gave it quite a good neighborhood business, but it never was in any way a representative New York bank. The Empire City Savings bank, located at 231 West One Hundred and Twenty-fifth street, posted a notice this morning announcing suspension for 30 days under the banking laws. The officials of the bank declare that the institution is financially solid, but that they desire to avail themselves of the 30 days' notice of withdrawal under the state law, because they feared a run owing to the suspension of payment by the Hamilton and Twelfth Ward banks in the same neighborhood. The Empire City Savings bank, according to a recent statement. owed its depositors about $3,300,000. Will Wait for Confidence. At 9 o'clock this morning it was announced that the Hamilton bank, which has its place of business in One Hundred and Twenty-fifth street, had decided to suspend payment pending the complete restoration of public confidence. A notice posted on the bank's doors declared it was solvent, but suspended payment in justice to its depositors, until confidence in banks is restored. E. R. Thomas, who was associated with F. Augustus Heinze and Charles W. Morse in several banks and financial ventures, was president of the Hamilton bank but resigned after the break in United Copper stock which marked the beginning of the recent financial troubles in this city. Orlando F. Thomas, brother of E. R. Thomas, also recently resigned as a director. and William R. Montgomery was elected president. The bank has a capital stock of $200,000 and deposits of about $7,000,000. It has four branches in this city. At 9:30 there were about 1,500 persons in line in front of the Trust Company of America's main office in Wall street waiting for the opening of business. At 10 o'clock prices on the London exchange showed considerable strength among American securities. Union Pacific was up 2%, Baltimore & Ohio 23, Atchison 2½, Southern Pacific 2, Amalgamated Copper 1, United States Steel and Erie 3/8.

6. October 25, 1907 The Daily Morning Journal and Courier New Haven, CT

Article from The Daily Morning Journal and Courier, October 25, 1907

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The action of the Empire City Savings bank in availing itself of the 60day clause to stop a run upon it, was generally approved. Old-timers in Wall street recalled that in 1893, when the 60-day clause was last put into effect, at the end of that time people were lined up at the savings bank trying to deposit their money.

7. October 25, 1907 Daily Press Newport News, VA

Article from Daily Press, October 25, 1907

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# RATES 100 PER CENT AT ONE TIME Money Put in by the Bankers, However, Sent it Down to 10 per Cent. in a Hurry-One of the Most Memorable Scenes Ever Witnessed on the Stock Exchange-Three Small Banks Go Under. (By Associated Press.) NEW YORK, Oct. 24-As a result of today's developments in the financial world there is every indication that the crisis in the banking and trust company situation has been satisfactorily 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 favorable feature of the situation respecting this company was that it was able to make its payments with very little assistance and another was the company received over its counters in the morning hours in ordinary deposits more than $1,000,000. It was the general impression in financial circles that this company having withstood today's run with so little trouble was undoubtedly in good condition to continue its business and in fact that the company and its affairs were not considered as a factor any longer in the general situation. As the Trust Company of America has been the center of the recent financial storm it was accepted that the ability it has 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. 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 12th Ward bank and the Empire City Savings bank. These banks transacted only a neighborhood business and their suspension of payment was absolutely without significance and bearing on the general situation. State Bank Examiner Judson, however, declared this afternoon that all three were solvent and that depositors would lose nothing. The second episode was in a run against the Lincoln Trust company. The run against this company was virtually 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. J. P. Morgan to the Rescue. 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 led 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 there 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 of great financial resources had been charging recently what was in effect, if not legal, usurious rates on all call loans. One institution that has been engaged in this practice was itself a member of the clearing house and was severely criticised by other bankers for its action on the ground that this added an unnecessary complication and strain upon the money situation. 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 today up to 100 per cent, and when that figure was quoted an extremely sharp decline resulted in the stock market Union Pacific, a ten per cent. stock selling down to por. Notwithstanding the high rate for call money that might have been obtained the National City bank. John D. Rockefeller, personally and other prominent monied interests sent funds to the Stock Exchange to be let at the normal rates of per cent. These cums, however, were not sufficient to meet the demand and for a time there was great confusion and hurried calling of stocks on the Exchange. At the time that excitement was at its highest, the announcement was made that a pool had been formed with J. P. Morgan at its head to come to the relief of brokers for whom it was necessary to provide funds at once in order that they might cary the stocks they were holding for their customers. The Morgan pool brought a sum of money amounting

8. October 25, 1907 The Bemidji Daily Pioneer Bemidji, MN

Article from The Bemidji Daily Pioneer, October 25, 1907

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ALL WORK TOGETHER Great Generals of Finance Trying to Restore Confidence. MONEY IN URGENT DEMAND Bcarcity of Funds to Carry Margined Stocks Results In Heavy Selling and Precipitate Declines in the Price of Securities. New York, Oct. 25.-With all the great generals of finance and the secretary of the United States treasury acting in accord to restore public confidence in the banking and trust company situation in this city sentiment took on a much more cheerful tone in Wall street and distinct improvement was visible in all quarters of the financial district. The day opened with optimistic statements from officials of the Trust Company of America and up to 2 o'clock in the afternoon that institution was paying all checks presented as rapidly as possible. A welcome feature of the company's affairs was that large deposits amounting to considerably more than $1,000,000 were made during the morning hours. John D. Rockefeller deposited $10,000,000 with one of the city's oldest trust companies to be used in extending aid to such trust companies as might require it. The failure of three small up town banks had some ill effect on the general situation. Albert C. Judson, a state bank examiner, announced that the Hamilton bank, the Twelfth Ward bank and the Empire City Savings bank, all of which suspended payment, had been found to be entirely solvent. Mr. Judson said: "All three institutions are perfectly solvent. The Hamilton and the Twelfth Ward banks suspended for lack of ready cash. The Empire City Savings bank took advantage of the thirty-day clause allowed to savings banks." The stock market opened buoyant under the improved tone. In the later dealings weakness developed, due to the fact that brokerage houses were reducing their lines of stock carried on margins on account of the tightness in the money market. Call money was still in urgent demand. It opened at 50 per cent and advanced to 100 per cent. Union Pacific Sells at Par. The stock market turned very weak shortly after 2 o'clock, Union Pacific selling down to par, a decline of 8½. Reading sold down 8 points, Northern Pacific declined 9, St. Paul 6 and Southern Pacific 41/8. There was no news to account for the decline except the scarcity of money supplies and the advance in the money rate to 100 per cent. It was announced on the stock exchange that a pool had been formed which would supply the brokers with all the money required to close their operations. There were violent, feverish rallies in the stock market following the decline, Union Pacific rising in a few minutes to 105 and Reading to 75. Prices jumped a full point in some cases between sales. Northern Pacific rallied 43/4 and Amalgamated Copper also rose 31/4 from the lowest. At 2:25, following the announcement of a pool organized to satisfy money requirements on the stock exchange, call money was lending at 10 per cent. The amount of the pool loans made in the stock exchange was about $25,000,000. There was an unusual scene at the stock exchange at the closing hour. When the brokers realized that it was 3 o'clock and that the trying day had been passed without serious difficulty they gathered in the center of the big exchange and gave three cheers for J. P. Morgan, whose action in forming the money pool that came to the relief of the market at 2:15 had turned the tide at the moment when prices were ebbing away with alarming rapidity.

9. October 25, 1907 The Bemidji Daily Pioneer Bemidji, MN

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FOLLOW THE HAMILTON. Two Other New York Banks Close Their Doors. New York, Oct. 25.-Following the announcement of the suspension of the Hamilton bank came the news that the Twelfth Ward bank, located at One Hundred and Twenty-fifth street and Lexington avenue, had suspended payment. The Twelfth Ward bank is a state institution and a state bank examiner will be placed in charge of its affairs. According to a recent statement the institution owed depositors about $3,000,000. The Empire City Savings bank, lo cated at 231 West One Hundred and Twenty-fifth street, has posted a no tice announcing their suspension foi thirty days under the banking laws The officials of the bank declare that the institution is entirely solvent, but that they decided to avail themselves of the thirty days' notice of withdrawal under the state law because they feared a run owing to the suspension of payment by the Hamilton and Twelfth Ward banks in the same neighborhood. The Empire City Savings bank, according to a recent statement, owed its depositors about $3,300,000.

10. October 25, 1907 The Salt Lake Herald Salt Lake City, UT

Article from The Salt Lake Herald, October 25, 1907

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CLOSED STATE BANKS. Suspension Has No Bearing Upon the General Financial Situation. New York, Oct. 24.-At 9 o'clock this morning it was announced that the Hamilton bank, which has its place of business in One Hundred and Twenty-fifth street, had decided to suspend payment pending the complete restoration of public confidence. A notice posted on the bank's doors declared it was solvent, but suspended payment in justice to its depositors, until confidence in banks is restored. E. R. Thomas, who was associated with F. A. Heinze and Charles W. Morse in several banks and financial ventures, was president of the Hamilton bank, but resigned after the break in United Copper stock, which marked the beginning of the recent financial troubles in this city. Deposits of $7,000,000. Orlando F. Thomas, brother of E. R. Thomas, also recently resigned as a director, and William R. Montgomery, was elected president. The bank has a capital stock of $200,000 and deposits of about $7,000,000. It has four branches in this city. The Hamilton bank is not one of the large institutions in the city. Its location in Harlem gave it quite a good neighborhood business, but it never was in any way a representative New York bank. The Twelfth ward bank also suspended payment to depositors today. It is a state institution and a state bank examiner will be placed in charge of its affairs. According to a recent statement the institution owed depositors about $3,000,000. Suspended for Thirty Days. The Empire City Savings bank, located at 231 West One Hundred and Twentyfifth street, posted a notice this morning announcing suspension for thirty days under the banking laws. The officials of the bank declare that the institution is financially solid, but that they desire to avail themselves of the thirty days' notice of withdrawal under the state law, because they feared a run owing to the suspension of payment by the Hamilton and Twelfth Ward banks in the same neighborhood. The Empire City Savings bank, according to a recent statement, owed its depositors about $3,300,000. It is a comparatively minor organization, Its suspension is without bearing on the general financial situation in New York.

11. October 26, 1907 Morris Tribune Morris, MN

Article from Morris Tribune, October 26, 1907

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ALL WORK TOGETHER Great Generals of Finance Trying to Restore Confidence. MONEY IN URGENT DEMAND Bcarcity of Funds to Carry Margined Stocks Results in Heavy Selling and Precipitate Declines in the Price of Securities. New York, Oct. 25.-With all the great generals of finance and the secretary of the United States treasury acting in accord to restore public conIdence in the banking and trust company situation in this city sentiment took on a much more cheerful tone in Wall street and distinct improvement was visible in all quarters of the financial district. The day opened with optimistic statements from officials of the Trust Company of America and up to 2 o'clock in the afternoon that Institution was paying all checks presented as rapidly as possible. A welcome feature of the company's affairs was that large deposits amounting to considerably more than $1,000,000 were made during the morning hours. John D. Rockefeller deposited $10,000,000 with one of the city's oldest trust companies to be used in extending aid to such trust companies as might require it. The failure of three small.up town banks had some ill effect on the general situation. Albert C. Judson, a state bank examiner, announced that the Hamilton bank, the Twelfth Ward bank and the Empire City Savings bank, all of which suspended payment, had been found to be entirely solvent. Mr. Judson said: "All three institutions are perfectly solvent. The Hamilton and the Twelfth Ward banks suspended for lack of ready cash. The Empire City Savings bank took advantage of the thirty-day clause allowed to savings banks." The stock market opened buoyant under the improved tone. In the later dealings weakness developed, due to the fact that brokerage houses were reducing their lines of stock carried on margins on account of the tightness in the money market. Call money was still in urgent demand. It opened at 50 per cent and advanced to 100 per cent. Union Pacific Sells at Par. The stock market turned very weak shortly after 2 o'clock, Union Pacific selling down to par, a decline of 8½. Reading sold down 8 points, Northern Pacific declined 9, St. Paul 6 and Southern Pacific 41/8. There was no news to account for the decline except the scarcity of money supplies and the advance in the money rate to 100 per cent. It was announced on the stock exchange that a pool had been formed which would supply the brokers with all the money required to close their operations. There were violent, feverish rallies in the stock market following the decline, Union Pacific rising in a few minutes to 105 and Reading to 75. Prices jumped a full point in some cases between sales. Northern Pacific rallied 43/4 and Amalgamated Copper also rose 3½ from the lowest. At 2:25, following the announcement of a pool organized to satisfy money requirements on the stock exchange, call money was lending at 10 per cent. The amount of the pool loans made in the stock exchange was about $25,000,000. There was an unusual scene at the stock exchange at the closing hour. When the brokers realized that it was 3 o'clock and that the trying day had been passed without serious difficulty they gathered in the center of the big exchange and gave three cheers for J. P. Morgan, whose action in forming the money pool that came to the relief of the market at 2:15 had turned the tide at the moment when prices were ebbing away with alarming rapidity. Think of living! Thy life, wert thou the pitifulest of all the sons of earth, is no idle dream, but a solemn reality. It is thy own. It is all thou hast to front eternity with. Work, then, even as he has done and does, like a star. unhasting, yet unresting.-Thomas Carlyle.

12. November 1, 1907 Greene County Herald Leakesville, MS

Article from Greene County Herald, November 1, 1907

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Cortelyou Helps. Secretary Cortelyou deposits $25,Q00,000 in New York banks. Hamilton bank, with deposits of $7,000,000, suspends payment, claiming solvency. Twelfth Ward bank, with deposits of $3,000,000, suspends payment. Empire City Savings bank, with deposits of $2,300,000, suspends for 30 days, under banking laws. Run continues on Tust Company of America. Run continues on Dollar Savings bank. Pittsburg receives $5,000,000 from government to aid in meeting payrolls, if necessary. Pittsburg exchange- remains closed.